Author: flickfusion

Flick Fusion Video Marketing is a pioneering video technology company, specializing in creating, managing, and distributing dynamic and cost-effective online and mobile video products on the world's largest content delivery network. Each video is designed to help our clients reach and engage their customers with richer content and greater impact that results in increased sales and ROI. Data, photos, inventory, audio, music, and special offers are automatically combined to create compelling multimedia video solutions that are fast, easy, and affordable. We look forward to serving you.

Websites Can’t Create Leads

Your website has never created a single lead. There, I said it. Long lauded as the be all, end all of internet marketing, the website will always remain a limited, albeit powerful tool. Why is that, you ask? Well it’s because your website will always be a reactive marketing tool.

Your website sits out there in cyberspace, all shiny and glowing, whirring with multimedia and powerful data support. But until a consumer comes along, it’s worthless because it can’t go out and find leads. The best your website can hope for is to upgrade leads (turning a warm lead into a hot lead) and capture leads. You still need other tools (search marketing, email marketing, mass advertising, etc.) to drive leads to your site.

So, is your website important? Yes, it can be the most powerful tool in your marketing arsenal. But it can’t function in a vacuum — it’s the most important piece of a complete, integrated digital marketing presence.

D. Jones
Marketing Strategist/Creative Consultant
SmackDabble, LLC

What is the Best Internet Structure for Each Dealership?

Auto Remarketing Magazine

By Bobby Malatia, of Kain Automotive

September 05, 2007

As I travel throughout the country, I am constantly asked, “What is the best Internet structure for our dealership?” Most of the time the dealership already has a current Internet setup, and it is just looking for reassurance that what it has in place is a good one.

The simple answer is it is not a simple answer. You have to look at many different factors to see which one will be most effective for your dealership and your market. I will try to break this question down and go over some of the main factors that need to be considered to answer this common but difficult question.

Let us first look at what different Internet structures there are that have experienced moderate to extremely good success.

SalesFloor: Internet leads are taken by one of the managers and distributed out to the regular sales floor.

The one person show: One dedicated Internet person who answers all the incoming Internet requests. a. The one person handles the leads and sets appointments to be given to the regular sales floor. b. The one person handles the leads as well as sales the vehicles themselves.

Appointment setters: Having multiple people handle the Internet leads and then set the appointments. a. These appointments are set for the regular sales floor.b. These appointments are set and given to a manager and then are distributed to certain salespeople. Internet Department: Having a dedicated team handle the leads as well as sale the vehicles (commonly referred to “cradle to grave”). a. Typically this is done using a different process than the regular floor process, though it does not have to be.

Internet Department and BDC: Using a dedicated Internet sales department with the support of a BDC. a. Leadsare handled by the BDC and then set or turned to the Internet department for the sale of the vehicle. b. The Internet department handles the lead, and then the BDC takes over after a set amount of time to take care of the long-term follow-up, and then gives it back to the Internet department once the BDC makes an appointment, or re-stimulates the prospect.

As you can see there are many options, and of course there can be variations of any of these as well.

Now that we have looked at some of the options, let’s tackle the tough question: which is the best one for you. To answer this question you must understand that most, if not all, of these structures can be and have been successful.

There is no one perfect idea for handling your Internet leads, and therefore we must look at the different factors that can influence your individual process. This will help you determine which structure will be most effective for your dealership.

The first of these factors is what the dealer principal/general manager wants to get out of the Internet. Does the dealership want an Internet department, or does it want an Internet dealership?

An Internet department can be a bit redundant given the structure you have in place, but an Internet dealership takes advantage of the skilled personnel already in management roles and molds them into the reality of today’s Internet-dominated sales and marketing environment.

However, we find that because of management resistance to working Internet leads through their current set up, it is normally best to set up a department and incubate the success before considering a merger back into the regular sales environment.

The second of these factors is your current personnel or personnel recruiting options. We believe you should decide on the structure your management feels most comfortable with and then recruit to fit the structure rather than the other way around. Otherwise, each time you hire someone for the role you will be prone to adjust the structure based on the talent and skills, which is not productive long-term.

