1

1Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Digital Advertising What is It? How does it work? Why should dealers use it? How should we measure it?

As more money gets shifted from traditional offline advertising media into online interactive media, the ability to create a wide variety of consumer experiences around receiving a dealer’s message brings new possibilities. What are a few of these new ways for dealers to engage car buyers and how do we measure what messages are more effective than others?  This session will explore online advertising from the perspective of generating consumer engagement and creating a positive perception of the dealership. We will introduce the concept of Key Buying Activities (KBA) from a dealer perspective and how to track and measure them.  The session will showcase live web based presentations, URL’s and Passwords to access them so that participant can use these resources for meetings with their dealership teams, or simply take a second look at the information presented.

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2Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

ADP Dealer Services Director - Digital Marketing • Recognized industry expert in Automotive Digital

Marketing, Advertising, Lead Management Processes• Responsible for driving 144,000+ leads to single-point

Chevy dealer in 2 years and developing a team that sold 4,000+ Vehicles to Internet Leads in 2006.

• Strategic marketing planner and consultant to car companies, dealer groups and industry associations

• Deep history of developing Digital Marketing strategies and tactical CRM implementation blueprints for dealers and car companies

• Started generating Internet leads in 1988 using CompuServe ISP access and vehicle listings on defense contractor BBS’s in SoCal

Cell: 505.301.6369 ralph_paglia@adp.com

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3Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Getting Hotter 2009 Cooling Down

Digital Marketing Versus Buying Leads

Digital Advertising Versus Newspaper Advertising

Multiple Websites Versus Single Dealer Website

Multiple URL’s Versus A Single “Branded” URL

Transactional Websites Versus Online Billboards

Targeted Email Marketing Versus Bulk Broadcast Email

Online CTP Video Ads Versus Static Banner Ads

Behavioral Targeting Versus PPC Search Advertising

User Generated Content (UGC) Versus One-Way Communication

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4Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

1. Online Display Advertising– Publishers & Ad Networks

• Automotive Websites• Local Media Websites• National Websites

– Behavioral Targeting– Geotargeting– Contextual Targeting

2. Search Engine Advertising– CPC/PPC/Sponsored Links

3. Other Digital Advertising Media– Mobile Phone Ads– Social Media– Video Advertising *Return On Marketing Investment

Types of Digital Advertising

MEASURABLE

QUALIFIED TRAFFIC

EFFECTIVE TARGETING

COST EFFECTIVE ROMI*

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5Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Other17.6 hours

Newspaper,3.9 hours

Television16.4 hours

Internet 32.7 hours

Weekly Media Consumption Hours1(Total time spent using all media was

70.6 hours)

Internet

Television

Newspaper

Direct Mail/

Radio/Other

11.50%

19.50%

27.30%

28.30%

Percent of Advertising Spend2

Why does dealer advertising have less impact on showroom traffic in 2009 as it did in 1999?

1. IDC Study, U.S. Consumer Online Behavior Survey Results 2007 2. 2008 National Automobile Dealers Association Data

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6Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Source: DoubleClick Touchpoints III

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7Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Base: Total Respondents (550)Q8 About how long did you research vehicles on your own before you started visiting dealerships?

12%

23%34%

19%

8%4%

None

A week or less

More than a week but less than a month

1-2 months

3-6 months

Over 6 months

How long did you research before you started dealership visits?

The majority of consumers spend more than a week pre-shopping for dealerships before they step foot on your lot

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8Ralph Paglia; NADA 20 Group Webinar – February 18, 2009Media types vary in effectiveness at each

stage of the automotive sales funnel…

Consideration

Purchase

Awareness

Familiarity

Visit Dealer

Advertising Media Channels

TV

Ad

s

Ra

dio

Ad

s

Dig

ital Ad

ve

rtising

Ne

ws

pap

ers

Ou

tdo

or

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9Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Inte

rnet

Family

Friend

s TV

Mag

azine

Newsp

...

Radio

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

40.0% 35.3%

24.9%

13.4%

8.2%

4.4% 3.6%1.1%

“Which one of these information sources was most important when making decisions about buying your vehicle?”

