lexus case study

LEXUS CASE STUDY
LEXUS DRIVES RESULTS WITH DATAXU MARKET PULSE TECHOLOGY
For every brand with a fragmented sales model, knowing
how to allocate digital ad investments at the local level
can be ­a constant challenge. Unfortunately, the cost of
not knowing is just too high. Invest too little, and the
advertising won’t drive enough prospects to regional
outlets, affiliates or partners. Invest too much and
experience oversaturation.
RESULTS
The Lexus Dealer Association began implementing Team
One’s investment recommendations within weeks and the
outcome was immediate. As a result of restructuring its
regional marketing investments and success metrics based
on data science and analytics, Lexus experienced stunning
results, including:
• 63% better conversion volume
• 28% global KPI improvement
CHALLENGE
Lexus’ agency, Team One, wanted to understand the best
way to invest across the 110 markets in which Lexus has
a presence. This question touched both New Car and
Certified Pre-Owned spend across each of these markets,
effectively doubling the scale of Team One’s challenge.
Leading with a data-driven marketing strategy in the 12
selected regions helped Lexus beat out local competitors
and deliver an unusually strong quarter of sales results.
80
70
60
50
THE DATAXU SOLUTION
40
63%
30
Team One and data and marketing analytics partner
DataXu devised a unique strategy to solve Lexus’ unique
challenge. Using the DataXu programmatic marketing
platform, 12 pulse experiments were created in markets
that are representative of the 110 total markets in which
Lexus has a presence.
The data derived from DataXu’s leading-edge Market Pulse
software was used to create a response model for different
investment levels, providing unprecedented insight
into how different markets react to Lexus’ marketing
messaging. Based on this deep-dive analysis, Team One
was able to extract a set of investment recommendations
for each of the 12 markets to drive media efficiency and
over-deliver on regional campaign goals.
20
28%
10
0
Improvement
in conversion
Improvement
in global KPI
60%
KPI
40%
20%
0%
-50%
0%
50%
100%
150%
200%
250%
Investment Change
The blue line represents no change in investment. Left of the line,
those markets’ budgets were reduced. Right of the line, budgets were
increased. In all markets, the recommended investment level improved
KPI performance.
DataXu, Inc.
•
dataxu.com
•
281 Summer Street, 4th Floor, Boston, MA
02210
•
1.857.244.6200
•
@DataXu
Boston • New York • Chicago • Detroit • San Francisco • LA • Cologne • London • Madrid • Montevideo • Milan • Paris • Sao Paulo • Singapore • Sydney • Bangalore
CS-LEX-01