Direct Line: Lifetime Value

British insurer Direct Line integrated customer lifetime value calculations into its pay-per-click bidding strategy to reduce advertising costs and increase sales volume and value in the UK.

Campaign details

Brand: Direct LineBrand owner: Direct Line GroupAgency: MediaCom UKMarket: United KingdomIndustries: InsuranceMedia channels: Search marketingBudget: Up to 500k

Executive summary

One of the United Kingdom's biggest insurers, Direct Line, it had become a victim of its own success, unsure how to further optimise its pay-per-click (PPC) account.

The success of an insurance business depends on its ability to determine how likely a driver is to be involved in a road accident and estimate the driver's subsequent lifetime value. For example, younger drivers are more likely...

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