Case Study: Effect of Consistent Direct Mail on Dealer Loyalty

Brief

Hudson Nissan increases dealer loyalty by +14.7pp YoY using consistent, targeted direct mail campaigns.

The Challenge

This store is located in a very crowded NYC market, with 11 Nissan competitor dealers within only 15 miles. Additionally the store is situated just across the Hudson River from Manhattan, and bordered on the west by the Passaic and Hackensack Rivers, making for limited roadway and bridge access to the store.

The Approach

We implemented a targeted mail strategy to consistently reach all Nissan lease customers with a payment waiver message, aiming to enhance lease loyalty. In addition, we focused sales mail specifically on Rogue and Altima owners and prospects, recognizing their prominence as high-volume models in this market.

The Results

After 10 months of our sustained direct mail campaign, Hudson Nissan has achieved remarkable results. Lease loyalty has surged by 19%, reaching an exceptional 56%, outperforming the area average of 44%. Specifically, Rogue dealer loyalty has risen by 9% to 51%, while Altima loyalty has soared by 23% to 49%. Overall dealer loyalty now stands at 50%, surpassing the national average of 38% and the local average of 41%. The consistent messaging and frequency of our campaign have been pivotal to this success.

50%

+15pp YoY
Dealer Loyalty

56%

+19pp YoY
Lease Loyalty

38%

+6pp YoY
Purchase Loyalty

49%

+23pp YoY
Altima Loyalty

The entire STRONG team, from a planning and execution standpoint, is very consistent month in, month out.
~Bob Miller, Area Vice President, North New Jersey Penske Automotive Group