There is a certain profile that we look for that has the best chance to excel in this type of role within the dealership, and we feel someone with a solid success record in sales, whether it be automotive, real estate, cell phones or airline reservations.

Persons in this position first must be persistent and willing to make multiple phone calls each day, be personable enough to build rapport quickly and be able to sell the appointment if the dealership has any hope of getting the consumer into the store.

Your current employees should be considered for these roles, but you should not be afraid to recruit from outside your dealership. Use the profile and understanding of what the job requires to be successful and grow the department as needed.

The last factor that must be considered when deciding on the correct structure for your Internet department regards your current lead volume. We have recommendations on the volume for each set up and feel it is vital to maintain the right volume or the system will not do as well.

Before you worry about growth and spending more money to get more sales, you must be able to analyze what you currently have structure-wise and how effectively you process your current leads.

Using all three of the factors will help you put together an appropriate action plan to determine “what is the best structure” for you and your dealership.

http://www.autoremarketing.com/ar/news/story.html?id=6787

The Future Is Clear For Some Dealerships Where Most Are Still in a Fog

Many dealerships are gearing up their efforts to build their email database, knowing this will be their primary means of communication with their customers now and in the future. As newspaper advertising continues to decline the prevalence of Internet Marketing will increase and the dealership with the largest email database is king. In fact those dealerships that make the greatest strides now will potentially set themselves so far ahead, other dealerships may not catch up.

That is a free and unlimited advertising conduit to send out sales announcements, rebates, incentives, videos, product information, and who knows what the future of multi-media will entail.

Hind sight is 20/20 they say, but I sure would not want to be looking back, saying “I wish I would have …”

Brian Cox
President
Dealer Impact Systems

Five Things your Dealership Should Do to Embrace the Internet

Digital Dealer Magazine August 2007

by : Mitch Turck

The following five suggestions on how to get the most from your Internet department should yield some financial benefits. The sooner these actions are put into place, the better.

1. Your used car manager should be the most Internet savvy of all your sales employees. The used car manager should be scouring popular consumer sites (AutoTrader, cars.com, etc.) on a weekly basis to see how your used inventory pricing compares with the competition. The used car manager should also be checking the out-of-state wholesale auctions online, many of which will put together a great package to get your store’s business. And when it comes down to getting rid of one particular car, it should be the used car manager posting that car on Craigslist, enthusiast chat rooms and other community forums to maximize the vehicle’s exposure.

2. Your perceived DMA should shift from a “death grip on a five-mile radius” strategy to a “fishnet across a 50-mile radius” strategy. One huge obstruction the Internet presents to your local business is that it reduces traveling distance between stores from 45 minutes to five mouse clicks. Consumers who live in your area don’t need to come to you for their favorite brand anymore if a dealer 30 miles away is giving them a significantly better price, or has the customer’s car in-stock and ready to test drive while you are showing the customer a paint chip and telling him to use his imagination. Many dealers complain about this loss of local traffic due to the Internet, but then the obvious question becomes, “if a dealer 45 minutes away is stealing from your DMA, why aren’t you stealing from his?”

3. Your managers should submit mystery shopper leads to competing dealers every month. Are you wondering why so many of your Internet leads are telling you that Grass is Greener Motors is beating your offer by $100 a month? Instead of scratching your head, why not put a mystery lead into that store yourself, and see what kind of deal they are sending to Internet leads? Furthermore, find out what everyone is doing to stay in touch with their Internet customers, and how your competition is trying to differentiate itself from the rest of the pack. If your autoresponder says, “Unlike other dealers, we focus on 100 percent customer satisfaction,” and your three closest competitors say the same thing, then what good is that line? Use that opportunity to find ways to stand out from other dealers… and don’t forget to mystery shop your own Internet department as well.

