From Headlights to Insights:
How Erik Schroeder at JMG Marketing
Turns Dealer Data into Revenue with DealerVault
Erik Schroeder is President of Growth at JMG Marketing, an agency that uses smart data to help dealerships target their customers with direct mail, email, and mobile marketing. In this partner feature, Erik shares how JMG turns dealership data into high-performing, hyper-personalized direct mail campaigns, why quality trumps quantity when it comes to data, and reveals an unexpected truth…*whispers*... snail mail is secretly winning over Gen Z.
JMG Marketing has been delivering data-driven direct mail campaigns for hundreds of auto dealers nationwide since 2002, sending over 450 million pieces directly to the homes of potential customers. Their partnership with Authenticom's DealerVault has been instrumental in streamlining data integration and ensuring dealers get live, accurate data from day one. Let's dive into our conversation with Erik.
What's the origin story of JMG Marketing?
Our story begins with a home office, a headset, and a drive that still motivates us today. With the increasing availability of data sets for dealers, we recognized an opportunity to assist our dealer clients by first extracting the best data from their DMS and then integrating third-party data from sources such as Experian and TransUnion. This approach helps ensure our clients reach qualified buyers each month through direct mail.
Since 2002, we have delivered top-quality, data-driven, competitively priced direct mail campaigns for hundreds of auto dealers nationwide, sending over 450 million pieces directly to the homes of potential customers. We utilize advanced data mining and analytics, customized messaging, and tracking to achieve measurable results for our clients.
Give us the high-level pitch.
What does JMG Marketing do?
JMG is an automotive-focused direct response marketing company relying on data analytics capabilities and back-end infrastructure to best leverage dealer DMS data at scale and efficiently deliver best-in-class marketing products and intelligence reports to our clients.
We don't sell paper, we sell outcomes.
What do you see as the biggest marketing and data challenges facing automotive businesses today?
The biggest marketing and data challenges facing automotive businesses today are not the need for more data. It's the need for the right data that is actionable. At JMG, we leverage general manager know-how, the OEM's brand value, and JMG's proprietary data platform to deliver innovative custom solutions focused on retention, conquest, and conversion strategies for sales, leasing, and servicing to elicit the highest possible ROI for our clients.
The biggest challenge isn't the need for more data. It's the need for the right data that is actionable.
Can you walk us through some campaign examples you're especially proud of?
Every client faces unique challenges related to their dealership and market. Whether it's helping a new dealership enter the local market, growing an existing dealership's business through retention and conquest, or increasing the utilization of their service department, we actively work to deliver effective solutions tailored to their needs.
One example is when we grew new car market share in an import-dominated market for one of our clients. Our Import OEM Client wanted to dominate their local PMA, an area comprised of multiple Retailers, both OEM and Brokers. Our strategy was to focus on every In-Market Honda Registration and Off-Lease Customer through DMS & Conquest Data and Used/Special Finance. Our solution employed an always-on strategy to expand the customer base by leveraging the data points within their DMS, combined with Orphan records from Experian & TransUnion, to remain top of mind for customers in their PMA. Our efforts helped the dealership sell 236 vehicles over a three-month period.
Our efforts helped the dealership sell 236 vehicles over a three-month period.
In another successful campaign, our goal was to grow share for new vehicle sales for an Import Client who wanted to create long-term Market Share Growth. We expanded their market area by taking market share from adjacent competitors with an Always-On Strategy, staying top of mind with previous client customers, getting in front of Orphaned Owners, and retaining In-Database Lease customers. With 25% of the budget focused on Used/Special Finance, our efforts helped the dealership sell 182 vehicles over a three-month period.
Tell me about your partnership with Authenticom.
How does our data help power the work you do?
Our ability to leverage Authenticom's DealerVault product is paramount to how we go to market, as it streamlines the data integration process for our customers while adding confidence and credibility in data protection. They are a great team to work with!
Our ability to leverage Authenticom's DealerVault product is paramount to how we go to market.
What trends are you keeping a close eye on when it comes to digital marketing and automotive retail?
Direct Mail has always shown a positive ROI for automotive retail, and we're seeing even more receptivity within younger consumers, when it comes to trust, authenticity, and response. With consumers inundated with digital messages, direct mail stands out with its personal touch, especially when executed the JMG way, featuring live stamps, local postmarks, and a clear monetary offer. It consistently delivers solid ROI and boosts dealership traffic.
Direct Mail has always shown a positive ROI for automotive retail, and we're seeing even more receptivity within younger consumers, when it comes to trust, authenticity, and response.
Direct Mail complements and enhances a dealership's digital efforts. According to USPS research, most Millennials, Gen X, and even Gen Z respond to physical mail, often by visiting a dealership's online presence. 52% of Millennials are more likely to purchase from dealerships that use both direct mail and digital advertising. By combining the two, dealerships can build a more effective and trusted relationship with their customers, making Direct Mail a crucial part of today's marketing strategy.
For a dealership trying to grow in today's market, what's one key piece of advice you'd offer?
Don't underestimate the incredible power of personalized, data-driven, and local Direct Mail to significantly increase foot traffic to your store. Make it a key part of your monthly media strategy for optimal results. Working with a partner who understands what to look for in your data and can respond quickly to local market conditions is essential when evaluating vendors.
Don't underestimate the incredible power of personalized, data-driven, and local Direct Mail.
And just for fun, if you could take any car on your dream road trip, what would you drive and where would you go?
My ideal road trip would be to drive the Tail of the Dragon in a 1978 Jeep CJ-7, with the top down and the Allman Brothers' "Sweet Melissa" blasting on the stereo.