Automotive Industry Growing Against the Tides

Integrating Online and Offline Data to Embrace New Business Opportunities

Annual Growth Rate and Market Sales of Global Automotive Industry
2021
7,817

4.3

20122013

2014

2015

2016

2017

2018

2019

8,213

8,561

8,834

8,968

9,386

9,589

9,565

9,042

5.1

4.2

Global Market Sales (Million)

3.2

1.5

4.7

2.2

2020
7,797

-0.3
-5.5

Annual Growth Rate (%)-13.8

The COVID-19 pandemic has affected the globe andhit on market sales of automotive industry drastically2Source : OICA, ARTC

Background
Traffic Behavior Changes
with the Pandemic
The global automotive industry experienced a significant downtrend
last year, but Taiwan’s automotive market recorded the highest
growth rate within the past five years. The pandemic situation andgovernment subsidies are the primary reasons that Taiwan cangrow against the tide. Meanwhile, the public also concerns about
using mass transportation system, which gave rise to a new
demand for automobile and drove new car sales during COVID —together, arousing the needs for automotive brand.
Vpon aims to bring value to the industry by leveraging advanced
data tech and solution to cope with pandemic change. By in-depth
analysis and integration of actionable data, Vpon helps our client
develop a corresponding marketing plan to uncover more potential
customers and create business opportunities.

Number of new vehicles listed in the past five years

YearNew
VehicleListed2016

ImportDomestic

NumberAnnualGrowthRate

NumberAnnualGrowth
Rate

43.9

17.1

10.2%

26.8

1.1%

2017

44.4

18.5

8.2%

25.9

-3.4%

2018

43.5

19.9

7.2%

23.6

-8.8%

2019

43.9

21.1

6.4%

22.8

-3.4%2020

45.7

21.7

2.7%

24

5.2%

Unit：Million

Data Sources: Ministry of Economic Affairs,R.O.C、Ministry of Transportation and Communication R.O.C.

Challenges of Automobile Industry

Difficulty inreaching andcommunicatingwith TAs

Past marketing strategies are
decided based on brand and sales.
However, this does not necessarily
provide understanding tocustomers’ needs and profile, which
resulted in wastage and inaccuracy.

Similar marketing
approach;High cost fortransformation

O2O
Unable to trackofflineperformance

Growing importance in technology
has made auto show no longer thepreferred channel of communication.
Yet, many auto brands fail to adapt
to this new trend to target potential
customers accurately.

O2O strategy has always been
auto industry’s novel practice.
However, the pandemic has
disrupted their market plans
which makes digitalization andoptimization even harder.

The main goal for auto industry is

to trigger offline traffic and promote actual business conversions.
4

Objective

Promoting Brand Performance
1. Identify potential customers and expand audience pool
2. Effectively Direct target audience to physical stores

How to prepare a cost-effective marketingplan under COVID-19 to dig out actual
needs of your target audience?
5StrategyMastering Key Data toAchieve Precise Marketingand ultimately Promote Brand Performance

IntegratingOnline and Offline
Data

6PreciseMarketing

How Can Vpon Help?
Verifying Market Performance by
Advanced Geolocation Technologyand Offline Tracking
Leveraging Vpon exclusive POI
geolocation technology to track
whether ad clickers are directed tooffline auto show to evaluate
campaign effectiveness.

3

1

Mastering Key Data to Draw
Insight on Audience Profile ofDifferent Auto Brands

2Understanding the preferences ofindividual audience and getting insight
into their profile to create effective
marketing strategy.

