Centro Automotive Quarterly Review

Quarterly Review, Brand Showcase & Opportunities

February 2015

Polk data provides state and market-level dealership,

consumer demographics, and consumer geographic

sales reporting for 58 makes of cars and all models

of global car manufacturers

Polk data provides both new and used car sales information

and updates monthly giving manufacturers, advertisers,

and dealers the clearest picture possible of their markets

Polk provides 1:1 monthly competitive sales insights

allowing companies to measure campaign

effectiveness with actual sales figures

2

Automotive digital spend is up +19.6% YOY and will reach $7.3B in 2015, yet digital only accounts for 12% of this

category’s total media spend

Digital is playing an ever important role in the path to purchase, consumers use 8+ digital sources before getting to

the dealership

Non-luxury CUV was the fastest growing segment gaining 2.38% of the total car market share

Michigan is the fastest growing top 10 sales state at 12.5% and Detroit the fastest growing top 10 sales DMA at 16%

Centro has a +22% higher viewability than the industry average within the Automotive category

Within Automotive, more than half of digital display dollars are spent on 300x250’s which receive about a 44% in-view rate*, explore alternative, higher performing in-view ad units

Data driven insights will dictate the how, where, and what. Use programmatic to craft personalized and relevant digital experiences to stay top of mind on and off the lot

Use location to activate a conquest, branding, and/or promotion opportunity on mobile platforms

Extend TV presence by digitally connecting to the consumer post exposure through TV retargeting tactics with online video

*In-View Rate is Based on Centro Historical Data.

New auto sales are expected

to jump 6.6% this year.

Dealerships are thriving,

averaging $38.4M per sales year.

75% of car buyers say the internet was

the most beneficial media platform

when researching dealers.

Half of any OEMs consumer base

will defect to another brand.

Millennials drive 23% fewer miles

than previous generations.

Consumers have an ever expanding

array of vehicle options.

More Often an

Assist InteractionMore Often the

Last Interaction

$5.20

(billions, % of total digital ad spending and % change)

$6.23

$7.30

$8.49

$9.60

$10.82

2013 2014 2015 2016 2017 2018

Automotive industry digital ad spending % of total digital ad spending % of change

21.90% 19.60%17.30% 16.30% 13.10%

12.80%

12.70%

13.00%12.70%12.50%12.30%12.10%

Toyota has the highest volume of Auto Sales and accounts for 13.37% of All Auto Sales in the US

Chevrolet has the highest Ad Spend at $941MM and ranks 3rd in Total Auto Sales in the US

Nissan has the strongest investment in Online Video at $28MM

2014UNIT

SALES

% OF

ALL

SALES

TOP SEGMENTTOTAL

AD SPENDRADIO TV PRINT DISPLAY SEARCH B-TO-B VIDEO OUTDOOR

TOYOTA 1,819,393 13.37%Non-Luxury

Traditional Compact$777,894,290 $15,213,369 $546,281,046 $126,112,374 $55,152,510 $20,884,897 $984,091 $7,090,149 $6,175,854

FORD 1,725,779 12.68%Non-Luxury Full Size

Half Ton Pickup$617,352,475 $22,565,488 $492,355,089 $29,956,470 $40,478,498 $17,960,292 $3,541,948 $8,464,772 $2,029,918

CHEVROLET 1,390,431 10.22%Non-Luxury Full Size

Half Ton Pickup$941,839,856 $5,428,340 $738,688,521 $118,204,230 $38,453,766 $19,443,889 $2,720,791 $17,346,366 $1,553,953

HONDA 1,346,441 9.89%Non-Luxury

Traditional Mid Size$439,341,590 $10,711,505 $340,300,294 $27,795,306 $40,820,549 $14,004,239 $3,929,525 $776,000 $1,004,172

NISSAN 1,009,351 7.42%Non-Luxury

Traditional Mid Size$750,485,712 $16,646,832 $608,129,056 $34,249,922 $40,145,021 $9,080,760 $812,894 $28,608,329 $12,812,898

JEEP 603,175 4.43%Non-Luxury Mid Size

SUV$342,411,171 $21,443,444 $241,647,657 $24,431,072 $32,302,035 $21,455,146 - $1,131,817 -

HYUNDAI 574,859 4.22%Non-Luxury

Traditional Compact$335,413,240 $5,870,149 $278,656,909 $5,473,108 $23,498,582 $12,260,814 $162,402 $8,931,929 $559,347

