CSAA

Market-level Channel Mix for AAA Insurance

California State Automobile Association (CSAA) is a regional provider of Auto, Home, and Life Insurance, servicing most of the top AAA auto club groups across the US. Starting in 2019, the company tested advertising directly to consumers instead of working only through the auto club marketing and membership channels. 

The AAA Insurance Ask:

2020-21 was the rollout year for a larger CSAA direct-to-consumer effort to grow AAA Insurance, both within the auto club membership base and in the general market.

Mediasmith’s Approach:

Quantitative Market Ranking

Within CSAA operational footprint (24 States and Washington DC), Spot Markets were ranked and tiered according to a combination of 1) Auto Club data, 2) business analysis, 3) competitive presence, and 4) audience demographics. Media mix allocations were set by market tier:

• Core Markets: top areas for the most aggressive business growth, receiving all channels including Spot TV & Radio, OOH, and Digital Video, Audio, Display and SEM
• Invest Markets: areas with growth potential or with geo-fencing requirements smaller than a standard DMA, receiving only the Digital channels
• Sustain Markets: areas where operational or pricing issue prohibited significant ad investment, receiving primarily SEM support

Channel Investment Planning

To aid in channel allocations, a suite of Nielsen planning tools, including NMI, @Plan and Commspoint, was used to determine the most efficient mix of investments to reach the key communications goal for each Tier.

A series of matched-market tests and Brand studies were used to optimize channel mix and markets until a Media Mix Model was developed in 2021 to measure overall business impact through the funnel. This model now drives quarterly optimization actions across channels.

Creative Partnership

Based on a creative agency idea, CSAA Insurance partnered with vocalist Rick Astley to re-make his ‘80s hit ‘Never Gonna Give You Up’ and create a whole new shot-for-shot music video. We used QR codes in innovative and accessible media placements to launch a new Rick Roll campaign to promote the video.

Learnings and Results:

• +30% growth in Policy Sales
• +50% increase in Search activity
• The “Rickroll” campaign drove over 1M earned video views and won a Webby Peopxle’s Voice Award and an Effie for Paid Social Media