Why Online Automotive Marketplaces Should Invest in Digital Marketing

A hand emerging from a laptop computer screen holds out a car key while a hand from the another computer holds money.

The automotive industry has gone through rapid changes over the last decade, from the introduction of self-driving vehicles to moving the entire purchase process online. Digital marketing is helping to fuel the trend of online automotive sales. Here’s why:

The Market is Growing

Online sales of vehicles, particularly trucks and commercial vehicles, is on the rise. The number of online truck trading deals across the world has doubled over the last four years. In Europe, marketplaces like Truck1.eu are among industry leaders in sales of commercial vehicles in Europe.

Car buyers are looking to skip the dealership experience and make their purchases solely online. Buyers want to avoid the pushy sales tactics, price haggling and length process of buying a vehicle at the dealership.

Much of the growth in online automotive sales is in the used vehicle sector. Used vehicles do not have to be sold through franchised car dealerships, which allows for a relatively open marketplace. While we don’t know for sure how many cars are purchased online – the industry is still so young – we do know that more dealerships are putting their inventories online for buyers to view. And we’ve also seen significant growth in the number of companies that have completely digitized the entire purchase process.

With more demand for online sales, it’s important for automotive marketplaces to invest in digital marketing to expand their reach and potential customer base. As customers become more accustomed to purchasing big-ticket items, like cars, online, more dealerships will jump on the bandwagon and you’ll face increased competition. Investing in a sound marketing strategy now will put you ahead of your competitors.

Buyers are Starting the Buying Process Online

More care buyers are starting the buying process online through research and reading reviews. According to a study from SiriusDecisions, the majority (67%) of the buyer’s journey is now completed digitally.

If buyers are doing most of their research and decision-making online, you want to make sure that they’re turning to your marketplace first. That can only be accomplished through a sound digital marketing strategy.

Build Brand Awareness

Online marketing helps build brand awareness, which ultimately positions your company as a leader in the industry and helps boost sales. Brand awareness is crucial for every business, regardless of their industry.

A well-rounded digital marketing strategy which includes online advertising, content marketing and social media marketing will expand your reach and put your brand in front of your target audience.