Do you hear that?
Loved this. As someone in the not so popular recruitment industry can see a lot of parallels with the insurance industry. Great perspective here. 👍
It's surprising how simple it is to promote your own category. Point out what's wrong with the most well know category, then present your category as the solution to the problems of the competition.
Nicely explained. I enjoy the creativity in the commercials for GEICO, Progressive, and State Farm, but I will not switch because of them. Insurance is all about price, until you need them, and then it becomes about customer service. Lemonade turning the industry on it's head is what it needs!
This is really great stuff. Bringing the insurance category forward again is really smart. Yes a rising tide floats all boats but in the absence of value people will default to price. This is most people's view right now i.e. What's the cheapest policy that covers me?
If Lemonade can demonstrate a level of value that makes themselves unique in the emerging 'Cool Insurance Company' category then they may find they can command a premium price for delivering great offerings. When a consumer says "that's expensive" then then answer must be "compared to what?" You can't compare apples to oranges (or should I say lemons) on price.
My 9-to-5 is in the insurance industry. There, I head up both marketing and digital experience. As we think about both digital transformation and formation (for newer, non-legacy business line), Lemonade is referred to often as a beacon. I wonder, in an industry like insurance, if the behemoths could ever catch up on an overall customer experience perspective, how they'd fare. Still, I think that is the challenge in insurance -- legacy systems is going to kill older, successful companies.
1. "Savvy investors know that growth CAN ONLY happen in high growth categories."
QUESTION: Is there an exception to this? Can a unicorn emerge from a low growth category? If "Yes", what are the factors that can spring forth such?
2. "Lemonade is evangelizing their category. Not their brand."
QUESTION: I love category evangelism however, I have also seen or read somewhere that when you push category you push the market for all (in the category) whereas when you push your brand, you create the market for you. How hurting can this go? Since you are advocating category marketing, don't you think that becomes an ocean or pool everyone can take spoonful from?
What's really wrong with brand marketing or championing?
Furthermore, does Apple really champions category marketing? Further clarification would be appreciated.
3. "And allowing the perception of your category to go to shit is a sign of a massive industry leadership failure."
COMMENT: I agree! That means, someone must rise up to that challenge and responsibility.
4. "The above letter & video explain why Lemonade is a category designer, on its way to becoming a Category Queen.
Not just because of its tech that enables a better customer experience, but because of its business model that rebuilds trust with consumers.
This is the ‘redemption’ chapter."
QUESTION: Are there other benefits of category marketing other than "...rebuilds trust with consumers"?