ROI

Don’t Put Your Newspaper Ad on TV

“Over the next three years, the biggest trend in our products will be the growth of video.”

-Mark Zuckerberg

If you’ve heard the news, many are proclaiming that Facebook is now even more pay-to-play than it already was. What do I mean? At one point, Facebook was raw and not filtered – you could view all content from everyone, just as with other sites, such as Twitter.

Then brand pages came along, interjecting branded messages if you liked their Facebook page. As more businesses hopped aboard, the user experience became more cluttered and viewers were presented with less of the content they really wanted to see.

With the introduction of boosted posts and Facebook ads, this paid-ad model has allowed Facebook to monetize the platform while giving advertisers a way to increase exposure. However, on January 11, Facebook announced that it will decrease brand exposure – even for paid advertisers – in order to “bring people closer together.” And marketers are scared.

Okay, so does this mean you as an advertiser should drop everything and abandon the platform as your content will now get less attention?

No, and here’s why: There’s a tip that came straight from the man himself, Mark Zuckerberg. Somewhat recently, Facebook began pushing publishers and businesses to post more video content – even going so far as to recruit celebrities and influencers to post their content natively to the site – and rewarding those that did with extended reach in newsfeeds. In fact, the preference for video continues to this day. And, as stated in the quote at the top of this blog, Mark Zuckerberg said it himself in Facebooks Q3 Earnings Call.

I would highly recommend that if your dealership is not yet regularly making and producing video content, you should make real plans to do so. Of course, if you are already spending money on Facebook to promote your content, you could continue to pay to promote that non-video content, but you’ll soon be paying more money to reach the same amount of people. Think of it this way, promoting non-video content on Facebook is like putting your newspaper ad on the TV as a 30-second static image!

The equalizer, it would seemor at least a competitive advantage is to utilize Facebook’s algorithm preference for video in your marketing and social content. It could be that video content – especially video that is engaging and prompts interaction is a lifesaver when it comes to connecting with your Facebook audience. If your dealership chooses to combine that video content with some sponsored posts, you could further increase engagement.

It’s becoming increasingly apparent that Facebook wants to be a platform of video content. They’ll reward you for doing it with increased exposure and, according to Mark Zuckerberg, it is the company’s focus for the next three years.

if you want to succeed in getting eyeballs on your message and engagement with your audience, video is no longer optional. So, go out and start making videos. That’s what your audience wants – and that’s what Facebook wants. Or become invisible. The choice is yours.

Social Listening and Quick Action = Video Marketing Gold!

All too often marketers find themselves with writer’s block, if you will, when it comes to new ideas. Short of spending a ton of money for an ad agency, businesses can still find opportunities to insert themselves into trending stories for little money… IF they act quickly. 

Case in point: On Nov. 2, 2017, a young aspiring videographer decided to use the power of video to help his girlfriend sell her car. What was so special about it? Nothing! It was a 1996 Honda Accord. But he created this incredibly clever, well filmed video advertising the vehicle. In fact, it was so clever that, to date, it’s received over 6.2 MILLION views. Yes, a video merchandizing a car went viral. Surprise! Videos sell cars.

You can watch the video here:

CarMax heard about this trending video and quickly jumped into action. They created a response video integrating the features and items for the 1996 Honda Accord and offered $20,000 for the vehicle (We all know that a 1996 Honda Accord with over 100,000 miles is not worth $20,000). This video also went viral because outside observers joined the ongoing story to see what would happen.

Here is the response video by CarMax:

At the end of the day, the videographer accepted CarMax’s offer and his girlfriend sold the car to them – minus the cat.

Why did this work so well for all parties involved; and why did anyone care?

When making the video of the1996 Honda Accord, the aspiring videographer took the time to tell the vehicle’s story. He created a high-quality video walkaround that was over-the-top in personality. The seriousness of his tone in the video essentially became its own character.

Of course, people loved it. But why? For someone to even take the time to make a video like this is itself entertaining. But the character and personality injected into the vehicle throughout the video captured a lot of people’s attention – and for something that’s normally not that attention-getting.