R.L. Polk 2008

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10Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Digital Advertising Results

What expectations should dealers and managers have… Can Digital Advertising REALLY cure world hunger and stop the current recession???

Digital Advertising Measurement and Analysis

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11Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

This campaign ran for new pickup trucks across multiple states in the Southeastern USA. Conversion to a “Key Buying Activity” (KBA) is defined as “printing out a test-drive certificate.” As Figure 4 shows (next slide), Careers & Education generated the best blend of performance, including click-through and conversion rates… Dating & Social Networking was the highest-performing conversion category. Autos & Transportation had a conversion rate dramatically lower than the average of the campaign while the click-through rate was only slightly higher than the average. Here’s the point; guessing where in-market auto buyers can be found and sticking to that without looking at any campaign data will not lead to campaign success. The true benefit of this data for the dealer and his digital marketer is not only in understanding this campaign’s performance, but also in being able to use the data to more accurately target their online advertising investments going forward – both within the current campaign and future ones… By removing low performing categories, performance will increase.

Campaign Example #1 – Southeast USA; Pickup Trucks

Regional Truck Campaign #1 Click-Through & Conversion Rates by Site Category and Traffic

The size of the bubbles show the volume in terms of impressions served for each category… The placement of the bubbles represents performance in terms of click-through and conversion rates…The vertical dashed line represents the average click-through rate for the campaign.The horizontal dash line represents the average conversionrate for the campaign

Figure 4

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13Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Campaign ran for a full sized pickup truck in Texas. KBA Conversion defined as providing personal information to a dealer (Lead), or “watching the one minute and thirty second video in its entirety.” Figure 5 on next slide shows that Science and Nature performed better than other categories in clicks while Money & Finance outperformed all categories in conversions. This is interesting because Money & Finance is traditionally thought to be a fit for luxury vehicles, not full-size pickup trucks. Second, traditional thinking tells us that consumers within Money & Finance sites are “time-challenged”. Yet this group spent more time than any other group watching the video. Clearly, stereotypes continue to be challenged. Autos & Transportation sites performed below the campaign average both in terms of click-through and conversion rate. The assumption that a category consisting of automotive enthusiasts is the best way to reach consumers who are ready to buy a car within the next four or six weeks proves to be incorrect. These types of auto sites are sometimes even referred to as “in-market” sites when real campaign data continues to suggest that in-market buyers can be more successfully found on other sites in other categories.

Campaign Example #2 – Texas; Full-Size Pickups

The size of the bubbles representsthe volume in terms of impressions served for each category. The placement of the bubbles represents the performance in terms of clicks and post-click conversion rates…The vertical dashed line represents the average click-through rate for the campaign.The horizontal dashed line represents the average conversion rate for the campaign

Click-Through and KBA Conversion Rates by Category and Associated Volume

Figure 5

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15Ralph Paglia; NADA 20 Group Webinar – February 18, 2009What about the 80%? Primary ROMI is NOT from generating leads,

it’s about the customers who shop online, and then buy offline!

2004 2005 2006 20070%

20%

40%

60%

80%

Online New Car Shopper as % of Total Buyers

Email Lead Requestors as % of Total Buyers

64%

20%

67%

21%

68%

21%

71%

22%

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16Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

16,266 Online Car Shoppers driven to Dealer’s Sites in 4 months.

16,266 Online Car Shoppers driven to Dealer’s Sites in 4 months.

$1.90 Cost per Online Car Shopper that actually clicked through to Dealer’s web site

$1.90 Cost per Online Car Shopper that actually clicked through to Dealer’s web site

$1.51 Cost per 1,000 Online Car Shoppers that saw the Dealer’s advertisements

$1.51 Cost per 1,000 Online Car Shoppers that saw the Dealer’s advertisements

Online Car Shoppers saw Dealer’s Ads over 20 Million times in the same 4 months.

Online Car Shoppers saw Dealer’s Ads over 20 Million times in the same 4 months.

