AUTO INDUSTRY In Australia - Connexity
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Introduction In 2017 the Australian Auto industry has experienced similar sales numbers to previous years, but July saw a sizeable uptick. In the past, high fuel prices pushed consumers towards smaller and more fuel-efficient cars, but more recently SUVs have shown a surge in sales as well. How can auto manufacturers take advantage of car buying trends and get ahead of the purchase cycle? Cracking the code of the digital journey remains one of the foremost challenges for auto makers. Many marketers still struggle to identify customers early enough in the car buying process, when people begin their research online. This report will help auto brands and marketers connect the dots from interest to intent. Using real data from auto websites, we will explore how consumers begin their comparison journey on review websites, and what content they consume there. Then we will move further down the funnel to analyse the audiences of competing car models, and how marketers can reach true purchase intenders. 1
Table of Contents 1 Interest: Comparison & Review Sites See what content people consume on car review sites — and find out which manufacturers rely on them most. 2 Evaluation: Car Model Benchmarking & Audience Overlap Learn how launches affect traffic benchmarking, and which car models have the most audience overlap. 3 Intent: Profiling Purchase Intenders vs. Browsers Find out what makes car purchase intend- ers unique, and where to reach shoppers with purchase intent. 2
The Importance of Comparison & Review Sites Breaking down the top ranked websites in the Automotive category reveals just how important comparison and review sites truly are. Whereas Carsales, Carsguide, Car Advice and Drive rank well within the top five, the highest-ranked manufacturer website (Toyota) sits all the way in 24th. Top Websites in the Automotive Industry 4 weeks ending 2nd Sep 2017 Total Visit Website Rank Visits Shares Carsales.com.au 12,286,500 11.21% 1 Super Cheap Auto 4,017,030 3.66% 2 carsguide.com.au 3,924,500 3.58% 3 Car Advice 3,391,800 3.09% 4 Drive 2,116,720 1.93% 5 VicRoads 2,035,100 1.86% 6 bikesales.com.au 1,560,040 1.42% 7 Pickles Auctions 1,476,300 1.35% 8 Caravan Camping Sales 1,178,530 1.08% 9 speedcafe.com.au 1,142,620 1.04% 10 Toyota Australia 759,049 0.69% 24 4
Comparison Site Reliance Based on the weight that consumers give comparison sites, its important that manufacturers regularly benchmark their performance and reliance on sites like Carsales, the #1 auto website in Australia. The chart below breaks down the top brand websites that receive traffic from Carsales. Although Toyota has the highest total traffic occurrences from Carsales (unsurprising considering they are the largest manufacturer), Volkswagon Australia has the largest occurrence share from Carsales. This means that a significant percentage of Volkswagon’s overall traffic (7.06%) comes from Carsales, as does BMW’s (6.46%) – they are highly channel reliant on Carsales compared to other manufacturers, and may consider doubling down on a partnership with the site to increase this flow of traffic. Traffic Occurences from Carsales 4 weeks ending 2nd Sep 2017 Traffic Occurences Occurence Share 40,000 8% 7.06% 6.46% 30,000 6% 4.82% 20,000 45% 10,000 2% 0 0% Toyota Australia BMW Australia Volkwagen Australia Traffic Occurrences - Number of traffic occurrences driven from Carsales to the manufacturer. Occurrence Share – Percentage of traffic from CarSales as a share of all traffic to the manufacturer (channel reliance) Top Toyota claimed the largest amount of Traffic Occurences, whereas Volkswagen Takeaway possessed the largest Occurrence Share. 5
Key Pages on Comparison & Review Sites Measuring high-performing content on comparison sites can help manufacturers identify specific pages to target, or provide ideas for content creation and search optimisation. The example below shows the top pages viewed on Carsales.com, the most popular classifieds site in Australia. Carsales: Top Pages Viewed 31 days ending 31st August Total Page Page Share Views all-cars/search 7.59% 5,724,345 Home/HomeSearch/Search 0.72% 541,407 search car-valuations/completed 0.53% 0.52% 402,526 388,944 The car valuation tool on Carsales is highly best-regift-ever 0.37% 282,083 important. car-valuations 0.29% 219,853 new-cars 0.29% 217,928 cars 0.25% 191,991 sell-my-car 0.25% 185,529 new-cars/suv 0.21% 157,827 Luxury car brands are car/mercedesbenz 0.20% 151,544 more popular than other car types, potentially editorial/results 0.17% 131,709 indicating a high share of luxury car buyers. editorial 0.17% 125,749 car/bmw 0.16% 123,815 car/private 0.15% 110,585 best-regift-ever/register 0.14% 107,883 car/toyota 0.14% 103,351 The “best regift ever” car/ford 0.14% 101,904 competition (with the chance to win a trip to car/nissan/gtr 0.13% 101,181 the USA) showed a lot of success. An auto brand car/ferrari 0.13% 99,839 might consider sponsoring the next Carsales sweepstakes to increase awareness. 6
