With an expected fourth-quarter upsurge in spending by Japanese automakers, stations are urged to demonstrate to dealers the reach of television, as well as options such as time-targeted ads and multi-platform plans.
With only 19% of ad dollars spent by local car dealers going to TV stations, it’s incumbent upon local broadcasters to show them the value of television, one expert says.
“Dealers buy what they trust to move the needle,” says Adam Armbruster, senior partner with Eckstein, Summers, Armbruster & Co., the broadcasting consulting company.
Armbruster’s comments were part of his presentation on “Driving Automotive Dollars” at the TVB Forward Conference today in New York.
In order to lure more automotive dollars, stations first need to better engage with local dealers by knowing the differences between kinds of dealerships — regional superstores vs. high-end luxury outlets — and how they can use TV advertising to their advantage, he says.
Demonstrating the reach of television, as well as options such as time-targeted ads and multi-platform plans, is key, he says. Too often, dealers spend valuable ad dollars on efforts like direct marketing, radio and limited cable ads that pale in comparison to TV ads’ reach, he says.
“Show the dealers how to cost shift,” Armbruster says. “They want your help. And they will give you the money.”
Scott Fink, president-CEO of Hyundai of New Port Richey in Florida, the fourth largest car dealership in the country, says TV advertising has played a significant role in his success. He says that TV stations that play their cards right could capitalize on the expected uptick in spending by Japanese car manufacturers and dealers who want to meet pent-up demand in the fourth quarter of this year.
“We are going to have a turf battle,” Fink says. “It’s an opportunity for you.”