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17Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Impressions Generated How many times the ad was seen

Click Through Rate (CTR)# of Visitors to the dealer’s web sites, divided by Impressions Generated

Leads GeneratedLeads, Phone Calls & Showroom Visits attributed to ad campaign

Vehicles Sold Units Sold to Leads Generated

Campaign CostTotal dollars spent buying placements or clicks for Ad Campaign

Cost per 1,000 Impressions (CPM)

Campaign Cost divided by Impressions Generated multiplied by 1,000

Average Cost per Unique Visitor Campaign Cost / Unique Visitors (or clicks) by referring URL (Omniture)

Average Cost per KBA Campaign Cost / KBA’s Generated

Advertising Cost PVR Campaign Cost / Vehicles Sold

What to measure with Digital Advertising Campaigns

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18Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Example: Digital Ad Campaign Metrics & Analysis•33,257,657 Impressions Generated – How many times the ad was seen•29,528 Click Throughs - Visits to the dealers web sites, landing pages and micro sites•2,248 Leads Generated - Electronic Leads and Phone Calls Generated•174 Vehicles Sold – You know what this means! Counts Phone & Internet, but NOT showroom

•$71,801.30 Campaign Cost

– How much spent on Ad Campaign

•$2.16 Cost per Thousand (CPM)

- How much to get 1,000 Impressions

•$2.43 Average Cost per Site Visitor

•$31.94 Average Cost per KBA/Lead

•$412.65 Average Cost PVR

(compares to $610 YTD)

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19Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Average monthly total vehicle sales for year prior to starting digital advertising was 144. Since starting with digital advertising sales have averaged 178 units per month. 24% growth in sales volume attributed to increased showroom traffic, phone calls and Internet leads from digital ad campaigns. Dealer’s CRM tool shows a 22% average increase in showroom traffic. Toll Free Ad Tracking reports show 24% increase in phone calls, with increased call volumes coming in from dealer web site. Dealer web site Internet leads have increased 33% since starting digital advertising campaigns. Dealer invoicing from ADP Digital Advertising Program using campaign examples above is:

Digital Advertising Media Purchases……..……..………..$ 5,495.21

Media Management Services…...………...………………..$ 1,099.04Account Services……………………………………………..$ 495.00

----------------Total Digital Ad Invoice………………………………………$ 7,089.25Net Cost Per Site Visit Generated…………………………..$ 1.80Net Cost Per Thousand Ad Impressions…………………..$ 0.78

Average monthly total vehicle sales for year prior to starting digital advertising was 144. Since starting with digital advertising sales have averaged 178 units per month. 24% growth in sales volume attributed to increased showroom traffic, phone calls and Internet leads from digital ad campaigns. Dealer’s CRM tool shows a 22% average increase in showroom traffic. Toll Free Ad Tracking reports show 24% increase in phone calls, with increased call volumes coming in from dealer web site. Dealer web site Internet leads have increased 33% since starting digital advertising campaigns. Dealer invoicing from ADP Digital Advertising Program using campaign examples above is:

Digital Advertising Media Purchases……..……..………..$ 5,495.21

Media Management Services…...………...………………..$ 1,099.04Account Services……………………………………………..$ 495.00

----------------Total Digital Ad Invoice………………………………………$ 7,089.25Net Cost Per Site Visit Generated…………………………..$ 1.80Net Cost Per Thousand Ad Impressions…………………..$ 0.78

REPORT:ACCOUNT:DATE RANGE:

