Reaching Digital Auto Consumers

SEA Automotive Industry

March, 2023
 Proprietary + Confidential

Automotive Macro Trends

Heading to go here
100M additional internet users have come online
since the start of the pandemic

Total internet users in SEA

+40M +20M
+40M (+10%)
(+4%)
(+11%)

400M 440M 460M

360M

Start of the pandemic

2019 2020 2021 2022

Sources: Google, Temasek and Bain, e-Conomy SEA, 2019, 2020, and 2021; Statista for 2022 3
+60% of APAC Internet users are Gen MZ and Digital is the key Proprietary + Confidential

to winning these “consumers of today and tomorrow”

Gen Z, the digital-native consumers, spend significantly more time browsing & exploring the digital space

70% 69%
of Gen M (25-44 y.o) of Gen Z (9-24 y.o)
are mobile enthusiast are mobile enthusiast

51% of Gen M spend time online via

mobile more than 4 hours a
day
63% of Gen Z spend time online via
mobile more than 4 hours a day

37% of Gen M spend time online via

PC more than 4 hours a day 45% of Gen Z spend time online via
PC more than 4 hours a day

of Gen M spend time on TV of Gen Z spend time on TV

10% more than 4 hours a day 6% more than 4 hours a day

Ref:Google Trend, FY 2021

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The biggest reason to use the internet is to search for

information
 Search volume trends in cars remains strong across
SEA

Indonesia Thailand Vietnam Malaysia

Covid-19 Covid-19 Covid-19

Wave 1 Wave 2 Wave 3

Source: Google Internal Tool , Aug 2022

 Proprietary + Confidential

After the Pandemic,

Search Volume has Car Retail Sales vs. Car Search Volume

become a huge indicator

to predict Car Sales

Before Pandemic Pandemic

Sales & Brand Search Vol. Sales & Brand Search Vol.
R-Coefficient : 0.4 (medium) R-Coefficient : 0.8 (strong)

R-Coefficient is calculated with 2 months time lag to take into account consumers’ path to purchase
Source : OEM GA360 Data, Google Search Data, and GAIKINDO Retail Data, 2019 - 2021
 Therefore prepare for post-pandemic growth trajectory Proprietary + Confidential

2020- 2023- 2020- 2023- 2020- 2023-

2019 2019 2019
2022 2025 2022 2025 2022 2025

Expected growth U-shaped Return to trendline S-shaped

trajectory Growth towards 2025 will be Growth towards 2025 returns Sustained growth momentum
U-shaped given recovery from to pre-pandemic levels towards 2025
pandemic lows

AUTOMOTIVE INDUSTRY IS IN THIS

U-SHAPED GROWTH TRAJECTORY
● Stay Top of Mind - keeping your marketing present in the hearts and

Recommendation
minds of your current & future s
The catalyst: ● Hold Your Audience - holding on your loyal and be resonant and
relevant to reinforce the authenticity of your brand
Transports rising as ● Reach Out to New Audiences - expanding your outreach and
mobility exceeds finetune your audiences, existing or new
pre-pandemic level ● Increase Your Share of Voice - keeping your foot on the advertising
pedal to capture bigger share of marketing voice to keep the
momentum going in the right direction to capture larger market share
8

Source: SEA e-conomy report, 2022. Bain x Temasek x Google

 Proprietary + Confidential

Path To Purchase
Heading to go here
Aug 2022
 When it comes to automotive, digital is indispensable Proprietary + Confidential

requested a quote
online Search on
search car review price
video
Looked at Google visited dealer visited
Images website publisher site
Saw a TV ad filled out
Visited OEM
watched video on lead form ads
website
YouTube
Searched on browsed test drove a
Google newspaper ads loan calculator on vehicle
3rd party site
search a dealer
from mobile read consumer
reviews
Visited a brand’s
watched car
social page clicked
comparison videos
START watched display ad
Visited a brand’s visited a
social page video ad
dealership
searched on
Inquired family, mobile
friends colleagues used model
Built-and-priced on comparison tool
OEM site
Ref : Automotive Path to Purchase Survey, 2019
 Proprietary + Confidential

Even 90% of the SEA Auto consumers go online during their purchase
journey

90%
of buyers go
online for info

Source : Google/Kantar Shopper Pulse Study APAC [ 2021 -2022], n=488 automotive shoppers
The consumer journey is no more linear, it is messy!

