AUTOMOTIVE ADVERTISING & MARKETING

Commercial Elements

Great Commercial Elements Make Ad Campaigns Successful

JKRAdvertising / Uncategorized /

February 29, 2016

An automobile dealership’s advertisement will be most successful when it contains all the great commercial elements. Today, we’re not talking about the media buy (think: reach and frequency) which is every bit as important; we’re just focusing on the advertisement itself. So, what are some of these great commercial elements?

The ad must stay on point. Trying to cram too many different thoughts into a short 30- or 60- second time frame will only distract and confuse a potential customer.

The ad must include an enticing offer. As a car dealer, you know what your customers want. Give them what they seek – a great deal they can’t refuse.

The ad must create urgency. The consumer can’t watch or listen to your ad and feel like they can get the same deal two months from now. An effective call to action is a necessary part of a car ad.

The ads must be consistent. Over time, you need to keep the general vibe of your message the same. You’ll know you’re doing it right when consumers recognize your brand before it’s actually mentioned.

The ad must be memorable. Be careful here … don’t let the need to entertain your customers override what you’re trying to do with your advertising, which is asking the customer for their business.

The ad should contain eye-catching graphics (if applicable). A great visual graphic draws the viewer’s attention and makes him/her want to watch the remainder of your advertisement.

While no single one of the great commercial elements by itself will make lifetime customers out of your community’s viewers and listeners, they do work incredibly well in concert with each other. Just ask any of our clients!

Want to Know More?

If you’d like to find out more, please call Eric Tigner at (321) 397-0777 today. We’ll give you the complete details on the way you can dominate your market – in part, by using these great commercial elements. For the cost of only a few minutes of your time, he will provide you with a no-strings-attached, FREE Advertising Review. JKR will take a close look at what you (and your competition) are doing to win customers in your market, and give you our expert feedback.

JKR Automotive Advertising: We Move Cars.

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Post-Pandemic Dealer Gross Profits are Down – But They Don’t Have to Stay There!
March 13, 2024
It is no secret that dealer gross profits per vehicle are down sharply in the post-COVID automotive world. According to a recent article in Automotive News, gross profits of the six largest publicly traded dealership groups plunged significantly from Q4 2022 to Q4 2023. One of them was actually down 35% per vehicle!

The article explains: High interest rates, more expensive vehicles and a steadier post-pandemic supply chain continue to soften demand and bring it closer to pre-pandemic levels. Still, new-car buying has remained strong overall …

This means that, while sales volume is similar, overall bottom lines are lower for many dealers due to the reduced gross profits. What about your dealership?

Being Realistic
It’s time to turn the page! The time for dealers to simply be order takers for people willing to pay MSRP for a vehicle (and in some cases more) has passed and dealers have to work hard once again to achieve acceptable gross profits.

Selling a high volume of cars doesn’t control gross profits, no matter how much you wish this was the case. Correct processes and menu pricing – and strict adherence to them – do!

What kind of processes?
∙ Slow down the transaction! Your sales staff has to once again sell the customer on the features and benefits of every new and pre-owned vehicle on your lot.

∙ Your salespeople and managers should devalue the customers’ trade-in value (politely, of course) as much as possible. After all, if the customer expects you to lower your price, shouldn’t you be able to do the same on their trade? Remember, you’ll have to fix it up, put your name on it and resell it to someone else with all the tenacity you would a brand-new car. So make sure you buy it right … because the profit is made when you buy it, not when you sell it!

∙ To that end, management should be ready and willing to leave the desk and do thorough walk-arounds on each trade to ensure the best outcome for the dealership.

The Cure for Low Gross Profits
If you are like a lot of dealers these days, you could use some good news. Here it is: while you may not have the capability to achieve profit margins similar to those you enjoyed during the pandemic, they could likely be improved. JKR’s clients enjoy the benefit of attracting not only more customers, but better ones, too!

If meeting and exceeding your sales goals (and increasing gross profits at the same time) sounds great to you, you need to call us. Don’t settle for reduced gross profits when help is out there to get you closer to where you’d like to be.

Want to know how we do it? Reach out to Senior Partner Richard Brauns (407) 701-4233 or Partner/Vice President Jon Albert (407) 718-2494 today.

JKR Automotive Advertising: We Move Cars.

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