The Role of Data in Automotive Marketing

The Role of Data in Automotive Marketing

Automotive marketing is in a state of transition: while budgets are high, companies are demanding to see results including increased effectiveness, and a measurable ROI for marketing spend.

A recent study by PWC reports that as overall returns decrease industry-wide, and the market becomes more competitive, automotive companies will be pressured to control costs zealously; spending strategically and managing the ROI of every dollar spent. The automotive industry will spend over $15 billion this year in digital marketing. Budgets are increasing, but so is the need to improve the effectiveness of marketing spend.

Using data to create business intelligence can help automotive marketers apply data-driven decision-making to strategic goals. Data-driven decision-making can help to improve reach, drive growth, and provide measurable ROI that can be applied to strategic marketing decisions.

Currently, the majority of data-driven marketing is predicated on demographic information. Demographics are basic information such as age, gender, income and family status that can be applied to marketing campaigns and strategies. Customers can be segmented on the basis of demographic categories, placed in groups that have similar attributes, and marketing can be targeted to the interests of customers with those attributes.


Demographics tell a marketer about the people who have purchased their cars, allowing them to identify other people who may purchase their cars in the future.

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Geographic intelligence such as foot traffic data gives a deeper layer of customer understanding. Perhaps one of your customers has visited a competitor in a higher luxury bracket – marketing a more luxurious car from your own brand could have a positive impact on someone considering an upgrade.


Event analytics go even deeper, providing information about a customer’s interests, values, and priorities. For example, knowing that a customer goes to a stadium is one thing, but knowing that they regularly attend professional baseball games gives another level of insight altogether.

Data-driven marketing is the key to delivering a personalized message and customized experience for automotive marketers, which could be the key to customer acquisition, retention and engagement. Recent studies have found that 54% of consumers would buy from a dealership that offers an exceptional customer experience, even if it didn’t have the lowest price; and that auto sales as a whole could increase by an incredible 22% if the buying process was improved.

Using data in automotive marketing can also help a business to improve decision making, becoming more agile in response to changes in the business environment. With the correct tools, analytics can be conducted in real-time, and campaign strategies adjusted for maximum effectiveness. It can also help accelerate results, driving marketing decisions that maximize measurable ROI in the short and long-term. 

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 event analytics will help a company to 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 and revenues.

6 Benefits of Location Data

6 Benefits of Using Location Data

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