Video has the power to engage and hold an audience when it’s done rightand this videographer did it perfectly.

CarMax saw an opportunity to capitalize on a trending video in a humorous way. But, more importantly, in a way that supports their brand message – namely, that they buy cars. The video had a tongue-in-cheek style that was appreciated by the Internet citizens paying attention. While their video didn’t go quite as viral (only around 350,000 views), that is certainly more views than they were used to getting on any vehicle inventory video.

In the end, the lesson to be learned is that every car has a story, something that makes it unique, special, and desired by “someone”. But that story can only be told by making videos in a way that engagers viewers. Your video doesn’t have to reach 6.2 million people. It only needs to engage one. And when it does, you’ve done your job right.

Make videos infused with personality, which are also high quality, regardless of if you’re selling a Ferrari supercar, or a 1996 Honda Accord.

The second lesson to be learned is that there are marketing and branding opportunities all over the place. You can capitalize on these without much expense, and little effort. While you certainly shouldn’t try and jump on every trending piece of social media that’s gone viral, you should identify those that fit well with your dealership and brand message. The Internet can be very critical if it senses you’re out of character, or solely trying to get attention. Your Internet audience can, however, appreciate a clever response that’s in-character.

Take this as an example of how two videos of a 1996 Honda Accord engaged millions. Consider any opportunities you have at your dealership to improve the quality and engagement of your vehicles through video marketing. You may start seeing more engaged buyers which will translate into faster inventory turn and higher front-end revenues. And that’s what video merchandizing is all about.

The Dominance of Video Marketing for Business

As video continues its quick rise it has become the most engaged with and preferred type of content for consumers. Marketers have taken notice and are quickly pivoting their content efforts accordingly. A new study by Magisto reports that video marketing has already eclipsed all other content types and is now a $135 billion industry. To put that into perspective, the report shares that advertisers in 2017 “expect to spend $83 billion on digital ads and $71 billion on TV commercials.” 84 percent of marketers created more video in 2017, with 60 percent of businesses having video marketing that accounts for more than 25 percent of their marketing budget.  

Why is video so dominant as content? According to the study, “Done correctly, video has the scale of television, the precision of digital marketing and the power of authentic story. Businesses are using video to distribute their messages in ways that contribute real value to the attention economy…”  

Consumers prefer video content. Just look at the most popular websites – namely social media platforms such as Facebook and Instagram. Video content dominates consumers’ newsfeeds because that’s the type of content that Facebook sees is most engaged with. But don’t think this is all about social media. Magisto shares that by noon Pacific time every day, 120 billion emails are sent and 35 million photos uploaded to Instagram.  

Consumers are voting by their actions as far as the type of content they prefer — time spent on web pages with video averaged 7 minutes and 21 seconds. While time spent on pages without video was only 2 minutes and 48 seconds, according to a study by Wistia, which analyzed consumer behavior on the top 100 websites.  

Why is time on site important? The longer a consumer spends on your site, the more likely they are to convert. In fact, having video on a web page can increase conversion by up to 80 percent, making online shoppers being almost twice as likely to buy from that business! 

 Video content should not be something you are “considering.” That time has passed. It’s now only a matter of what kinds of video should be produced, and how your dealership should use it with your customers. Engaging consumers is the number one way to increase interest and steer them towards your dealership and away from the competition. Of course, if your competition is using video and you aren’t, chances are they are already taking away sales from you.   

Video marketing is not hard, nor is it expensive, it just needs to get done. It’s no longer whether you should be doing video, it is how much is it costing you NOT to? 

Five Critical Micro-Moments for a Successful Video Marketing Strategy

In a recent study titled “Winning the Moments Before Your Dealership,” Google outlined five critical moments buyers encounter on their online journey to your dealership. For any marketing strategy, ensuring that you are in front of potential customers is imperative to maximizing its effectiveness. The same goes for video marketing. In video marketing you have to ensure that you don’t fall into the trap of simply creating videos that are ineffective, which nobody will ever watch, or which are irrelevant to what you do. Knowing the type of video, along with the correct message that will attract customers and continue to guide them along the path which ends at your dealership, is what matters and will bring sales.