4. Your sales staff should come to grips with the fact that Internet customers know more than they do. Depending on the competence of your sales staff, this may or may not be true, but it’s more important to realize that many Internet customers believe it’s true. They have access to information they never knew about before, and this puts them in a controlling mindset. If your staff doesn’t respect that, or is too proud to admit that maybe the customer does know more than them, there’s a high probability you will lose that customer to another store who lets them think they’re in control.

5. Everyone in your dealership should recognize that it’s only a matter of time before your entire customer base becomes Internet shoppers. If you are responsible for the future of your dealership, there is one statement you can’t afford to ignore: every customer is an Internet customer… they just don’t know it yet. Think about it – you can use the Internet to find a vehicle’s color combinations, standard features and options, MSRP, invoice price, typical prices paid by consumers, rebates (including manufacturer to dealer rebates), residual value, inventory availability, and dealer specials. Now try to tell me there’s a single up out there who wouldn’t take advantage of all that information if they knew where to find it.

The sun is setting on the days of uninformed customers – either have a plan of action, or have another career lined up.

http://www.digitaldealer-magazine.com/index.asp?article=1522

Marketing Dollars Don’t Grow on Trees: How online advertising can revolutionize your dealership’s marketing budget

If you’re an auto dealership trying to establish an online presence, or trying to improve on your existing internet foothold, you’re probably thinking about internet marketing. If you’re not, get thinking, because the internet is just like anything else – he who markets most effectively, wins.

The internet has a couple of huge advantages over the rest of the advertising mediums you’re already familiar with—television, radio, newspaper, billboard, side of a bus. While these traditional methods are fine for building brand awareness and reinforcing purchase satisfaction, they are expensive. They are also typically not well targeted– there’s just no way of knowing if the people watching a particular show are in the market for a new car.

It’s on those two points that internet marketing blows all other mediums out of the water. For starters, if you are smart about your online strategy (or work with people like Dealer Impact Search Marketing who get paid to be smart about online marketing strategies) the internet is a cheap, cheap place to advertise. Running an ad on Google or Yahoo (the search engines are, after all, where the vast majority of people begin their purchasing research) doesn’t cost anything unless someone is interested enough to click on your ad—and even then, it’s typically only around $0.50-$2.00 per click. Not a high price to pay to send an interested lead to your website.

What’s more, online advertising is highly targeted—your ads only show up when people search for something related to your dealership or your inventory. Worried that your money will be wasted if your ads show up for people who aren’t in your city? Search engine advertising is so effective that it actually figures out where the searcher is located, and only shows ads relevant to that location. And if you use an online marketing company that builds your advertising campaign on an adaptive platform like the Dealer Impact Search Advertising platform, your campaign will become more targeted over time – only showing your ads for searches that have the best conversion rates.

These smart platforms also have the added advantage of detailed tracking. You can find out how many people have clicked on ads, for what keywords, what forms they filled out on your site, and even find out who’s called your dealership. Some have the added benefit of recording those phone calls and adding them to your online report.

What does this all mean to the average car dealership? Basically, if you move a chunk of your marketing budget online, and then spend those online dollars correctly, you can decrease your total budget while bringing more qualified leads to your site and increasing your sales. The online marketing arena is effective and cost-effective, so stop wasting money with those newspaper ads and get online today!

Jamie Wilson
Search Engine Marketing Specialist
DealerImpact.com

The Power Of Proactivity: Marketing to the other 98%

Unlike many other industries, where consumers plow though a product and immediately buy more (i.e. milk, office supplies, soda) the auto industry has a slower consumption cycle. The average consumer keeps their car 2.5-3 years and at any given time only 2% of consumers are in the market for a new car.

So how much of your marketing is targeted at that 2%?

Half?
75%?
All of it?

If you’re like most dealerships, the overwhelming majority of your marketing is focused on the “buy now” customer. And that’s the only customer that your sales team is interested in. So you run television commercials, radio and newspaper ads, special limited-time sales events and the like. But in spite of your best efforts, you can’t create need in the mind of the consumer.

Because you can’t create need, the best you can realistically hope for is to ensure that when a consumer decides to buy, you’re at the top of their list. So that raises the question: What are you doing to proactively market to the 98% of customers that aren’t in “buy now” mode?

