Strategic Approach to Digital Advertising Generates Results

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Situation

A two-store dealership in McKinney, Texas came to Naked Lime because they were struggling to find ways to get their digital ads in front of more customers, pay less per ad click, and improve their conversion rate.

Strategic Approach

Naked Lime’s Digital Advertising team evaluated the dealer’s existing advertising and found several ways to help them reach their goals.

  1. Location Targeting: Location targeting helps dealers focus their advertising on the geographical areas where they are most likely to find and keep customers.

    Implementing this targeting helped with the group’s Impression Share, or the number of times people saw their stores’ ads out of the total number of ads that were shown for their search terms. This tactic was especially effective in growing Impression Share for the Mazda store, and in producing an increased, steady stream of leads for both stores.
  2. Tactical Ad Positioning: Many dealers focus on being in the first ad position, when competing for these expensive spots is often the fastest way to bust a budget. Naked Lime specialists focused on maintaining an average ad position between 2.0 and 2.5 – high visibility at a reasonable cost. Keyword bids were adjusted to achieve the best ROI for the dealership, keeping ads in the targeted position range with only a slight increase in cost-per-click.
  3. Call-To-Action (CTA): Different phrases were added to the ad text to encourage viewers to take action. Both locations saw a steady pattern of increased leads. In six months, clicks to the Chevrolet site increased 65% and leads were up 30%, and for the Mazda site, clicks increased 60% and leads were up 52%.
  4. Mobile Bid Adjustments: Mobile bid adjustments allow ads to be shown more or less often based on where, when, and how people search. These were added to maintain higher bid positions on mobile devices. While the costs-per-click increased slightly, both locations saw an increase in leads and Impression Share.

Results

Each individual change drove modest results, but by combining them all into a custom strategy, the Chevrolet and Mazda stores improved in almost every area. The results below show the percentage changes over six months.

Chart showing the effects of new digital advertising strategy for a Chevrolet and a Mazda dealership.

Chevrolet saw a decrease in Impression Share due to targeting changes. Additional budget to target these
new areas will address that issue as future work continues to improve account performance. 

Recommendation

While this dealership has enjoyed initial success, the Naked Lime Digital Advertising team will continue to adjust the account for future growth. Optimizing for additional search networks like Bing and fine-tuning targeting and budget allocation will continue to improve performance.

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