The Top Promotional Strategies for Car Dealerships

The Top Promotional Strategies for Car Dealerships

How do car dealerships attract customers?

Car dealerships are one of the most common businesses– every town has a dealership or two! Everyone needs a car, so getting people to notice your brand is the key to consistent business. So, how do car dealerships attract customers? Auto marketing has existed for some time, and various marketing methods have emerged. In this article, we'll explore the top methods for auto dealership marketing.

Marketing Car Dealerships

Car dealership marketing has existed for as long as dealerships have! The first dealerships were founded in 1897 and would become thriving businesses over the next few decades. Click here to learn more about the history of the auto industry! When dealerships began popping up nationwide, marketing to attract customers became vital.

Over the past century, dealerships have promoted themselves in many ways. Dealerships often promote themselves through platforms like radio, television, and newspapers. In the last decade, the internet has taken over, and online advertising is now a significant part of every dealership's marketing strategy. Other auto marketing tools include special customer programs, hosting community events, and the use of promotional products. Let's explore each of these methods in depth!

Conventional Advertising– TV, Radio, Newspaper

Historically, the most common way car dealerships advertise is through popular media– mainly radio, television, and newspaper commercials. Everyone has seen the typical dealership commercial: a local businessman standing in a lot full of cars, ushering you to "come on down!". In all seriousness, placing commercials in the newspaper or local TV station can help your dealership. Quality television ads have been known to produce 300%-500% returns on investment. With in-demand products like automobiles, the return can be even higher!

However, conventional media has dwindled with the rise of the internet. Many people have canceled their newspaper and cable subscriptions and listen to podcasts instead of the radio. As effective as conventional advertising has been, these forms are slowly on their way out.

Online Advertising

These days, 95% of people use the internet to get information when shopping for cars. Newspaper and TV advertising still exist, but this is the age of the internet shopper! Spending on online advertising has risen yearly for over a decade. In 2022, $566 billion was spent on digital advertising worldwide! As the internet gained users, more people turned to online platforms to look for cars. Dealerships need to expand their online presence in response! Every dealership needs a quality website where customers can browse inventory and access information, but online advertising is much more than that. There are three main areas to focus on with online advertising: social media, SEO, and video marketing.

Using Social Media for Car Sales

When building a brand, it's essential to have a strong presence on social media. You should frequently post about new inventory and events– this keeps your brand fresh in followers' minds. You can also purchase ads on social media platforms like Facebook, Instagram, and YouTube. You can ads optimize these ads for your area and target audience so only local consumers in the market for a car see your ads.

With social media, it's important to optimize your posting for specific platforms. Facebook should be an auto dealer's bread and butter. Dealership ads have a higher click-through rate than the average Facebook ad, so all dealerships should use Facebook for promotion!

Lots of younger people are leaving Facebook for Twitter and Instagram. You should use these networks to promote your brand as well! Focusing on specific keywords using hashtags is a great way to connect with potential car buyers. Twitter posts are shorter than Facebook posts, and Instagram posts should feature a striking image or video.

Video Marketing for Car Dealerships

Video marketing is crucial for modern dealerships! With more people going online to shop for cars, you need ways to make your dealership stand out. Creating engaging video content is an excellent way to accomplish that goal.

There are many types of video content you can produce in your dealership! The simplest form is to have salespeople take video walkarounds of your cars. Online clients will get familiar with your salespeople while having a chance to view a car's details. Another great idea for video content is salespeople introductions! Walk around the showroom and have each member of your team give a 10-15 second introduction, and compile these into one video.

Quality video content is perfect for dealership advertising in the digital age. Car shoppers can see the specific charm of your showroom, employees, and cars before they step foot on the lot! Creating this personal connection is an effective way to get customers in the door. Post your video content on Facebook, YouTube, Instagram, and Twitter to maximize its effectiveness!

