Federation of Motor and Credit Companies Association of Malaysia president Datuk Tony Khor Chong Boon said there was a surge in demand for used cars in the third quarter of 2020. Among others, he attributed the increase to “the accelerated digitalisation of automotive e-commerce trading platforms.” This shows that automotive dealers must embrace digitalisation, or risk going out of business.
Almost all customers would conduct their pre-purchase research online. By the time that they come to you, chances are, they already know which car they want to drive home. But if you are not part of their online conversation, they would probably never come your way.
The precision required to generate prospects for automotive companies explains why the cost-per-lead for automotive is the second highest for Facebook ads. If you’re not maximising this powerful platform, and are only depending on luck for prospects to find you, then you’re toast.
Generating online leads for automotive is both easy and difficult. It’s easy because customers are willing to buy, but difficult because it requires a precise targeting.
Here are 3 ways to target prospects for automotive with precision:
Target audience with custom audience
Imagine that you are selling a sports coupe. If you target a high-income father who wants an SUV, it won’t work. If you target a high-income father who has just bought his coupe, it won’t also work. And if you target a low-income father who aspires to own a coupe, this, too, won’t work.
None of the above would work because targeting for automotive ads requires pinpoint precision. Consider using Facebook custom audience or click here to find out about other methods to improve your ad targeting.
Keep cost-per-lead low
To keep your cost-per-lead low, avoid “audience overlap.”
Audience overlap occurs when your ads compete against each other, thereby resulting in poor-performing ads and higher cost-per-lead.
Consider Ahmad, a dealer for Perodua Myvi, Axia and Bezza. To boost his sales for each model, he simultaneously runs three sets of ads to the same audiences. To his dismay, two of the ads perform badly based on the leads received. To add salt to the wound, he has to pay more for fewer leads.
Ahmad’s mistake is avoidable. Click here to learn how to avoid audience overlap.
Improve customer service response time
Customers expect a swift response to their question.
Imagine that you have Eileen, a perfectly-matched prospect, who, after viewing your ad, is highly interested in buying a car from you. To know how she can book a test drive, she messages your sales team via WhatsApp. But as your team is overwhelmed by messages from other prospects, Eileen only gets a reply 3 days after her message is sent. At that point, she has done a car test drive with another dealer.
Avoid losing prospects. Click here to learn how to improve your customer service response time.
Final thoughts
We believe that with the right tools, you can get more people to buy your cars. Let us help you do that with our automation software.
