Auto dealerships budget and spend, on average, close to 1% of sales on advertising and other marketing efforts. It may not seem like a large expense, but in a volume-intensive industry, the amounts can be extraordinary. So is your dealership getting the most bang for your buck? Are your efforts being concentrated in the appropriate manner to reach the right audience?
In 2014, the millennial generation made up 27% of total new vehicles sales in the United States. This is no surprise, as vehicle manufacturers continue to build cars that are targeted to this generation. But, does your dealership have a marketing plan to reach this group of consumers? Here are a couple of things to consider:
Marketing Tips for your Dealership
Is your dealerships website mobile friendly? How are the loading times? Many consumers in the millennial generation spend a considerable amount of their time shopping on internet. In this scenario, they are researching vehicles, scouring local dealerships’ inventory and searching for the best deals. Oh and by the way, if your website does not load in 3 – 5 seconds, chances are millennials have moved on to your competitor’s site.
How is your dealership’s social media presence? Do you have specific efforts to flood the social media channels? What is your dealership’s response to negative consumer experiences that may be shared on social media? These can be easy avenues to market, but you need to ensure that you have a plan. And not to mention, social media advertising can be much cheaper than running ads in the local newspaper, at sporting events and on television.
So, as we get ready to move in 2016, now may be the time to re-evaluate how your dealership plans to spend advertising and marketing dollars. In order to properly reach the millennial generation, your dealership may want to consider hiring a millennial to head your dealership’s social media marketing efforts. In may be just worth it if this generation is going to account for a quarter of your sales in 2016 and the years to come.
You’ve heard our thoughts… We’d like to hear yours
The Schneider Downs Our Thoughts On blog exists to create a dialogue on issues that are important to organizations and individuals. While we enjoy sharing our ideas and insights, we’re especially interested in what you may have to say. If you have a question or a comment about this article – or any article from the Our Thoughts On blog – we hope you’ll share it with us. After all, a dialogue is an exchange of ideas, and we’d like to hear from you. Email us at [email protected].
Material discussed is meant for informational purposes only, and it is not to be construed as investment, tax, or legal advice. Please note that individual situations can vary. Therefore, this information should be relied upon when coordinated with individual professional advice.
Learn more about how private colleges and universities tackled the Coronavirus pandemic and maintained consistent operating cash flow margins consistent with years prior and how federal aid to many colleges and universities helped boost performance amid the decline in fiscal 2020 operating revenues. ...