Automotive Digital Marketing Trends And Predictions 2023

automotive-digital-marketing-trends-2023

By anytimedigital Digital Marketing December 7, 2022

Automotive digital marketing trends for dealers will be growing with new strategies in 2023. According to eMarketer, automotive digital marketing is expected to reach $26.62 billion by 2023. Therefore, it’s important for automotive businesses to look for ways to stand out from the competition and capture more leads. Here is what can we expect in terms of automotive digital marketing in the next year?

What is digital marketing and why does the automotive industry need it

Digital marketing is the process of using online channels to promote and sell products or services. it is estimated that nearly all car buyers will be using digital channels to research and purchase vehicles. This shift has already begun, and dealerships that have not adapted their digital marketing strategies are at risk of being left behind. There are a number of reasons why digital marketing is so important for the automotive industry. First, it allows businesses to reach a larger audience than traditional marketing methods. Second, digital marketing is highly efficient and cost-effective. Finally, digital marketing provides businesses with valuable data that can be used to improve their marketing strategies.

Automotive Digital Trends and Predictions for 2023

As digital marketing evolves, so does the automotive industry. In recent years, we’ve seen a shift from traditional marketing methods to digital ones. This trend is only going to continue in the years to come. Here are 15 digital marketing trends and predictions for the automotive industry in 2023:

Vehicle Personalization

In 2023, automotive digital marketing will increasingly revolve around vehicle personalization. As consumers become more accustomed to having their needs and preferences catered to by brands, they will expect the same level of customization from automotive companies. There are a number of ways that this can be accomplished. For instance, allowing customers to select specific features for their cars. In addition, offering them the opportunity to design their own vehicles from scratch. In order to meet the demands of tomorrow’s consumers, automotive brands will need to invest in cutting-edge technologies. As a result, allowing them to personalize every aspect of the car-buying experience.

The Use of Artificial Intelligence (AI)

Automotive digital marketing is set to undergo a major shift in the next few years. And, artificial intelligence (AI) will be playing an increasingly important role. Auto dealers that are able to embrace and make use of AI in their marketing strategy will be well-positioned to take advantage of this shift and increase sales.

One important application is lead generation. For example, AI can be used to collect data from a variety of sources. And, identify patterns that indicate someone is in the market for a new car. This information can be used to target potential customers with personalized ads and offers. As a result, increasing the likelihood of making a sale. Another area where AI can be helpful is in managing and optimizing campaigns. AI can quickly analyze large amounts of data to identify which campaigns are performing well. In addition, which need to be tweaked or removed altogether. This allows for more efficient use of marketing resources and ensures that campaigns are as effective as possible.

Virtual & Augmented Reality

Recently, automotive companies have started to explore using augmented reality (AR) and virtual reality (VR) technology in their marketing. This gives potential customers a realistic experience of what it would be like to drive one of their cars. For example, the use of AR and VR allows customers to get a sense of what it would be like to sit in the driver’s seat. In addition, feel the car’s acceleration, and see the view from behind the wheel.

Additionally, AR can be used to show customers how a car would look with different paint jobs or features. Some automotive companies are already using VR headsets to give customers test drives. And, it is expected this will become more common in the next few years. By 2023, it is estimated that 10% of automotive marketing will be virtual or augmented reality. Therefore, providing an opportunity for automotive companies to give potential customers a truly unique experience.

Chatbots

In 2023, automotive companies will increasingly rely on chatbots to provide 24/7 customer support on their websites. A chatbot is a computer program that simulates human conversation. They work by using natural language processing and machine learning. In the automotive industry, chatbots can be used to provide customer support, answer frequently asked questions, and even offer test drives. As chatbots become more sophisticated, it’s likely that they will become more common on automotive websites in the coming years.