4 stages car buyers journey

● Online/offline survey by Nielsen+Google in SEA

● Surveyed SEA consumers who have bought

new vehicles within the last 12 months

● Survey period: July - August 2022

● Sample size: n = 850 (Online 60%, Offline 40%)

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TRIGGER:
What are the touchpoints that
triggers the attention of car
buyers?

Source: Nielsen, Automotive study 2022 - SEA Market

 Top 10 Sources of Trigger:
Proprietary + Confidential

See car on the road 61% +4pp

Recommendation from Family / Friends 51% +7pp

TRIGGER Review on Youtube 40% +3pp

Search Engine (Google, etc) 34% +1pp

Traditional media (TV / News / Radio) 31% -10pp

Review on Social Media (Facebook, etc) 28% +7pp

See car at Motor Show 27% -11pp

Out of Home / Billboard 25% +2pp

OEM / Brand Official Website 24% +5pp

Dealers Official Website 23% +1pp

As the digital penetration base increases since the pandemic, consumers

gets triggered by car models thru exposures in digital channels
Source: Nielsen, Automotive study 2022 - SEA Market
Vivo is digitally everywhere with Google
Blast to capture consumer attention
Their Google Blast successfully triggered consumer
to search for their product
“Blast has done a great
impact for our brand. We see
a lift in sales for Vivo V11 and
we will include Blast in our
major flagship phone
303 Million
impressions

launches for 2019, with at

least 2-3 days of Blast each.” -
Cathy Xie, Digital Head 23.6 Million
Reach
76% Reach of 18+, Digital Pop

8.2% Purchase
Intent Lift

Surpassed all competitors in interest, even a Samsung flagship!

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EXPLORE:
Once they are triggered,
how do they find for
information about cars?

Source: Nielsen, Automotive study 2022 - SEA Market

 Top 10 Sources of Exploration:
Proprietary + Confidential

Review on Youtube 44% +14pp

Search Engine (Google, etc) 44% +2pp

EXPLORE Recommendation from Family / Friends 43% +10pp

OEM / Brand Official Website 29% +7pp

Review on Social Media (Facebook, etc) 25% +3pp

Sales Persons 23% +1pp

Dealers Official Website 21% +2pp

See car at Motor Show 20% +2pp

Traditional media (TV / Radio / Newspaper) 17% -1pp

Community Forum / Web 16% +1pp

Youtube & Google are the 1st channel that consumers use to “ask” once they
decides to explore more (after they were triggered)
Source: Nielsen, Automotive study 2022 - SEA Market
“Always Be There” when your consumers are exploring your Proprietary + Confidential

product for the first time!

Example from Samsung

When they know exactly When they don’t know but When they search about the product
where they want to go want to go to the nearest one but not sure want to go to store
 Proprietary + Confidential

Now, YouTube has become one of the most trusted and complete
source of information for car reviews after Google

Example of Realme & Samsung that captured

their consumer When exploring in Youtube

Youtube search y/y growth in SEA

Best MPV 157% yoy

Best SUV 86% yoy

Car Review 167% yoy

Source: 2022 Youtube Internal Data

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EVALUATE:
What makes them feel confident
about their decision?