Campaign Impressions Clicks CTRAvgCPC

AvgCPM Cost

AvgPosition

Ford - San Diego +75 miles Keyword 213,362 243 0.11% $1.88 $2.14 $456.23 2.90ABC Motors Ford - National Keyword 48,800 116 0.24% $0.51 $1.21 $58.86 4.30Site Category Targeted Ads - SoCal 298,946 89 0.03% $1.12 $0.33 $100.05 1.00Display Ads - SD Site Targeted 627,813 163 0.03% $1.23 $0.32 $200.14 1.10ABC Motors Ford - SD Keyword 73,034 125 0.17% $2.06 $3.52 $256.94 3.00Ford Price Quotes - SD Keyword 5,270 1 0.02% $0.00 $0.00 $0.00 4.90ABC Motors - San Diego Keyword 366,616 884 0.24% $1.45 $3.49 $1,279.29 2.50Ford Price Quotes - SoCal Keyword 12,950 16 0.12% $1.10 $1.36 $17.61 3.00ABC Motors - San Diego Site Targeted 5,995,252 1,954 0.03% $1.14 $0.37 $2,229.96 1.00Ford Models - SD Keyword 27,632 56 0.20% $1.85 $3.76 $103.79 2.50Referral Bonuses - SoCal Site Targeted 730,581 98 0.01% $1.59 $0.21 $155.33 1.00Video Ads - SD Site Targeted 34,859 2 0.01% $26.30 $1.51 $52.60 1.10Southern CA Geo - Keyword 30,209 153 0.51% $2.96 $14.97 $452.14 3.10Video Ads SD - Keyword Contextual 103 0 0.00% $0.00 $0.00 $0.00 1.300% APR 60 Months - CPC Site Targeted 613,971 47 0.01% $2.81 $0.22 $132.27 2.10

Totals and Overall Averages: 9,079,398 3,947 0.04% $1.39 $0.61 $5,495.21 2.32

Monthly Combined Digital Ad Campaign SummaryDigital Advertising Example Case Study #2 - Actual ResultsNovember, 2007

REPORT:ACCOUNT:DATE RANGE:

Campaign Impressions Clicks CTRAvgCPC

AvgCPM Cost

AvgPosition

Ford - San Diego +75 miles Keyword 213,362 243 0.11% $1.88 $2.14 $456.23 2.90ABC Motors Ford - National Keyword 48,800 116 0.24% $0.51 $1.21 $58.86 4.30Site Category Targeted Ads - SoCal 298,946 89 0.03% $1.12 $0.33 $100.05 1.00Display Ads - SD Site Targeted 627,813 163 0.03% $1.23 $0.32 $200.14 1.10ABC Motors Ford - SD Keyword 73,034 125 0.17% $2.06 $3.52 $256.94 3.00Ford Price Quotes - SD Keyword 5,270 1 0.02% $0.00 $0.00 $0.00 4.90ABC Motors - San Diego Keyword 366,616 884 0.24% $1.45 $3.49 $1,279.29 2.50Ford Price Quotes - SoCal Keyword 12,950 16 0.12% $1.10 $1.36 $17.61 3.00ABC Motors - San Diego Site Targeted 5,995,252 1,954 0.03% $1.14 $0.37 $2,229.96 1.00Ford Models - SD Keyword 27,632 56 0.20% $1.85 $3.76 $103.79 2.50Referral Bonuses - SoCal Site Targeted 730,581 98 0.01% $1.59 $0.21 $155.33 1.00Video Ads - SD Site Targeted 34,859 2 0.01% $26.30 $1.51 $52.60 1.10Southern CA Geo - Keyword 30,209 153 0.51% $2.96 $14.97 $452.14 3.10Video Ads SD - Keyword Contextual 103 0 0.00% $0.00 $0.00 $0.00 1.300% APR 60 Months - CPC Site Targeted 613,971 47 0.01% $2.81 $0.22 $132.27 2.10

Totals and Overall Averages: 9,079,398 3,947 0.04% $1.39 $0.61 $5,495.21 2.32

Monthly Combined Digital Ad Campaign SummaryDigital Advertising Example Case Study #2 - Actual ResultsNovember, 2007

Case Study #4: Dealer name and URL’s changed to protect confidential marketing strategy.

