Dealer advertising workshop kelley blue book e networking session v5


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Dealer advertising workshop kelley blue book e networking session v5

  1. 1. Ralph PagliaDirector - Digital Marketing ADP Dealer Services<br />• How to use digital marketing tools to buy Internet, radio, and TV advertising more cost-effectively than ever before <br />
  2. 2. INTRODUCTIONS: Ralph Paglia<br /> ADP Dealer Services<br /> Director - Digital Marketing<br /> OEM and National Accounts<br /><ul><li>Recognized industry expert in Automotive Digital Marketing, Advertising, Lead Management and CRM Process design
  3. 3. Responsible for driving 144,000+ leads to single-point Phoenix dealer in 2 years and developinga team that sold 4,000+ cars to Internet Leads in 2006.
  4. 4. Strategic marketing planner and consultant to car companies, dealer groups and national enterprise automotive organizations
  5. 5. Deep history of developing Digital Marketing strategies and tactical CRM implementation blueprints for dealers and car companies
  6. 6. Managed first retail automotive pilot program for Google Audio while in beta testing while at Courtesy Chevrolet in 2005, 2006 and 2007
  7. 7. Started generating Internet leads in 1988 using CompuServe ISP access and vehicle listings on defense contractor BBS’s in SoCal </li></ul>Ralph Paglia Cell: 505.301.6369 <br />
  8. 8. What are many ISM’s seeking?<br />Respect and Relevance within the Dealership<br />Credibility with DP, GM and Management Team<br />Recognition of Professionalism and Skill sets acquired<br />Logical Allocation of Budget and Resources needed to get results<br />Tools Needed and the freedom to use them when appropriate<br />Self Actualization from being giventhe control to achieve results<br />Respect from Sales Managers<br />Is this how they seethe ISM in your store?<br />
  9. 9. Poll: Dealers scrounge for cuts<br />Retailers slash costs by cutting staff, inventory, vendors and advertising<br />David KushmaAutomotive NewsApril 14, 2008<br />“Many dealers say they are reducing — or even eliminating — their advertising budgets and shifting ad spending online from print, broadcast and outdoor outlets.”<br />
  10. 10. Why is the Auto Industry shifting billions away from traditional media into online digital advertising strategies and media? <br />Source: Polk Center for Automotive Studies<br />
  11. 11. Today’s Biggest Dealer Advertising ChallengeOverspending on Newspaper, Radio, Outdoor & Mail Relative to Usage<br />The Average Car Dealer’s Advertising Spend Does Not Match The Car Buying Consumer’s Media Consumption Behaviors…<br />Average Dealer Advertising Spendvs.Consumer Media Consumption<br />Dealer Ad Budget Efficiency Gap<br />Source: NADA<br />
  12. 12. Marketing & Sales Funnel Still Exists<br />The Goals<br /><ul><li>Make them aware of your vehiclesand dealership
  13. 13. Show them that your model and dealership is for them
  14. 14. Convince them to consider your model and dealership
  15. 15. Convince them to shop your dealership
  16. 16. Convince them to purchase your vehicle </li></ul>Awareness<br />Familiarity<br />Consideration<br />Visit Dealer<br />Purchase<br />
  17. 17. “I’m gonna get me one today… Oh Yeah!”<br />
  18. 18. Different media channels are more effective at distinct stages of the shopping funnel<br /> Marketing Channel<br />TV Ads<br />Radio Ads<br />Digital Advertising<br />Outdoor<br />Awareness<br />Familiarity<br />Consideration<br />Newspapers<br />Visit Dealer<br />Purchase<br />
  19. 19. Integrated Marketing Use Multiple Media Channels to Communicate the Same Messaging More Effectively<br />
  20. 20. “Selling a car is just like fishing, Wilbur…”<br />
  21. 21. Digital Marketing and Advertising Examples<br />
  22. 22. Google search query used from a Phoenix location… “phoenix ford dealers”<br />
  23. 23. SponsoredLinks (paid search listings) are displayed at top and right side of search results page…<br />
  24. 24. Ford Dealer listings on local search maps are shown when a community name is used in search query…“Local Business Results”<br />
  25. 25. Organic (free) web site Links are listed in the middle/left/lower section of the search query results page…<br />
  26. 26. Display Advertising Placed on Targeted<br />Websites to Appearwhen a dealer’s<br />Local Consumers<br />Visit Them<br />
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  31. 31. Ford Dealer Display Advertisement placed on site<br />
  32. 32. Ford Dealer Display Advertisement placed on 2009 Ford F-150 section inside<br />
  33. 33. Offline Media Trends…Striving To Become More Like Web Advertising Trends<br /> Emulate Web Advertising Strategies in Selected Areas<br /><ul><li>Explosion ofonline content
  34. 34. Advertisers can’t find shoppers
  35. 35. Publishers can’t find advertisers</li></ul>Viewership<br />“Publisher”<br />
  36. 36. Available through Digital Advertising Program from ADP Dealer Services<br />
