The Geofence Big 5 · 2018-12-27 · The Geofence Big 5 ... improves brand loyalty and lifts...

The Geofence Big 5

Five fast & responsive geofence campaigns that will boost web leads by 4X for new and used automotive dealers

Table of Contents

Why do we need geofencing? 4

Imagine 300 shoppers walk into your showroom… 4

Geofencing starts a conversation 5

Why now? Because 600 leads a month. 5

Geotargeting vs. Geofencing 6

1. Localizing incentives: Be super targeted and stand out 7

Instant savings certificate 8

Long distance special offer 9

Military, big employers and university campuses 9

2. Inventory targeting: Show what you got 10

Recommended inventory classes by DMA subregion 10

3. Conquesting at the competitor 11

The perfect competitive offer 11

4. Language targeting: Se Habla Español 12

Simple welcome banner 13

Introduce your team 13

Translated incentives 13

5. Marketing to subprimes: Be there for them 14

We say yes 14

Summary 15

Appendix: Data sources 16

Sales data 16

Web traffic 16

© 2016 CloudEngage, Inc. Page � of �2 16

About this white paper

This white paper explores the first five geo-campaigns you should run on your website to maximize your website’s conversion rate.

Each campaign should take less than an hour to implement, but the return on investment will continue for months with significant lift in leads & sales.

About CloudEngage

CloudEngage is the number one provider of website geofence technology in the automotive industry.

With hundreds of clients in both automotive and the wider retail market, CloudEngage technology powers thousands of geofences across the US, allowing dealers to target their customers with fast and responsive messages, which improves brand loyalty and lifts conversion rates.

The company is based in Portland, Oregon.


Why do we need geofencing?

Imagine 300 shoppers walk into your showroom…

…. then 294 of them walk right back out again without saying a word.

You’d never accept that.

But that is what your website is doing every single day.

In the real world, you’d have someone on the door, grabbing each shopper's attention and personally handing them the perfect offer to keep them talking.

If you want to generate more web leads, your website needs to do the same thing.


Why do we need geofencing?

Geofencing starts a conversation

Even with first time anonymous web traffic, you can know a few things.

You can know where they are physically located, you can know what their local weather is, and you can know what language their computer is set to.

Geofencing uses this data to engage your customer from the first touch, which will dramatically increase your web leads.

Why now? Because 600 leads a month.

A typical dealer website has 5000 to 10,000 visitors per month. With generic incentives and a 2% conversion rate, that’s 200 web leads per month, or 7 per day.

Geofenced incentives perform much better, with an average 6-8% conversion rate. That translates to 600 additional leads every month.

Or put another way, for every day that your management team accepts a 2% passive conversion rate, you’re seeing 20 leads walk out the door that could have been saved.


Geotargeting vs. Geofencing

A good lead generation campaign has two components, (1) driving traffic to a destination website, then (2) persuading the visitor to share their information or otherwise “convert”. You need both steps, and geo has a role in both.

Geotargeting is a common strategy for driving traffic to a website (traffic generation).

AdWords, Facebook and most of the ad exchange networks allow you to specify where you want your ads to appear.

This makes perfect sense for location-specific businesses: if you’re a dealer in Seattle, why would you want to pay to present an ad in front of someone in Florida?

Geofencing is a technology that sits on your website to improve the conversion rate of the site.

Geofencing allows your website content to change dynamically based on the physical location of the website visitor.

With a geofence, the website’s messaging and offers can be much better targeted to the prospect because you’re not limited to a “one size fits all” message. Typically this dynamic content is either an on-page swap, or a pop-up (aka modal or overlay).

Because the content is more relevant, the conversion rate is typically 4x higher than non-targeted content.


There are ton of resources for geotargeted ad strategy, but this white paper is going to focus on geofencing on the website, so let’s continue.

[ geotarget ] [ geofence ]

1. Localizing incentives: Be super targeted and stand out

People respond better when the message is targeted to their needs and interests. This can be as simple as including their local town names, or as targeted as name-checking the sports arena that they’re sitting in.

Once you’ve created a targeted offer, adding an interactive element dramatically increases both engagement and retention of the offer. This is because people have a natural tendency to “own” content that they’ve worked for.

The net result is a one-two punch -- higher engagement because the interaction caught their attention, and higher conversion because you can target the offer.

!

In the following examples, the content is represented as an overlay (aka pop-up). Overlays are good because they can include specific calls to action, and because they’re so obtrusive, they have a much higher conversion rate than an on-page call to action. However, these campaigns could just as easily be created as an on-page offer.

Perfectly Targeted Offer + ATTENTION GRABBER =

Maximum Conversion


Instant savings certificate

If you take an incentive like an Instant Savings Certificate and simply add the name of the township where the visitor lives, you will see a 4x improvement in conversion.

It’s exactly the same offer, but people respond better when they see their neighborhood named. Our data shows average jump from 1% opt-in to 5%.

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If you take that now-targeted incentive, and wrap it in a more visually appealing, more interactive offer, then it will even perform better. Here we use a CloudEngage ActionPop to add a game-element for significantly higher engagement.


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Long distance special offer

The further away your customer is, the better reason you have to give him to drive past your competitors and come to you.

You don’t want to give your best offers to everyone, so save this extra-special offer for the people who need the added incentive.

Rather than competing on price, consider promoting your wider selection, the expertise of your team, or something fun, like an offer to detail their car while they do a test drive.

Military, big employers and university campuses

If you have a nearby military base, or a standing discount with major employers in the area, make sure they know about it. Universities are also a great source for leads.

Again, you probably already have an incentive, so geofence nearby campuses and make it easy for customers to see how you’re going to treat them better than the competition.

