Lexus marketer Mat Thomas on the art of smart storytelling to get boardroom backing

First up, Mat Thomas, brand strategy lead at Lexus UK, walks us through his journey to brand management, the importance of making sure your team and agency really get the strategy, and how Lexus’ sponsorship within tennis is driving brand salience.

LinkedIn tells me that you’ve worked within Toyota, and before Bayer and Unilever. Please talk me through your journey from college through to your role at Lexus: where did it all begin?

Marketing wasn’t the original plan. The original plan was to work in the music industry. I had planned to do a degree in music technology in London, but suddenly did a complete U-turn and decided to study business. I was absolutely music-obsessed, and still am, but it was a case of, is this the right thing to do?

Having embarked on a more conventional route, the module I was drawn to was marketing and I quickly realized that’s what I wanted to do. Interestingly, it wasn’t advertising and media which grabbed my attention. It was about the research, the psychology and understanding human behavior which was the most interesting aspect. That whole process about understanding the customer is the area I’ve always enjoyed the most.

After studying, I did a brief stint in finance. Obviously, finance has a vital role in business, but it wasn’t for me. I took some time out, traveled for 18 months and came back with the ambition that I was going to get into marketing – whatever it took.

Within about six months of coming home, I had managed to get my foot in the door of Unilever in the Bird’s Eye Walls business, and on reflection, I was so incredibly fortunate to have started my marketing career there – I learned loads. Notable things for me included seeing how the business got close to the consumer to generate insight which then fed into strategy, plus new product development (NPD).

Next, I moved to Bayer and joined their OTC consumer division and worked on brands like Rennie Bepanthen and Berocca. That’s where I really kind of cut my teeth in brand management. I loved the diversity of full marketing mix roles; you could be presenting NPD to a grocery account with the national accounts team one day, the next presenting a new brief to your agency and the following working on a price elasticity project. My brand marketing skills grew over the next eight years. I worked with some amazing people and managers and got such a great grounding – a grounding that became a platform for the rest of my career. It was a very significant and important time for me.

Next, I did three years at Energizer Wilkinson Sword and took on UK and north west European roles for their household business. After 12 years in consumer goods, I decided I’d like to work in a different industry. A recruiter asked me: “How do you feel about the car industry?” I knew very little about cars but was interested to learn more about the industry and see how my skills could transfer.

In 2024, Lexus is the official presenting partner for the new Sky Sports Tennis channel

Often it is that external expertise in the discipline of marketing that a business needs. By coming from a different sector, you are not inherently biased.

Absolutely agree and I hope I’ve brought an element of ‘the outside’ into the business.

I worked on the Toyota brand for seven years, during which time we launched four new models, including the step-change model C-HR in 2017. Furthermore, launched our sponsorship for the Olympics and Paralympics in 2018 which was super-exciting. We also saw a huge shift in brand metrics at that time, driven by new product, some strong advertising and increased visibility through sponsorship.

Finally, in 2021 we launched the Toyota Warranty campaign to address the decline in the volume of cars our centers were servicing, as many customers perceived our services to be expensive and were therefore seeking cheaper alternatives. The campaign communicated a new business proposition offering customers an extra 12-month warranty at no additional cost with every service. Massively successful; in the first 12 months it drove a 30% increase, that’s about 41,000 vehicles coming back to centers. We also won Marketing Week Best Automotive Campaign in 2022 which we were so proud of as a team.

I think the key learning here is that sometimes the most unexciting of briefs (in this case car servicing) can spark some unique creative ideas and deliver great results. So, you should always go into those challenges with an open mind and lead the team with enthusiasm.

I then moved to Lexus two years ago. While it’s a smaller premium car brand, I must say it’s been one of the most fulfilling roles I’ve done in my career, as you get so much closer to the business and the drivers of the marketing mix.

