If you’ve been putting more money into digital ad space lately, you are right on target for one of the best channels in the auto industry. The spending trend looks like it’s going to continue to rise for digital marketing but how can you be sure that your ROI (return on investment) is on track?
Using the Right Metrics
There is a direct correlation between the increased spending on digital marketing and the need for a more thorough analysis of how effective those dollars actually are. You can’t just use intermediate metrics to measure effectiveness anymore.
It is important to see solid analytics that prove the connection between the action you take with your ads and the direct outcomes. You need to analyze the actions users take online and how they relate to what they do offline, such as coming to the lot, inquiring about various vehicles and making a purchase.
Getting Support From Big Players
The auto industry spent close to $8.5 billion on digital marketing in 2016, according to eMarketer, which is about 16 percent more than the year previous, so the trend is continuing to grow. To help figure out the digital marketing ROI, several companies, including BlueKai and Nielsen, are bringing solutions to assist.
One of the biggest success stories comes via Oracle Data Cloud, which has a partnership with Polk and its massive list of vehicle owners. They have been able to help OEMs, publishers and agencies in the auto industry identify delivered impressions in digital marketing to the vehicles on the lot.
If there is a sales bump, digital marketers and data analysts are able to measure it with advanced metrics. And thanks to the key players helping with new technology, the industry is ever closer to gaining the true effectiveness of their efforts/dollars. In fact, the way data analysts in the auto industry report on their campaign success or failure are now significantly altered, helping to change the way marketing service providers communicate with their clients.
The Auto Industry Will Continue to Pay Big for Marketing
Entrepreneur Magazine found the auto industry to be one of the top five in terms of seeing positive impacts of digital marketing. Flashy ads on television, big spreads in newspapers and slick magazine advertisements were an important part of the industry. Yet digital marketing has become one of the most valuable channels for an increased ROI.
With improved analytics to prove a positive digital marketing ROI, this method looks like it will continue to be one of the top channels for years to come.