2024 TREND REPORT
AFTERMARKET AUTOMOTIVE MARKETING
MAXIMIZE MARKETING ROI AND GAIN COMPETITIVE ADVANTAGE HAVEN’s 2024 Trend Report: Automotive Marketing edition details powerful strategies you can act on now to help you drive engagement, strengthen loyalty, and extend the value of your marketing dollars into 2024 and beyond. What’s Inside: Key Marketing Trends for 2024 ROI vs. ROA: How to Measure Return Media Planning & Budget Worksheet Case Study: Fab Fours Digital Transformation
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LETTER FROM THE EDITOR
Dear Esteemed Leaders and Visionaries in the Automotive Sphere, Welcome to the exhilarating whirlwind of the AI-infused, digital age, a place where every smartphone owner moonlights as an undercover journalist, ready to catapult brands into fame or notoriety with just a swipe of their finger. It’s an epoch where the corporate world plays an unending game of whack-a-mole, with rumors popping up faster than one can say “public relations nightmare.” In this grand arena of instantaneous communication, we find ourselves racing against seven-second attention spans, vying for a sliver of the limelight in a world bursting with flashy distractions. The hurdles are high, and the audience is as easy to please as a cat with a new sofa. Then, we have the deluge of buzzwords flooding our boardrooms, those illustrious terms such as SEO, ROI, ROA, and a medley of others that so often seem to create a fog of war rather than a clear pathway to victory. While they all started with firm roots in business acumen, they have morphed into fluffy clouds of obfuscation, engulfing strategies with misty visions and elusive objectives. But wipe away your tears of frustration, for I have ventured through the buzzword bogs and jargon jungles for over twenty fruitful years, emerging with a treasure trove of hard-won wisdom and no-nonsense strategies. Picture this 2024 Automotive Trend Report as your guide, an entity seasoned in cutting through the noise and leading brands to the oasis of clarity and achievement. It is a reservoir of insights formulated to equip you with the actionable tools needed to navigate and conquer the unpredictable landscapes of tomorrow’s markets. It's time to ground ourselves in strategies that are not just vibrant buzzwords but veritable blueprints for success, promising MAX ROI/ROA — a commitment to Get Sh!t Done (GSD), with gusto. Here’s to 2024, a year of spectacular achievements where results are proven, and B.S. takes a backseat and a future where your brand doesn’t just survive but thrives with flair and distinction.
Jeni Bukolt Founder & CEO HAVEN Creative
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/JeniBukolt
TABLE OF CONTENTS 04
Advertising in 2024
05
Key Trends for 2024
07
Integrated MarComm (IMC)
08
Digital Dominance
10
Media Planning
12
Budget Planning & ROI/ROA
14
Fab Fours Case Study
15
External Support
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2024 Advertising Trends in Automotive The landscape of advertising within the automotive manufacturing sector is undergoing a transformation fueled by technological advancements, shifting consumer behavior, and the need for sustainable practices. As we look ahead to 2024, it is crucial to identify the emerging trends that will shape the advertising strategies of automotive companies and agencies. This prospectus aims to provide insights into the projected advertising spending and key trends in the auto industry for the year 2024.
Buyer Statistics
71%
73%
look at fewer than 5 suppliers before making a decision
say they pay attention to your website before purchasing
84%
80%
consume content digitally with Linked In being the number one social channel. 63% of engineers maintain an account on LinkedIn
interactions are expected to take place digitally by 2025. This means a digital infrastructure must be in place.
of industrial buyers
of engineers
of buyers
of B2B sales
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Key Trends for 2024 Digital Transformation: Automotive companies are embracing digital platforms to connect with their audience. This trend will continue in 2024, with a greater emphasis on leveraging social media, content marketing, and search engine optimization (SEO) to reach target audiences. Interactive content such as 3D product visualizations and virtual tours of auto manufacturing facilities will gain traction. Sustainability Messaging: Eco-consciousness is on the rise, and automotive companies are incorporating sustainability into their advertising strategies. Expect to see more campaigns highlighting environmentally friendly production processes, energy efficiency, and sustainable materials. Consumers are more likely to support brands that prioritize sustainable practices. Personalization and Data Utilization: Advanced data analytics will enable manufacturers to personalize their advertising efforts, tailoring content to the specific needs and preferences of different customer segments. This approach enhances customer engagement and fosters stronger brand loyalty.