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20Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

ACCOUNT:DATE RANGE:CAMPAIGNS:

Campaign Ad Group Impressions Clicks CTR

AvgCPC

AvgCPM Cost

AvgPosition

National Search - ABC Ford ABC Ford Since 1965 373,651 94 0.03% $0.73 $0.18 $69.01 3.4National Search - ABC Ford Ford-USA.com 216,607 423 0.20% $0.45 $0.89 $192.30 4.3ABC Motors Ford - SD ABCFordSanDiego.com 41,010 255 0.62% $2.31 $14.34 $588.07 3.9ABC Motors Ford - SD SanDiegoFordFocus.com 4,420 3 0.07% $0.68 $0.46 $2.05 4.6ABC Motors Ford - SD SDFordExplorer.com 3,918 1 0.03% $0.79 $0.20 $0.79 2.7ABC Motors Ford - SD SDFordMustang.com 89,405 124 0.14% $2.91 $4.04 $361.24 2.5ABC Motors Ford - SD SDFordExpedition.com 10,822 6 0.06% $2.54 $1.41 $15.26 2.6ABC Motors Ford - SD SanDiegoFordF150.com 30,012 36 0.12% $2.14 $2.57 $77.17 3.4ABC Motors Ford - SD SDFordEscape.com 29,296 30 0.10% $2.19 $2.24 $65.58 3.8ABC Motors Ford - SD SanDiegoFordFusion.com 35,120 73 0.21% $2.15 $4.46 $156.72 2.4ABC Motors Ford - SD SanDiegoFordF250.com 6,782 22 0.32% $3.01 $9.77 $66.26 3.2ABC Motors - SD+75 miles SD-Ford.com 14,014 27 0.19% $1.24 $2.38 $33.35 3.5ABC Motors - SD+75 miles Pick a Ford - FordDirect 43,510 45 0.10% $1.09 $1.13 $49.07 2.6ABC Motors - SD+75 miles GetPreapprovedInSeconds 42,331 97 0.23% $0.79 $1.80 $76.17 2.6ABC Motors - SD+75 miles Ford.com RequestAQuote 39,958 216 0.54% $1.86 $10.07 $402.48 2.8ABC Motors - SD+75 miles San-Diego-Ford.com 19,727 60 0.30% $1.51 $4.58 $90.31 3.9ABC Motors - SD+75 miles SDWheels-Ford.com 95,448 156 0.16% $1.65 $2.70 $257.34 2.8ABC Motors - SD+75 miles SoCal-Ford.com 154,110 124 0.08% $1.83 $1.47 $226.80 3ABC Motors - SD+75 miles SD-Ford-Mustang 44,762 144 0.32% $2.22 $7.14 $319.41 1.9ABC Motors - SD+75 miles SDFordExpedition.com 22,491 42 0.19% $2.27 $4.24 $95.31 2.5Ford Price Quotes ABC Ford Price Quote 16,530 7 0.04% $0.00 $0.00 $0.00 3.7

1,333,924 1,985 0.15% $1.58 $2.36 $3,144.69 3.3Overall Online Totals and Averages:

ABC Motors Case Study - Actual Numbers - Name, Location and URL's ChangedOct-07All Keyword and Site Targeted Campaigns by Ad Group

ACCOUNT:DATE RANGE:CAMPAIGNS:

