Another obstacle for regional automotive dealers is ever-growing digital auto marketplaces like Vroom, Carvana, and Shift. As they enjoy the spotlight and satisfy demand, these digital auto ma saudi arabia business email list rketplaces will likely push ad dollars from traditional to digital over time — increasing their presence of alternative car-buying models during a continuously unprecedented time.
For this reason (and others), local dealerships and large automakers should aim to diversify their advertising efforts. Instead of focusing solely on commercial and local advertisements, consider investing more in digital advertising. Channels like Taboola can help you keep up with digital auto marketplaces that are already so prominent in the digital space.
There’s Hope on the Horizon
What is the opportunity for auto advertisers right now? Despite these challenges that you’ve had to overcome over the past year and a half, there is a light at the end of the tunnel.
In maker, announced that consumers can expect the car chip shortage to begin easing in the next few months. This is because the company plans to increase auto chip output by about 60% YoY — but likely at the expense of clients in other industries who will likely be left waiting even longer for their backlogged orders.
We’re also seeing more positive trends:
Used car sales rebounded quickly in June, as Americans sought out alternatives to public transportation and vacationed within driving distance in order to avoid air travel. Taboola’s readership data shows that used cars continue to trend.
(Source: Taboola readership data, accessed September 21, 2021, 90-day lookback window)
Car shoppers who have delayed their purchases are expected to return to dealerships.
Leases that expired, and were subsequently extended, during Q2 will presumably bring in more customers later in the year and into 2021.
Electric vehicle (EV) sales are expected to take off, possibly tripling US registrations from 1.8% in 2020 to 9% in 2025 and 15% in 2030. This is catalyzed by President Biden’s calls for a clean-energy economy and his “Made in America” plan. Taboola’s readership data confirms these projections, showing that electric vehicles are trending.
(Source: Taboola readership data, accessed September 21, 2021, 90-day lookback window)
The Boom and Shift to Digitized Buying Models Local and regional dealerships are learning from digital auto marketplaces. We’re seeing more and more of these brands shift to incorporate more of a digitalized buying model, and in turn find major benefits from this operational adjustment. eMarketer estimates show that automotive digital ad spending will grow 21.4% in 2021 to $13.29 billion, slightly below its pre-pandemic peak.