This week's guest post is the third in a series from Joe Kyriakoza, VP/GM Automotive, Oracle Data Cloud (read the previous blog in this series, here).
Not all online car shoppers buy. And not all car buyers shop online. Both types of consumers have value to your audience plan, but focusing only on recent shoppers – which the auto industry has historically been guilty of – is narrowing your scope of opportunity, and could result in the competition with a tighter audience strategy capturing the mindshare of your potential buyers.
Marketing to current shoppers is vital, but more and better data allows marketers to expand and enhance this tactic. Analyzing recent car buyers is fundamental to your audience strategy, and supports all three key tactics illustrated previously:
3. Brand awareness
While car shoppers represent an important group of consumers, there are some pitfalls to focusing primarily on shoppers:
Examining recent buyers of your brand can deliver actionable insights to inform your digital loyalty plan. At Oracle Data Cloud, we receive inbound requests for audience sizing for loyalty or ‘retention’ campaigns, and 90% of those requests are for audiences of consumers who own the same model (i.e. Jeep Grand Cherokee campaign targeting current Grand Cherokee owners). However, on average, 40% of loyalty purchases come from other models in your brand family. In this example, many Grand Cherokee (mid-size SUV) buyers might be trading in Jeep Patriots (compact SUV).
Your cross-shopping data tells you that people who shop Toyota Camry are also shopping for Honda Accord, Nissan Altima, and Ford Fusion. This is straightforward and intuitive. However, sourcing trade-in data helps identify where the true conquests are, and how you can ultimately capture more share of your category. The data might suggest that most people buying a Camry are trading in Honda Civic, Ford Focus, and Chevy Cruze during that transaction. Suddenly your competitive set has expanded to support people who might currently own entry-level compact sedans.
Now you know that there are pros and cons to focusing exclusively on current shoppers. But this much is clear: data can reveal more insights into today’s consumer than ever before. Automotive marketers should take advantage of these insights to truly understand their audiences in more effective ways – for example, Oracle Data Cloud’s Automotive vertical is specifically aligned to provide the advice marketers need in order to make informed decisions with their ad spend. So, whatever road you take, it’s important to make sure the right data is behind the wheel for positive results.
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