Valdosta Nissan

Codirect helped Valdosta Nissan reengage inactive customers for a 2,600% return on investment

Photo of the Valdosta Nissan dealership with its logo in the top corner and the slogan "Save Some Dough, Buy from TKO." There are two small cars in the parking lot.
When it comes to bringing inactive customers back into the fold, video is a powerful solution! After integrating with Valdosta’s DMS, the Codirect platform went to work bringing in-active customers back into the fold through timely, targeted, and continuous communication. Codirect employed proven techniques, messages, and four different communication channels: direct mail, email, text, and video email, to reengage customers. This communication was based on 35 different triggered touchpoints, all designed to drive traffic back to Valdosta’s store.
Testimonial | Valdosta Nissan | Jonathan Thompson

Approach

After integrating with Valdosta’s DMS, the Codirect platform went to work bringing in-active customers back into the fold through timely, targeted, and continuous communication. Codirect employed proven techniques, messages, and four different communication channels: direct mail, email, text, and video email, to reengage customers. This communication was based on 35 different triggered touchpoints, all designed to drive traffic back to Valdosta’s store.

Results

During this time, Valdosta saw 765 total repair orders, 106 (14%) of which were touched by the Codirect solution. The average inactive time for these 106 customers was 275 days. Customer pay of $14,400 and warranty pay of $6,725 for these 106 customers resulted in a blended gross profit* of $11,619. Throughout the same period, Valdosta saw 108 total sales, ten (9%) of which were touched by the Codirect program. The average inactive time for these ten customers was 323 days. Sales revenue of $282,000 for these 10 customers generated a sales profit of $75,000. When combined, blended gross profit from ROs and sales profit came to $86,621 in additional profit from inactive customers who were reengaged thanks to the Codirect recovery campaign. 
Statistics with icons for Valdosta Nissan: 299 days average inactive time of recovered customers, $83,406 investment gain over 1 month, and 2,600% return on investment.

Conclusion

This one-month case study is a prime example about how personalized video can show results fast.With a spend of $3,215 and profit of $86,621 during the case study period, the Codirect recovery campaign delivered an investment gain of $83,406 or an ROI of nearly 2,600% (26:1). Thanks to the success of the program, Valdosta plans to continue its partnership with Codirect as it switches its focus to retention campaigns. 
Quote Icon

Customers are engaging, watching the videos, scanning the QR codes. But the biggest tell-sign is the lift we’re seeing in RO counts, specifically customer and warranty pay. We would definitely recommend Codirect to other stores and groups.

Jonathan Thompson

Marketing Manager, Valdosta Nissan

*This figure was reached by adding customer pay ($14,400) and warranty pay ($6,725) and multiplying by the conservative industry standard of 55% for an estimated blended gross profit of $11,619.

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