Business challenge

In late January 2020, just weeks before the COVID-19 pandemic set in, State Farm brought back its iconic tagline, “Like a good neighbor, State Farm is there.®” Little did they know how important that phrase would be in the turbulent year to come.

On top of the pandemic, the 2020 Atlantic hurricane season was predicted to be especially volatile. With this in mind, State Farm leveraged IBM Watson Advertising Conversations for a third time, looking to reach and engage consumers with personalized tips to help them stay safe and prepared throughout the year.

Transformation

State Farm leveraged IBM Watson Advertising Conversations, an industry-first AI-powered conversational marketing solution that uses natural language processing plus extensive training on State Farm’s body of knowledge to enable real-time, 1:1 dialogue with consumers.

Their Conversations campaign ran in a contextually relevant environment on The Weather Channel app and weather.com, delivering personalized safety tips and recommendations to consumers to help them prepare and keep safe in the face of severe weather.

In addition, weather targeting was applied to reach consumers most likely to be experiencing seasonal firsts or inclement weather.

With IBM Watson Advertising Conversations, State Farm increased awareness and consideration and saw meaningful time spent with consumers, including:

  • 5.4% lift in brand preference among those exposed to the campaign*
  • 13% lift in unaided brand awareness after seeing severe weather creative*
  • 4.5% lift in brand perception of “provides coverage which will protect me”*
  • 1 min 15 sec average time spent, +389% vs. Google Rich Media benchmark

Conversations also acts as a mini focus group, providing real-time audience and customer insights. For example, State Farm learned that consumers were most interested in severe storm safety information in the summer, and home and automobile safety information in the winter.

The State Farm IBM Watson Advertising Conversations campaign has been recognized for the following industry awards:

  • IAC Awards: Best Advertising Online Ad
  • REGGIE Awards: Innovative Use of Marketing Technology

*Source: 2020 Dynata Brand Lift Insights study of State Farm's IBM Watson Advertising Conversations campaign
** Google Rich Media time spent benchmark is 19.27 seconds

Solution category

  • AI/Watson