Leveraging Data-Driven Solution
and Continuous Optimization
Based on audience profile from different car users to better understandtheir needs and leverage customized marketing strategies to deliver theright message to the right audience.
7

Part 1Mastering Key Data to Draw Insight onAudience Profile of Different Auto Brands

Mastering Key Data
Similar marketing approach;High cost for transformation

How Vpon Did

Information collected
at auto show

Collect relevant data
accumulated for more than ayear and dig out interest group

Data operation andoptimization on ad platform

CookieAnalyze and segment
more meticulous offline data

Cookie:68 days at mostUnique POI
geolocation
data technology

Vpon DMP

Unlike general auto ad focus more on performance effectiveness,while Vpon Leverages Data to Identify & Reach Target Audience GroupGender Ratio
Vpon divided three levels of vehicles based on average sales figures,
namely Luxury Cars, Premium Cars, and Economy Cars.
2 millions USD or above

1. – 2.5 millions USD or above

Below 1 million USD

Luxury Cars

Premium Cars

Economy Cars

Male RatioMale Ratio

Male Ratio+82.3%+65.6%+40.7%

Vpon DMP Population Mean

The data reflects a positive correlation:
the higher the car model, the higher the ratio of male audience
10Source: Vpon DMP

Apps & Ads Interest
Luxury Cars
TOP 1

Education &Learning

TOP 2
Tourism

TOP 3
Home Appliances

Pay attention to education,
tourism and learning

Premium Cars
TOP 1

VideoGaming

TOP 2
Financial
Investment
TOP 3
Real EstateLive in the moment,
love video games

Economy Cars
TOP 1
RetailTOP 2
Cosmetics

TOP 3
Maternal CareFocus on daily consumption andparental careJudging by the Top 3 ads clicked by individual users, we discover that luxury car users pay more attention to self-enrichment
and are eager to learn. Premium car users accentuate on living in the moment while economy car users tends to focus moreon daily consumption and parental care.

11Source: Vpon DMP

Ethic Groups
Luxury Cars
NO.1

DigitalLearners

NO.2
Gadget Geek

NO.3
Backpackers

This group of audience focuses
more on study and education. They
value long-term self-investment
and mostly businessperson whoplan for the future.

12Premium CarsNO.1NO.1

Night-Owl
GamersEconomy Cars

NO.2
Zealous YouthNO.3
Finance Guru
They mainly engage in fast fashionand trends, and early adopters havea greater acceptance of newproducts. They also pay attention toinvestment and financialmanagement.

Lohas

NO.2
Energetic Mothers

NO.3
Retail Lovers

They are decision-makers of daily
household consumption, focus
more on daily consumption andretail products. They are also
health-conscious.

Source: Vpon DMP

24 Hours & Weekly Mobile Usage
App Usage
LuxuryCarsPremiumCars

Concentrated in mid-night
Luxury car users are often active in the midnight
period from Wednesday to Sunday, while Sunday toTuesday is relatively inactive.

Latest usage hour among three groups
Premium car users are the group with the latest
mobile usage period. They are often active from 2-7
a.m. Most of them are also late-night gamers.

EconomyCars

13

Concentrated in the morning and afternoon
Economy car users have a relatively early active hour,
mainly from 6 – 11 a.m.

Source: Vpon DMPConsumption Amount and Frequency
Average Consumption Amount (by USD)

$460

Luxury Cars
Premium Cars
Economy Cars$425$336$248 Vpon DMP Population Mean

Average Consumption Frequency
Luxury Cars
Premium Cars

190 times
163 times

196 times

Economy Cars
151 times Vpon DMP Population Mean

Luxury car users have the highest purchasing power
while economic car users have the highest consumption frequency.
14

Source: Vpon DMPConsumption Period

Luxury Cars

Mon

Tue

WedThuFri

Premium Cars

SatSun

Mon

Tue

Wed

Thu

Fri

Economy Cars

SatSun

Mon

Tue

Wed

ThuFri

SatSunLuxury car users mostly consume on weekdays
while the other two groups consume more on weekends.

15Source: Vpon DMPConsumption Preference

LuxuryCars

PremiumCars

EconomyCars

16NO.1

NO.2

NO.3

Joyriders

AutoElectronicGadgets

FrozenFoodAccording to user’s transaction data, luxury carusers have a significant interest in automotiverelated products. They usually enjoy riding outin their car and spend high in gas stations.

NO.1

NO.2

NO.3

Outdoor & Home Appliance Lovers

OutdoorLeisureHome
Appliances

Clothing &Accessories

Premium car users usually engage in outdoor &leisure products. They also show interest inclothing and keep up with the latest fashion andtrends.

