6.99% Interest Rate Promotion

Company: AutoPlanet

Channel: Meta (Facebook & Instagram), TikTok, Spotify

Running Date: June 1st – October 30th 2024

Campaign Overview:

To capitalise on a unique financing deal secured with partner banks, AutoPlanet launched a highly targeted Paid Social Media Campaign to promote a 6.99% interest rate on used car purchases, significantly below the prevailing market rate of 9.99%. The campaign aimed to attract potential buyers across Southern Ontario by highlighting the affordability of AutoPlanet’s financing options and positioning the dealership as the best choice for value-conscious car shoppers.

Campaign Duration:

• Start Date: June 1, 2024
• End Date: October 30, 2024

Channels and Budget:

• Facebook & Instagram: $8,000/month
• TikTok: $6,500/month
• Spotify: $4,000/month

Total Campaign Budget: $18,500

Target Audience:

The campaign focused on Southern Ontario, reaching a wide demographic of prospective car buyers within the region.

Campaign Objectives:

• Increase Awareness: Promote the 6.99% interest rate as a limited-time offer, establishing AutoPlanet as a dealership offering the best financing terms.
• Generate Leads: Drive potential customers to inquire about vehicle options with the goal of achieving an average Cost Per Lead (CPL) of $200 or less.
• Drive Conversions: Encourage conversions by showcasing a straightforward financing offer, ultimately leading to increased used car sales.

Key Campaign Metrics:

• Average Monthly Leads: 460
• Target Cost Per Lead (CPL): $50
• Actual CPL: $41.50

Platform Strategies & Execution:

Facebook & Instagram (Meta)

• • Ad Formats:
    • Carousel Ads: Showcased a range of popular models available for financing under the 6.99% rate, with each slide detailing features and an invitation to inquire for more details.
    • Video Ads: Short videos (15-30 seconds) explained the 6.99% rate’s value and included testimonials from satisfied customers. The ads were crafted to quickly capture attention with bold text overlays like “Lowest Rate in Canada!” and “Limited Time Only.”
    • Lead Ads: Used integrated lead forms to simplify the inquiry process for users, allowing them to submit their information directly within the Facebook/Instagram interface.
  • Targeting:
    • Demographic targeting focused on age groups typically in the market for used cars (25-55 years).
    • Interest-based targeting included automotive interests, financial services, and relevant life events like “Recently Moved” or “New Parents” to target those most likely to consider a car purchase.
    • Geo-targeting was limited to Southern Ontario, ensuring the budget was focused on high-value, relevant audiences.
  • Performance Highlights:
    • Average reach per month: 400,000 users.
    • High engagement with carousel ads, with an average CTR of 3.8%, exceeding the average for the automotive industry.
    • CPL for Facebook and Instagram consistently stayed under target, averaging $42 per lead.

TikTok:

• • Ad Formats:
    • In-Feed Video Ads: Short-form video ads emphasise the unique interest rate, with catchy music and engaging visuals to appeal to TikTok’s audience. The videos focused on the affordability of financing options and featured testimonials from younger customers.
    • Spark Ads: Boosted high-performing organic content that had previously shown strong engagement, extending its reach to a broader audience and lending an organic feel to paid content.
  • Targeting:
    • Leveraged TikTok’s interest targeting to focus on audiences interested in cars, finance, and lifestyle.
    • Targeted younger demographics (25-40 years), appealing to first-time car buyers and budget-conscious consumers.
  • Performance Highlights:
    • Average reach per month: 250,000 users.
    • Spark Ads yielded the highest engagement, with a CTR of 4.1%, showing that organic-style content resonated well with the audience.
    • CPL on TikTok was slightly higher than Facebook/Instagram but still within range, averaging $46 per lead.

Spotify:

• • Ad Formats:
    • Audio Ads: Leveraged Spotify’s audio ads to reach users on the go. The 30-second ads featured a friendly and conversational tone, emphasising the 6.99% financing rate and inviting listeners to visit AutoPlanet to take advantage of the limited-time offer.
    • Sponsored Playlists: Sponsored popular playlists within Southern Ontario, gaining exposure to users with automotive interests or located near AutoPlanet’s dealerships.
  • Targeting:
    • Geo-targeted to Southern Ontario, reaching listeners within a 30-50 km radius of AutoPlanet locations.
    • Age and interest-based targeting focused on demographics likely to consider a car purchase and those frequently commuting or listening to music in their vehicles.
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    • Event Description: “Looking for work in Ottawa? Join us at the Ottawa Job Fair on April 26th at the Shaw Centre. Meet over 25 hiring companies, explore career opportunities, and take the next step in your professional journey. Register today on Eventbrite!”
  • Performance Highlights:
    • Average reach per month: 150,000 listeners.
    • Audio ads had an impression-to-visit rate of 2.5%, which was strong for Spotify.
    • Although CPL on Spotify was higher than social platforms, it helped support brand awareness and contributed to the overall CPL target.

Results:

The campaign exceeded expectations across all platforms, generating 450 monthly leads on average with an actual CPL below the target of $50.

• • Total Leads: Over 2,300 leads during the campaign period, far exceeding initial targets.
  • Conversion Rate: The high-quality leads generated through the campaign led to an increase in dealership visits and test drives, resulting in strong sales growth.
  • Brand Awareness: The 6.99% rate became widely recognized in the Southern Ontario market, establishing AutoPlanet as a leading choice for budget-conscious car buyers.

Key Takeaways and Best Practices:

• Clear Value Proposition: Emphasising the 6.99% interest rate as the lowest rate in the market captured attention and positioned AutoPlanet as a trustworthy, customer-focused dealership.
• Cross-Platform Consistency: Maintaining a unified message across Facebook, Instagram, TikTok, and Spotify ensured that audiences encountered the same compelling offer, reinforcing brand recall and trust.
• Optimised Audience Targeting: By leveraging each platform’s targeting capabilities, we effectively reached relevant audiences, maximising ad spend efficiency.
• Engaging Ad Formats: Video ads, carousel formats, and lead forms simplified the inquiry process, encouraging higher engagement and conversions.
• Multi-Channel Synergy: Using a mix of visual, audio, and interactive ads provided a well-rounded, immersive campaign experience for audiences, increasing the likelihood of lead generation and conversions.

Conclusion:

The Paid Social Media Campaign for AutoPlanet’s 6.99% interest rate offer achieved significant success in increasing brand visibility, generating high-quality leads, and driving conversions at a cost-effective CPL. The campaign’s multi-platform approach and targeted execution established AutoPlanet as a leader in affordable financing options for used cars, reinforcing the dealership’s reputation and commitment to providing customers with unmatched value.