Are you staying in touch with them using something other than an offer of 1.9% financing or a free oil change coupon? This business is about relationships — all sales-centric businesses are — and that means building loyalty that goes beyond their pocketbook. It means turning customers into friends.

That can happen with your customers. And it will when you embrace the idea of proactive communication.

D. Jones
Marketing Strategist/Creative Consultant
SmackDabble LLC

Where Have All the Viewers Gone?

Published: August 21, 2007
By Stephen Newman
iMedia Connection

Internap’s EVP of advertising services explores ways that networks can work around the decline in traditional TV viewership and still reach large audiences with more accuracy.

Figures show fewer people are watching TV. But are fewer people actually watching the typical weekly lineup? Or is it just that “TV” is being watched less?

You are probably thinking to yourself, “What’s the difference?” Is it purely semantics or are people watching the same amount of shows but using their computer screens rather than their television sets?

What’s behind the decline?
According to an AP article published earlier this year, it is “TV’s worst spring in recent memory.” More than 2.5 million fewer people were watching ABC, CBS, NBC and Fox than at the same time last year.

Many theories are bouncing around as to the cause of the decline in viewership. Some speculate that the early start to Daylight Savings Time has prompted more people to spend more time on outdoor activities and other interests, making TV-viewing less of a priority. On the other hand, many are citing poor measurement as a key factor.

These theories and others are all likely to have some impact. Even if people are watching TV as much as they did last year, if viewership isn’t being measured properly, advertisers will still get the message that their efforts are reaching fewer traditional viewers.

But the key word there is traditional.

Are traditional viewers your target viewers?
So, the major television networks are complaining to Nielsen that its methodology is not appropriate for today’s audiences. “People are not consuming less television, they’re watching it in different ways and the measurements haven’t caught up,” said NBC’s chief research executive Alan Wurtzel in the aforementioned AP article.
They complain that a segment of the population is not measured to the level of participation, which is true for the most part; if you record a particular episode of your favorite show and watch it more than 24 hours later, you’re not counted in the show’s ratings. The same holds true for those who download the episode and watch it later on an iPod or computer, or stream an episode from a network’s website. The networks also complain that their ethnic representation is not well reported. They are voicing their opinions loudly and publicly. But, is it possible that this complaining process is nothing more than positioning?

After all, the networks need the billions of dollars that advertisers will pay for the traditional viewing habits of their audiences. As well, the advertisers need the eyeballs of the networks’ demographics and will pay premiums to catch the attention of the “hard to reach” demographics.

Take men 18 to 34, for example. This group has experienced the biggest drop-off for network television in the past 5 years, according to Nielsen. Specifically, Nielsen reported that primetime viewership among men in this age group has fallen off by nearly eight percent but said about half of this decline could be attributed to recent changes in the composition of its ratings sample or measurement system. In contrast, though, some researchers say this is because this demographic is losing interest in “appointment” television.

This trend should come as no surprise; this particular demographic has been waning for quite some time. Research studies have shown the average male 18-34 spends his free time playing video games or surfing the internet; that’s time they might have spent watching TV in the past.

Can’t all viewing formats get along?
A study commissioned by NBC.com and conducted by the research firm InsightExpress showed that 78 percent of the site’s NBC Rewind service users watched an episode they had missed on broadcast TV. Seventy-eight percent! If you knew more than half of your viewership is going online, wouldn’t you want to shift away from the “traditional” ad platforms?

By focusing on improving ratings measurement, though, Networks are missing a key point here. Even if Nielsen changes their methodology to include today’s audiences, they will never gain the same insight into the viewing habits of every single person who watches a particular episode of “Lost” or “Desperate Housewives” that they can with online tracking.

This is because networks rely on data that bases a nation’s viewing habits on a select sample body that takes the time to fill out a diary of their listening/viewing habits. Even though Nielsen knows how many people live in each of its “Nielson Family” households, they do not know exactly how many people live in each of America’s 109,000,000 households. All they have are averages. So, while reports of households might be fairly accurate (assuming Nielsen’s sample group is a representative sample), the subsequent assumptions that are made regarding broadcast-viewing habits are conjecture at best. Yet, many advertising budgets are still set according to these assumptions.