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  38. 38. Do you advertise in San Francisco?Reach more San Francisco customers by advertising in newspapers! We've made it easy to choose from 20 San Francisco area newspapers (from the San Francisco Chronicle to the El Mensajero). Create an ad in minutes, and set a price that's right for you. Learn more | Dismiss this message<br />
  39. 39. Get local with Google Print AdsTrying to reach customers in Phoenix? We have 14 Phoenix area newspapers from the Arizona Republic to the Navajo-Hopi Observer. We'll even help design and run a newspaper ad campaign with you, based on your goals! Learn more | Dismiss this message<br />
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  46. 46. “Help! Help! This Guy’s trying to rob me…”<br />
  47. 47. Re-activate Google Audio Ads.Since you last advertised with Audio Ads, we've introduced new tracking and targeting features. Now you can track phone calls, website traffic, conversions, revenue, and more metrics generated by your radio campaign. You can access over 1600 FM and AM radio stations, including stations in local regions as well as Top 10 stations in the largest US markets. Get help from an Audio specialist | Dismiss this message<br />
  48. 48. Why would a Digital Marketing Guy get excited about Google Audio?<br />Radio Advertising is an effective complement to Online Advertising<br />
  49. 49. Tracking the conversation started by Radio Advertising… to the Web!<br />
  50. 50. Google Audio provides dealers with the ability to make real-time changes, allowing dealers to better manage ad campaigns<br />
  51. 51. Google Audio provides dealers with more control over their use of radio advertising <br />
  52. 52. Google Audio provides dealers with true integrated marketing capabilities…<br />
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  56. 56. Buying Radio Spots in Phoenix, we ran 4,961 Thirty Second commercials at a total cost of $10,635 resulting in a cost per spot at less than $2.15 each… The equivalent average cost per spot buying the same Dayparts and reach through local radio media salespeople would have been over $50 per spot… How can that be? <br />
  57. 57. When we check on Albuquerque for Rich Ford, we find 24 Radio Stations have provided Google with direct access to On-Air inventory…<br />
  58. 58. What would be available to Rich Ford if we wanted all the inventory we could get, running Radio Spots 24 hours a day, bidding on a $5.00 CPM listeners basis?<br />
  59. 59. Running Radio Spots 24 hours a day, we would pay $1.59 on a CPM basis to get 8,042 30 second spots on 24 radio stations at atotal campaign cost of $10,611… This comes out to a net cost of$1.32 per Spot<br />
  60. 60. What if we Ran Rich Ford’s Radio Spots ONLY DURING PRIME DRIVE TIME, Monday through Friday, paying on a CPM basis… On 24 Albuquerque & Santa Fe Radio Stations?<br />How Many Prime Drive Time Spots can we get, and at What Cost per Spot on Local Radio Stations?<br />
  61. 61. Running Radio Spots ONLY DURING PRIME DRIVE TIME, on 23 Radio Stations in Albuquerque/Santa Fe market, paying on a $2.13 CPM basis, we estimate that the dealer would get 3,335 spots at a $8,932 total campaign cost, which comes out to $2.68 Average Cost per Prime Drive Time Spot… Dealer currently pays over $85 for equivalent spots through historical sales channels<br />
  62. 62. Normally we would check the box “I already have an ad” and then upload our 30 second radio spots to be pushed directly into each stations rotation software and then broadcast… But, when I first prepared these slides, I still needed to get the spots (and permission) from Dennis Snyder at Rich Ford!<br />
  63. 63. We saved the campaign and went to Dennis Snyder to supply the 30 second spots he wanted to run so we can upload them into the ADP Digital Advertising system and pull the trigger…<br />
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  76. 76. New York<br />New York Metro<br />“Wide Open”<br />
  77. 77. New York<br />New York Metro<br />“Wide Open”<br />
  78. 78. New York Metro<br />“Wide Open”<br />
  79. 79. Boston<br />Boston Metro<br />“Wide Open”<br />
  80. 80. Boston Metro<br />“Wide Open”<br />
  81. 81. Philadelphia<br />Philadelphia Metro<br />“Wide Open”<br />
  82. 82. Philadelphia Metro<br />“Wide Open”<br />
  83. 83. 100%Weekday/Drive<br />Dayparts<br />Philadelphia Metro<br />
  84. 84. …Back to the Campaign Summary Screen, we see that bidding on local newspaper advertising is also available…<br />
  85. 85. Digital Marketing Print Ads… Let’s see if we could save Rich Ford any money on buying newspaper display ads.<br />
  86. 86. In this initial section, we are going to check for any newspapers in Rich Ford’s market area that may have signed up to participate in this program...<br />
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  88. 88. A step-by-step process allows us to select the section of the newspaper we would like our advertisement to appear in…<br />
  89. 89. Next, we select the size of Newspaper Ad we want to run. In this case we know that Rich Ford likes to own the whole page<br />
  90. 90. We bid on the Saturday editions…<br />We bid on the Sunday editions…<br />
  91. 91. In this example, $951.85 on Saturday<br />(we “low balled” the newspaper bid)<br />At $1,324.92 for a Full Page,<br />we low balled the Sunday bid as well.<br />
