Maruti Suzuki takes digital campaign to next level, to rely more on paid search in 2022

The amount spent on paid search was approx Rs 49 cr in 2021, which is likely to go up in 2022 considering the higher ROI it offers, shares Shashank Srivastava, Executive Director, Maruti Suzuki

e4m by Kanchan Srivastava
Updated: Jan 14, 2022 9:01 AM  | 3 min read

India’s largest carmaker Maruti Suzuki has planned to spend more on ‘Paid Search’ in the coming fiscal. Since the pandemic, most brands have been relying heavily on paid searches to attract qualified consumers to their websites in a more customized and targeted way. Maruti is currently spending 25-30 percent of its digital ad budget on paid searches only. 

“This is likely to go up in 2022 considering the high ROI,” Shashank Srivastava, Executive Director, Marketing & Sales, Maruti Suzuki, told e4m. 

Maruti Suzuki’s annual advertising spend was around Rs 560 crores in fiscal 2021. Of this, nearly 29 percent, Rs 162 crores, was spent on digital advertising, Srivastava confirmed. This implies that the amount spent on paid search alone could be around Rs 49 crores, which is likely to go up in the coming months considering the higher ROI it offers. 

Apart from 30% on paid search, the company spent an equal amount - nearly 30 percent of its digital AdEx on short video ads, while social media got more than 35 percent allocation. The rest went on display ads. 

Paid search is one of the main pillars of digital marketing where search engines such as Google and Bing allow advertisers to show ads on their search engine results pages (SERPs). “Paid search on Google works on a pay-per-click model. This means until someone clicks on your ad, you don't need to pay for the ad. This is unlike Facebook, where one has to pay for ads even when users don’t click them,” explains Deep Mehta, Co-founder, DigiChefs. 

Why paid search? 

Search engines are a fertile pitch for brands looking to expand their customer base. Google alone handles over 3.5 billion searches a day, which proves search engines always have a guaranteed stream of high-quality traffic available for the picking. Considering that 93% of all website traffic comes from search engines, it makes sense for D2C brands to tap into this resource for potential customers. 

But how can a marketer leverage search engines drive website traffic when there are millions of websites?

“In Google, consumers search the keywords if they intend to buy some products. On Facebook, people may come across the ads even when they are not intended to buy those products or services,” Mehta explains. 

With the highly-targeted nature of paid search ads, brands end up targeting shoppers that will have shorter customer journeys. It is a cost-effective campaign. Besides, businesses can see measurable and quality results quickly. A pay-per-click statistics report 2020 had revealed that businesses make an average of $2 in income for every $1 they spend in Google Ads. 

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