Automotive Direct Mail
Success Story

Automotive Direct Mail Success Story

Ford Automotive Dealership and Service

Client Objective

A local Ford dealership wanted to enhance their current print program with a solution that would help them acquire new customers while also growing their current customer base for both new car sales and service sales.

Campaign Strategy

  • Identify the best geography by utilizing customer data & transactional sales

  • Target 19,930 households around their dealership

  • Utilize the Impact Postcard to create 7 audience segments to send acquisition and retention messages in a single mailing

  • Create a plan for multi-month mailings

  • Develop appealing service offers to drive car and service sales

Campaign Results after one mailing

0
Vehicle Sales
0
Service Sales
0%
YOY Total sales and service counts increased
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Automotive Dealership
Industry Trends

Here are some industry trends to provide insight on the state of the automotive dealership industry courtesy of IBISWorld 2017.

  • Industry revenue for new car dealers is $904bn, for used car dealers $124bn

  • Annual Growth for new car dealers between 2012 and 2017 has been 4.5%, for used car dealers 4.3%

  • There are approximately 21,230 new car dealers in the United States, 139,501 used car dealers

  • The New Car Dealers industry has trended upward over the five years to 2017

  • Per capita disposable income and consumer confidence have risen, encouraging consumers to increase demand for new vehicles

  • Lower interest rates have given individuals more of an incentive to purchase new vehicles

Sources: IBISWorld 2017

Automotive Dealership Industry Trends

Here are some industry trends to provide insight on the state of the automotive dealership industry courtesy of IBISWorld 2017.

  • Industry revenue for new car dealers is $904bn, for used car dealers $124bn

  • Annual Growth for new car dealers between 2012 and 2017 has been 4.5%, for used car dealers 4.3%

  • There are approximately 21,230 new car dealers in the United States, 139,501 used car dealers

  • The New Car Dealers industry has trended upward over the five years to 2017

  • Per capita disposable income and consumer confidence have risen, encouraging consumers to increase demand for new vehicles

  • Lower interest rates have given individuals more of an incentive to purchase new vehicles

Sources: IBISWorld 2017

Automotive Dealership Advertising Opportunities in Rural America

The rural and urban consumer have different needs and wants when it comes to automotive purchases. Here are some of those differences provided by Spring 2017 NHCS 12-month Adult Study.

  • Most age groups in rural counties over-index for expecting to purchase a car within the next 12 months, except for adults 55+

  • The most likely age group is adults 35-44

  • Rural adults 18-49 are 27% more likely to purchase a used car than their urban counterparts

  • They are 31% less likely to purchase a new car than their urban counterparts

  • Compared to their urban counterparts, rural consumers are: 15% more likely to purchase an SUV, 49% more likely to purchase a truck/pickup, and 3% more likely to purchase a van

Sources: Spring 2017 NHCS Adult Study 12-month

How Do I Find My Best Rural Automotive Customers?

Our Consumer Analytics team are highly skilled in the science of micromarketing. What does that mean? Micromarketing is another way of saying that we develop a marketing strategy in which your direct mail advertising efforts are focused on a small group of highly-targeted customers. This gives your message the best chance possible to be seen by the right customers at the right time.

Direct Mail’s Influence on Automotive Customers

  • Rural consumers are 56% more influenced by direct mail than they are by newspaper
  • People who expect to purchase a car within the next 6 months are 36% more influenced by direct mail than they are by newspaper
  • According to the DMA, direct mail response rates are on the rise – last year average response rates were at 5.3% – a 43% increase from the previous year and the best it’s been in the last 13 years

Sources: Prosper Insights & Analytics, 2017, 2017 DMA Factbook

Do You Have Any Questions About How Direct Mail Can Grow Your Business?

If you have any questions about how direct mail can grow your business, we would be happy to answer them. You can call us at 877-620-6283 or select GET STARTED TODAY to fill out our form.

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