Challenger launches $30 million ad campaign
Challenger has embarked on a $30 million consumer advertising campaign, the largest in its history and the first time annuities have been advertised to Australian consumers.
The campaigns hit TV screens this weekend and advertisements demonstrate the impact of the global financial crisis (GFC) on four everyday Australians and their retirement plans. Other media used as part of the campaign include cinema, radio, print and online.
Termed ‘Real Stories’, the three-year national campaign marked the first time annuities had been advertised to Australian consumers, said Challenger's head of marketing and communications, Stuart Barton.
“We’re seeking to bring balance to a discussion that for too long has focused on the benefits of equities while rarely, if ever, mentioning the risks,” Barton said. “Equities are well-suited to accumulation but overexposure can have dire consequences in retirement, as thousands experienced during the GFC.”
The campaign will get people talking, he said, adding that advisers which gave feedback felt that its message was one that many clients needed to hear.
“During concept testing with consumers, retirees felt we were empathising with their situation where no other financial services firm had done so before,” Barton said. “The campaign is realistic, not negative. And when you’re selling income insurance, you need to advise people of the risk you’re helping them manage.”
He said that the GFC demonstrated that the most popular account based pensions were a flawed investment in the superannuation drawn down phase. In 2010, total sales of Challenger’s retail and institutional product range grew more than three-fold to $2.19 billion, while retail annuity sales alone jumped 82 per cent to $933 million.
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