More than 50 percent of U.S. automotive advertising spend goes to traditional, untargeted TV — well above the global industry average across all categories — even though consumers are spending more time on mobile devices than on traditional TV consuming content from a variety of social platforms and streaming apps. Furthermore, less than 5 percent of households in a local market are serious about buying a new or used vehicle, so finding them requires more data-driven science to succeed.
“The opportunity to leverage data and science to drive sales more efficiently is here,” said Alex Vetter, chief executive officer of CARS, whose brands include Cars.com, Dealer Inspire and DealerRater. “We are in an era of opportunity where dealers and OEMs can take advantage of the most pure, comprehensive in-market car-shopper data, intelligent solutions and advanced technology platforms to drive some of the most efficient and effective advertising this industry has ever seen. CARS is committed to delivering connected technology solutions like FUEL IMV to attack inefficiencies for automotive advertisers and fuel sales and dealer profits.”
FUEL IMV gives OEMs and dealers the opportunity to harness the untapped power of digital video — which is predicted to increase at a rate of 19 percent to $4.8 billion in the automotive space by 2023 — by leveraging Cars.com’s 23 million monthly shoppers, 82 percent of whom are in-market to buy.
“TV advertising is dated and inefficient compared to where users spend their time” said Dean Evans, executive vice president of CARS. “Automotive advertisers relying on linear TV to generate traffic are wasting money by directing 95% of their spend towards those not in the market to buy a car, and therefore not getting the returns they deserve. FUEL IMV is the antidote to smarter automotive marketing that could eliminate the massive waste while yielding the same or better results.”
A recent FUEL IMV pilot revealed positive outcomes for a Hyundai dealership in the Atlanta metro area. During the test, the dealership saw a 153 percent increase in new users on its website, a 31 percent increase in organic traffic and a 180 percent increase in referral traffic from social media as a result of the new digital video campaign.
Key features of FUEL IMV include: