C-4 Analytics Insights | Webinars, Case Studies & Analysis

Maximize ROI: Integrate Co-Op & Competition Targeting Campaigns

Written by Rob Stoesser, VP of OEM Relations | Oct 25, 2018 7:00:00 PM

Achieving the Best of Both Worlds: Co-Op and Conquest Campaigns

This session, originally presented by C-4 Analytics on the Digital Dealer platform, addresses a critical need: integrating mandatory OEM co-op advertising with independent, aggressive competition targeting campaigns to maximize ROI.

The challenge is that while co-op is the root cause of the problem—as it restricts your ability to compete—it also provides valuable funding. The most successful strategy is to combine both.

 

The Problem: Co-Op is the Root Cause

Co-op advertising was designed for the network TV era, where dealers pooled resources for expensive ads. Today, in the digital space, the same rules apply:

  • The Sticking Point: Co-op mandates adherence to OEM keyword lists and Primary Marketing Areas (PMAs), ensuring dealers do not target their on-brand rivals.

  • The Result: This forces dealers to stay in their "swim lanes," preventing them from aggressively going after high-potential sales from the competitor next door. Your sales growth plateaus because you are pulled back to center.

 

The Solution: The Chocolate and Peanut Butter Strategy

The goal is to get the best of both worlds: fully utilize OEM funds and run powerful competition targeting campaigns that drive sales and share.

 

1. Maximize Co-Op (The Bullseye)

Allow co-op campaigns to run, maximizing usage of OEM funds for basic, central campaigns that check the box. These campaigns should cover keywords and geos that the OEM requires, forming the center of the bullseye.

 

2. Aggressive Competition Targeting (The Outer Ring)

This is the non-co-op funded activity run by a non-conflicted agency focused solely on your store's success.

  • Target the IMB: You must use advanced data (credit checks, VINs viewed on third-party sites, lease end dates) to identify in-market buyers (IMBs) who are shopping your rivals.

  • Eliminate Pump-ins: Target your competitor's PMA, where you are losing sales. You must stop them from selling vehicles into your territory—a vehicle with the competitor's license plate frame is a lost sale on your Pump-in Report.

  • Integrate Strategy: The data from these campaigns must inform and enhance your entire digital presence (SEO, social media, reputation, and even traditional media).

 

Strategic Considerations

  • Cost vs. Share: Yes, implementing aggressive competition targeting will require an incremental spend because you are fighting for sales that are not easily won. However, this is essential to move up in the regional rankings and maintain growth.

  • Vendor Choice: You cannot achieve this with a conflicted agency that is serving your rival's remarketing lists. Demand an agency with certified people, data access, and a commitment to your exclusive goals.

 

Watch the Full Webinar

For a deeper dive into these topics and to hear directly from Rob Stoesser, Vice President of OEM, watch the full webinar below.