TIME CHECK & ROI

15 mins to 3 hours depending whether the assets already exist

• Add the name of the township to bring a 4x lift to conversion rates

• The ability to interact with offers increases engagement by 169%

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2. Inventory targeting: Show what you got

Most dealerships lead with their low-cost best seller on their homepage slider. If you don’t have any other information to go on, that’s the right move. But with geofencing, you can easily segment your market, so each person is seeing the perfect inventory.

The first step is to review your sales data. Whenever there’s a clear correlation between location and style, add a geofence so you can target those people with a specific class of vehicle.

Recommended inventory classes by DMA subregion

Sub market Recommended Inventory

Affluent High line models with focus on safety packages and performance

Long distance Exotic, hard to find inventory. Don't be afraid to geofence multiple states

Rural 4x4s, trucks

Downtown urban Fuel-efficient city cars

TIME CHECK & ROI

15 mins to 2 hours, depending on whether you have existing assets

You should see at least 2-3 more high end vehicles sold and a higher level of interest in each highlighted class �

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3. Conquesting at the competitor

25% of all consumers using their smart phone inside a dealer’s showroom are actively shopping against the dealership they’re sitting in. That means that if they’re on their phone at your competitor’s, there’s a 25% chance that they’re visiting your website.

Use that fact to conquest this perfectly qualified prospect.

The perfect offer is not always just beating their quote, though that is an important message. Look at your dealership’s unique brand values as well as the brand of the dealership where the customer is sitting.

The perfect competitive offer

Create your best incentive for this perfectly qualified customer and geofence your competitors so only people shopping from the dealership see the promotion.

Brand value Message

Price We will beat any quote Best credit terms Best trade-in prices

Inventory selection Visit the widest selection in the state and get a free car detail

Service Check with the experts facts before you buy Lifetime service offer

TIME CHECK & ROI

10-30 minutes. Geofence clusters of dealers and make offer “evergreen” to save time.

This promotion should be one of your highest converting incentives. If it is not performing >20%, then test another offer.

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4. Language targeting: Se Habla Español

Overall in the US, 20% of households speak Spanish or another foreign language. More importantly, non-English speakers account for over 25% of the anticipated growth for US businesses over the next few years. And they all buy cars.

Welcoming foreign language customers makes sense, but you don’t want to waste valuable website real estate on irrelevant messages for English speakers. Language targeting makes it easy to target messages by looking at each visitor’s computer’s language preference and using that to trigger content.


Simple welcome banner

A simple “We speak your language” text banner on your website in each supported language lets foreign language communities know you want their business. Select a spot on your site and swap out a generic asset for two or three language banners corresponding to your largest local language communities. Set a trigger so only people with that language preference see the promo.

Introduce your team

If you have a high concentration of non-native speakers, then it may pay off to create a pop-up with a photo of your sales team members who speak the language so visitors can make a personal connection and know who to look for.

If you have multiple languages spoken across the team, make multiple versions of the banner.

Include a form to reserve a meeting time, so that they know they’ll be taken care of, meanwhile, you secure the appointment and gain valuable contact information.

Translated incentives

If these welcome forms generate more leads than the generic lead form, consider expanding from a simple welcome banner to actual translated promotions. This should ONLY be implemented if the evergreen “welcome” campaigns indicate strong market opportunity, but the payoff in terms of long term community loyalty could be huge.

TIME CHECK & ROI

15 minutes per language. This is evergreen content so no maintenance is necessary

Instantly create a competitive differentiator and earn credibility inside a market segment worth $1.5 trillion in annual purchasing power

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5. Marketing to subprimes: Be there for them

To win in subprime, you need to show right away that that you understand the unique needs of the customer. The problem though is that leading with a subprime message pigeon-holes your dealership and you’ll lose mainstream customers who think you only focus on a lower tier customer.

With dynamic content triggered by geofences, you aren’t forced to choose between messages. Just geotarget neighborhoods and deliver the appropriate message.

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We say yes

Geofence your subprime zip codes and replace your main slider with a “We say yes” message. Subprime customers will see your message, which will make them more likely to choose your dealership over a competitor that does not promise an understanding credit team.

TIME CHECK & ROI

15 mins to 2 hours, depending on whether you already have subprime assets prepared

Instantly create a competitive differentiator and earn credibility inside a valuable sector without damaging your primary market brand image

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Summary

Even a basic geofence campaign will result in immediate lift to your web lead conversion rate.

Most campaigns can be “set and forget” so they do not add burden, but once you see which campaigns work, you can expand until your site is 100% geo-responsive, incorporating not just location, but also local weather and other triggers to personalize your content and convince that first time visitor to share their information.

For more information, you are always welcome to contact CloudEngage.

We love talking about this stuff.

CloudEngage, Inc

133 SW 2nd Ave. Portland, OR, 97204 (888) 983-5532

[email protected] https://cloudengage.com


mailto:[email protected]

https://cloudengage.com

Appendix: Data sources

To see where your customers live vs. where your web site visitors are coming from, you will be looking at your historical sales data and your website site traffic. Ideally you will want to view these on a map to make sense of where to focus your marketing efforts.

Sales data To visualize your sales data, you can use a service like Batchgeo. Just paste in a spreadsheet of addresses along with other data like sale value per address, and you'll get a map showing your market by dollar value.

Web traffic For raw site traffic, you can use Google Analytics, though their geolocation report is time consuming because you have to zoom in to a very tight region to see meaningful data. CloudEngage offers more detailed website geo-location reporting, showing interaction with each campaign so you can evaluate response on a campaign basis.


The Geofence Big 5 · 2018-12-27 · The Geofence Big 5 ... improves brand loyalty and lifts...

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