Digital Dealer - April 2020 - 26
MARKETING & ADVERTISING
Analysis
By
Alex Russo
Director of Product Management,
CDK Global
What's Next in Tier 2 Advertising?
Making the Case for
"Direct-to-Dealer"
>
I am hearing many dealers
questioning the digital strategies
used by their agencies and vendors
in the Tier 2 advertising space.
Given the history of Tier 2, and how
much these programs have changed in
recent years, I'm not surprised by the skepticism. That said, I believe in the power of
Tier 2 advertising. And, with some strategy
changes, dealers would start to believe in
it as well.
When Tier 2 advertising was originally
developed, traditional television was the
main media channel, and television drove
how Tier 2 was set up. Tier 2 advertising
started as a way to buy local television
spots that might not have been available
to individual dealerships, which is why this
26
[ d i g i t a l d e a l e r. c o m ]
tier is often organized around Nielsen's
Designated Marketing Areas (DMAs).
Over the years, as digital became a more
important advertising channel, some ad
budgets moved from television to digital.
As a result, the structures and strategies
from Tier 2 television buys moved to
digital, too. Dealers and OEMs still pooled
their budgets to make a single media buy
in a DMA. However, digital advertising
is a different beast from television. We
all expect more from digital advertising
that television cannot provide, such as
hyper-local targeting and more granular
reporting of performance.
Given the large budgets in Tier 2, many
dealers feel the standard approaches in
digital aren't working. For one, dealers
have little or no transparency in the
performance. Most Tier 2 digital campaigns include the market's name, some
region-specific offer, and the ad clicks
to a Tier 2 portal site. These campaigns
are relevant to local shoppers, aligned
well with the existing television creative,
and are easy to execute. However, these
ads drive traffic to a Tier 2 portal, not a
dealer's website. Dealers measure their
digital performance through their website. If you're landing shoppers on a Tier
2 portal, it's hard for a dealer to see (or
feel) the impact their advertising dollars
are making.
Also, I've noticed that shoppers receive
a questionable experience from digital
campaigns that drive traffic to a Tier 2
April 2020
http://www.digitaldealer.com
Digital Dealer - April 2020
Table of Contents for the Digital Edition of Digital Dealer - April 2020
Digital Dealer - April 2020
Up To Speed|Tech, Dealer News, & People On The Move
Direct From Facebook |Q&A With Facebook
Fixed Operations Fundamentals That Drive Critical Service Customer Retention
Succession Planning Estate Taxes - Still A Problem For Succession
Buy/Sell The 2019 Buy/Sell Market In Review And Expectations For 2020
Branding Sorry, Your Customers Aren't Buying It
Analysis What’s Next In Tier 2 Advertising? Making The Case For “Direct-To- Dealer”
Process & Performance Why Sales Efficiency Needs To Be Your Mantra In 2020
Branding When Dealership Leads Aren’t Enough To Make Your Month
Customer Retention Turbocharge Your Owner Retention Program (Orp) Marketing
Website Less Is More: Optimizing Websites Through Design
Seo/Sem Google Changes The Google My Business Rules For Car Dealers
Digital Retail Lessons From Amazon: How Dealers Can Avoid Becoming The Next Blockbuster
Industry Happenings |Nada 2020 - A Quick Look Recap
Fixed Operations Trading Dollars For Service And Trading Service For Dollars
Digital Dealer - April 2020 - CT1
Digital Dealer - April 2020 - CT2
Digital Dealer - April 2020 - Digital Dealer - April 2020
Digital Dealer - April 2020 - Cover2
Digital Dealer - April 2020 - 1
Digital Dealer - April 2020 - 2
Digital Dealer - April 2020 - 3
Digital Dealer - April 2020 - 4
Digital Dealer - April 2020 - 5
Digital Dealer - April 2020 - Up To Speed|Tech, Dealer News, & People On The Move
Digital Dealer - April 2020 - 7
Digital Dealer - April 2020 - Direct From Facebook |Q&A With Facebook
Digital Dealer - April 2020 - 9
Digital Dealer - April 2020 - Fixed Operations Fundamentals That Drive Critical Service Customer Retention
Digital Dealer - April 2020 - 11
Digital Dealer - April 2020 - Succession Planning Estate Taxes - Still A Problem For Succession
Digital Dealer - April 2020 - 13
Digital Dealer - April 2020 - Buy/Sell The 2019 Buy/Sell Market In Review And Expectations For 2020
Digital Dealer - April 2020 - 15
Digital Dealer - April 2020 - 16
Digital Dealer - April 2020 - 17
Digital Dealer - April 2020 - 18
Digital Dealer - April 2020 - 19
Digital Dealer - April 2020 - 20
Digital Dealer - April 2020 - 21
Digital Dealer - April 2020 - 22
Digital Dealer - April 2020 - 23
Digital Dealer - April 2020 - Branding Sorry, Your Customers Aren't Buying It
Digital Dealer - April 2020 - 25
Digital Dealer - April 2020 - Analysis What’s Next In Tier 2 Advertising? Making The Case For “Direct-To- Dealer”
Digital Dealer - April 2020 - 27
Digital Dealer - April 2020 - Process & Performance Why Sales Efficiency Needs To Be Your Mantra In 2020
Digital Dealer - April 2020 - 29
Digital Dealer - April 2020 - Branding When Dealership Leads Aren’t Enough To Make Your Month
Digital Dealer - April 2020 - 31
Digital Dealer - April 2020 - Customer Retention Turbocharge Your Owner Retention Program (Orp) Marketing
Digital Dealer - April 2020 - 33
Digital Dealer - April 2020 - Website Less Is More: Optimizing Websites Through Design
Digital Dealer - April 2020 - 35
Digital Dealer - April 2020 - Seo/Sem Google Changes The Google My Business Rules For Car Dealers
Digital Dealer - April 2020 - 37
Digital Dealer - April 2020 - Digital Retail Lessons From Amazon: How Dealers Can Avoid Becoming The Next Blockbuster
Digital Dealer - April 2020 - 39
Digital Dealer - April 2020 - Industry Happenings |Nada 2020 - A Quick Look Recap
Digital Dealer - April 2020 - 41
Digital Dealer - April 2020 - Fixed Operations Trading Dollars For Service And Trading Service For Dollars
Digital Dealer - April 2020 - Cover3
Digital Dealer - April 2020 - Cover4
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