Table of Content
10X
increase in operational efficiency
52%
surge in parts and services profitability
60%
improvement in productivity efficiency
50%
rise in staff productivity
75%
reduction in AI adoption costs
72%
year-on-year ad spend growth
A premier automotive marketing agency, managing over 400 dealerships, was looking to drive up the online traffic for their dealers, to fortify their online presence and expand audience reach, as well as actively drive service appointments for them.
Challenges
The Client reached out with the following challenges and aspirations:
- Operational challenges in expanding ad channels:
The Client wanted to improve performance by running ad campaigns across multiple channels. However, it was challenging to manage such orchestration due to the need to operate different platforms and UI, which was extremely cumbersome, time-consuming, and at times impossible to set up as the platforms were not interoperable. - Margin compression:
The Client faced challenges in maintaining or increasing profit margins due to varied operational inefficiencies, staffing requirements and retention issues against the macro-economic backdrop and competitive job market. - Rising cost when scaling:
Managing an increasing number of dealership accounts means additional hiring of personnel, raising cost concerns in payroll, training and development, staff management, making it impractical as the business grows. - Manual operations:
The Client managed various campaign aspects such as campaign optimization, ad setup, creative generation, feed creation, and so on through many highly manual processes. This became unwieldy when dealing with hundreds or thousands of dealer accounts as their business scaled and/or more ad channels are introduced. - Data fragmentation and tracking challenges:
The fragmented and siloed data greatly impacted reporting when advertising across the walled gardens and programmatic ad channels. It also impeded the Client’s ability to optimize marketing strategies in real-time and to measure and attribute conversions across channels, due to the absence of a unified tracking mechanism.
Solutions
- XPO provided the Client with a unified cross-channel platform to build, launch, execute and optimize ads across major advertising channels, including social media, search, CTV/OTT, video, audio, display, native, DOOH & email, thereby eliminating the need to manage multiple tools and platforms. XPO’s easy-to-use UI and capabilities not only helped streamline the Client’s workflows but also enabled cross-channel real-time optimization, which would have been impossible to achieve with multiple platforms.
- The Client leveraged Knorex’s AI engine, KAIROS, which offered a range of intelligent features including workflow and tasks automation, real-time cross-channel budget allocation, optimal bid recommendation, ads personalization, and predictive analytics, minimizing operational inefficiencies yet maximizing campaign performance through real-time optimization.
- XPO comes with a robust partnership and accounts management and a comprehensive suite of related tools, enabling centralized management of all dealership accounts in one system.
- XPO facilitated seamless ad creation, cross-channel tracking and attribution, and strategy optimization across leading ad channels, greatly reducing manual operations even as the Client continues to add more dealership accounts. For instance, using XPO, the Client can now efficiently generate tens of ad variations in under a minute for their dealership campaigns—a task that previously took hours when done manually.
- XPO’s integrated reporting capability delivered unified and comprehensive insights into metrics across devices and ad channels, streamlining campaign management with an alert mechanism. XPO’s universal pixels enabled tracking conversions and attributions across different ad channels and digital touchpoints, thereby providing the Client with the ability to make well-informed decisions.
Results
- Knorex’s AI engine, KAIROS, helped increase operational efficiency by 10x.
- The Client witnessed a 52% surge in parts and services profitability.
- Knorex Pulse, a customer data platform (CDP), delivered a 60% improvement in productivity efficiency.
- The Client experienced a 50% rise in staff productivity.
- The XPO platform reduced AI adoption costs by 75%.
- AI-driven campaign optimization, and automated campaign setup and workflows helped in scaling while minimizing downtime, yielding a 72% year-on-year ad spend growth.