Campaign Ad Group Impressions Clicks CTR

AvgCPC

AvgCPM Cost

AvgPosition

National Search - ABC Ford ABC Ford Since 1965 373,651 94 0.03% $0.73 $0.18 $69.01 3.4National Search - ABC Ford Ford-USA.com 216,607 423 0.20% $0.45 $0.89 $192.30 4.3ABC Motors Ford - SD ABCFordSanDiego.com 41,010 255 0.62% $2.31 $14.34 $588.07 3.9ABC Motors Ford - SD SanDiegoFordFocus.com 4,420 3 0.07% $0.68 $0.46 $2.05 4.6ABC Motors Ford - SD SDFordExplorer.com 3,918 1 0.03% $0.79 $0.20 $0.79 2.7ABC Motors Ford - SD SDFordMustang.com 89,405 124 0.14% $2.91 $4.04 $361.24 2.5ABC Motors Ford - SD SDFordExpedition.com 10,822 6 0.06% $2.54 $1.41 $15.26 2.6ABC Motors Ford - SD SanDiegoFordF150.com 30,012 36 0.12% $2.14 $2.57 $77.17 3.4ABC Motors Ford - SD SDFordEscape.com 29,296 30 0.10% $2.19 $2.24 $65.58 3.8ABC Motors Ford - SD SanDiegoFordFusion.com 35,120 73 0.21% $2.15 $4.46 $156.72 2.4ABC Motors Ford - SD SanDiegoFordF250.com 6,782 22 0.32% $3.01 $9.77 $66.26 3.2ABC Motors - SD+75 miles SD-Ford.com 14,014 27 0.19% $1.24 $2.38 $33.35 3.5ABC Motors - SD+75 miles Pick a Ford - FordDirect 43,510 45 0.10% $1.09 $1.13 $49.07 2.6ABC Motors - SD+75 miles GetPreapprovedInSeconds 42,331 97 0.23% $0.79 $1.80 $76.17 2.6ABC Motors - SD+75 miles Ford.com RequestAQuote 39,958 216 0.54% $1.86 $10.07 $402.48 2.8ABC Motors - SD+75 miles San-Diego-Ford.com 19,727 60 0.30% $1.51 $4.58 $90.31 3.9ABC Motors - SD+75 miles SDWheels-Ford.com 95,448 156 0.16% $1.65 $2.70 $257.34 2.8ABC Motors - SD+75 miles SoCal-Ford.com 154,110 124 0.08% $1.83 $1.47 $226.80 3ABC Motors - SD+75 miles SD-Ford-Mustang 44,762 144 0.32% $2.22 $7.14 $319.41 1.9ABC Motors - SD+75 miles SDFordExpedition.com 22,491 42 0.19% $2.27 $4.24 $95.31 2.5Ford Price Quotes ABC Ford Price Quote 16,530 7 0.04% $0.00 $0.00 $0.00 3.7

1,333,924 1,985 0.15% $1.58 $2.36 $3,144.69 3.3Overall Online Totals and Averages:

ABC Motors Case Study - Actual Numbers - Name, Location and URL's ChangedOct-07All Keyword and Site Targeted Campaigns by Ad Group

Average monthly sales prior to starting digital advertising was 62. Since starting digital advertising, sales have averaged 75 units per month. 21% growth in sales volume attributed to increased showroom traffic, phone calls and Internet leads from digital ad campaigns. Logs show 33% increase in showroom traffic. Phone Tracking reports show 38% increased call volumes coming in from dealer web site. Dealer website leads have increased 50% since starting digital advertising campaigns. Dealer invoicing from the ADP Digital Advertising Program for Dealers using campaign examples shown above is as follows:

Digital Advertising Media Purchases……..……..………$ 3,144.69Media Management Services…...………...……………..$ 628.94Account Services…………………………………………..$ 495.00

----------------Total Digital Ad Invoice……………………………………$ 4,268.63Net Cost Per Site Visit Generated……………………….$ 2.15Net Cost Per Thousand Ad Impressions………………..$ 3.20

Average monthly sales prior to starting digital advertising was 62. Since starting digital advertising, sales have averaged 75 units per month. 21% growth in sales volume attributed to increased showroom traffic, phone calls and Internet leads from digital ad campaigns. Logs show 33% increase in showroom traffic. Phone Tracking reports show 38% increased call volumes coming in from dealer web site. Dealer website leads have increased 50% since starting digital advertising campaigns. Dealer invoicing from the ADP Digital Advertising Program for Dealers using campaign examples shown above is as follows:

Digital Advertising Media Purchases……..……..………$ 3,144.69Media Management Services…...………...……………..$ 628.94Account Services…………………………………………..$ 495.00

----------------Total Digital Ad Invoice……………………………………$ 4,268.63Net Cost Per Site Visit Generated……………………….$ 2.15Net Cost Per Thousand Ad Impressions………………..$ 3.20

Case Study #5: Dealer’s name, location and URL’s changed to protect confidential marketing strategy.

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21Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

“Our experience with using Digital Advertising has been nothing short of fantastic. We have used Online Advertising and Radio Campaigns to blanket our market area with great success…

From January 21, 2008 to February 29, 2008, we used Digital Audio Campaigns to run 1,184 radio spots that aired on 24 stations in our market… These radio ads have aired during peak drive times from 6am to 7pm weekdays and cost a fraction of what we usually have to pay.

