Among his many humorous depictions, the Allstate Insurance Company commercial character known as Mayhem has been portrayed as a satellite dish. In one commercial, Mayhem, as the dish, falls from the roof of a home and damages the carport and car.
In a curious case of life imitating art, Allstate is slated to begin using satellite television subscribers who rent their homes as the target market for an advertising campaign which is designed to only reach those who rent their dwellings. Those who own their homes will not see the ads.
Ads To Feature Renter’s Insurance
According to an online post at adage.com, Allstate is using consumer data from firms such as Experian, Epsilon and Axicom, and cross referencing it with subscriber data from Dish and DirecTV to pinpoint renters. The commercials, which will feature renters insurance products, are estimated to reach about 15 million households. It marks the first time Allstate has used television to advertise renter’s insurance.
This type of campaign is known as “addressable” advertising, and if successful, will likely be the beginning of many similar efforts in the advertising industry.
The market for renters insurance is enormous. A recent survey conducted by Allstate showed that only about 45% of individuals who rent their residences are covered by any renter’s insurance.
A Benefit To The Television Business
Those in the advertising business believe the evolution of addressable advertising will be a benefit to the TV business. The belief is that because addressable ads target a specific type of consumer, the networks could charge a premium for these ads because the viewer is more interested in watching it.
The idea has merit. In 2010, cable TV provider Comcast conducted a test of addressable advertising in Baltimore. Targeted ads were sent to narrowly defined groups of households based on demographic data and the advertiser’s preferred audience. The results showed that viewers who saw advertising directed at a specific set of households were 32% less likely to change channels during the ad break.