So what tactics should the networks employ to deliver content in the digital age?

New technologies, such as dynamic targeting — the collection of user login information — provide the ability to collect precise data and report on that data. By collecting user-provided statistics, such as gender and year of birth, entertainment companies can detect exactly who is watching and when. This takes measurement out of the realm of assumption and into the realm of precision and fact.

Broadcasters have traditionally made assumptions about who their audience is, according to the format of show and/or station. Online audiences may differ significantly from these assumptions, and the reporting mechanisms available to track these audiences are proving this fact.

The more you understand your audience, the better you can tailor content, customize product offers and demonstrate the value of your content to advertisers, maximizing your advertising revenue.

For advertisers, targeting by user profiles ensures campaigns only reach their specified target audience, making content more attractive and able to command a premium advertising rate.
Contrary to popular belief, advertising is well accepted by online audiences when it is relevant to them. Demographic targeting allows advertisers to tailor messages to each individual member of the audience ensuring they receive an offer or advertisement suited to their demographic profile.

Demographic targeting is driving up the value of advertising in the online space, as advertisers begin to realize they are able to reach the exact audiences they want and are willing to pay higher premiums to do so. Advertisers realize that their select audience will have a much higher conversion rate and it is therefore worth paying for a select few rather than the mass.

The internet also has the potential for unlimited two-way interaction. Instant messaging can be used for contesting; email solicits feedback from viewers (please sign up for our fan site community, et cetera); access is provided to stats of users that are listening and watching “live” and much more.

There is no doubt the internet is an ever evolving place and the technologies used today to measure and report on user viewing habits will continue to improve. However, the internet is not a passing fad, and if the networks continue to do business assuming people will watch television as they always have, the once proud industry of television will become a passing fad.

http://www.imediaconnection.com/content/16285.asp

What Online Shoppers Want: More local

Published: August 20, 2007, iMedia Connection

Kelly Blue Book reports that consumers want more local information when they’re purchasing a car; here’s the data and how to apply it.

When consumers go online, they most likely are searching for information that appeals specifically to their lives. What’s the hottest new restaurant in my city? Is there bad traffic on my commute route home from work today? When is this concert coming to my town? What movies are playing at my theater? What is the 10-day forecast in my area? Even in the burgeoning age of social networking media and popular online dating sites, consumers are looking to connect with something (or someone) online that is meaningful and relevant in their lives, and most likely, in their local geographic area.

The same is true for online shoppers, and in particular, online vehicle shoppers. Research from a 2007 DoubleClick Performics Survey shows that more than half of in-market vehicle shoppers use the internet as a primary source for gathering information. According to J. D. Power and Associates, the number one site used by new-vehicle shoppers is Kelley Blue Book’s kbb.com, with nearly half of all in-market new-vehicle shoppers visiting the site to conduct their research. Throughout all phases of the funnel, consumers looking to purchase a new vehicle rely on the web to deliver timely and relevant information that applies specifically to them. Third-party auto sites like Kelley Blue Book’s kbb.com and Edmunds.com have been privy to this concept for a while; both require visitors to enter their zip codes, to provide the shopper with specific vehicle pricing information relevant to that particular area plus geo-targeted regional OEM and Tier II/III messaging.

But while websites have been targeting ads specific to consumers’ geographic locations for some time, and even delivering certain location-specific data and information, we still have a way to go in truly providing the total package of local content that consumers say they desire.

According to a recent study conducted by Kelley Blue Book Marketing Research in May 2007, when asked to rate their interest in having more local area information on kbb.com, shoppers responded favorably. With one being “not at all interested” and 10 being “extremely interested,” shoppers weighed in overall at 8.1, showing positive interest in added local content to the site. The study further showed that consumers are most interested in local information related to obtaining new-car pricing, real-time local dealer inventory and trade-in values. Other popular options included special local offers/incentives, consumer reviews of dealerships and dealer locators/maps. On the other hand, consumers indicated they are least interested in information related to dealer-sponsored events, finance/lease pre-approval and images of the facilities.

