First, let’s look at the landscape of media advertising in 2011; Then find out how your strategy fits and, more importantly, how you maximize the ROI of your advertising within these metrics.
According to Carat, a leading independent media communications agency, total advertising spending in the United States will increase by 1.7% in 2011. “It is expected that all the media will grow again, with the exception of the newspaper industry, which, along with magazines, should be the worst result. The two biggest growth areas are the Internet and television, followed by radio, outdoor advertising and film. The Internet still accounts for a higher percentage of media received in 2010 from 11.3%, rising to 12.1% in 2011.”
The trend towards mobile smartphones to communicate with mobile people is hard to overestimate.
Now, given this landscape, I want to ask you the following questions:
What is your advertising strategy for 2011?
Do you have a plan to minimize advertising or waste leakage?
Do you have an integrated multimedia advertising strategy for ALL your media channels to maximize the number of ads, potential customers, and conversions?
Do you have a strict follow-up mechanism, do you know which channel has the best ROI and, more importantly, are you adapting quickly to changing responses, potential customers, and conversion models?
Despite the changing demographic landscape and advertising spending, many car dealers continue to spend most of their advertising dollars on television, newspapers and radio. It is true that the Internet gets a large share of the current advertising budget, but there is NO INTEGRAL strategy to minimize leaks or loss of advertising.
Each month, the average car dealership spends about $50,000 on advertising, and the average car dealership uses a mix of television, newspapers and magazines, radio, direct mail and the Internet for advertising. The main and critical question is how all these channels are combined to resemble the circle in which EVERY channel provides entry to another and confirms the message of the brand that the dealership wants to convey.
In my opinion, the most effective integrated advertising strategy in terms of ROI must include the following elements and the right online platform to ensure transparent execution:
Television: You’re already spending money here, so be sure to add your number, information on your website for free and ask viewers to comment on your keyword with a short code.
Newspapers and magazines, radio and direct mail: phone number, website and short keyword code are important here. Keep in mind that responding to your short keyword code will allow you to direct customers to your mobile website, YouTube and social networking sites via smartphone.
Your website is on the Internet: it should be well planned, easy to navigate and optimized for SEO. Don’t forget the call to action for your keyword shortcode.
SMS marketing platform (subscription): If you don’t have one, you’re missing a HUGE part of your potential audience. For people on the go you can instantly hand out coupons, discounts, contests and rewards.
Automatic advertising on YouTube and on social media: your presence in this space without much effort and resources is important. Linking to other strategies gives maximum results.
The ability of an automated mobile website: it is important in today’s smartphone environment and for reaching millennials.
Tracking and measurement: With a single keyword with a short code for each ad channel, you can track responses, potential customers, conversions, and current value to customers. It also allows you to see which channel represents the most effective ROI over time, and potentially reduces advertising costs.
When you have the contact number of your potential customers and customers, you can periodically send new promotions and coupons to your potential customers, as well as reminders and/or service coupons and other services to existing customers.
Now you’re wondering how you can do all this at no extra cost. If you do this for six to nine months, you should see which channels have the lowest or even negative ROI for possible exclusion. Second, the potential additional sales of this strategy should more than offset the additional costs associated with this strategy.