KIA 497,699 3.66%Non-Luxury Compact

CUV$398,122,246 $1,142,141 $326,318,458 $44,942,186 $14,467,061 $7,308,401 $98,444 $3,132,388 $713,167

SUBARU 497,576 3.66%Non-Luxury Compact

CUV$300,986,730 $3,494,575 $253,457,952 $13,453,776 $20,635,770 $8,054,200 $109,580 $1,734,508 $46,369

GMC 418,107 3.07%Non-Luxury Full Size

Half Ton Pickup$257,537,515 $244,158 $192,961,720 $39,625,617 $17,640,730 $5,470,921 $146,200 $1,446,804 $1,365

GRAND

TOTAL9,882,811 72.62% NA $5,161,384,825 $102,760,001 $4,018,796,702 $464,244,061 $323,594,522 $135,923,559 $12,505,875 $78,663,062 $24,897,043

Longo Toyota has the highest volume of Auto Sales among the top 10 DMAs and accounts for .37% of All Auto Sales in the Top 10 DMAs

Fred Haas Toyota has the highest Ad Spend at $10MM and ranks 3rd in Total Auto Sales in the US

BMW of Turnersville has the highest investment in Search at $1.48MM

2014 DMAUNIT

SALES

% OF

ALL

SALES

TOP SEGMENTTOTAL

AD SPENDRADIO TV PRINT DISPLAY SEARCH OUTDOOR

LONGO TOYOTA Los Angeles 13,991 0.37%Non-Luxury Traditional

Compact$1,242,475 $94,421 $198 $1,023,424 $14,062 - $110,370

BMW OF TURNERSVILLE Philadelphia 7,700 0.20%Non-Luxury Traditional

Compact$1,980,718 $253,753 $117,213 - $33,389 $1,482,828 $93,535

NORM REEVES HONDA Los Angeles 7,194 0.19%Non-Luxury Traditional

Mid Size$6,003,627 $208,120 $21,214 $5,761,999 $12,294 - -

TOYOTA OF ORANGE Los Angeles 7,171 0.19%Non-Luxury Traditional

Compact$2,764,365 $620,733 $470,871 $1,557,545 $86,991 $5,275 $22,950

GALPIN FORD Los Angeles 6,903 0.18%Non-Luxury Mid Size

CUV$3,274,330 $1,621,116 $312,221 $1,215,440 $92,234 $33,319 -

FRED HAAS TOYOTA Houston 6,645 0.18%Non-Luxury Traditional

Mid Size$10,150,265 $628,952 $78,746 $8,355,488 $395,669 $683,810 7600

TUSTIN TOYOTA Los Angeles 6,623 0.18%Non-Luxury Traditional

Compact$435,218 $117,825 - $233,203 $32,159 $31 $52,000

PARKWAY DODGE

CHRYSLER JEEPDetroit 6,368 0.17%

Non-Luxury Traditional

Full Size$2,278,593 $329,133 $317,569 $1,332,390 $67,545 $118,393 $113,563

GALPIN HONDA Los Angeles 6,123 0.16%Non-Luxury Mid Size

Van$3,274,330 $1,621,116 $312,221 $1,215,440 $92,234 $33,319 -

KEYES ACURA Los Angeles 6,004 0.16%Luxury Traditional Mid

Size$9,241,536 $947,276 - $8,094,263 $3,966 $8,699 $187,332

GRAND TOTAL 74,722 1.98% $40,645,457 $6,442,445 $1,630,253 $28,789,192 $830,543 $2,365,674 $587,350

2014 PUBLISHER AND CREATIVE USAGE

BRAND TOTAL PUBLISHERS % MOBILE PUBLISHERS TOTAL CREATIVE % MOBILE CREATIVE SITE DIRECTABOVE THE FOLD

(DESKTOP)

TOYOTA 10,400 18% 8,421 11% 57% 47%

FORD 7,189 15% 1,174 11% 55% 40%

CHEVROLET 5,845 17% 1,041 8% 60% 46%

HONDA 5,966 11% 993 9% 46% 49%

NISSAN 6,579 12% 561 20% 27% 42%

JEEP 6,505 17% 229 19% 12% 50%

HYUNDAI 3,307 14% 521 12% 33% 40%

KIA 1,557 25% 238 13% 67% 41%

SUBARU 2,372 1% 213 6% 65% 40%

GMC 7,344 16% 5,398 5% 33% 47%

Kia works with the fewest Total Publishers but has the greatest percentage of Mobile Publishers at 25%, Subaru has the least at 1%