We don’t have the sales volumes of the premium German three (BMW, Audi and Mercedes) but have achieved unprecedented growth in the last two years. And with the brand, we’ve learned from brand tracking that consumers know Lexus manufacture cars (our Aided Awareness is strong) but when they come to purchase, we’re not as top of mind as we’d like to be. Therefore, we’ve recognized how building salience is really the key priority for us to sustain continued growth.

The key change I’ve driven during my tenure has been to invest more into ‘the long term,’ through tennis sponsorship. Last year we partnered with the Lawn Tennis Association (LTA) and Sky to be the sponsor of their new tennis channel, and furthermore signed three ambassadors: Cameron Norrie, Katie Boulter and Alfie Hewett. Why tennis? Well, it’s got scale being the third most popular sport in the UK and indexes strongly with our target audience.

The move to balance the long and short was presented to the board. In my view, there was a compelling argument to move away from the traditional approach of running model campaigns and performance marketing. I convinced the board that by committing a good proportion of our budget into the long term and by pulling the right levers (like developing brilliant creative) we will indeed reap the rewards. I was successful in getting approval and incremental budget.

Out of home campaigns, like this one for the Lexus RZ, have helped the brand claim market share.

I know a load of senior marketers that would love to be able to do what you have done: convince the board of a new direction – investing in initiatives that improve brand salience. I’d like to dig into that just for a second. What were the indicators that enabled you to show the board with confidence that you had identified the problem?

First, and most important, was demonstrating that we understood the problem. We invest a lot in research and brand tracking, so have a strong handle on what’s going on. Second was being clear on strategy, and then how this initiative will help us achieve our objective. We also set up separate quantitative tracking to help isolate and understand the effectiveness of what we’re doing – very useful when we report back periodically to prove the investment is working.

It sounds like you’ve struck gold. Lexus enjoyed a record-breaking 2023: a 50% increase on the previous year’s sales. 16,000 new vehicle sales compared with 10,000, the year before. Can you tell us about your team and how it is organized and structured?

So there’s just two of us in the brand strategy team, but we are supported by a wider team of specialists who work cross brand (Toyota, Lexus and new mobility brand Kinto). That covers sponsorship, performance marketing, center marketing for our network, CRM and digital.

I also manage our cross-brand social team too – they’ve undergone a big shift as well these past 12 months whereby they’re now really aligned to each of the brands. We have a great team of very talented content specialists.

Toyota/Lexus’ headquarters, Surrey.

What have you learned in your career journey that enables you to get the best out of your marketing teams?

Three key things. Firstly, it’s all about being super-clear on what we want to achieve: having a very clear narrative so that whole team – and I include our agencies here too – get it. I try to make everything simple and in layman’s terms.

If everyone is clear and aligned, it is then about empowerment. Each team member can then be accountable for their part of the plan to ensure that we achieve our goals.

The second one is around being authentic as a leader. I wouldn’t say I’m ‘super corporate’. I’m open about my life and out of work interests, for example, I’m passionate about travel and I’ve been boring everyone how excited I am about seeing Metallica next week in Helsinki! I do think you really build trust with your team if you’re authentic.

Finally, I’m a huge advocate of continuous learning. I’m always saying to the team: “Have you read this? Have you seen this? Heard this podcast?” I do think ongoing learning is well embedded in our culture.

Having recently launched your stunning idents on Sky Sports that highlight the parallels between Lexus vision and professional tennis, being a brand owner, how important to you is ‘brand voice’ when maximizing your customers’ response with campaigns?

Thanks for the compliment, we’re really proud of the work. Yes, it’s massively important, you want to ensure the work in all aspects represents the brand voice.

In the recent development of the Sky Sports idents we worked with System1 to better understand what drives effectiveness in sports sponsorship and we were keen to apply the learnings. We definitely didn’t want to succumb to the more traditional elements of car advertising. You know the type – driving through the streets of Lisbon and over a bridge or through woodland and mountain roads. Instead, balance our brand values, ensure it looked and felt very Lexus whilst also demonstrated our love for tennis.