NO.1NO.2

NO.3

Audiovisual
Products

MaternalCare

Grocery Lovers

Grocery

Economy car users focus more on their familyneeds. Usually purchase groceries, 3C, andmaternal products.
Source: Vpon DMPCreate Customized Ads Base on the Audience Profile
Deliver the right message to the right audience to maximize the data value
Luxury Cars

Premium Cars

Audience Profile

17

Audience Profile

Audience Profile

High Male Ratio

3C

Learning

Tourism

Education

Economy Cars

High Mid-Night Activeness
LeisureFashionOutdoorHigh Morning Activeness

FamilyDaily Consumption

Lohas

Weekday Ad Delivery

Weekend Ad DeliveryWeekend Ad Delivery

Customized Advertisements

Customized Advertisements

Customized Advertisements

Source: Vpon DMPPart 2Leveraging Data-Driven Solution andContinuous Optimization

Constantly Optimize Marketing Activities by Implementing PDCA
Set goals, leverage data result to execute PDCA and achieve continuous optimization

ObjectiveFinding morepotential
customers Find out
potential target
audience

 Amend and modify
marketing content

19PlanActDoCheck Develop content marketing Execute marketing campaign

 Use data to analyze
people who haveclicked on content

Source: Vpon DMPVerify Marketing EffectivenessTrack whether the users who clicked on the ad has visited offline auto shows
Top 1

User Behaviour
toTaoyuan City

12.94%

29.53%

Hsinchu City

View Ads
Click Ads

Taipei City

6.04%
Taichung City

13.71%

Arouse the willingness to purchase
Review the car and collect more information
Book online car tour

Visiting auto shows

Taipei No. 1 29.53%
Tainan No. 2 19.79%

Top 2

Tainan City

19.75%

Kaohsiung City

5.56%

* The proportion of users who visit auto shows after
clicking on the ads within 3 months
20

Data Source: Vpon DMPPart 3Verifying Market Performance by
Advanced Geolocation Technologyand Offline Tracking

Leverage Advanced POI Technology to Accurately Collect
Offline Audience Data
Unique POI geolocation data technology
The ultimate objective of automotive clients is to direct
the potential customer from online to offline autoshows experience and drive direct sales. By Vpon’s
unique POI geolocation data technology, you can getbetter understand the audience who visit the offline
auto shows after browsing the ads and the changes in
the number of mobile devices and the traffic acrossdifferent regions and time period. By this means, wecan constantly optimize market performance.

Observing the traffic density and target
the right audience, by capturing
geolocation data within 50 meters with adeviation less than 5 meters.
22

Data Source: Vpon DMPVerify Campaign EffectivenessTrack whether ad clickers visited offline auto shows
Vpon’s data capability can constantly optimize and improve offline market performance.
The graph indicates that the number of visitors continues to grow during Phase I andreaches a higher growth rate at Phase II. For Phase III, there is a 32 % increase in thenumber of offline visitors going to auto shows after see the ad.
3.5%

2/1 - 2/21

3.0%
2.5%

6/9 - 6/29

2.0%
1.5%

2.3%

1.0%

233%

3%

2.3%

No. of offline visitors keep rising

0.5%
0.0%

2.83%

32%

3/26 – 4/10

2020/62021/22021/4Phase I

Phase II

Phase III

【Phase I】
Ratio of Ad Clickto Actual Visit【Phase III】
Ratio of Ad Clickto Actual Visit

Data Source: Vpon DMPRecapMastering the Pulse of Data
Becoming the Leader of the Industry

Find New Business Opportunities from Data
under the Pandemic1
Traffic tracking verifiescampaign performance
Leveraging Vpon’s unique POI
geolocation data technology toverify offline traffic direction &campaign performance
improvement.

25

Mastering Key Data for Detail Profile
Master Key Data – Analysis ofconsumer insight to understandand identify potential audience
profile of different markets in autoindustry.

3
2

Marketing Implementation and Optimization
Message delivery upon audience
profile and attributes with continuous
optimization to enhance consumer
consideration and purchase intention.

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