Who Else Wants To Increase Their Direct Mail Promotion Using the Internet?
A new research project sponsored by “Black Book” revealed that 72 percent of all franchise auto dealerships plan to increase spending on their websites over the next 12 months. To help accomplish this task, dealers reported that they plan to reduce spending on sales events, traditional direct mail and customer loyalty rewards programs in the next year. As you look deeper into this new research project, they found that 75 percent of auto dealers said they will remain constant or increase their investment in Internet leads generated by third-party providers during the same time frame.
Traditional advertising of all types is expected to decrease. Study results revealed that 20 percent of dealers will reduce spending on radio advertising, where 44 percent of dealers said they will decrease display and classified newspaper advertising. Additionally, 58 percent plan increases in direct email promotions of online inventory to prospective customers in 2008, according to the research project.
New car buyers find the internet to be one of the most helpful media sources for information throughout the entire car-shopping process, dwarfing traditional media. According to officials, the Internet is second only to the dealer visit, where car shoppers can interact with and test drive a vehicle, as the overall most useful source of information throughout the entire car seeking experience.
“As an industry, we’ve got to do a better job of giving customers online access to the information they want. The manufacturer, dealer groups and dealerships should be directing more of their informational advertising to the Internet because that’s where the customers are focusing their attention,” stated.
Interestingly, 2006 National Automobile Dealers Association data indicated (more…)
