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ADAGE Toyota Ignition One Case Study_Feb2016

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ADAGE Toyota Ignition One Case Study_Feb2016

  1. 1. MARKETING ESSENTIALS CASE STUDY: Toyota Netherlands Category: Data-driven Digital Vertical market: Automotive Agency: Toyota Netherlands in-house, with IgnitionOne Campaign: Facebook Custom Audience targeting Timing of campaign: Started Sept. 15, 2015, and still ongoing Summary: Toyota Netherlands aimed to improve retargeting efforts using an audience scoring system. After shifting digital ad budget allocation, it’s rolled out the strategy across markets.
  2. 2. 2 | FEBRUARY 2016 ADVERTISING AGE CASE STUDY: TOYOTA NETHERLANDS MARKETING ESSENTIALS THE MARKETING CHALLENGE Toyota Netherlands had the same problem all auto sellers do: It needed qualified leads and a way to communicate with those potential buyers. The deal- er group – a small division of the auto giant with just 110 sales outlets throughout the country – already used Facebook Custom Audience targeting to advertise to people who have shown an interest in its vehicles by visiting its website. But it wanted to refine its approach to ensure it was only spend- ing to reach the right people. “The most important thing for us is really to get to know the online prospects and customers better,” said Menno Damsté, manager, interactive communication at Louwman and Parqui B.V. Toyota/ Lexus, The Netherlands. THE INSIGHT What started as a two-month test would eventually lead to a strategic shift in digital ad budg- et allocation and rollout of a now- ongoing campaign to other markets. Beginning in September 2015, the in-house Toyota Netherlands marketing team built audience segments to target on Facebook by categorizing or “scoring” website visitors based on their interac- tions and level of engagement using marketing ana- lytics firm IgnitionOne’s technology and scoring algorithm. The algorithmic system uses information such as how recent a site visit was, whether someone pur- chased a Toyota in the past, site categories visited, where people click on the site and what content is scrolled over with a mouse, referring URL, and monetary value of vehicles they showed interest in to calculate an engagement score. Then the results are displayed on a dashboard. “This is a visualization to show our clients that it’s not a black box,” said Stephan van den Bremer, enterprise business development director at IgnitionOne. THE CAMPAIGN For the test, IgnitionOne’s technology was embed- ded on the Toyota.nl site in order to track users who checked out select vehicle models and opti- mize what content they were shown. Facebook ads – pushing things like test drives for instance – were then aimed at the test groups using the social site’s Custom Audience offering. It also informs in-person sales, Mr. Damsté said. When someone is deemed a potential buyer and offered a deal, that information is filtered to Toyota retailers based on region, along with a .pdf document detailing the specs of the vehicle in which that person expressed an inter- est. Those leads also go through the national site via a ful- fillment system, and if there isn’t a prompt follow-up from the local dealer, an alert goes out. From there, another dealer could get the lead. “We have a lead management system so the nation- al level pre-qualifies leads, then monitors them and makes sure that leads have been contacted by the dealer,” Mr. Damsté said. The test was so successful Toyota Netherlands decided to continue targeting IgnitionOne-qualified leads with Facebook and Google ads as part of an ongoing campaign. “It’s an always-on campaign.” Mr. Damsté said.
  3. 3. ADVERTISING AGE FEBRUARY 2016 | 3 CASE STUDY: TOYOTA NETHERLANDS MARKETING ESSENTIALS THE RESULTS I Conversion rate lift: 62% I IgnitionOne group conversion rate: 0.30% I Control group conversion rate: 0.19% The test brought Toyota a conversion rate lift of 62% when comparing organic conversions to sign- ups for test drives via a website form to conver- sions prompted by IgnitionOne lead targeting. Targeting the IgnitionOne group led to a 0.30% conversion rate, compared with the control group who converted 0.19% of the time. The test was enough to persuade Toyota Netherlands to continue using its IgnitionOne- fueled segments for all its Facebook ad targeting, and later employ the system for all its Google Lists for Remarketing targeting. NEXT STEPS Now in 2016, Toyota Netherlands has shifted to IgnitionOne-based targeting entirely, dropping any standard retargeting efforts it employed in the past, and expanding the program to at least two addition- al markets. MARKETING LESSONS Don’t Settle. Toyota Netherlands already used standard ad retargeting to reconnect with people who visited its site in a way it deemed successful. But the company learned it could get even better with a more sophisticated approach. Technology Can Enhance the Human Touch. Car sales often require the skill of a good salesperson, but using a data-centric approach can complement efforts by staff. Toyota Netherlands’ Facebook page invites consumers to take a test drive, while the mobile site lets them request more information from regional dealers.