IMPACT OF E-COMMERCE, SEARCH + SOCIAL IN AFTERMARKET PURCHASING

JUNE 7, 2012

PRESENTED BY STEVE PARKER, JR.

AGENDA 2

•  Impact of E-Commerce

•  Impact of Search

•  Impact of Social

•  Impact of Social + Search

IMPACT OF E-COMMERCE

3

CONSUMERS ARE SHOPPING AROUND 4

“I WOULD CHECK DISCOUNT TIRE DIRECT FIRST, THEY HAVE FREE SHIPPING, TIRE RACK DOESN’T. I HAVE CHECKED BOTH (just bought a set for my m/c yesterday) and with the free shipping factored in discount beats tire rack every time, not to mention discount carries Nitto and tire rack doesn't. Source: ls1.com/forums

visit to receive a QUOTE or PRICING.

46% of visitors to a leading auto retailer website visit to check OFFERS + REBATES.

46% visit to research product for PURCHASE.

31%

Source: ls1.com/forums & Proprietary Levelwing Automotive Aftermarket Study, 2012

CONSUMERS LOOK TO OTHERS 5

70% of Americans say they look at product reviews before making a purchase.

Integrating your ratings + reviews is CRUCIAL.

Source: Winning the Zero Moment of Truth,” Google, Inc., 2011

ZERO MOMENT OF TRUTH (ZMOT) 6

(ZMOT) The moment when consumers make choices that affect the success + failure of a brand.

Online comparison shopping is the 3RD MOST POPULAR resource during ZMOT.

Source: Winning the Zero Moment of Truth,” Google, Inc., 2011

IMPACT OF SEARCH

7

SEARCH ENGINES ARE DECISION MAKERS 8

Search is the only form of advertising that FULFILLS DEMAND rather than attempt to create it.

82% who have viewed a company’s website convert into an in-store customer within the first 7 days.

AWARENESS

INTEREST

CONSIDERATION

PURCHASE

Source: Proprietary Levelwing Automotive Aftermarket Study, 2012

SEARCH IS USED FROM THE START 9

2/3 of search traffic to tire/auto-service sites comes from a non-branded search.

Having a well-constructed paid search strategy, consisting of both branded and non-branded terms is a NECESSITY.

Source: Google, 2012

IMPACT OF SOCIAL

10

FACEBOOK ENGAGEMENT ADS ELECTRONAUT SOCIAL BROADCASTER RECRUITMENT

Community Growth

1 Engagement 2

Return on Investment 4 KPIs 3

Four Quadrants of Success

11

HOW SUCCESS IS MEASURED

SEARCH, SOCIAL, OTHER

ALL WEBSITES

WEBSITE CUSTOM

DATABASE

QUOTE

BATTERY QUOTE

SITE VISIT (No Traceable Data

Provided)

APPT.

PURCHASE OCCURS POS DATA CAPTURED

ANALYTICS + TRACKING RETURN ON INVESTMENT 12

EXTRACTING VALUE FROM SOCIAL 13

SOCIAL LEADS TO 1:1 ENGAGEMENT 14

1,000+ Unique negative situations resolved via social platforms this year, with approximately 200 shares that the issue was resolved

Engage in ONE-ON-ONE COVERSATIONS.

AutoTrader has created a private social network to communicate with its thousands of dealers in order to gain FEEDBACK and INSIGHTS

CONFLICT RESOLUTION is not limited to B2C.

Source: Propriety Levelwing Data, 2012

IMPACT OF SOCIAL + SEARCH

15

CREATING INTEREST (AND THEN DEMAND) 16

Social can be used to create interest + awareness, leading to DEMAND.

AWARENESS

INTEREST

CONSIDERATION

PURCHASE

HOLISTIC MESSAGE TESTING 17

Conversational + Messaging Insights

Messaging + Content Rotation are KEY.

ROI Insights

Messaging Insights

Demand

MESSAGE SEQUENCING 18

TOUCH 1 SOCIAL

TOUCH 3 PAID SEARCH

TOUCH 2 DISPLAY

IN-STORE PURCHASE

TOUCH 4 PAID SEARCH

SOCIAL: TWITTER

SOC.TW

DISPLAY: BEHAVIORAL

DIS.BEH

PAID SEARCH: TAIL, GENERAL

SEM.TL.GN

PAID SEARCH: TAIL, GENERAL

SEM.TL.GN

WHO

SKU

PURCHASE

= SEQUENCE ID: 141 56 CONVERSIONS

AVG. ROI $7.42

SUMMARY 19

•  Many factors inform customers purchase decisions - use to your advantage

•  Silos do not work, have a plan and a strategy - (don’t just do things)

•  Cohesion is key - insights should universally apply to your business goals

THANK YOU

20

STEVE PARKER, JR +1.843.631.4587 sparker@levelwing.com @sparkerjr | levelwing.com

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