The agency created a proprietary digital coupon portal that allowed Jiffy Lube franchisees to easily log in and customize national offers to their local markets. Sq1 also ingested customer segments derived from Jiffy Lube’s shopper data to create a dynamic pricing structure for the brand’s digital media, including pay-per-click and display. This enabled Jiffy Lube to bid higher for ad placements going to customers identified as being more likely to convert.
“The Jiffy Lube product hasn’t changed much over time and awareness is much the same as it’s always been, which is why the question became: How do you get people to drive to a Jiffy Lube rather than going to the service guy across the street?” said Ernie Capobianco, CEO of Sq1. “One answer is to pinpoint who is most likely to convert at the time they’re most likely to convert.”
Since turning on the PPC portal, Jiffy Lube has seen a 557% increase in the number of coupon redemptions in local markets and an 8:1 dollar return on ad spend. The brand’s also experienced an 83% decrease in cost-per-acquisition, a more than 24% uptick in click-through rate and a more than 15% increase in the number of vehicles serviced. In 2011, Jiffy Lube only ran one national program at a time; today the brand runs nearly 900 different local program simultaneously across the country.
“Today we have a strong national display program, a strong CRM and retargeting program and we’ve made a big investment in pay-per-click to drive traffic at the local level with the franchises,” Lack said. “Three and a half years ago our digital program was in a state of disgrace compared to our competitors. Today, I’d say we’re the industry leader.”
Next on Jiffy Lube’s list is an enhancement of the company’s website, slated to launch in December, which will include geolocation features so that when consumers visit jiffylube.com they’ll be presented with an offer based on where they are. Jiffy Lube is also planning on working with Sq1 and LiveRamp to onboard more point-of-sale data into the PPC system.
Mobile will also remain high on Jiffy Lube’s list of top things to focus on. Roughly 60% of its PPC traffic comes from coupons downloaded onto a mobile device. But mobile is also important to the brand from from an education and overall brand awareness perspective.
“We have a very long purchase cycle, and we might only see our most loyal customers two or three times a year for an oil change,” Lack said. “A coupon is often the trigger event for a consumer to come to us, but the bigger opportunity in the near-term is to use digital to educate our consumers and to understand customer need in advance of a purchase.”