Consumers telling us what they want (and don’t want) in local content is the first major step toward meeting their shopping needs in their own areas. But how we integrate this new local content with Tier I, II and III messaging is proving to be the big challenge, not just for the publishers of the third-party sites, but also for the agencies creating the messaging and OEMs/Associations/Dealers who hire them. How do we coordinate this messaging in a way that facilitates our partners’ communication with the consumers while not overwhelming them and providing only the most relevant content? Thanks to testing and surveys, we can count on the consumer to tell us when we are on target and when we are not.

Kbb.com is launching a new effort at the beginning of 2008 to start tackling this industry-wide conundrum and to help better serve its more than 12 million unique monthly visitors. The site’s all-new Tier II strategy will locally connect consumers with their vehicle of choice by providing engaging local content to shoppers accompanied by targeted local messages from Dealer Associations and regional OEM messages. The challenge still exists for Tiers I, II and III to coordinate messaging in a way that accomplishes each group’s specific goals, and the third-party sites still have the challenge of integrating the content and messaging in a way that makes sense for everyone.

But at the end of the day, challenges aside, we all are working toward the same common goal: third-party sites want to provide the relevant information that consumers want and need to make an informed vehicle purchase decision, and Tiers I, II and III all ultimately desire to sell cars. We’ll continue to work hand-in-hand, and surely in time a strategic balance will be achieved.

Robin Cooper is VP of advertising and business development at Kelley Blue Book.

http://www.imediaconnection.com/content/16296.asp

Coupons: A Story of Redemption

Published: August 14, 2007

iMedia Connection

by Steven Boal

If you want to both boost sales and track how online is affecting offline purchases, try online coupons.
The rise of interactive marketing has been incredibly quick and continues at a pace that keeps brands, marketers and media properties on their toes. With consumers spending more time online, marketers are redirecting serious dollars online, where more and more shoppers get news, entertainment and make their shopping decisions. Interactive is an essential piece of most marketing budgets.

Consumer packaged goods (CPGs) marketers are finding even their core buyers are spending more time online and making shopping decisions based on web research. They also realize the incredible sales potential in word-of-mouth marketing created by the more than 25 million internet users considered influential in recommending products to others [eMarketer, June 2007].

The challenge for these brands is how to close the loop from engagement to action and gain real insight into the impact their online advertising and promotions are having on in-store sales.

Where money is being spent in interactive

CPGs and other leading brands are leveraging a variety of methods of interactive marketing, including increasingly robust brand websites, rich media and video ads, email marketing campaigns, and much more.

However, since only 10 percent of shoppers purchase online (and even fewer purchase grocery products), it’s difficult to track return, whatever the goal.

Promotions, as distinct from brand advertising, often provide more measurable impact and are proving popular with online audiences and have resulted in robust consumer participation. Coca-Cola, for example, is currently running the highly successful MyCokeRewards program, with on-pack codes driving traffic to the promotional website where points can be exchanged for rewards.

One way Coke has “closed the loop” with these highly engaged consumers is by offering printable coupons in exchange for the reward points, bringing them back full circle into the store and giving Coca-Cola the ability to measure impact on sales.

Similarly, Pharmavite LLC, the parent company of Nature Made vitamins and SOYJOY nutrition bars, generates awareness, sales and brand loyalty through an integrated couponing program, where each element supports another. Emails to its database of 1.3 million subscribers often include links to the $5 worth of printable coupons (powered by Coupons, Inc. technology) on NatureMade.com. There, consumers can also join a rewards program, with cumulative points building toward a single, high-value coupon mailed to the participant.

In addition, coupons in the Sunday newspaper’s freestanding insert (FSI) include promotional verbiage driving coupon-hungry consumers to the website to print additional coupons.
Sheryl Biesman, manager of integrated marketing for the Nature Made Wellness Advisor, the online division of Pharmavite, sees printable coupons as an incentive to encourage people to register, which in turn builds the opt-in database.

