Subaru's Customer Data Platform Powered by Treasure Data

Subaru's Customer Data Platform Powered by Treasure Data

A new car brings excitement—from its fresh scent and sleek design to its power on the road. However, as time goes on, will this enthusiasm last? For Subaru owners, the answer is often yes. Across regions such as New England, Subaru enjoys a devoted following, with families passing down their vehicles for generations. Subaru consistently ranks high in customer loyalty, with a recent J.D. Power study recognizing Subaru as the top mainstream car brand for loyalty.

Streamlining Data to Enhance Customer Experience and Optimize Costs

With Subaru’s ongoing growth, achieving annual revenues of over $29 billion, the company faces pressures from market demands and rising costs associated with CASE (Connected, Autonomous, Shared, Electric) technologies. To address these challenges, Subaru explored Customer Data Platform (CDP) solutions to reduce customer acquisition costs and improve marketing ROI in Japan. The objective was to effectively leverage both first- and third-party data to enhance the online customer experience and optimize web advertising efforts.

Ogawa Hideki, Subaru's Chief Engineer of Digital Innovation, explains, “Our data was spread across more than a dozen sources—advertising logs managed by agencies, Google Analytics, internal campaign data, and customer information stored in various dealer management systems. To streamline our operations, we needed to consolidate all this data onto a single platform that could scale as our data needs grew.”

Treasure Data CDP: Pre-built Connectors, Scalability, and Advanced Analytics

Ogawa shares Subaru’s decision to adopt Treasure Data’s CDP. “Initially, we considered an on-premises Hadoop setup, but it proved too costly and lacked scalability. Treasure Data, however, offers the flexibility we need, along with pre-built connectors that simplify data integration from our various sources, as well as tools for analytics and machine learning.”

“As a SaaS solution, Treasure Data’s CDP allowed us to get started faster and at a lower cost compared to setting up an on-premises infrastructure. Additionally, the SaaS model enables us to adapt quickly to changing technology without needing a large team of data experts, allowing us to focus on automotive engineering rather than IT.”

According to Subaru’s Digital Marketing team, creating a custom solution would have taken nearly a year. In contrast, Treasure Data’s CDP enabled an 80% faster time to value, with initial services operational in weeks and the full solution deployed within three months. “The onboarding process was remarkably smooth, with no technical issues,” notes Atsushi Yasumuro, Senior Manager of Digital Marketing at Subaru.

Achieving Scale as Subaru Embraces 5G

Six months after implementing Treasure Data’s CDP, Subaru consolidated over one billion data records which include:

Subaru differentiates itself from competitors by using its proprietary data for unique customer segmentation, enabling more effective online advertising and better reach to new customers.

Treasure Data also provides enterprise-level scalability. With the expansion of 5G networks, Subaru anticipates a surge in connected-car data, potentially matching the volume of current log data. Treasure Data’s CDP is uniquely equipped to handle data at this scale, providing the flexibility and speed required for future growth.

With customer data centralized in Treasure Data’s CDP, Subaru can engage customers with relevant content at the ideal moment. Marketers have observed a 350% boost in click-through rates by focusing on customer behaviors rather than device data. This improved marketing ROI has led to noticeable revenue growth and cost savings.

Leveraging Predictive Scoring to Drive Sales

Subaru also uses machine learning to enhance sales efficiency by identifying high-potential buyers. Murakawa Yuichi, an engineer in Digital Innovation, highlights that customers today visit dealerships far less frequently before making a purchase decision, with much of their research occurring online. Treasure Data’s predictive scoring tools allow Subaru to pinpoint showroom visitors most likely to buy, improving forecast accuracy by up to 30%. This insight significantly enhances dealership efficiency, enabling better resource allocation for limited staff.

All strategies are implemented with customer consent, and Treasure Data’s CDP offers efficient consent management, ensuring compliance in data collection and usage.

Subaru's Mission: A Commitment to Lasting Relationships

Subaru’s customer journey includes a critical milestone labeled “Prevent Farewell,” underscoring the brand’s commitment to building long-lasting relationships. Subaru’s mission, established in 2018, is to transform from a traditional manufacturer into a brand that brings joy to its customers.

All signs indicate that Subaru is successfully fulfilling its mission, cultivating a loyal and enthusiastic customer community in the process. The company’s efforts have been recognized with several recent awards.

This dedication is evident in Subaru’s consistent accolades for customer satisfaction and loyalty. “Our goal is to understand why customers choose Subaru, so we can continue to meet and exceed their expectations,” says Ito Takashi, Manager of Digital Innovation. “Our initial use of Treasure Data’s CDP was to enhance operational efficiency. Now, our focus has shifted to creating value and building meaningful relationships. We are already integrating driver data into our design process, and in the future, we aim to link customer data with manufacturing to refine vehicle design and production.”

Treasure Data’s CDP empowers Subaru to harness data effectively, enhancing customer experiences and fostering a loyal community.