Jeep has the highest Above the Fold viewability at 50%, trailed by Honda at 49% and GMC/Toyota at 47%

Kia and Subaru have the most Site Direct Impressions, yet Jeep, who has the greatest Above the Fold percentage only has 12% of their impressions allocated to Site Direct

MEDIA AVERAGE OF SITE VI

Site Direct 58%

CBX 41%

Network 34%

Mobile Network 78%

Niche Network 36%

Internal DSP 34%

Video Network 39%

DSP 30%

Cross Device Platform 92%

Video DSP 23%

Exchange / SSP 31%

Retargeting Platform 31%

Mobile Video Network 62%

App Direct NA

GRAND TOTAL 49%

*Industry Average is based on comScore in-view rate from 2014. Automotive in-view rate was 40%

AD UNITCENTRO AVERAGE

IN-VIEW RATE% OF AUTO BUDGET

(KANTAR 2014)

300x250 41% 51%

728x90 44% 28%

160x600 42% 5%

300x600 50% 3%

320x50 66% 0%

970x66 69% NA

970x250 33% 1%

980x30 83% NA

300x50 68% 0%

640x480 56% NA

Premium CPM’s on Site Direct have a correlation to quality of inventory, Site Direst has 58% viewabilty whereas lower cost inventory found on Networks hovers around 35% viewability.

Within Automotive, more than half of digital display dollars are spent on 300x250’s which receive about a 44% in-view rate.

Other high performing ad units, such as 160x600, 300x600, and 320x50 receive less than 5% of the total digital display dollars for

Automotive.

Ford F-Series remains the

most popular vehicle in

America with 545,968 cars

sold and has 4% of the total

market in the past 12

months

The Pick-Up Truck category

accounts for 3 of the top 5

selling car models

Non-luxury CUV was the

fastest growing segment

gaining 2.38% of the total

car market share and

selling 435,626 more

vehicles YOY

California remained the

largest state for automotive

sales and New York the

largest DMA

Michigan is the fastest

growing top 10 sales state

at 12.5% and Detroit the

fastest growing top 10

sales DMA at 16%

Centro has supported ALL major OEMs with 4,400+ campaigns executed for brands across Tier I, II & III

Top trusted local news & broadcast sites

Geo-targeted banner & mobile ads

Homepage take-overs, display,

video, mobile

Sight + sound across variety of screens: Desktop, Mobile, Tablet,

Digital Place Based, Connected TV

TV retargeting based on Demo, Daypart, Location, Weather, Device,

Carrier, and Behavioral

Reach consumers on-the-go with mobile, during

work/leisure time with tablet

Use Geo-Fencing to pinpoint exact location of consumer

and enable conquest strategies

Target consumers currently in-market for a new car down to sub-levels such as small

car or truck

Target individuals using Polk, Nielsen, Scarborough, and

Neustar data

Gain traction with in-market consumers by

achieving a lift in conversion rates

(5% interest & 124% consideration) to increase

vehicle sales

Advanced targeting capabilities and real-time

optimization controls were a must

Behavioral targeting was used to reach A25-54

with 100k+ HHI

Re-targeted placements were implemented

Contextual targeting was implemented

Consumers are using digital for many aspects in the path

to purchase.

Ensure your brand is readily available to consumers as

they move from pre-market, to in-market, and then post

market.

DIGITAL PLAYS A STRONGER ROLE

Mobile remains a constant touch point as consumers get

inspired, shop around, and ultimately show off what they

purchased.

Use location to activate conquest, branding, and promotion opportunities.

MOBILE IS A MUST

Review viewabilityperformance as part of

building a strategic media plan.

Opportunities can be found with units that have low

investment but high performance:

728x90160x600300x600

.

INVEST IN HIGH PERFORMANCE

With consumers showing less brand loyalty, crafting

personalized and relevant digital touch points is vital

to staying top of mind.

Data driven insights will dictate the how, where,

and what.

BUILDING CONSUMER INTIMACY