Key Pages on Comparison & Review Sites … continued Next we look at the top pages on Car Advice, a prominent news and review site, to better understand how and what people are researching in their comparison journey. Car Advice: Top Pages Viewed 31 days ending 31st August Total Page Car Advice Page Share consistently gets Views strong visitation car-news 6.04% 690,037 to their news, reviews and comparison sections, suggesting that up-to-date top-5 2.91% 331,885 industry info, car launches and model comparisons car-reviews 2.54% 289,565 play a key role in the research process. These 574131/2018-kia-stinger-pricing- 0.64% 73,009 would be ideal pages to revealed place advertisements and target car buyers in the car-comparisons 0.48% 54,915 comparison phase. 577261/2018-holden-zb-commodore- 0.47% 53,606 review The popularity top-5/small-cars 0.40% 45,304 of small cars and medium-sized car-news/page/2 0.35% 39,905 SUVs (as reported by VFACTS) is reflected 570918/2018-range-rover-velar-review 0.34% 38,711 internally on Car Advice. top-5/medium-suvs 0.33% 37,669 519089/2017-holden-trax-ltz-review 0.32% 36,578 564193/small-car-megatest-ford- 0.31% 35,078 focus-v-holden-astra-v-honda-civic-v… The Kia Stinger page 577777/dear-haters-why-holden- 0.31% 34,968 generated a lot of traffic believes-this-is-a-real-commodore on Car Advice during its Australian release. This showrooms 0.29% 33,368 success underscores how important it is for manufacturers to target hyundai/i30 0.29% 33,085 car news and review sites around a new model 559261/2018-kia-stinger-review 0.28% 32,075 launch, which we will discuss further in the next 578600/2018-kia-stinger-australian- 0.28% 31,648 chapter. specs-and-features-revealed 510405/2017-new-cars-calendar-the- 0.27% 31,080 new-models-coming-to-australia… 7
Benchmarking: Riding the Wave of Traffic How can manufacturers turn the launch of a competitor model into an advantage? The chart below shows how the publicity around a car launch can create a “halo” effect for similar models. The new Volkswagen Golf experienced a month-long burst in traffic to their product page after their July launch. Industry leader Toyota Corolla mirrored this traffic growth, perhaps due to renewed excitement around small cars in general, or a concerted effort by Toyota to capitalise on this enthusiasm. During the buzz of a model release, consumers tend to research what makes the new vehicle special—including how it compares to other models in its class. This effect is something that auto marketers should benchmark closely and take advantage of during competitor model launches. Volkswagon Golf vs. Toyota Corolla Product Page Visits Volkswagen Golf Toyota Corolla Toyota Corolla 55% 40,000 rise in traffic 30,000 Launch of the Golf Page Visits 20,000 Volkswagen 139% rise in traffic 10,000 0 17 Jun 17 24 Jun 17 1 Jul 17 8 July 17 15 Jul 17 22 Jul 17 29 Jul 17 5 AUG 17 12 Aug 17 19 Aug 17 26 Aug 17 2 Sep 17 Month 9
Car Model Audience Overlap - Consideration Set As consumers conduct car research, it pays to understand their consideration set. Which model is your car being compared to? Knowing what segments you overlap with helps manufacturers understand the competitive landscape, but also whose audience they can conquest. Overlap of Key Model Audiences 4 weeks ending 2nd Sep 2017 The i30 is the leader in this category, therefore has a lot of overlap (as in, a lot of people visiting their product page in addition to others in this category). % of Visitors Subaru Volkswagen to who also Holden Astra Hyundai i30 Impreza Toyota Corolla Golf Visited Holden Astra - 13.86% 4.89% 8.91% 8.82% Hyundai i30 7.67% - 6.75% 6.97% 8.05% Subaru Impreza 6.93% 17.27% - 13.38% 12.33% Toyota Corolla 9.01% 12.75% 9.56% - 5.24% Volkswagen Golf 8.02% 13.23% 7.92% 4.71% - Volkswagon Golf and the Toyota Corolla show the least amount of overlap with each other, whereas the Impreza and Corolla audiences show stronger overlap Based on visits to the model product page on the manufacturer website. 10
3 Profiling Purchase Intenders vs. Browsers 12
Consumers Tentative to Test Drive In this chapter, we’ll move further down the funnel and focus on audiences who hit the “Book a Test Drive” or “Find a Dealer” sections of manufacturer’s website. First, a look at the numbers: when comparing total visits to the “Book a Test Drive” vs. “Find a Dealer” page, we see that far more people are interested in going to a dealership in order to further their research process in-person, rather than go straight to booking a test drive online. Based on this, manufacturers may want to feature their “Find a Dealer” call-to-action more prominently on their site and ensure the process of locating a dealer is streamlined. Visit Rate to Key Conversion Sections 7% 6% 5% 4% 3% 2% 1% 0% Book a test drive Find a dealer 13
