Question

Identify one positive and one negative strategy GEICO Inc. is currently using and how it is impacting them as an organization. Then explain why you believe these two strategies are good or bad.

Answer 1

answer-

The positive strategy which i think GEICO inc is using is expanding Internet capabilities and customer outreach combined to attract the company's 7 millionth policyholder. GEICO's success as the company grew to 8 million policyholders. GEICO provided mobile users with a first in the insurance industry—the ability to quote and buy a policy from mobile-friendly pages on their iPhone and Android mobile devices.

Growth continued in 2012 as a new milestone of 11 million GEICO policyholders was reached early in the year, and the company would add another 3 million over the next four years and become the nation's second-largest auto insurer.

And then things really took off! For 12 consecutive months, from July 2016 through June 2017, GEICO set monthly records for sales and growth, adding its 15 millionth and 16 millionth policies during 2017, and its 17 millionth early in 2019.

the bad strategy which i would say is using creative cartoons like caveman etc in advertisement again and again this is bad because GEICO and its ad agency tried to capitalize on the success of their Cavemen with a TV series in the fall of 2007. The move made GEICO the first advertiser in recent history to turn a fictional company spokescharacter into the star of a primetime TV show. But the show received overwhelmingly negative critical reaction, and was canceled after only six episodes. It’s a clear case of “jumping the shark.

Most marketers have to spend a ton of money just to make one message stick, much less two (or more!). GEICO spends in the neighborhood of $500 million which is too much and is not good for business cost.