“A robust, highly-qualified database is the key to successful retention marketing,” she says.

http://www.imediaconnection.com/content/16120.asp

The New Benefits of Search for Dealers

Good article about Search Engine Marketing…

Published: June 25, 2007 – iMedia Connection

Early internet education

In the early days of the internet, while consulting large metro dealerships about how the internet was changing their business, the concern was always the same. The internet made dealers nervous because web-savvy customers were only interested in looking up prices, which they would use as a negotiation point with a dealer’s competitors. At the time, these dealerships actually preferred not to advertise online because their “prime” customer was not an internet user but someone who would walk in off the street without having done his or her research.

The promise of online marketing

These days, nearly everyone is an “internet customer,” with 67 percent of all new car buyers researching online prior to purchase1. For the first time in history, online marketing can enable dealers to identify and speak to more than two-thirds of the people in their market area who will buy a new car in the next few months. Savvy dealers can now leverage the internet and turn their reluctance into profits, not only from new cars, but from used cars, financing and fixed operations.

That said, with the huge breadth of online media options (e.g., third-party research sites, online inventory sites, online classifieds, local news sites and social media outlets) dealers face a fragmented online media landscape. Due to the confusion that this invariably causes, most dealers have chosen to continue to spend the bulk of their advertising budgets on familiar and traditional media outlets. While this may reduce media buying complexities, we all know that successful advertising should follow consumer eyeballs, which are clearly on the internet.

Why search works for dealers

In order to gain mass appeal among auto dealers, media should be easy to purchase, have mass reach in the dealers’ DMA, allow for rotating offers to consumers and be highly measurable. Unfortunately, many online options do not fit the bill here, as most dealers do not have the time or expertise to evaluate the relative merits of thousands of smaller publishers. In order to simplify the media buying process while achieving the necessary reach, dealers have begun looking to search engines to deliver interested customers to their lots and phone lines.

J.D. Power and Associates cites that 85 percent of new car shoppers who use the internet for research are using search engines during the process. This means that more than half of all new car buyers use search prior to their new vehicle purchase, offering marketers an unprecedented level of reach. Because all of the major search engines allow marketers to leverage geo-targeting, dealers can message to actual auto shoppers in their DMA, a benefit that enables more targeted and efficient ad buys.

Many forward thinking dealers have experienced and realized the benefits of search marketing. Those leveraging search now have a solid view into how this form of advertising drives online and phone leads for sales and service and are now able to hold other media formats accountable to similar metrics.

Additionally, search ads enable dealers to test which messages and offers are most effective at driving interest from buyers in their area. Within hours of launching a campaign, a dealer can understand which offers are resonating and which aren’t. Real-time results can significantly enhance and inform overall advertising effectiveness; messages that are playing well online can be leveraged in other media channels as well.

The future

Search marketing at the local level is in its nascent stages. Auto dealers are just starting to think about this media as a viable alternative to traditional media and, as such, are just sticking their toes into the water. Today, most dealer search programs focus on new car sales and driving awareness of the dealership among new car shoppers. The possibilities of search marketing, however, are limitless.

Nearly one of every two online users visit Yahoo! each month (or the largest third-party research site, Y! autos) and we get over 150 million automotive queries every month in the U.S. Over 25 million of these queries are related to parts and service, and over 10 million are related to used vehicles. A dealer can leverage that knowledge to advertise used inventory and their service drive: the two most profitable areas of the dealership. Before long, a local dealer will be able to easily create a unique search ad for every piece of inventory — new and used — on the lot, rotating deals based on a user’s query. Additionally, that dealer can use search data to better understand user preferences in his market area to help drive inventory purchase decisions, lowering days to turn while increasing conversion rates.

What was once a source of apprehension can be turned into a smart and significant advantage in an increasingly competitive marketplace.

David Schwartz is senior category director, automotive, at Yahoo! http://www.imediaconnection.com/content/15506.asp