Lexus LBX won What Car ‘Car of the Year’ 2024.

Jumping into the politics of marketing in bigger businesses: it sounds like you’ve had considerable success presenting ideas and missions to the board. Do you have any tips on how to navigate the choppy waters or big business organizations, for example, when a considered marketing or brand management plan gets pushed back from the C-suite or upstairs?

You need to really think about the audience you’re talking to. Typically, they are not going to be interested in the minutiae, but of course prepare for those questions, they may indeed come up. But the key thing I’m trying to say is you need to story tell.

When I take anything to the board for approval, it’ll always be evidence-based. It can be combining our brand tracking data, market data and even using quotes for example from Byron Sharp or Ritson. They may not know who they are, but you can explain they are an authority on the topic. And it’s great stuff to use to build a compelling argument.

A number of senior marketers I’ve been speaking with say that these days, part of the marketing role is to navigate. We’ve got such a plethora of choices with an ever-changing landscape of marketing technology solutions. (AI is just a small part of how the marketing industry is rapidly evolving). How do you juggle the need to maintain your responsibilities with a need to have one eye on the latest technology and solutions for cutting-edge marketing?

I agree there’s an onslaught. It’s exhausting. And I think that there was a period a few years back when I found it a little overwhelming. But I think the key thing is, if you’re clear on what you want, be it strategically or even operationally, then I believe that helps on navigating your way through the potential tech choices you have available to you. It’s as simple as that.

Fashion designer and Lexus Brand Ambassador, Harris Reed, with the Lexus LM

How do you ensure clarity around market orientation – drawing on your competitor and customer research and insights? Some marketers say that these days there is almost too much available data. In your role, how do you go about making sure that you are market-orientated to the best of your ability?

I think you’re right, on occasions there can be so much data to consider and to make sense of it can be challenging. Sometimes I find it best to just sit and do the analysis on my own. I’ll often lay stuff on the table and piece the story together. I don’t think it’s easy to do the analysis with a group of people and reach a consensus.

I’m wondering what advice you might have for any younger marketers that are reading this interview. Imagine you were speaking to a younger Mat. You’re starting your career in marketing: what advice might you give him? What should he do more of and what should he avoid?

Don’t get comfortable. If you feel that you’re only part of the way to your goal, don't pause, always just keep chipping away.

There’s nothing worse than looking back and thinking I wish I had done this. In my case, making that shift from financing to marketing was not a small task. It was really hard! I had a number of people around me challenge my move out of finance, but I’m so glad I made it happen. What’s the point of doing a job you’re not passionate about or enjoy? I just don’t get that.

Finally, I also recognize the value of networking. You never know what that may give you. A wide network can be very powerful.

The 2018 Toyota AYGO campaign won The Marketing Society’s Bravery Awards for Best Campaign.

If you have to summarise why businesses need to balance the need for longer-term brand building with more short term sales activation. What would you say?

Often, the tenure of a brand manager can be quite short. Therefore, there will be the desire to get results quickly. To make that change to balance the long and short requires quite a cultural and mindset shift.

We’re so lucky to be in an age where there’s so much evidence to prove the benefits of the long and the short, so I think it can now be easier to make the case.

We also need to enjoy the work we do: doing something for the long in addition to the short can be highly rewarding. Bringing it to fruition and taking people with you on the journey is brilliant.

If there's one thing you've learned about marketing... it is?

Marketing is not about the shiny stuff. It’s not that I don’t enjoy the tactical stuff like ad development and media – that’s great too – but for me marketing is doing the groundwork and laying the foundations. Understanding the customer, the drivers, and setting the strategy: that's why I love marketing.

You might die tomorrow so make it worth your while. Worth Your While is an independent creative agency helping brands do spectacular stuff people like to talk about. wyw.agency.

Little Grey Cells is Tim Healey, founder and curator of Little Grey Cells Club, the UK’s premier Senior Marketer meet up.