Data Analytics

Automotive companies have long used data analytics to track their marketing performance and make improvements where necessary. With the advent of digital marketing, automotive companies are now able to track their performance with accuracy. There are a number of different tools they can use to track their digital marketing performance. For example, Google Analytics and social media monitoring tools like Hootsuite Insights. By tracking things like website traffic, conversion rates, and social media engagement, automotive companies can get a clear picture of what is working well. In addition, what needs to be improved. Additionally, automotive companies can use A/B testing to experiment with different tactics to see what works best for their goals and objectives. By using data analytics, automotive companies can ensure that they are making the most of their online presence.

Omnichannel

Omnichannel automotive digital marketing is about using multiple channels to reach consumers at every touchpoint. This could include anything from search engine optimization (SEO) and paid search ads to social media outreach and email marketing. The goal is to provide a consistent, cohesive experience across all channels.

There are many benefits to omnichannel automotive digital marketing. For one, it allows dealers to reach more consumers with their message. It also allows for more personalized experiences, as dealers can tailor their outreach to specific consumer segments. And finally, it helps build trust and credibility with potential customers by providing consistent, valuable content across all channels. While omnichannel automotive digital marketing may seem like a daunting task, there are many resources and tools available to help dealers succeed. Automotive digital marketing agencies can provide expert guidance and support, while software platforms like V12 Signals can help automate and streamline the process. With the right strategy and tools in place, any auto dealer can successfully navigate the shift to an omnichannel world.

Social Media

in recent years, there has been a shift towards digital marketing, and social media has emerged as a powerful tool for automotive companies. For instance, they can connect with a wider audience, build relationships with potential customers, and promote their brand. Additionally, social media marketing allows automotive companies to run targeted ads, which can be an effective way to reach potential customers.

Facebook, Instagram, TikTok, and YouTube are some of the best platforms for automotive marketing. And, each platform offers unique benefits. For example, Facebook is great for building relationships with potential customers. Meanwhile, Instagram is ideal for sharing visuals and promoting brand awareness. TikTok is perfect for running creative ads, and YouTube is an excellent platform for providing informative content. Automotive companies that embrace social media marketing will be well-positioned to succeed in the digital age.

Location-Based Marketing

Location-based marketing is becoming increasingly important as auto businesses look for ways to target consumers. For example, using GPS data to show nearby car dealerships or service stations in real-time. In addition, local SEO can be used to ensure that automotive businesses appear at the top of search engine results pages when potential customers are searching for relevant terms in their area. As more and more people use their smartphones and other devices to find information about products and services while they’re on the go, it’s essential for automotive businesses to take advantage of these technologies in order to remain competitive.

Use of Influencers

Many dealerships are now using influencers to promote their vehicles. Influencers are social media users with a large following who can generate buzz and drive traffic to a dealership’s website or social media page. For example, one popular automotive influencer is Brian Scotto, the host of the popular automotive YouTube show /DRIVE. By featuring vehicles on his show and promoting them on his social media channels, Brian is able to generate a lot of interest in the cars he drives. As a result, many dealerships are now willing to pay him for promotion.

While some automotive influencers are paid by dealerships, others are simply car enthusiasts who promote cars that they love. For example, Matt Farah is the host of The Smoking Tire, another popular automotive YouTube show. Unlike Brian Scotto, Matt does not accept money from dealerships in exchange for promotion. However, he regularly features cars from different manufacturers on his show and promotes them on his social media channels. As a result, he has a huge influence on the automotive industry. It’s clear that the use of influencers in automotive digital marketing will grow in 2023. Thanks to their ability to generate buzz and drive traffic.

Video Content

Video content will play a key role in automotive marketing in 2023. We’ll see more engaging videos that tell stories and highlight a company’s values. These videos will be used to reach potential customers on various platforms, including social media and automotive websites. Some examples of automotive video content include product demonstration videos, educational videos about vehicle features and maintenance. In addition, testimonial videos from satisfied customers. This content can be used to reach potential customers on various platforms, including social media and websites.

When creating automotive video content, it’s important to keep the audience in mind. The content should be relevant and engaging, offering value to the viewer. In addition, it should be produced at a high quality, with clear audio and visuals.

