Improving marketing efficiency can save up to 20% of budget, but where do you start?

Same brand - different marketing approach. How to get the best of both worlds?

Same brand – different marketing approach. How to get the best of both worlds and save 20% on your marketing expenditures?

Optimizing the marketing infrastructure can save up to 20% of the total marketing budget and achieve an additional 15% sales increase, according to a survey conducted by MRMLOGIQ among 99 marketing professionals in 22 countries. Key steps to improving marketing efficiency are consolidating and standardizing marketing materials and automating campaign management and marketing production processes. Marketing technology often is a big help in making marketing more efficient, but as implementing software requires investments, it is important to first identify what to improve in marketing and how.

Car manufacturers and suppliers to the automotive industry are global players with presence in a lot of countries but marketing generally is centrally coordinated. Simply stated, the big idea for marketing campaigns will come from HQ and is to be launched across different countries and via different partners and dealer organizations. For production and coordination of campaigns, the localization of content and timing of distribution can be a challenge, especially if multiple local agencies are involved in the process. To make it even more complex, car brands often have the wish to deploy different media channels per country as well. In that case, local or regional domination of a media channel also has to be taken into account. For example, the adaptation of social media varies a lot per country, as we have shown in this article about the changing media landscape. This means that applying the same media and creative strategy throughout Europe cannot be the most effective marketing approach.

Besides the challenge of these different geographic layers in the marketing process, all major car brands have a full line up of models. As each model has its own life cycle and select target group, all models require individual marketing efforts. Each car model has multiple versions: base, luxury, high-end, etc. and  various engine and transmission types. And if that is not enough complexity, most brands offer some special editions as well. Some of the versions and the special editions sometimes require a specific marketing plan, because they appeal to different target groups. A classic case of this matter is that of an Asian brand whose micro car appealed to two types of buyers. The base models predominantly had buyers of limited wealth, who owned this car as their main transportation. Among highly affluent consumers this micro car was also highly popular, but they bought it as their second or third car. Obviously a different marketing approach is needed for the two groups.

Finally, the marketing tactics can vary per region, city or dealer. This makes the complexity of marketing strategies in the automotive industry among most complicated ones to manage – no doubt.

That is why it is likely that the potential for improvement and the potential value of marketing optimization will vary, again, per country and model. A clear vision on both, the state of marketing processes and marketing budgets per country or per model, is required to be able to start optimizing what matters most.

There are two ‘low cost – high impact’ solutions available that allow companies to quickly scan what and where to improve in marketing and to calculate the potential value of a marketing optimization initiative across different regions, countries and business units:

  1. Marketing Operations DNA (MO:DNA)
    MO:DNA is an assessment tool. It collects information about marketing processes and resources across legal entities, brands, regions and countries and it maps them to the marketing operations framework, identifying opportunities to improve your marketing organization. MO:DNA uses an online survey to collect data and results are presented in an attractive assessment report.
  2. Marketing Operations NPV (MO:NPV)
    MO:NPV is more than a business case builder for marketing operations. It is a strategic decision making tool enabling companies to identify where the most benefits can be gained from a financial perspective. By breaking down marketing budgets into actionable cost items, the MO:NPV provides instant insights in budgets and improvement potential for marketing operations per region, business unit or country. The interactive dashboard allows for live tweaking of input and assumptions, making it a powerful tool in case you need to decide where to start optimizing marketing operations.

If you like this subject, you might also enjoy reading Marketing Resource Management: The noble art of getting things done in marketing. Efficiently. Available through

If you want to know more about how MRMLOGIQ and the team at STAD | marketing in automotive can help you with improving your marketing operation, do not hesitate and contact us now.

1 thought on “Improving marketing efficiency can save up to 20% of budget, but where do you start?

  1. Pingback: Top 5 Marketing in Automotive trends of 2013 - Marketing in Automotive

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