Ateneo de Davao University
School of Business and Governance
Entrepreneurship Department

Progressive Insurance:
A Case Study

Submitted to:
Mr. Rey Navacilla
Submitted by:
John Paul Dela Vega
Jose Antonio Kintanar
Clarence Mitchell Sy
Dayle Lois Tulang
John Way
Keith Medina

Table of Contents

I. Introduction…………………………………………………..…… II. Statement of the Problem…………………………………..…... III. Objectives of the Case Study………………………………..…. IV. Methodologies and Approaches…………………………….… V. Analysis of the Case a. Qualitative Tool: Fishbone Diagram………….…. b. Quantitative Tool: Decision Tree Analysis……. VI. Alternative Courses of Action (ACAs) c. Alternative Course 1……………………………..… d. Alternative Course 2……………………………….. e. Alternative Course 3……………………………..… VII. Significant Findings…………………………………………….. f. Positive Findings…………………………………… g. Negative Findings………………………………….. VIII. Recommendations…………………………………………….... IX. Conclusions………………………………………………………

I. Introduction

Progressive Insurance, an automobile insurer company, which is based in Mayfield Village, Ohio. On the year of 1991 Progressive Insurance had approximately $1.3 Billion in their sales. When the year of 2006 came that $1.3 Billion in sales suddenly became $14.5 Billion. What did they do to make this figures increase so high? Nothing.
For 15 years Progressive insurance just did little advertising, and some of its campaign was not very successful. They didn’t even unveil a slew of new products, nor did it grow at the expense of its profit margins, even when it set low prices. They didn’t even bother to diversify or hire a new aggressive sales force nor make clever marketing schemes.
Their secret? Its simple: They out-maneuvered its competitors. Progressive Insurance offered lower