Facebook advertising underused by dealerships

Car dealers are not making the most of e-CRM opportunities, with nine out of ten still failing to advertise on Facebook.

Marketing Delivery, a firm that specialises in helping car dealerships with their e-CRM efforts, says that only ten per cent of dealerships are currently using Facebook advertising as part of their marketing mix. The firm says that actively advertising is the only way that dealers can access the 40 per cent of users who never 'like' pages on Facebook. Simply having a Facebook page is no longer enough and to make use of this unique opportunity, dealers need to be paying for advertising on the social networking site.

"Facebook advertising allows dealers to profile and engage directly with all relevant users according to their location and what they currently drive, as well as by their search preferences when they look for a new car – right down to vehicle marque and model." This is according to Marketing Delivery's managing director, Jeremy Evans.

Dealers who have a strong marketing mix and who invest heavily in e-CRM are likely to attract more buyers and may wish to increase stock as a result. Having the latest models on your forecourt could be a great selling tool, or opportunity for promotion. However, it's vital to update your new and used car dealership insurance to include all your new stock.

Evans claims that Facebook advertising can work out much cheaper than other tools such as Google AdWords, and is very effective at establishing a dealer's online presence. He stated: “Facebook provides one of the best platforms for customer engagement at a local level, and advertising on it can allow dealers to target the right people with the right marketing messages at the right time."