At the same time we ran an online advertising campaign that produced 2,492 visitors to our website and generated 20,774,648 Impressions. “

- Darin WadeGeneral Manager Rich Ford - Albuquerque, NM

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22Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Digital Advertising Examples:

Search Engine Advertising

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23Ralph Paglia; NADA 20 Group Webinar – February 18, 2009Google Search Engine Advertising

Also called Cost-Per-Click (CPC) andPay-Per-Click (PPC), Google calls Search Ads: “Sponsored Links”

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24Ralph Paglia; NADA 20 Group Webinar – February 18, 2009Yahoo! Search Engine Advertising

Also called Cost-Per-Click (CPC) andPay-Per-Click (PPC), Yahoo calls their Search Ads:“Sponsored Results”

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25Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Sponsored Links (paid search listings) are displayed at top and right side of search results page…

Sponsored Links (paid search listings) are displayed at top and right side of search results page…

Ford Dealer listings on local search maps are shown when a community name is used in

search query…

“Local Business Results”

Ford Dealer listings on local search maps are shown when a community name is used in

search query…

“Local Business Results”

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27Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Organic (free) web site Links are listed in the middle/left/lower section of the search query results page…

Organic (free) web site Links are listed in the middle/left/lower section of the search query results page…

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28Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Display Advertising

on Consumer Facing Websites

Digital Advertising Examples:

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29Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

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30Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

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31Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

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32Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

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33Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

• Types of Online Advertising Buys:

– Pay for Placement by Time (fixed monthly fee)

– Pay per Click (PPC or CPC)– Pay per Thousand Impressions

(CPM)– Pay per Conversion (CPA)

Leads & Calls Generated

• How to Get it Done:– In-House: Do It Yourself – 2 Day Digital Advertising

Setup and Training Visit – ADP Digital Advertising

Program for Dealers – Other SEM Service Providers &

Ad Agencies– Tier 2 Dealer Advertising

Association– OEM Digital Ads

How does buying Digital Advertising work?Can dealers use online ads to drive Traffic?*

*Traffic = Showroom, phone and visits to your web sites

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34Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Digital Advertising

Results

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35Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

In Dallas, TX we used Digital Advertising to drive traffic to CBS’s DFWvehicles.com to supplement their TV, Radio and Outdoor advertising campaigns that utilized their own media channels… Exceptionally high click-through rates reflect the synergies achieved with Integrated Marketing campaigns that utilize on and offline media

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36Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

In less than an hour, we set up Site Targeted Online Display Ads, Search Engine Ads, Radio Ad Campaigns on 24 stations, and a Saturday/Sunday Full Page Newspaper Ad Campaign…

In less than an hour, we set up Site Targeted Online Display Ads, Search Engine Ads, Radio Ad Campaigns on 24 stations, and a Saturday/Sunday Full Page Newspaper Ad Campaign…

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37Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Digital Ad Media Purchases…………………$ 6,389.72Media Buying Service.…………...…………..$ 1,277.94Account Services……………………………..$ 495.00 ----------------Total Digital Ad Invoice…………….……$ 8,162.66

Net Cost Per Thousand Impressions…$ 0.31Net Cost Per Visitor……………………...$ 2.13

Digital Ad Media Purchases…………………$ 6,389.72Media Buying Service.…………...…………..$ 1,277.94Account Services……………………………..$ 495.00 ----------------Total Digital Ad Invoice…………….……$ 8,162.66

Net Cost Per Thousand Impressions…$ 0.31Net Cost Per Visitor……………………...$ 2.13

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38Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

Digital Advertising Campaigns (Feb 1- Mar 31) = Same Days Tracked

Website 800 Sales Line = 492 total Calls

75% Increase in Sales CallsFrom Dealer Web Site

75% Increase in Sales CallsFrom Dealer Web Site

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39Ralph Paglia; NADA 20 Group Webinar – February 18, 2009

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Three ways that we can help:1. Sell you a a rod and reel2. Teach you how to fish3. Cook dinner for you

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