WEBVTT 1 00:00:02.058 --> 00:00:04.641 (upbeat music) 2 00:00:05.750 --> 00:00:08.090 A global automotive manufacturer, 3 00:00:08.090 --> 00:00:10.350 one of the top ten advertising spenders 4 00:00:10.350 --> 00:00:13.460 in the world, had made a major commitment to shift 5 00:00:13.460 --> 00:00:17.300 from traditional marketing to a digital-first strategy. 6 00:00:17.300 --> 00:00:20.160 They were facing pressure to reduce their marketing costs 7 00:00:20.160 --> 00:00:22.140 while maintaining top line results 8 00:00:22.140 --> 00:00:24.760 and wanted to build stronger internal capabilities 9 00:00:24.760 --> 00:00:28.200 to be able to partner more effectively with their agency. 10 00:00:28.200 --> 00:00:30.530 The challenge was how to build high performance 11 00:00:30.530 --> 00:00:33.570 digital marketing capabilities that would reduce costs 12 00:00:33.570 --> 00:00:35.543 while improving overall efficiency. 13 00:00:37.080 --> 00:00:39.090 We developed a holistic approach, 14 00:00:39.090 --> 00:00:42.230 drawing on BCG's digital marketing expertise 15 00:00:42.230 --> 00:00:44.440 and leveraging our digital playbook. 16 00:00:44.440 --> 00:00:47.880 BCG worked with the team to rapidly define a strategy 17 00:00:47.880 --> 00:00:49.260 and focus. 18 00:00:49.260 --> 00:00:51.290 Agile tests and learn cycles were 19 00:00:51.290 --> 00:00:53.040 at the core of our strategy, 20 00:00:53.040 --> 00:00:56.120 with over 50 pilots completed across all regions 21 00:00:56.120 --> 00:00:58.750 in just six months to test value potential 22 00:00:58.750 --> 00:01:01.690 across channels and optimization levers. 23 00:01:01.690 --> 00:01:04.430 Pilots were launched for frequency capping, 24 00:01:04.430 --> 00:01:07.330 restricting the number of times a visitor to the website 25 00:01:07.330 --> 00:01:11.570 is shown a particular advertisement, and bid optimization, 26 00:01:11.570 --> 00:01:14.940 nominating a maximum bid for advertising space 27 00:01:14.940 --> 00:01:18.780 alongside geo AB testing to monitor media performance 28 00:01:18.780 --> 00:01:21.460 and measure incrementality on sales, 29 00:01:21.460 --> 00:01:24.300 allowing the rapid scaling of successful pilots 30 00:01:24.300 --> 00:01:26.483 in order to capture savings immediately. 31 00:01:27.920 --> 00:01:30.830 And the impact was equally impressive. 32 00:01:30.830 --> 00:01:32.950 Shifting to an agile way of working 33 00:01:32.950 --> 00:01:35.090 saw the time it takes to launch a pilot 34 00:01:35.090 --> 00:01:38.200 go from four months to four days. 35 00:01:38.200 --> 00:01:39.580 At the end of the project 36 00:01:39.580 --> 00:01:43.220 our client had fundamentally transformed their offering 37 00:01:43.220 --> 00:01:48.010 both in terms of P&L impact and capability building 38 00:01:48.010 --> 00:01:51.130 led by an agile, fully functional digital lab 39 00:01:51.130 --> 00:01:53.750 with cross-functional teaming across internal 40 00:01:53.750 --> 00:01:56.990 and agency teams utilizing enhanced measurement 41 00:01:56.990 --> 00:01:58.563 and technical capabilities. 42 00:01:59.420 --> 00:02:01.560 This shift to digital marketing, driven 43 00:02:01.560 --> 00:02:04.250 by data and digital tools, and underpinned 44 00:02:04.250 --> 00:02:07.100 with an agile approach, meant that our client 45 00:02:07.100 --> 00:02:10.120 was able to achieve an impressive 20% reduction 46 00:02:10.120 --> 00:02:12.370 in annual digital marketing spend 47 00:02:12.370 --> 00:02:15.585 while preserving top-line performance, 48 00:02:15.585 --> 00:02:18.850 a result that has led them to implement a similar approach 49 00:02:18.850 --> 00:02:21.280 on their traditional media spend in the future. 50 00:02:21.280 --> 00:02:23.863 (upbeat music)