One of NASCAR’s biggest stars, driver Dale Earnhardt, Jr., has been a spokesperson for Nationwide Insurance for many years. Here’s one of the most recent commercials he’s done for Nationwide.
We really like this commercial because it articulates many of the key concepts of Brand Modeling. In the first ten seconds of the spot, Dale Earnhardt Jr. explains (and we’re paraphrasing here) that as a NASCAR owner and driver, he knows that there’s nothing more important than pleasing the fans. Pleasing the fans is the top priority, because without the fans, there’s no NASCAR. Just like without their customers, there’s no Nationwide.
Earnhardt continues to explain that Nationwide reports to their customers, not to Wall Street. Throughout the spot, the message is clear: the Nationwide approach puts customers in the driver’s seat.
Brand Modeling: Key Concepts
Nationwide’s approach is one we’ve seen consistently used by Cult Brands and dominant organizations. Companies that win are doing so by focusing on the needs of their best customers. Identifying who an organization’s best customers are, learning what psychological factors motivate their decision making, and meeting their needs in the most satisfying fashion possible is a proven formula for success.
Nationwide currently enjoys a reported 4.5% of the automotive insurance market. This market is highly competitive, currently dominated by State Farm and Allstate. Together, the two companies control a little less than a third of the entire market. Nationwide is also vying with Geico, Progressive, and Farmer’s. What’s the best way for this insurance company to stand out from the pack, capture customer attention, and gain market share?
Identify The Most Valuable Customer
NASCAR became a phenomenon by focusing on the needs of their best customers: the thousands of loyal fans who never miss a race, who travel countless miles and spend thousands to see their favorite drivers live, who wear NASCAR apparel and participate in racing fan communities online. By catering exclusively and exhaustively to these fans, NASCAR has thrived. People are passionate about car racing.
They’re not necessarily as passionate about car insurance. Yet Nationwide needs to know just as much about their customers as NASCAR does. NASCAR can articulate, clearly and with pinpoint precision, what leads someone to join the NASCAR Nation. They know their fans love exciting races with fantastic finishes, exhaustive information about their favorite cars and drivers, and the sense of community that has built up around the sport of racing. To thrive, NASCAR needs to keep delivering these essential elements. Otherwise, their fans will find other ways to occupy their attention and command their entertainment dollar.
Nationwide’s focus on the customer could begin with examining what it takes to belong to Nation Nationwide. A percentage of the insurance market will always be driven by nothing more than price and convenience. However, by looking at Nationwide’s best customers—those that have multiple policies with Nationwide, who enthusiastically recommend Nationwide to their family and friends—and identifying what they value most about their car insurance company, it becomes possible to craft strategically targeted marketing messages designed to attract new customers who are very likely to be highly satisfied with (and profitable for!) Nationwide.
Is Nationwide on the right track? It looks that way. If this customer focused approach is implemented consistently, they might even make it in record time!