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Q&A: Audi Focuses On Digital For Halo Vehicles

Audi-B2

Audi of America this year is focusing marketing efforts less on high-volume cars like A4 and A5 and more on lower-volume vehicles like the Allroad, which the automaker brought back to the U.S. this year after a long hiatus.

In this second segment of a two-part interview, Scott Keogh, VP of marketing at the Herndon, Va.-based U.S. division of Audi, says high profitability and high demand for its vehicles means the company can focus more on the premium end of the spectrum and on lower volume "halo" vehicles that build the brand. That works fine because dealers are doing some of the marketing on volume cars and Audi can leverage targeted digital and events to focus on the more rarefied vehicles like Allroad, and R8, and the S performance sub brand.  

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Q: Is social media important for Audi, especially with halo vehicles?

A: Even with what we’ve done already, I think we can do even more with social media. The truth of the matter is we are a small brand and social media allows us to act like a giant, which we love. It's not about getting your checkbook out and spending $400 million. It's about can you be faster and smarter and engage people in a way they care about.

Q: What are some examples of what has worked for you on social? 

A: We did this cool thing with the R8 (roadster), which is a classic example. The social media team literally came into the office one day explaining that a woman with the hashtag "I want an R8" had been tweeting various things about the car. She seemed to have a decent Klout score, and a decent following. We checked it out a bit and said, "okay, let's bring her a car." We showed up at her house with a product specialist and an R8, and we filmed it. We gave her the R8 for the weekend. And that led to a campaign where other people could request an R8. And it crossed over into the celebrity world: Serena Williams tweeted about it; so did Miles Austin, wide receiver for the Redskins, where our headquarters are. 

Q: What is the takeaway from an effort like that? 

A: A lot of companies might say, "We saw this thing out there called 'Someone Wants An R8' but it doesn't fit our media plan and we aren't launching the car for months." Forget it, it's over. The action's now. We think this plays in our brand's favor because we are nimble, fast, and non-bureaucratic. 

The other thing we are noticing is that while historically, people would turn to the theoretical "experts" when they were shopping for a vehicle, now they are turning to friends and social media. All of this social confirmation and friend confirmation will be right in our sweet spot. 

Q: You mentioned the S models will get a big campaign this year. What else? 

A: The Allroad, which was off the market for eight years. It has a loyal following. There were lots of people waiting for it to come back. 

Q: Is there an ad campaign for it? 

A: Instead of a traditional campaign, we realized that since we have this installed group of enthusiasts, we could talk to them directly [via digital]. We asked them to tell us their great Allroad stories. Then we took the ten people who had best stories, and invited them out to Park City, Utah, where they got to meet the U.S. ski team [which Audi sponsors], and drive the new Allroad. They spend a great long weekend with us and went back to their communities, markets where we know Allroads will be in demand, and they are spreading the word to the right people more effectively than I could if I were going to run an ad. 

We took the 10 cars that were there and we spidered them across the country, market to market: one to Portland and Seattle regions; one south to Houston and Dallas; one to Chicago. The story gained buzz, and we got the dealers motivated around it.  

Q: How are dealerships helping Audi market?

A: We have 55 dealer advertising groups. And they generate revenue for every car sold and have record budgets now. They are able to do a lot of lifting on volume models like A4 and A5. In a market where we have high demand, it's a great time to be building our brand. 

Q: How are you going to deal with the Olympics, of which BMW is official auto brand?   

A: Advertisers are spending a lot around the Olympics to drive consumers online. Consumers will be jumping on their iPads to check out this or that vehicle, and that's when we come in. We always see opportunity when competitors launch big campaigns, because it gets us our day in court. There are twelve luxury import brands, and back in 2006 we were seventh most cross-shopped. Now we are number two and that's a huge transformation. So now when people are going online to check out a competitor, they will be comparing that vehicle with ours, so it works perfectly.

1 comment about "Q&A: Audi Focuses On Digital For Halo Vehicles ".
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  1. Andrew Koven from Geoff & Drew's, May 12, 2012 at 4:49 p.m.

    Bravo Audi. I love the R8 example. Every brand has the opportunity to surprise and delight simply by listening to and engaging with their audience. Have fun.

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