Brand: The AA
Advertiser: The Automobile Association
Agency: adam&eveDDB; Carat
Like many brands, the AA had been focusing on efficient delivery of short-term results via direct, targeted comms. This seemed to be working - profit was growing. But a new team looked beyond short-term results and discovered a worrying picture of market share and membership decline, driven by increased price sensitivity and falling salience. So the AA overhauled its marketing and reinvested in brand communications. The resulting campaigns rebuilt salience and image, increasing both acquisition and retention. The strengthened brand enabled the group to raise prices - driving stable revenue growth and delivering a profit ROMI of £2.23 for every £1 invested.
The judges especially appreciated the shift from a declining business focusing on short-term metrics, response activities and buying new sales, moving into a mass emotional approach to rebuild brand equity and sales. This paper acts as a great proof of the value of brand building in a membership business.