Top Websites for Browsers vs. Intenders The chart below breaks down a selection of key websites visited by car browsers (people who visited car product pages) and intenders (people who visited a “Book a Test Drive” or “Find a Dealer” page). This helps identify the best places to target consumers who are at the end of their car buying journey, particularly those who are intending to purchase. Top Sites Visited – Intenders vs. Browsers Site Intenders Browsers Share Share Browsers are more likely Social Media to visit Facebook but Intenders are more likely www.facebook.com 4.08% 4.36% to be on YouTube, Reddit, Twitter and Instagram, www.youtube.com 2.80% 2.56% meaning these are key www.reddit.com 0.46% 0.38% channels for reaching high- intent car buyers. www.twitter.com 0.42% 0.37% www.instagram.com 0.31% 0.28% www.linkedin.com 0.24% 0.21% Auto www.carsales.com.au 0.84% 0.55% Car Advice is equally carsguide.com.au 0.47% 0.21% likely to be visited by intenders and www.caradvice.com.au 0.25% 0.25% browsers, meaning it is more important in www.drive.com.au 0.12% 0.11% early research stages www.carpoint.com.au 0.09% 0.02% compared to classifieds such as Carsales and www.whichcar.com.au 0.08% 0.03% Carsguide, which are key for Intenders. News & Media www.news.com.au 0.88% 1.37% www.smh.com.au 0.68% 0.50% www.nine.com.au 0.40% 0.39% www.abc.net.au 0.36% 0.45% au.yahoo.com 0.35% 0.17% media.telstra.com.au 0.34% 0.28% Syndney Morning Herald, abc.net.au/news 0.32% 0.35% Yahoo and Telstra are stronger news sites for www.9news.com.au 0.25% 0.30% intenders than browsers, Finance therefore represent prime pages for campaigns www.strattonfinance.com.au 0.02% 0.01% targeting high-intent buyers. www.carloans.com.au 0.01% 0.00% 4 weeks ending 2nd Sep 2017 Selection of Key Websites 14
Top Searches for Browsers vs. Intenders … continued Understanding the nuances of how browsers vs. intenders search can help marketers optimise their SEO keyword strategy and search campaigns aimed at attracting high-intent car buyers. Top Car Searches Used by Intenders vs. Browsers Site Intenders Browsers Intenders are highly likely to be comparing car Share Share loans and insurance options. Manufacturers compare car loans 0.07% 0.03% could offer in-depth car loan comparison 0.06% 0.01% insurance and loan comparisons on their best car loan rates 0.04% 0.03% website and optimise content towards these car loan calculator 0.23% 0.23% needs (perhaps create car loans 0.19% 0.13% a guide to choosing the right car loan for you). car loan repayment calculator 0.12% 0.21% car loan 0.06% 0.12% car finance 0.14% 0.16% car insurance compare car insurance 0.72% 0.08% 0.46% 0.06% Browsers are more likely car insurance compare 0.07% 0.07% to seek “calculators”, indicating these tools are car insurance quote 0.06% 0.10% more important during earlier stages. car insurance comparison 0.04% 0.02% 12 weeks ending 2nd Sep 2017 Selection of Key Terms 15
Audience Differences of Intenders vs. Browsers Demographically, 25-34 is the most important age group for both car browsers and intenders. However, car intenders are much more likely than browsers to be aged 35-44, meaning this is a key age group to target. Age Index Intenders Index Browsers Index 140 130 120 110 100 90 80 70 60 18-24 25-34 35-44 45-54 55+ When it comes to Mosaic audience segments, the most affluent and urban groups are key targets for both browsers and intenders (Groups A, B and C). However, intenders are more likely to be from multicultural families (Group H), young professionals and students (Group I), and older Australians from regional areas (Group K). Mosaic Index Intenders Index Browsers Index 140 130 120 110 100 90 80 70 60 Exclusive Environs Knowledgeable Successs Independence & Careers Affluent Acreage Distanced Existence New Homes & Hopes Middle Australia International Infusion Books & Boots Provincial Living Traditionally Grey Regional Endeavours Remotely Blue 16
Top Takeaways Benchmark and optimise performance on comparison sites: The car buying journey begins on review and classifieds sites. 1. chart-growth Benchmarking your performance within these websites is crucial. Track popular pages in order to keep a pulse on what consumers care about, and consider advertising on review sites based on where your model pages rank well. Take advantage of competitive model launches: Capitalise on the “halo effect” of a new car launch by promoting 2. car2 a similar model of the same class. Consider creating new content based on popular search terms, increasing PR, or partnering with car review sites in order ride the wave of renewed interest in that class. 3. Distinguish the browsers from the buyers: Analyse the online behaviour of people who have booked a test drive or sought a 3. cash-dollar local dealership — where they go, who they are, and what they are searching for in the days before purchase. This enables you identify and to target people with the highest purchase intent. 17
Want to get these insights? The following Intelligence Tools & Services were featured in this report: Search Insights: What people are searching for and where they go to find these answers, can be found in Hitwise’s platform services. Audience Profiler: The Profiler report can be found on Hitwise’s AudienceView platform, where a user can identify a target audience and understand their online behaviours. Article Tracker: This custom tool allows clients to discover the types of content consumed on a publisher’s site, down to the exact articles and pages. Custom Sections: By looking deeper into a website and breaking out specific pages and sections, clients can understand their customer’s behaviour with further precision.
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