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0:03
In this next section, we're going to be
talking about a case study
which is a really
very interesting company called Aflac,
an insurance company in the US,
in truly a low interest category,
but yet they have built a brand
based on the silly duck
pronouncing the name Aflac
and has created a tremendous interest
and following in the US.
The interesting thing
about this case study
is we're going to be
looking at both the revenue
and the corporate brand equity,
both sides of the brand value equation.
And that is what
this section is all about.
0:40
On this slide, what we're looking at
is familiarity and favorability
based on core brands,
corporate branding index
research over time.
We report this data
on a quarterly basis.
This is rolled up into an annual basis
for ease of viewing.
We have, first of all,
familiarity and favorability
are on a 100-point scale,
the blue is familiarity,
the red is favorability.
And those who are familiar
with the company
can evaluate
the favorability attributes.
1:11
On this slide, what we see
is communication spending
overlaid on familiarity
and favorability.
From 1997 through 2002,
you'll see the communication spending
was going up every single year,
and as a result,
the familiarity was moving
fairly and steadily upward
as well as favorability.
Many companies would be very happy
with this kind of performance,
but Aflac was really focused
on building their brand
very, very quickly
and what they did is
launched a new campaign.
It's called "The Duck Campaign."
And it's using this duck
as a spokesperson for the company.
And even though the spokesperson
did not say anything,
the way he would say Aflac
as almost a quack
became part of the campaign
and was very, very humorous
and very successful.
In 2003, that campaign was launched
along with definite increase
in the communication spending
and you'll see that
there was a significant jump
of familiarity and favorability.
That campaign was rolled out
over a period of years to 2007
with ever increasing
high levels of spending
and the result was ever improving
familiarity and favorability.
In 2007, the company cut back,
facing the financial crisis
as most companies did,
they cut back
their advertising somewhat.
And you can see the beginning
of a leveling off period
both in familiarity and favorability,
and they have since restored
that spending level.