Search Engine Optimization (SEO) for Auto Dealers

Refining your brand's SEO (search engine optimization) is critical to online sales. When customers think of buying a car, they'll likely turn to Google to search for dealers in their area. You're at a significant disadvantage if your dealership isn't near the top of the list!

SEO has many important elements. Some of the essentials include:

  • Creating valuable, SEO-friendly content focused on relevant keywords

  • Building backlinks

  • Optimizing your website for mobile devices

  • Claiming your business on Google

You can even use schema markup on your website! Schema markups are semantic tags and keywords added to a website's HTML. These tags can help Google understand the contents of your page and rank it higher!

Listing Cars on Digital Marketplaces

Another way to promote your cars is by using online marketplaces. Online marketplaces have become increasingly popular over the last decade. Since the COVID-19 pandemic, these marketplaces are even more popular! In the digital age, there are more platforms for automotive sales than ever. Creating a significant presence for your dealership on popular marketplaces is a must!

Dealerships can post their cars on sites like Facebook Marketplace, eBay, or Cars.com! Listing your inventory on multiple sites is a great way to boost your leads. When you post the same car in three or four different places, you significantly increase the car's chance of selling. Plus, you gain access to customers who might be trying to avoid the conventional dealership route.

Special Customer Programs

Another standard promotion for car dealers is using special programs for customers. The two most common programs used by dealerships are referral and incentive programs.

Most dealerships have some form of referral program. Referral programs reward customers for recommending your business to their friends or associates. Rewards can come in many forms, like cash rebates, free service, and discounts. These rewards are generally offered to the new customer and the person who made the referral.

Incentive programs are similar but remove the middleman. With incentive programs, dealerships offer rewards for engaging in business-building behaviors, like leaving reviews on social media or spending a certain amount of money.

Special customer programs are perfect when you need creative car sales. If you're having a slow month or can't get a particular car off the lot, creating some incentive programs will speed up business in no time.

Hosting Community Events

Hosting community events is one of the best ways to build strong local connections. Most car buyers choose a dealership based on reputation, and community involvement is a great way to bolster a reputation. Make sure you have a booth at local events like festivals and fundraisers! Participation in established community events will show your neighbors that you are the community's auto dealer.

You can also host events at your dealership! Food drives, toy drives, and other fundraising events will show that your dealership is a true community partner. Look to collaborate with local businesses for events whenever possible. You could partner with a shelter to host a pet adoption event or have local food trucks set up for a food truck festival! Whatever events you host, your community will recognize you as their neighborhood dealership.

Marketing With Dealership Promotional Products

Promotional products make a fantastic addition to any car dealership marketing campaign! Dealerships should always be looking to expand their brand visibility. The simplest way to do that is with custom promotional products! Custom license plate frames, tool kits, keychains, stickers, or office supplies with your logo are perfect for boosting brand recall.

You can use car dealership promotional items in tons of ways! Offer custom products as rewards for incentive programs, or hand them out at community events! You could even sell your custom products in a dealership store. No matter where your promotional products end up, they're a surefire way to attract customers.

Logotech is the number one provider of promotional products for car dealerships! We have all the custom products your dealership needs– custom license plate frames, keychains, stickers, car covers, ice scrapers, and much more. Our products are fully customizable, and our team is dedicated to creating a superior customer experience. Create an account on our website, and an account manager will contact you promptly.

Promoting Car Dealerships: The Bottom Line

In the auto industry, brand recall is everything. Being recognized as the community's local dealership is the quickest path to boosting sales. Modern dealerships do this in many ways. The oldest is conventional advertising, with mediums like the radio and television. Those mediums are being phased out by digital advertising, with search engines and social media leading the way. Incentive programs for customers are a great way to stimulate sales, and hosting community events shows your brand cares about the community. Custom promotional products can be incorporated with any marketing method and dramatically improve brand visibility.

Brand recognition is important in every industry, but it's crucial to car dealerships. Incorporate these car dealership advertising ideas on your lot, and your sales will skyrocket!