Dynamic inventory advertising lets you target potential customers with unique, model-specific ads featuring in-stock inventory and up-to-date pricing. The results? Better click-through-rates and more conversions. And less stress that you’re wasting ad spend dollars promoting inventory that you don’t currently have. Here are a few ways car dealerships can use dynamic advertising to convert more leads.
Historically, ads were pretty generic, with options for personalization limited at best. But today, all that’s changed. Today’s consumers expect personalization from their social media feeds, search results, and online advertisements. Auto dealerships can take advantage of dynamic advertising solutions to provide customers with the personalized experience they want, while also generating more high-quality leads for their business.
What Is Dynamic Inventory Advertising?
Dynamic inventory advertising allows you to create personalized ads at scale. With dynamic ad technology, you can run ads for individual vehicles and target ready-to-buy shoppers with relevant messaging that features pricing and incentive-based ad copy and creative. These personalized ads are part of dynamic remarketing campaigns, where users who previously visited your website are served ads that include the exact vehicles or services they showed interest in.
What Dynamic Inventory Advertising Solutions Are Essential for Auto Dealerships?
Dynamic Inventory Search Ads
Dynamic inventory search ads feature inventory information that’s updated in real-time when a user performs a model-specific search to ensure that the ads users are viewing are relevant and always up-to-date. There are a number of different inventory features that can be included at any given time including price, stock, savings off MSRP, and lease rate. By using dynamic inventory search ads, we’ve observed a 17% increase in CTR over standard search ads.
Dynamic inventory search ads can be deployed for used inventory advertising as well. With used inventory, we take it a step further and actively enable and pause keywords based upon the inventory you have on your lot. If you get a new unit on the lot, we’ll enable the appropriate make and model keywords and feature specific pricing and stock information for the vehicle(s) in the ad copy. As soon as that unit sells, we’ll pause all keywords associated with that model to ensure there are no wasted ad dollars being spent on already-sold inventory.
Dynamic Inventory Display Ads
Dynamic display remarketing allows you to target previous visitors to your website with ads that contain the exact inventory they viewed. A tracking pixel that is placed on your website builds an audience of shoppers who have interacted with your site, including what pages they’re visiting, how long they’re browsing, and other intent data. Using that information, dynamic ads are personalized to each shopper with up-to-date inventory details based on their specific browsing history. When a user clicks on a dynamic display ad, they are taken to the exact vehicle detail page they’re interested in.
Because they’re relevant to each shopper, dynamic display ads can dramatically impact the ROI of your ad campaigns. In our work with auto dealers, dynamic remarketing campaigns have a +108% improvement in conversion rate and a +18% reduction in cost per conversion compared to standard remarketing.
Dynamic Inventory Video Ads
Dynamic inventory video ad tech syncs with the inventory on your website, using live data to refresh your video content at scale. This cuts down on manual video production time and significantly reduces costs for dealerships. It also ensures that you see better results from your video advertising campaigns. In our experience, dynamic video ads generate more views and higher-quality website traffic. Plus, viewers who then perform high-funnel searches have a 30% higher CTR.
With dynamic, inventory-specific videos for all new models, you can run precision-targeted remarketing and buying intent campaigns to reach low-funnel shoppers. Because you only pay when viewers click on or watch the entirety of your ad, dynamic YouTube campaigns are highly cost-effective. Cost-per-view varies by dealership, campaign type, and targeting, but in our work with auto dealers dynamic video has an average cost-per-view of around $0.03.
Dynamic Inventory Facebook Ads
Recent improvements to inventory-based catalog ads have made dynamic Facebook advertising especially effective for auto dealerships. By linking your vehicle inventory feed to a Facebook catalog, you can create ads with a rotating carousel that include vehicle descriptions, up-to-date pricing, and more.
Use these ads to bring users back to your website by targeting shoppers with VIN-specific ads that directly link them to the appropriate vehicle detail pages on your website. Thanks to Facebook’s robust targeting options, you can capture low-funnel leads with a 2x higher click-through-rate (CTR), 47% lower CPC, and 3.4x more conversions.
Put Dynamic Inventory Advertising to Work at Your Dealership
When users are presented with ads tailored to their true interests, dynamic campaigns result in more clicks and a higher conversion rate. If you’re not already allocating budget to dynamic advertising as a part of your digital marketing strategy, you could be leaving money on the table.
At Adpearance, we’re committed to improving the customer experience while also thinking about your bottom line. We’re always testing new digital strategies, refining our dynamic ad technology, and improving conversion results for dealers. To learn more about the dynamic advertising solutions that are right for your business, sign up for a free digital analysis.