Notifications & Messages

Jared Hamilton
From: Jared Hamilton
Hey - It’s time to join the thousands of other dealer professionals on DrivingSales. Create an account so you can get full access to the articles, discussions and people that are shaping the future of the automotive industry.
×
JD Rucker

JD Rucker Founder

Exclusive Blog Posts

How to Draw in Traffic With Video Marketing

How to Draw in Traffic With Video Marketing

After quickly rising to the top of the charts, YouTube has become one of the the most popular of any website online. It makes sense for any marketer to use…

5 Tips on Delegating Tasks to Underperforming Employees

5 Tips on Delegating Tasks to Underperforming Employees

No matter how carefully you hire or how well you manage your human resources, some employees simply don’t perform to the level you want them to. They…

Most Valuable Insight Finalist - Doug Van Sach

Most Valuable Insight Finalist - Doug Van Sach

Prioritize Your Prospects: Uncover Clues to Predict Who Will Buy Next Each year, the average customer test drives fewer vehicles. Given the fewer opport…

What to Expect as Driverless Cars Go Mainstream

What to Expect as Driverless Cars Go Mainstream

While the era of driverless vehicles is rapidly approaching, there is still a great deal of confusion and speculation regarding the full impact and the…

5 Ways to Upsell Without Sounding Like a Pushy Car Sales Rep

5 Ways to Upsell Without Sounding Like a Pushy Car Sales Rep

One of the keys to making a profit is the upsell. If you want to claim a heftier commission, upselling is a necessity. However, upselling is an art that sa…

Should Dealers Target Everybody or a Selection of Buyers with their Advertising?

Casting the Net

At first glance, it's an easy question with an instant answer. Car dealers want to target everyone within driving distance with their message. As Ripley said in Aliens, "It's the only way to be sure."

Upon closer examination, problems start to pop up. Even if we assume that "everybody" is actually a large portion of the audience (since you can't reach everybody from a literal sense), there are still holes in the strategy. Those who have extremely large marketing budgets could do it, but even then they really shouldn't. Here's why:

  • At any given moment at most 3% of the adult driving population is in or near the market for buying one of your vehicles and that's if you have a very popular brand. For many brands it's under 1%.
  • Reaching all of them requires large mass-media buys and a shotgun approach. Based upon diminishing returns, the second $10,000 can be less effective than the first, the third $10,000 will be less effective than the second... etc.
  • Targeting is getting much, much easier today than it was even 2 years ago. This trend is only going to continue.
  • Targeted messaging isn't just about being smart with your money. It allows (forces?) a dealership to be more focused on getting the right messages out to specific targets and through individual venues rather than a bulk message or singular slogan approach.
  • Most dealers and nearly all vendors confuse marketing with advertising. More importantly, they confuse marketing with branding, PR, and buzz. There are big differences and diverse approaches to achieving a brand expansion. It should not be the only focus in true marketing.

These really are just the tip of the iceberg when discussing the merits of targeting versus mass messaging. I talked about it in much more detail on our blog.

The best part about working in the car business today is that every dealership, big or small, has tools through which to hit the right people with the right message. It comes down to proper targeting which is getting better all the time.

Chris K Leslie
The only way I can think of that a targeted approach can really work is if within that 3% market. The demographics of that 3% remain the same month after month. The problem I face in Las Vegas is that it does not, whatsoever. In short our buyer persona's vary each month solely because the groups of people that make up the 3% aren't the same. This month we could win big with young families. Next month it could be baby boomers. So if I take the traditional marketers approach and analyze the data to better inform my decisions tomorrow I could potentially be wasting all of my budget on a section of the market that is no longer in the market this month. It reminds me of when you scream out someones name cause you think they're in the other room but they're standing right next to you.
DJ Snyder
Great article JD. I like to use L’Oréal as an example. L’Oréal as a group advertises to everyone. However the brands they own like Kiehls and Armani target to a more specific client. in other words our Dealer Group targets everyone, while out Land Rover store sends out the right message at the right time to the right people...

 Unlock all of the community & features  Join Now