How Dealers Can Use Digital Remarketing to Drive Revenue
Currently, the automotive market for after purchase communications uses traditional channels of postal mail, email, and live voice to spur customers into bringing in their vehicles for service. These communications are generally broad in messaging, including simple estimations on when the communication should be delivered, general information on what service the customer is due for and provide a wide variety of offers designed to be a catchall for the customer’s needs. In addition, most marketing programs tailored to the individual dealer cannot provide marketing services at competitive costs to support a positive ROI.
Personalized digital remarketing combines data, traditional marketing, and digital marketing in an innovative way to deliver a highly targeted digital solution through retargeting ads. It is a cost effective approach that enables dealers to move their marketing into the digital space while allowing them to continue to be incredibly targeted. But these initial benefits are not what instill confidence in this solution—the stellar measureable results do!
Over 80% of new car purchasers provide a valid email address. As such, the vast majority of customers are being marketed to via email. By adding personalized digital remarketing, you can add another touch point that traditional marketing could not previously accomplish.
This is an exciting advance on previous technology in the automotive marketing industry, as well as a new way of looking at existing solutions. This industry is generally diluted with mass market communications that provide a moderate ROI. Reinventing the way email, retargeting display ads and personalized websites work together through data modeling cuts down on communications, while increasing response rates. This solution provides an extremely cost effective program that allows dealers the ability to target their customers and provide customers with messages and offers relevant to them at that exact point in time.
The process works like this:
- Email: If the customer is due for an email communication, send a highly customized and interactive email. Emails contain the reason for contacting the customer, a strong call to action and appropriate offers to urge the customer into action. Everything about the email (message, tone, and offers) is driven by the data and is a one-to-one contact to that specific customer.
- When emails are created, assign a corresponding display ad to that email.
- Follow all standard marketing best practices for greater open rates when deploying emails.
- When emails are deployed, if the customer opens the email and their cookies are enabled, the customer will have a cookie placed on their computer with the corresponding display ad.
- Retargeting Display Ads: After the email has been opened and the customer searches the web, the retargeting display ad associated with the communication they received displays on an appropriate data driven website.
- An appropriate display ad is assigned to the customer based on the data model
- The display ad is reminiscent of the email already viewed, reminding customers of the services they are due for and providing a call to action to click the banner for offers.
- Personalized Websites: Customer specific landing pages, or personalized websites, are used to offer a customer a singular page to find all available offers for that current campaign.
- Websites are accessed through an active link and are valid only for the time the offers are valid.
- Pages contain customer specific one-to-one offers and dealer contact information.
- Landing pages are accessed via:
- Original email
- Retargeting display ads.
An increase in online presence has helped manufacturers and dealers build online brand awareness, as well as some solid measurable results. Comparing a control group of postal mail and email communications only to a complete solution of postal mail, email and personalized digital remarketing, the following ensued:
- New/active customers:
- Dealer response rate: 45.10% increase
- Dealer ROI: 40.77% increase
- Inactive/prospect customers:
- Dealer response rate: 102.73% increase
- Dealer ROI: 102.06% increase.By rethinking the traditional means of data modeling and marketing channels, a more comprehensive customer specific lifecycle can be executed, minimizing customer touch points while maximizing response rate and ROI.
Tim has worked in automotive marketing for eight years, of which the past six years were with Minacs Marketing Solutions (www.minacsmarketing.com). His outstanding performance won him a nomination in the “Emerging Professional – Chairman’s Individual Awards for Outstanding Achievement 2012”. – See more at: www.minacs.adityabirla.com/