Mercedes-Benz is anticipating the cookie apocalypse.

The challenge 

Mercedes-Benz is one of the world's leading luxury car brands, famous for its high-quality,  innovative vehicles that appeal to select consumers. The Brussels Motor Show period is  essential for the brand to engage with its ideal audience: luxury car owners and potential  buyers. These individuals have high disposable incomes and specific lifestyle preferences,  making them harder to reach than the broader mass-market audience. However, the unique  characteristics of this target audience were not the only challenge Mercedes-Benz faced in  reaching its ideal customers. The ongoing shift towards privacy-first measures has led to  increasing signal loss with the cookie depreciation within Apple products and Firefox, further  hampering the ability of marketers to connect with potential customers. Traditional targeting  strategies like CRM data or contextual targeting are ineffective in such an environment. 

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CRM data has been a cornerstone for digital advertising and is increasingly popular as third party data is depreciated. However, activating this data online presents significant challenges.  Privacy considerations are at the forefront, with stringent regulations governing how personal  data can be used in advertising. Moreover, reach with first-party data is limited. While it is the  gold standard of precision, the data does not cover enough of the target demographic,  impacting the ability to scale campaigns. Additionally, the diversity of platform requirements  complicates the activation process. Each digital advertising platform demands specific criteria  for CRM data use, making it challenging to implement a cohesive, cross-platform strategy. In  past campaigns, contextual targeting, has also been a go-to targeting strategy. However, using  content as a proxy for audience poses problems. For instance, advertising luxury cars on  automotive websites seems logical, yet often results in considerable wastage. These sites  attract many aspirational visitors – individuals fascinated by high-end vehicles but lacking the  financial means to purchase them. So, these methods face limitations in terms of difficulty in  activating online, scale issues, and potential wastage. To overcome these challenges,  Mercedes-Benz must be innovative and adapt its approach to connect with its target audience  more effectively. 

The solution 

To address the challenges of legacy targeting methods, PHD identified Digiseg as the potential  solution. They activate household demographics from publicly available sources, like Statbel  and Data.gov.be in Belgium - real-world data - for online targeting. They create  neighbourhood maps based on demographic cohorts and then match IP addresses to these  neighbourhoods, surpassing the granularity and accuracy of postcodes. Importantly, this data  covers all possible IP addresses in a country, ensuring a significantly broader and more  accurate reach than cookie-based audiences. The methodology is 100% probabilistic,  containing zero personal information; the IP addresses are calculated, not collected from  events, and there is no logging or tracking, making it some of the most privacy secure data in  the industry. 

This innovative advertising technology created real-world demographic segments indicative  of luxury vehicle ownership and purchase potential, such as high income and home ownership.  This enabled PHD to precisely target online audience segments that reflect the potential

Mercedes-Benz consumer. This approach significantly reduces wastage by targeting only  individuals who can purchase, making it a more cost-effective solution. Additionally, it  improves incremental reach by using a household targeting method like television but with  more qualitative data points. By homing in on specific household demographics, this approach  ensures that the message reaches the right people, which leads to more meaningful  connections with potential customers. Overall, this innovative targeting strategy proved highly  effective, enabling Mercedes-Benz to reach and engage with its ideal audience during the Brussels Motor Show period. 

Getting qualitative segments by using qualitative real-world data points  Digiseg's methodology provides a novel approach to reach high-value audience segments. By  utilising household characteristics derived from publicly available data, Digiseg efficiently  targets likely luxury car buyers and existing owners on a large scale, surpassing traditional  methods in precision and privacy compliance. Using IP-based targeting, backed by  demographic insights, is a significant improvement over cookie-based intent audiences or  contextual targeting. Not only is it more effective, but it also demonstrates the potential of  data-driven, privacy-conscious advertising strategies. This is a clear win for the cookie-less  future that is approaching fast. This method allows for creating highly targeted audience  segments without compromising privacy. Unlike cookie-based targeting, which can be more  invasive and cause users concern, this approach is entirely privacy-focused, offering consumers  peace of mind. 

A supercharged media strategy by combining expertise and innovation.  PHD's media expertise was critical in identifying and integrating Digiseg's innovative targeting  solution with Mercedes-Benz's marketing objectives. This collaboration is a testament to PHD's  ability to navigate the complexities of digital advertising and leverage new technologies to  solve traditional marketing challenges. The campaign strategy was meticulously crafted to  balance reach and relevance. PHD ensured the ads connected with the intended audience  while maintaining strict privacy standards. Using Digiseg's methodology, PHD targeted  qualitative and high-value audience segments. 

PHD's media planning and buying expertise allowed us to optimise the campaign's  performance, ensuring maximum engagement with the target audience was reached. The  partnership between PHD and Digiseg resulted in a highly effective data-driven advertising  strategy that did not compromise privacy standards. Aiming for ambitious goals and  surpassing them with pride. 

This successful collaboration highlights the power of innovative targeting solutions and the  importance of aligning marketing objectives with media strategy. This solution is now widely  spreading to the different teams, resulting in more effective digital marketing campaigns  across the PHD client portfolio. PHD's expertise in digital advertising and ability to leverage  new technologies to drive advanced results have positioned us as potential leaders in the  media landscape. We are ready to conquer the post-cookie apocalypse.

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Case movie: https://vimeo.com/929786572/0a908daae5

Over het artikel

Publicatie: 17 juni 2024

Bron: Dax Vercauteren (Adform) - Member of the think tank Martech & Data