The Role of Data in Automotive Marketing

April 22, 2021

Automotive marketing is in a state of transition. After the lull in car buying that was caused by the COVID-19 pandemic, auto companies are demanding to see the results and measurable ROI for every marketing dollar spent. 

According to a study on U.S. auto industry ad spend, the automotive industry is expected to spend 13.29 billion dollars in ad spend in 2021 compared to the 10.94 billion that was spent in 2020 amid the pandemic. Automotive marketers are planning a comeback and in a big way, too. 

Insights from real-world data like location intelligence can help automotive marketers improve the  ROI on their campaigns.

The Role of Data in Automotive Marketing


Currently, the majority of data-driven marketing is predicted based on demographic information. Customers can then be segmented on the basis of demographic categories, placed into groups that have similar attributes to then allow marketers to target them based on those attributes.
With the right data in place, marketers can take that demographic information and add a whole new layer of data to it. Your audience is more than just demographics; they have specific interests and hobbies. With consumer data enrichment, you gain insight into what exactly will make your customers respond best to an auto marketing campaign and  get them to convert.

Geographic Intelligence

You might be thinking “Data enrichment sounds great, but how do I even start?”

Geographic intelligence, such as consumer foot traffic data, gives you that deeper layer of customer understanding. For example, let’s say that you’re launching a campaign for your eco-friendly luxury car. Because of 2020, you really can’t risk missing the mark on this one so you turn to your location intelligence data solution. 

You find that your target audience has been frequently visiting  a leading baby store up the street, they’ve been showing an interest in real estate, and they have been visiting the auto repair shop a few doors down from you. With this real-world data, you are able to build a whole campaign that speaks to families and soon-to-be parents. You also decide to partner with the real estate company up the street and advertise with them. 

This campaign turns out to be a success because you used near real-time location data to understand your customer based on their offline customer journey and not just their demographics alone

The Customer Experience

Did you know that 54% of consumers would buy from a car dealership that offers an exceptional customer experience, even if they didn’t offer the lowest price? Auto sales as a whole could increase by 22% if the buying process was improved. The best customer experience can be achieved with the right data. 

Are your previous customers coming back to you when it’s time to purchase a new vehicle, or are they choosing your competitor up the street? With real-world data , you can determine where in the buying process your customer experience is lacking. Sure, you could go the route of scouring reviews and sending out surveys, but those are limited and unreliable. With location intelligence, you know who is shopping with you and at what time, what they like, what ad they responded to, and what they will respond best to in-store. 

If you are an automotive brand  that attracts a lot of families, then you will know that having a specific play area for kids while their parents are shopping is important. This simple piece of information will make your audience choose you over your competition. 

Data-Driven Decision Making with Location Intelligence

Data-driven decision-making is a critical component of long-term success in automotive marketing, allowing the optimization of marketing spend for maximum impact and focus. Data, including demographic, geographic, and in-store, will help a company control costs, ensuring that marketing spend is used in the most effective ways, while at the same time helping to identify opportunities to improve reach and drive sales.

With Gravy’s location intelligence, automotive brands can get the best near real-time data. Flexible data delivery is now available with Gravy DaaS. With flexible data delivery options, including Gravy APIs and applications, you only pay for what you need when you need it. For more information on location intelligence and how it can take your next campaign to new heights, contact us to speak with an expert today.

Scroll to Top