Cox Automotive - Generating Data-Driven Insights for Car Manufacturers
Alice Xie, Sr.Manager, Data Science, with:
Country: United States
Organization: Cox Automotive
Cox Automotive focuses on continually improving products to create faster vehicle transactions, enabling consumers to have a seamless online-to-offline experience.
Best Acceleration Use Case
Best Moonshot Use Case
Best ROI Story
OEMs (car manufacturers) face fierce competitions in new car market. They need data driven insights to help answering questions, such as:
“Why new Ford Bronco’s market share is only half of Subaru Outback in Las Vegas even though 6 times more Cox visitors are interested in it? How can Ford improve?”
“Why market share for new Toyota Corolla drops 18% in LA in the past 6 months?”
Cox has rich data in all different aspects of vehicle market: Autotrader and KBB combined has over 700M visits in 2022. Vauto provides listing data for inventory, current active listing and historical implied sold for each DMA at vehicle year, make, and model level. We can provide data-driven insights and recommendation by using the machine learning models we developed to help OEM have forward thinking and act proactively to win market share.
Dataiku provides a powerful platform enabling us to connect data, to develop insights, and to deploy the insights to business. My Data Science team used SQL and Python in Dataiku to combine Pixall data and Live Market View Listing data together.
To help OEM have a comprehensive view of their market share for each DMA relative to their competitors in the same vehicle segment, we developed standard scores to quantify the following three most important drivers of market share:
Inventory Score to quantify Supply
Interest Score to quantify Demand
Vehicle Sale Score
The insights have been currently deployed via Scenario in Dataiku to run automatically every Tuesday and published to Snowflake database for our stakeholders.
Here are the key benefits that we have brought to the business from the robust insights we created for all metrics measuring supply, demand, and vehicle sales:
Providing interpretable scores that truly reflects the digital engagement in Cox domain relative to inventory
Enabling meaningful comparison across any time period, any vehicles type and any DMA
Providing richer and more robust measurements at various vehicle and geo levels
Connecting insights from various sources (VMA , DMI, and LM 360) into one full picture
The redefined vehicle category is more aligned with business expectation
Business Area Enhanced: Product & Service Development
Use Case Stage: In Production
Cox has just launched a pilot program deal with car manufacturer Honda and Hyundai for them to use these insights. Honda and Hyundai are able to get latest market insights on a weekly basis to understand their market share position relative to its competitors for each DMA and take instant actions to win market share in this competitive market.
Value Brought by Dataiku:
Dataiku increases efficiency in all steps from insights development to insights deployments. It also provides flexibility in version controls. On top of that, Dataiku is also a powerful tool for dashboard and insights publications with internal and external collaborators.