Mobile devices are matched to actual people, including demographics, contact information, and VIN data. Automotive marketers in 2025 will need to prioritize relationship-building with their customers. The data that you source from general interactions, email engagement, in-app activity, and even during test drives is crucial to future campaigns.
Brands ignoring this trend may struggle to keep up with customer expectations. By 2025, dealerships optimizing call experiences could see better close rates and customer satisfaction. Personalizing these phone conversations based on browsing data may become standard practice. Ultimately, the future of auto marketing will bridge digital and voice with more precision. Importance of First-Party DataDelivering the best customer experience through first-party data strategies is among the top automotive marketing trends in 2025. As ad spend continues to rise in 2025, leading automotive marketers are taking a data-driven approach to their inbound calls.
F. Lead management enhances omnichannel conversion
In the last two years, the watch time of “test drive” videos on YouTube has grown by more than 65%. U.S. new vehicle sales are forecasted to land between 15.6 million and 16.3 million units in 2025, marking modest growth. While not a dramatic surge, the steadiness reflects market stabilization after pandemic-related disruptions.
Microsoft Copilot 365, for example, allows you to introduce some simple automation and build entry-level agents. AI assistants and agents aren’t the future of work—they’re already here. Microsoft Copilot in particular is already embedded in the fabric of global business. Nearly 70% of the Fortune 500 use Microsoft 365 Copilot, and Barclays has rolled out more than 100,000 seats with plans to scale further.
Advancements in data insights and mobile technologies have also given dealerships new ways to target in-market auto and service shoppers by mobile IDs. Mobile targeting has generally taken the form of audience targeting, such as targeting based on device, apps, site user is visiting, and assumptive “look-alikes. Consider optimising your paid automotive marketing campaigns, mainly automotive digital ad spend, keywords and target audiences, to improve conversion.
- This article explores the marketing, advertising, and promotional expenses of automotive companies such as Tesla, General Motors, and Ford Motor.
- Organic social might sound like a surprising one, but remember that local aspect.
- This is especially true in the EV space, where customers are more open to switching brands.
- For example, in this case, auto air fresheners account for 4% of TV ads.
This is a huge opportunity for improving the overall customer experience. Driftrock’s lead management system collects, validates, stores and syncs data with multiple tools. So, when you need high-quality data, you’ll always have it at your fingertips. You can customise each interaction and increase conversion with validated information. However, as the manufacturer takes responsibility for day-to-day operations and inventory, you assume lesser financial risk. It also gives you more time to build relationships with customers and focus on providing consistent service.
In terms of revenue, Tesla’s ratio of marketing and advertising expenditures is among the lowest when compared to Ford Motor Company and General Motors. Financially, Tesla spends a fraction of what Ford and General Motors allocate to marketing and advertising. For instance, Tesla has reported spending essentially $0 on advertising in several financial disclosures, emphasizing their reliance on organic growth and direct sales model. Marketing activities involve creating a brand image, developing marketing strategies, and conducting market research to understand consumer behavior and preferences. This article explores the marketing, advertising, and promotional expenses of automotive companies such as Tesla, General Motors, and Ford Motor.
TOP AUTOMOTIVE MARKETING STATISTICS 2025 #17. Influence of Branded Apps
Brands investing in SEM now are likely to retain an edge in high-intent customer acquisition. Aside from the home, one of the last bastions of the ad-free life is the car. With an autonomous future on the horizon, though, could this all be about to change? A recent survey by Ipsos for their spring edition of ‘What The Future’ tackled the subject of advertising in cars, attempting to gauge the potential acceptance among U.S. adults. The most popular variant, with 49 percent of respondents saying it would be useful, was being told about specials or sales at stores where the ‘driver’ has shopped at before.
The automotive industry made up 7.2% of the total US digital ad spend in 2023 (eMarketer)
” Instead, ask “What problem are we solving, and what level of impact do we need? ” That shift in thinking is how organizations will turn Copilot from an expensive experiment into a lasting competitive advantage. Companies just getting started with Copilots should aim to make a broad impact to score some quick wins and drive further AI investment and internal buy-in. In this scenario, a rapid deployment of one of the core Microsoft Copilot options with low-risk, high-visibility use cases is ideal.
TOP AUTOMOTIVE MARKETING STATISTICS 2025 #5. Consequences of Poor Customer Experience
TV remains the mainstay for mass market categories such as two-wheelers with 39% of the overall spend on TV, primarily because of its wide reach and the wider appeal to consumers. Seventeen percent of radio ad spending took place in Gujarat, showing that local radio still commands a dedicated and hyper-local audience. Print media grew by 25% in particular for local and regional campaigns; thus, it was proven that the relevance of traditional advertising in newspapers, especially in Hindi-language papers. In the fiscal year 2024, Tesla’s expenditure on marketing, advertising, and promotional activities was approximately $155 million.
