Despite not offering flood cover NRMA Insurance has claimed a 10 per cent increase in customer volumes in Queensland since last year. But Suncorp has hit back with the message that product quality is more important than ‘short term ad gimmicks’. It is all being played out on national television.
QUEENSLAND television viewers would well be aware of NRMA’s ambush marketing campaign against RACQ and Suncorp.
But NRMA Insurance home & motor sales manager Frank Adler says the company’s ‘unworry’ campaign has been very successful, with an increase in phone enquiries, brand recognition and volumes.
“We’ve gone out as a challenger and we needed to differentiate our brand as the insurance market space is one of big spenders – in Queensland our campaign has gone particularly well with young contemporary Queenslanders,” says Adler.
“As far as flood cover goes we are working towards a solution, but we’re looking to provide some choice unlike some of our competitors, namely Suncorp,” he says.
He cites sustained growth for the insurance provider in previous years but the recent advertising campaign significantly boosted volume levels.
“We are very happy with our growth – the market share in Queensland is one in 10 for motor insurance and one in nine for home insurance.”
Suncorp home insurance executive manager Kathy Park, says if her company’s customers are not susceptible to floods then it won’t be reflected in premiums.
“But in a unique climate such as Queensland’s, customers do expect and need insurance for specific events such as floods,” says Park.
“We choose not to focus on whether NRMA is getting their marketing campaign right, but on getting our own right, as well as more importantly, the customer offerings that sit underneath them.
“The other thing is that our product is available all over Queensland, so we don’t target specific geographical areas like some others do.”
She says customer retention and acquisition rates are very strong at the moment.
“We obviously do a lot of research and found that the product is far more important to consumers than short-term ad gimmicks. In our market research one in five surveyed actually though ‘Unworry’ was a Suncorp advertisement.”
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