Google’s five critical micro-moments are decision-based and centered on where that buyer is in the car buying funnel.

They are:

  1. Which car is best?
  2. Is it right for me?
  3. Can I afford it?
  4. Where should I buy it?
  5. Am I getting a deal?

Understanding these micro-moments and applying them to broadcast video content so it engages customers, is something every dealership should do — not just for your video marketing, but for every digital marketing channel you participate in.

If you can tailor video to those moments you’re much more likely to guide customers down the “yellow brick road” that ends at your dealership, avoiding any encounters with the Wicked Witch (your competition), which could end badly for you (meaning your customer ends up at your competition).

For those of you that haven’t yet taken the plunge into video marketing, knowing HOW and WHAT TYPE of video content to produce, along with WHERE to put it, and WHY it’s important, will get you dealership off to a great start.

Of course, you won’t know what’s working and what’s not without the data to show you. We’re in an era of data-driven marketing and now have the information to make decisions based on real-time actions — to then take that data and entice and convince customers that, in each micro-moment, your dealership is the one they should choose.

And believe me, folks… it works.

Consumers today are far more likely to watch a video than they are to read or look at the 40 or more pictures a dealership has on its VDPs, whether that’s a vehicle walk-around, dealership introduction, or a personal branding video message. By simply HAVING video, you are ahead of the game. Through learning and embracing these micro-moments, along with producing relevant videos that are part of a larger video strategy designed to capitalize on these decision-making moments, you’ll be leaps and bounds in front of your competition.

Join me at the 22nd Digital Dealer Conference & Exposition on Wednesday, April 12th from 2:30-3:20 pm for my session, “Mastering Google’s Five Critical Micro-Moments with Video – Creating a “Video Marketing Strategy to Maximize the Effectiveness of ALL of Your Video Content and Deliver Measurable ROI through an Increase in Leads, Appointments, Shows and Sales.” I will show you how easy and inexpensive it is to enter the realm of video marketing. You will learn how to create a strategy and how to measure the results through accurate data while being relevant and engaging by incorporating Google’s five critical micro-moments. I look forward to seeing you in Tampa, FL.

The Most Important Metric In Gauging Video ROI

by Tim James

The question most pondered by businesses when advertising is perhaps the most important:

“What is my ROI?”

It doesn’t matter whether we’re discussing television ads, radio, 3rd party leads,

that gorilla on top of your building, or the contest you’re running on social media; all roads lead back to the ability to answer that one simple question. Dealers and their vendors use call tracking numbers, unique landing pages, and a plethora of reports to justify the monthly expense of any given marketing campaign. Some dealers swear that a product or service works, while others might complain that it does not.

In the case of video marketing, if you don’t believe or are unsure about its effectiveness, there’s one simple metric that you should take a look at:

Inventory turn.

You’re already keeping track of this. You know the average length of time a new or used car sits on your lot. You might even hold your used car manager accountable for this. This isn’t something that sits in the pile with all of the other reports. It’s something that is vital to the dealership’s profitability and, more importantly, the bottom line. Flooring costs can get quite expensive. The longer a car is kept in stock, the less profit it’ll make. In terms of time alone, that vehicle is depreciating daily. That’s where video marketing comes in. It can make your vehicle stand out and engage online shoppers better than any other form of media.

If you have a comprehensive video marketing strategy in place and are executing on that strategy (taking the videos, making them engaging, getting them on all of the key touchpoints), take a look at your inventory turn to gauge its effectiveness. What was it before video marketing? What is it now?

The bottom line is that any dealership marketing strategy has one simple goal: selling more cars. Video marketing done right will speed up your average inventory turn. And the ONLY way it can accomplish that is by bringing in more customers who are buying your vehicles more quickly. And that’s the only answer that matters.