In 2025, online used car marketplaces and dealership trade-in tools will be heavily promoted. Content marketing will center on ownership costs, model comparisons, and condition guarantees. This trend also expands the role of remarketing campaigns targeting previous shoppers. Used vehicle marketing is no longer an afterthought—it’s a major channel for growth. Buyers who use branded automotive apps are 73% more likely to purchase from that dealership and schedule 25% more service appointments.
Vehicle wrap advertising is one of the most effective and cost-efficient ways to break through the noise of digital marketing channels. It allows businesses, both big and small, to reach a large audience in real time, 24/7. Unlike digital ads, which can be quickly swiped away or turned off, people cannot avoid vehicle wrap advertising.
- That’s because we found in our conversion benchmark report that 48% of website visitors call car dealerships.
- The average expected ROI is $40 for every $1 you spend on email marketing – Oberlo.
- Tesla, led by CEO Elon Musk, relies heavily on word-of-mouth, social media presence, and Musk’s substantial social media following to generate buzz and interest in its vehicles.
- Windows Latest explains that the sign-up process doesn’t even work yet – and the rollout of the offer happening now appears to be an error.
Advertising spending per vehicle sold of selected automobile brands in the United States in 2022
Dealerships are taking note of the changing ‘online to offline’ customer journey. Therefore, they’re increasing digital ad spends, reaching more leads. For a generation that grew up alongside the internet, it’s no surprise they’re more comfortable starting their buying journey online. In fact, 28% of millennials have searched for automotive information online in the past 30 days. The difficulty for marketers in the automotive industry is finding more and more customers.
Over the last several years, GM’s ratio has decreased, reaching a record low of 31% in 2024. As depicted in the chart, Tesla’s marketing and advertising to revenue ratio was a mere 0.2% in the fiscal year 2024. This means that Tesla allocated only 0.2% of its total revenue to marketing, advertising, and promotional activities. In this way, marketing, advertising, and promotional expenses are essential tools for automotive companies to stay relevant and competitive in today’s fast-paced market. When it comes to the automotive industry, marketing, advertising, and promotional expenses play a crucial role in driving sales and creating brand awareness. Mobile signals are different from traditional mobile marketing or lead products because Signals leads represent real people who are actively shopping at a dealer lot.
It may indicate a strategic shift towards more efficient marketing practices or a greater emphasis on other areas such as research and development. Additionally, increased brand recognition and customer loyalty may allow these companies to maintain sales with lower marketing expenditures. However, it is notable that the ratio of marketing and advertising expenditure to total costs and expenses has been declining for General Motors, Ford Motor Company, and Tesla, as depicted in the chart. This decreasing trend suggests a shrinking budget allocation by these automakers for marketing, advertising, and promotional spending over the years.
Similarly, as electric vehicles rise in popularity, impressions for EV ads have also increased by 309%, from 4 billion to 17 billion. But this could be higher for 2023 and 2024 as the automotive industry continues spending more on ads. They will likely already have a car model in mind, as well as a budget, so their searches will be highly targeted.
Platforms offering transparent pricing, financing, and history reports will attract more buyers. Expect more bundled offers, trade-in promotions, and digital-first campaigns to support these targets. Regional and brand-level competition will intensify, car advertising statistics requiring sharper differentiation. Brands that leverage digital tools to deliver flexible pricing and pre-approvals may capture more market share. The ceiling may be near, so capturing existing demand is more important than ever. In 2025, educational content about EV ownership, charging infrastructure, and long-term cost savings will become a staple in campaigns.
As channels become more fragmented, automakers will diversify budgets across Google, Facebook, TikTok, streaming platforms, and influencer networks. With more than half of car buyers using mobile devices for research, it’s essential to have a mobile-optimized website. Bad mobile experiences can be incredibly frustrating for customers and lead to lost leads, decreased engagement, and potential revenue loss for businesses.
Few dealers have systems that can back them up for a frictionless buying experience. It’s time to shift to better, more focused automotive marketing solutions. The industry is aware, with 97% of dealers acknowledging that customers complete steps online and have to repeat them in-store. It creates resistance during the customer journey, negatively impacting the buyer’s perception of your business.
In California alone, traditional franchised dealerships saw a 14% surge in battery electric vehicle (BEV) model sales earlier this year. They also spent more money than non-app users when purchasing a vehicle, 7% more according to a study commissioned by Cars.com. Staying relevant and visible through digital marketing needs a data system to back you up. As customers demand more personalisation and convenience, now’s the time to incorporate a lead management platform into your process. If customers already know about your business, they might want to check Google reviews to check if other customers have had a good experience with your car dealership. Think with Google found that 95% of vehicle buyers use digital channels as a source of information.