Pay-Per-Click Advertising

It’s no secret that automotive companies are some of the biggest spenders on digital marketing. In fact, automotive is one of the few industries where paid advertising still dominates over organic traffic. And it’s not just the big brands; even small and medium-sized businesses are allocating a significant portion of their marketing budgets to paid search.

One of the main reasons automotive companies continue to invest in paid search is because it’s an extremely effective way to reach consumers who are in the market for a new car. Unlike other forms of digital marketing, such as display advertising or social media, paid search allows automotive companies to target consumers who are actively searching for a new vehicle. As a result, they’re much more likely to convert into paying customers.

Another reason why automotive companies will continue to invest in paid search is because it offers them a level of control and flexibility that other digital marketing channels simply can’t match. automotive companies can choose exactly which keywords they want to target, and they can adjust their bids based on how competitive those keywords are. They can also set up negative keywords to ensure that their ads only appear in front of relevant searchers. And finally, they can track their results with detailed metrics so that they can constantly improve their campaigns.

There are a few different platforms that automotive companies can use for their pay-per-click campaigns. Google Ads is by far the most popular choice, as it reaches millions of consumers every day and offers a wide range of targeting options. Bing Ads is also a popular option, although it doesn’t have quite the same reach as Google Ads. Finally, there are a number of niche automotive PPC platforms that automotive companies can use to target specific audiences or regions.

Email Marketing

Automotive companies have long used email marketing to stay in touch with leads and customers, and this trend is expected to continue in 2023. However, we’ll see more companies using automation tools to send personalized messages at scale. Automation tools make it easy to segment your audience and send highly personalized messages. For example, you can create a campaign that automatically sends a follow-up message to anyone who schedules a test drive. Or you can set up a series of automated emails that introduce a new customer to your service department.

There are many different automation software options available, so automotive companies can choose the tool that best fits their needs. Some popular email marketing automation tools include ActiveCampaign, Drip, HubSpot, and Mailchimp.

Customer Experience

In 2023, customer experience will be king, and auto dealerships will need to find ways to enhance it. With the rise of electric and autonomous vehicles, the automotive market will be vastly different than it is today. Along with these changes, the way customers interact with and purchase vehicles will also change. In order to stay ahead of the curve, auto dealerships must start preparing now for the customer experience of tomorrow.

One way dealerships can do this is by enhancing their digital marketing efforts. In a world where customers are increasingly reliant on technology, it’s critical that dealerships have a strong online presence. This means having an up-to-date website, active social media accounts, and effective digital advertising campaigns. Additionally, dealerships should make use of data-driven marketing techniques to better target their audience and personalize the customer experience.

OTT Advertising

Over-the-top (OTT) streaming ads is an upcoming trend in automotive digital marketing due to its ability to reach interested audiences. OTT works by creating targeted video ads that can be streamed through platforms such as YouTube, Hulu and Netflix while viewers are using those services. When done correctly, automotive brands can run highly effective campaigns that are tailored to their specific audience. To maximize their automotive digital marketing, brands should include OTT advertising with professionally made videos that highlight features, latest model specs and USPs about the car. Therefore, enticing viewers into considering owning one. OTT streaming ads should be a key component of any automotive brand’s overall strategy to bring in more customers.

Content Marketing

Content marketing is a process that includes curating and creating content that can be shared across digital channels such as websites, blogs and social media. The main focus when creating automotive-related content should be providing useful and helpful facts about car parts, models or the automotive industry in general. If done correctly, auto dealers should benefit from this type of customer-focused content. Therefore, providing content by answering customer questions or featuring informational videos are all types of ways to engage with their audience.

In Conclusion

That’s it for our predictions of the top automotive digital marketing trends for 2023. As you can see, there are some big changes on the horizon that will impact how automakers and dealers reach and engage with customers. If you’re feeling overwhelmed or need help getting started strategizing your 2023 automotive digital marketing plan, don’t hesitate to reach out to us. We would be happy to help!