Source: Nielsen, Automotive study 2022 - SEA Market

 Top 10 Sources of Evaluation:
Proprietary + Confidential

See car on the road 40% -

EVALUATE Recommendation from Family / Friends

Review on Youtube
40%

39%
+18pp

+2pp

Search Engine (Google, etc) 37% +1pp

Sales Persons 32% +12pp

OEM / Brand Official Website 31% -8pp

Review on Social Media (Facebook, etc) 22% -1pp

Traditional media (TV / Radio / Newspaper) 21% -

See car at Motor Show 20% +1pp

Dealers Official Website 18% -2pp

As mobility is rising and we are moving to the “new normal”, consumers are
starting to meet family/friends & sales persons before making final decisions
Source: Nielsen, Automotive study 2022 - SEA Market
 The opportunity - Capitalize the rising trend

At-home experiences are alternative to car showroom visit in evaluation stage

Innovation is vital more engagement/consideration

AI Chatbot assistant

Virtual Showroom

Mortgage Online Calculator

Most brands are only present when their consumers have resolved their
emotional tension - it might be already too late

Trigger Explore Evaluate Purchase

Relief
Hopeful/
Optimistic Assurance
At Ease

Emotional
Journey

Pressured
Panic You’re
already
Fear too late

Be here

“8 in 10 buyers in SEA, research online before visit to car showroom / dealership” - Google Internal Study 2022
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PURCHASE:
What influences them to buy?

Source: Nielsen, Automotive study 2022 - SEA Market

 Top 10 Sources when making purchase decision:
Proprietary + Confidential

Sales Person 47% +2pp

PURCHASE Recommendation from Family / Friends

Review on Youtube
42%

40%
+3pp

+1pp

Search Engine (Google, etc) 34% -1pp

See car at Motor Show 21% +3pp

OEM / Brand Official Website 20% -5pp

Review on Social Media (Facebook, etc) 18% -

Dealers Official Website 17% -4pp

Traditional media (TV / Radio / Newspaper) 14% -6pp

Out of Home / Billboard 13% -

consumers still rely on sales person and visit showrooms when making
purchase decision but at this stage, they have already done the research
Source: Nielsen, Automotive study 2022 - SEA Market
 Also, the journey of your consumer does not stop at purchase stage.
There are some post-purchase activity that are crucial

67% Do more research after the

purchase

90%
of people participated in
56%
43%
Online word of mouth
Reviews, ratings, recommendations, etc

Online video interactions

post-purchase activities Unboxing videos, how-to videos, etc

20% Apps check / download

Thought starter
Opportunity for your brand to keep engaging your audience during their post-purchase
journey to provide assurance on the products and promote advocacy
Source: Shopper Pulse APAC 6 2022
 Summary

1 2 3 4
Trigger Explore Evaluate Purchase

See for real Self Research Visual Details Continue Engagement

Prioritize your Always be there Provide consumer with Don’t stop engaging
awareness campaign whenever your Innovative your consumer with
on channels that give consumer start the experiences to post-purchase
the most impact journey validate their options strategy

Digitize with online & offline synergy

Finally, the shift to digital in car
buying journey is here to stay.

68%
of auto shoppers
89%
of dealers agree they
expect more online must find alternative
purchase options ways to sell / service
post-COVID vehicles if they want to
survive
Thank You
Appendix
Brand Perception Likelihood
Nissan is closely co-considered with Daihatsu & Mitsubishi.

ID: In market for Cars in L30Day

Toyota
Hyundai

Suzuki
Mitsu
KIA bishi

Nissan

Daihatsu
Wuling
Source: Google Insights Finders, Brand Interest Map for Car
In-market L30D
Exclude Honda as they are having bios brand perception
between Car and motorcycle
Nissan YouTube SOV vs Overall Car Category
Need to have consistency SOV on YouTube to reach your potential audiences

Nissan % share

+50%
Number of branded search
Comparing those who have seen the video ads and
those who have not

Source: Google Internal Experiment Data 2021 of Brandformance

0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0.4% 0.5%
Nissan Current SEM Coverage
Maximize on capturing your brand intenders to get maximum results

Best Practice:
Min 90% coverage