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Researching Dealership Advertising ROI for 2024

This research article provides a crucial examination of the effectiveness and ROI of online marketplaces in dealership advertising, a topic of significant importance in the automotive industry. It challenges the conventional reliance on marketplace websites, unveiling their limitations such as high costs and limited dealership differentiation. Furthermore, it introduces emerging alternatives like Facebook & Instagram Ads, Google Ads with VLAs, and email marketing, offering more cost-effective and targeted approaches. This article is a must-read for dealership managers and marketers, offering insightful analyses, innovative strategies, and a comprehensive view of the evolving advertising landscape in the automotive sector.

Abstract: Are automotive marketplaces leading to diminishing returns?

This research article delves into the efficacy and return on investment (ROI) of using online marketplaces for dealership advertising, addressing a pivotal concern in the automotive sales industry. While dealerships have traditionally relied on platforms such as Autotrader, CarGurus,,…


The automotive retail landscape has undergone a significant transformation in recent years, driven primarily by the advent of digital marketing and online marketplaces. Traditional advertising mediums such as print, radio, and television have seen a shift towards more dynamic and…

Section 1: The Current State of Online Marketplace Advertising

Overview of Major Marketplace Sites Online automotive marketplaces, such as Autotrader, CarGurus, and, have been pivotal in the digital transformation of car sales. These platforms offer unique features that have reshaped how dealerships interact with potential buyers. Dealership Spending…

Section 2: Critique of Online Marketplace Advertising

Online marketplaces, such as Autotrader, CarGurus, and, have become central in modern dealership advertising. However, there are growing critiques against these platforms, questioning their effectiveness for dealerships. This section examines these criticisms, focusing on high costs, lack of dealership…

Section 3: Alternatives to Online Marketplace Advertising

Facebook & Instagram Ads Facebook and Instagram offer Automotive Inventory Ads designed to target in-market shoppers at various stages of the marketing funnel. These platforms enable dealerships to: Google Ads Google Ads, particularly Dynamic Search Ads, are increasingly effective for…

Section 4: Case Studies and Real-World Examples

This section presents case studies and real-world examples to illustrate the effectiveness of various alternative advertising strategies for auto dealerships, focusing on their impact on ROI. Sources

Section 5: Recommendations for Dealership Owners/Managers

Embrace the Shift Towards Online Sales and Marketing Dealership owners should acknowledge the increasing role of online platforms in automotive sales and marketing. It’s projected that automotive sales will return to pre-pandemic levels, with significant growth in the EV and…


The research article “Maximizing ROI in Dealership Advertising: Navigating Online Marketplaces and Beyond” delves into the complex landscape of dealership advertising, focusing on the effectiveness of online marketplaces and exploring alternative strategies. Drawing upon various sources, this conclusion synthesizes the…