If automotive has been your primary income...better start looking to gain an edge with local-direct businesses as the smoke is in the air for the loss of much of your pay day commissions. Philip Jay LeNoble, Ph.D. CA
Of course what actually happens to radio’s largest advertising category still remains to be seen, however, researcher Gordon Borrell writes
on his LinkedIn page that automotive dealers, who are increasingly using more and more digital, haven’t finished their scale-back of traditional media. And, he says, if you have an inferior media company expect to be the one getting cut. “Dealers are simply shutting the door on companies that keep sending reps who see digital media as a competitor, not a complement.”
Borrell says he sees this as a thinning of the pack. “The weakest companies will look at this negatively. The smarter ones will see opportunity. The digital competitors are already “there,” unfortunately, hungry to scoop up business. As one auto dealer in the survey said:
“Many digital companies I deal with now where we spend money with them feature instant access of at least one contact person available at all times-immediately via phone or email. And it’s the SAME PERSON on our account. This is impressive to me, as they seem to ‘get it’ when it comes to matching the level of response and service we expect, and more importantly, require. And this is with companies now who we only spend a few hundred dollars with a month. I get immediate answers, info, assistance, etc., no matter when or what it is. I stay loyal to those companies, of course as long as they make sense in terms of ROI first and foremost.”
Borrell also says his research shows that car dealers are now rating “online ads” on par with TV spots as a leading source of leads. “Social media” is not far behind TV. And, car dealers get called on by sales reps from all media, about 84 times every month.
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