AIC
Immersion:
In 2005, AIC Limited asked us to help re-position their "buy and hold" investment philosophy, commonly known as value investing.
Many AIC mutual funds, most notably the AIC Advantage Fund, had outperformed the stock market over the past 20 years, but had relatively underperformed for the last three. This recent performance created a negative image of AIC for many financial advisors, while nervous investors pushed AIC fund redemptions to an all-time high.
At a time of market volatility AIC needed to restore confidence with both financial advisors and their mutual fund clients. By promoting the merits of value investing, AIC sought to change behaviour and turn market speculators into long-term investors.
Insight:
Most investment decisions are not rational actions but rather emotional reactions. When the stock market goes up, people jump on the bandwagon and end up buying high. When the market goes down, they panic and sell low.
Value investors know that holding for the long term (ignoring market highs and lows) is the way to attain the greatest return on their investment.
We realized the perfect metaphor for value investing, was life itself. We all know there are no easy wins in life. To achieve anything of real value requires discipline and commitment.
Ideas:
There are so many analogies that demonstrate the value of "HOLD" in the AIC investing philosophy. Any parent for example, will say that when it comes to raising children, there are good times and bad but rewards outnumber sacrifices in the long run. And, as any high-achiever will attest, success demands sticking to your principles even when that means daring to be different.
Our AIC life stories played out on national television, radio, online - and in major newspapers and financial magazines where we presented relevant fund performance to advisors.
Our strategy, however, went beyond the media campaign to include:
- awareness and education programs via conferences and seminars
- partnerships with global experts who shared AIC's value investing philosophy
- automated marketing by financial advisors with customized tools to manage AIC branded materials
Impact:
Ad tracking confirmed strong campaign performances with both advisor and investor audiences. Evidence clearly showed the affect of advertising on brand awareness - and on the positive perceptions of the AIC brand.
- over 70% of respondents equated AIC with commitment and long-term prosperity
- 69% understood that AIC "takes a patient, long term approach towards investment management"
- unaided brand awareness grew from 8% to 45% after exposure to elements of the advertising campaign
- most important - a 35% lift in the number of advisors who, if they'd seen any of the advertising, were talking about AIC with their clients