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  93. 93. Next, we enter a short description, then save the Newspaper campaign...<br />
  94. 94. Just like the Radio campaign, we get a summary description and links to edit the Newspaper campaign later on...<br />
  95. 95. In less than an hour, we set up Site Targeted Online Display Ads, Search Engine Ads, Radio Ad Campaigns on 24 stations, and a Saturday/Sunday Full Page Newspaper Ad Campaign…<br />
  96. 96. In Dallas, TX we used Digital Advertising to drive traffic to CBS’s to supplement their TV, Radio and Outdoor advertising campaigns that utilized their own media channels… Exceptionally high click-through rates reflect the synergies achieved with Integrated Marketing campaigns that utilize on and offline media<br />
  97. 97. Dealership<br />Results?<br />
  98. 98. Rich Ford Digital Advertising Implementation<br /><ul><li> Digital Audio Campaigns (local radio)
  99. 99. Site Placement Targeted Campaigns
  100. 100. Keyword Search Advertising Campaigns</li></ul>Albuquerque - Santa Fe, NM MarketJanuary, February and March 2008<br />Ford Dealer Pilot & Proof Of Concept<br />Digital Campaigns Managed by:<br />Ralph Paglia<br />Director – Digital Marketing<br />Ford/ADP Digital Advertising Team<br />
  101. 101. ADP Digital Advertising for Dealers<br />Case Study #1 – Paid Search and Web Site Display Advertising <br />Digital Ad Media Purchases…………………$ 6,389.72<br />Media Management Services…...…………..$ 1,277.94<br />Account Services……………………………..$ 495.00<br /> ----------------<br />Total Digital Ad Invoice…………….……$ 8,162.66<br />Net Cost Per Thousand Impressions…$ 0.31<br />Net Cost Per Visitor……………………...$ 2.13<br />PLEASE NOTE: Case Study, your results will vary because no two advertising campaigns generate identical results!<br />
  102. 102. ADP Digital Advertising for Dealers <br />Case Study #2 – Digital Audio Campaigns (Local Radio) <br />Local Radio Station Media Purchases………$ 7,453.32<br />Media Management Services…...……….…..$ 1,490.66<br />Account Services………………………….…..$ 495.00<br /> ----------------<br />Total Digital Ad Invoice…….………$ 9,438.98<br />Net Cost Per Drive Time Spot……..$ 5.80<br />Net Cost Per 1,000 Listeners………$ 3.27<br />PLEASE NOTE: Case Study, your results will vary because no two advertising campaigns generate identical results!<br />
  103. 103. PLEASE NOTE: This Case Study is being used as a real world example, your results will vary from these because no two advertising campaigns generate identical results!<br />
  104. 104. Rich Ford Results <br />Previous Month before Digital Ad Campaigns (Nov 21-Dec 29) = Same Days Tracked<br />Website 800 Sales Line = <br />272 Total Calls<br />PLEASE NOTE: Case Study, your results will vary because no two advertising campaigns generate identical results!<br />
  105. 105. 75%<br />Increase in Sales Calls<br />From Dealer’s Web Site <br />Rich Ford Results <br />Digital Advertising Campaigns(Jan 21-Feb 29) = Same Days Tracked<br />Website 800 Sales Line =<br />476 total Calls<br />
  106. 106. Rich Ford 2008 Results:<br />#1 in sales volume for their region in February 2008<br />January-February 2008 Sales Performance: <br />120 TOTAL NEW CARS 31.9%increase from 2007<br />217 TOTAL NEW TRUCKS2.8%increase from 2007<br />PLEASE NOTE: Case Study, your results will vary because no two advertising campaigns generate identical results!<br />
  107. 107. Digital Marketing Call To Action<br /> Go to and get a no-charge Search Marketing Analysis sponsored by the ADP Digital Marketing Team… An ADP Digital Advertising Team specialist will review results with you.<br />PLEASE NOTE: Case Study, your results will vary because no two advertising campaigns generate identical results!<br />
  108. 108. Why do we ask dealers to register at before we recommend any digital advertising?<br />The ADP Digital Advertising Program is designed to leverage each dealer’s existing search engine rankings by researching the “organic” or natural listings that dealers do not pay for, before buying any paid search listings. By first testing the most important search words and phrases, the relevant keywords used by local in-market car buyers that already show the dealer prominently listed, can be excluded from those that the dealer pays for. This strategy allows ADP to bid on only the most effective keywords that the dealer is not already getting for free, then shift the remaining budget to display advertising on web sites used by the dealer’s local customers. Eliminating the practice of bidding on the wrong keywords or Geotargeting outside the dealer’s effective market area allows ADP to provide dealers with a blended online advertising approach that maximizes the showroom, phone and dealer website sales opportunities generated. <br />
  109. 109. Thank You for Attending the KBB eNetwork Brunch!<br />Three ways that ADP can help:<br />Sell you a a rod and reel (Tools)<br />Teach you how to fish (Assistance)<br />Cook dinner for you (We do it for you)<br /><br />Ralph Paglia<br /><br />Cell: 505-301-6369<br />www.AutoDigitalMarketing.comForum: Presentation File Exchange<br />