3 Ways Dealers Can Use Video Advertising to Reach Customers

February 15, 2019

Video Advertising for AutomotiveVideo advertising is proving to be a powerful sales tool for dealerships. As shoppers take more of their buying journey online and out of the showroom, dealers need to do the same to win their business.

Today, automotive brands are spending more and more on digital ad campaigns that don’t drive bottom line results. However, recent studies have proven that is not the case with video advertising. In fact, YouTube is now one of the most influential platforms for car buyers; and studies show that 89 percent of consumers prefer video over other ad experiences. Recent Google studies also show that video enjoyment can increase purchase intent by 97 percent, and brand association by 139 percent.

Of course, to be effective these ads need to provide relevant and engaging experiences for viewers. The ads that perform the best target in-market shoppers with information on vehicles or features tailored to their interests and online behavior. For instance, if someone in your area is looking at new and used Honda Civics online, serving that viewer with an ad for the Honda Odyssey would be pointless. Just imagine if one of your sales people did that on the lot. We all know how that would turn out, so why would you do it with your advertising?

Looking at the numbers, it is clear that video is a critical tactic for engaging car buyers and winning their business. That said, here are three ways you can use video to reach in-market shoppers and drive them to your dealership.

Bumper Ads

YouTube has become a big part of the car shopping experience. Consumers watch videos to evaluate model features and influence their final purchase decision. Just like Pre-roll ads, Bumper ads are a phenomenal way to reach high potential shoppers when they are already engaged. The key difference between pre-roll and Bumper ads is the fact that users can’t skip ahead to their content after 2-3 seconds. They have to complete the six-second ad before their video will start.

Here’s one example of how you can use Bumper ads effectively: If someone is looking for new Honda Civics online, you can use a bumper ad to educate the viewer about the new 2019 Honda Insight and the latest enhancements they should know about. Research shows that after watching online videos, 61 percent of shoppers went looking for more information and 37 percent searched a dealer’s inventory.

In-display Video Ads

In-display ads appear to viewers alongside other videos and in search results pages. Considering that YouTube is the second most popular search engine, and the third most visited website on the internet, there’s definitely value in getting as much exposure on this platform as possible.

In addition to YouTube, these ads can also be used in the Google Display Network (GDN) to match your dealership with low-funnel, high probability shoppers. These ads are effective because they are deployed based on location and behavioral triggers, which means you are much more likely to reach the right buyers with the most relevant message.

To get the best results, and the most mileage from these ads, you can promote model-specific features, virtual test drives and relevant incentives when possible.

In-stream Video Ads

Facebook now offers in-stream video ads to advertisers on its platform. These ads are placed in live-stream and on-demand videos on mobile, and can be 5-15 seconds long. Your dealership can optimize these campaigns to drive video views, brand awareness, reach and engagement. Better yet, you can also intentionally exclude your ads from appearing in specific video categories or with certain publishers that don’t align with your brand image.

Just like any other Facebook ad campaign, these ads can be hyper-targeted to reach specific audience segments. And since they are audience-based, even people watching the same video will see different ads tailored to their interests.

Since launching last year, Facebook has reported that its in-stream ads deliver an average on-target rate of 89 percent, with more than 70 percent of the ads watched to completion. Considering the popularity of live and on-demand videos on Facebook, in-stream ads represent a huge opportunity for your dealership to get the right message to the right shoppers at the right time.

Want to Learn More?

Click here for more information on video advertising and ways you can use it to reach new customers.


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