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VW to boost digital marketing as part of “efficiency streamline”
VW have recognised the significance of digital marketing in order to succeed in today's evolving market and are adjusting their approach accordingly. The car brand aims to become 30% more efficient by 2020, as it increases the digital side of its business, while cutting other sectors of the company.
Volkswagen have announced that it is strengthening its marketing operations to focus more on digital advertising than print and television.
In a statement, VW revealed it will double its media spend from 25% in 2015 to 50% of its current budget. Around 70% of the brand’s global media spend is currently spent in Europe, but according to Jochen Sengpiegi, the brand’s chief marketing officer, communication with the consumer will become more direct and more global in the future. One of the creative ways that they aim to do this is by giving 5,000,000 customers their own personal ID too, allowing the company to cut out dealers to communicate with customers directly.
“Campaigns will be developed globally and be data-driven,” Sengpiegi said. VW’s contracted advertising agencies will also be reduced by 90% as part of the streamline, from the 40 that the company currently has, to just 3 with 100-200 employees.
VW estimate that 70% more users will visit their website by 2020 and aim to release a rejuvenated brand logo next year, which will coincide with the release of the eighth-generation Golf.
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