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In the NewsCorporate Insight is frequently in the news, whether to announce and discuss our published research or to offer our views on topics within our areas of expertise. Scroll down this page to read the latest articles in which we’ve appeared, and use our News Archive to find previous items.
|E*Trade Looks to Outgrow That Talking Baby|
|Wednesday, 16 February 2011 12:51|
By Ben Steverman
Quirky TV ads have made E*Trade Financial famous but have done little to help pitch its functional appeal to investors. Can the online brokerage now catch up to its bigger rivals?
E*Trade Financial (ETFC) may boast some of the most popular advertisements on TV, but the company still can't make a profit. Hobbled by bad loans that blew up in the financial crisis, it's stuck at fourth place in the highly competitive online brokerage industry.
E*Trade executives are thus trying a new strategy: While not entirely abandoning their talking baby campaign, they're spending more than half of an increased ad budget on messages without the stock-trading infant. The talking baby ads, which began airing during the 2008 Super Bowl, have been a hit with TV viewers. Nielsen (NLSN) said on Feb. 9 that an ad featuring the E*Trade baby with a sneezing cat was the third most-liked commercial during the 2011 Super Bowl, watched by a record 111 million people. Because of the baby, "we have much higher brand recognition vs. the competition," says Nicholas Utton, E*Trade's chief marketing officer.