Test drives are pivotal to Peugeot’s business, as eight out of 10 consumers who test-drive a Peugeot vehicle leave with a more positive impression of the brand. However, in Norway, consumers averaged 0.9 test drives per car purchase. The brand created an app that allowed users to virtually test-drive a Peugeot, but it was still struggling to reach consumers who were indifferent to the brand. By converting the app into a video banner ad, the brand was able to increase usage of its test-drive app, which improved both brand awareness and affinity.
Objective and Context:
One of the challenges that car manufacturers face in Norway today is that consumers only take 0.9 test drives on average before making a purchase. This makes it extremely difficult for manufacturers to attract new customers and demonstrate unique features. For Peugeot, test drives play an important role in changing the perception of the car and brand, as eight out of 10 consumers who test-drive a Peugeot become increasingly positive towards the brand.
With this in mind, the primary objective of the campaign was to increase test drives for the Peugeot 508 RXH. The secondary objective was to reach people who were indifferent to Peugeot and engage them on a mobile platform with an innovative solution. At the end of the campaign Peugeot measured consumer engagement with the banner ad and the number of unique users reached.
For this campaign Peugeot wanted to reach a broad audience. One of the objectives for the campaign was to show Peugeot as an innovative brand. In addition, the brand wanted to focus on the panoramic roof feature, available on most models. However, Peugeot also wanted to reach consumers who were indifferent to the brand, and to do this, it had to go national with the campaign.
Peugeot already had an existing campaign running, consisting of an app and a website where users could virtually test-drive the car. The brand converted the app into a banner ad solution to enable Peugeot to reach a wider audience. The brand posited that users who downloaded the app or visited the home page were already fans of the brand. By converting the app into a banner ad, the possibility to reach those who were indifferent increased significantly.
The technology behind Peugeot’s app that allowed the audience to test-drive virtually on desktop did not work in a mobile environment outside of the app itself. The brand partnered with Adssets to address this challenge, finding a solution that allowed the gyro function and the video to work at the same time on a mobile device in a banner ad.
Overall Campaign Execution:
The user experience was crucial for this campaign to succeed. The loading time had to be short and the “driving experience” had to be as realistic as possible. This solution contributed in showing that Peugeot is a high-quality, innovative brand.
The initial mobile campaign had a budget of 200,000 NOK (US$25,600).
This was an ongoing campaign, and it was already running in different channels, such as TV and digital. The core of the digital campaign was an app that gave users the opportunity to test-drive the Peugeot in a virtual environment. By converting the app into a mobile banner ad, Peugeot managed to scale the solution and reach a much wider audience. This enabled Peugeot to reach more people, and get them to test-drive the car virtually. The campaign utilized features unique to smartphones by combining the built-in gyro function with a running video. Studies conducted by Adssets showed an increase in average CTR from 0.9 percent on an ordinary banner to 5.2 percent when video was included in the banner. The choice of mobile as a marketing channel was obvious, as 65 percent of searches in Norway start from a mobile device.
The challenge being faced by the Norwegian car industry is the steadily decreasing number of consumer test drives being taken. This is a serious problem for Peugeot, as research shows that eight out 10 consumers become more positive towards the brand after a test drive. Peugeot is in 10th place when it comes to brands consumers consider in the preliminary phase of buying a car, and one important goal for Peugeot was to improve its position in the industry.
The campaign was highly effective, reaching one million unique users in nine days, with an average frequency of four ads served per user. The banner engagement rate reached 2.34 percent, and more than 32,000 people virtually test-drove the car. This contributed to a 253 percent increase in “real life” test drives during the campaign period.
The campaign showed that mobile has a place in Peugeot’s digital strategy, and is now being included in almost every single campaign.