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Key Trends for 2024 Augmented Reality (AR) and Virtual Reality (VR): AR and VR technologies will find applications in advertising for auto, allowing customers to visualize products in real-world scenarios. These immersive experiences will bridge the gap between digital advertising and tangible product experiences. Influencer Collaborations: The industry will continue to leverage influencer partnerships to humanize its brand and showcase real-world applications of its products. Industry experts and enthusiasts will collaborate with automotive manufacturers to create authentic content that resonates with a broader audience. Integrated Marketing Communications: Many successful automotive companies are adopting integrated marketing communications, combining digital and traditional media elements. Integrated marketing is a strategic approach that involves coordinating and unifying all aspects of a company's promotional efforts to create a seamless and consistent message across various channels and touchpoints. The goal of integrated marketing is to ensure that all marketing communications work together synergistically to enhance the overall impact and effectiveness of the marketing campaign.
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Integrated Marketing Communications
Integrated Marketing Communications (IMC) ensures that all forms of communication in a company are connected and linked. If they work together, the brand’s marketing is much better than if they are isolated. IMC brings together various communication tools to deliver a specific message and impact consumers' actions and behavior. In the automotive space, where products can be complex and technical, integrated marketing ensures that the value and benefits of the products are communicated effectively to potential customers. By creating a seamless and comprehensive marketing strategy, auto manufacturers can gain greater market exposure, build brand equity, and ultimately drive business growth.
Leveraging Multiple Channels
Integrated marketing communications involves utilizing a mix of communication channels, such as traditional advertising (print, TV, radio), digital marketing (social media, email campaigns, websites), events, and public relations. This multi-channel approach maximizes the chances of reaching a diverse audience that engages with different types of media.
Coordination Across Teams
Integrated marketing communications are more effective when synchronized across various channels and teams within the organization. For example, a automotive company might run a product launch campaign that involves input from marketing, sales and service teams. Marketing tactics may include press releases, social engagement campaigns, cross-selling tactics and feedback surveys from current clients. All of the campaigns are tied to a cohesive message and visual identity.
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Digital Dominance
In recent years, digital marketing has gained significant traction within the automotive sector. Businesses are increasingly allocating larger portions of their marketing budgets to digital channels such as social media, search engine optimization (SEO), content marketing, email campaigns, and online advertising. These channels offer cost-effective ways to reach a global audience and engage with potential customers.
Google Ads Benchmark For Google Ads accounts, the average conversion rate is 3.17% For industries with the lowest average conversion rates of all Google Ads accounts, the conversion rate is 1.35% At just $2.96, Manufacturing & Industrial CPC (cost per click) is much lower than the other three industries.
Not Generating Positive ROAs? If you find that you’re hitting a great conversion rate and yet you’re still not generating a positive ROAS (that’s anything higher than 1 or 100%), then that usually means one of two things: you’re spending too much on advertising or you’re not charging enough for your product.
OTT Advertising OTT (Over-The-Top) advertising is a digital advertising method that involves delivering video content directly to viewers over the internet, bypassing traditional cable or satellite television providers. OTT platforms include streaming services like Netflix, Hulu, Amazon Prime Video, as well as apps and websites that provide on-demand video content. This form of advertising has gained popularity in various industries, including automotive.
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2024 Media Advertising Mix In 2024, the significance of blending print media with digital media has become more pronounced in bolstering automotive manufacturing marketing endeavors. While digital platforms offer dynamic and expansive reach, print media retains its tangible appeal, creating a multi-dimensional approach that resonates with diverse audiences. The tactile nature of print materials, coupled with the interactivity of digital platforms, establishes a comprehensive brand experience that fosters trust and engagement. This hybrid strategy enables manufacturers to seamlessly connect with both traditional and tech-savvy audiences, catering to individual preferences while maximizing their outreach potential. By leveraging the strengths of both print and digital, automotive companies can craft a compelling narrative that showcases innovation, reliability, and adaptability, thus cultivating lasting connections with their customers in an increasingly competitive landscape.
Top Industry Media Outlets: 1. SEMA News: The official publication of the Specialty Equipment Market Association, which covers trends, products, and news related to the automotive aftermarket. 2. Motor Age: This outlet offers articles and how-tos aimed at the automotive service industry, including aftermarket professionals. 3. Automotive News: While it covers the entire auto industry, it also features important news and updates from the aftermarket sector. 4. Aftermarket Business World: A publication specifically focused on the automotive aftermarket sector, providing industry news, trends, and analysis. 5. Auto Service World: This is a Canadian-based publication covering various topics in the automotive industry, including aftermarket. 6. Tire Business: While it focuses on tires, it's an important part of the aftermarket industry. They cover news, statistics, and trends. 7. Ratchet+Wrench: Aimed at the service side of the aftermarket, this magazine covers topics like management, technical advice, and industry trends. 8. Automotive Aftermarket Suppliers Association (AASA): Though not a traditional media outlet, AASA provides vital research and publications that are considered important reading for those in the aftermarket business. 9. Parts and People: This outlet targets the automotive parts industry, including independent repair shops and aftermarket parts suppliers. 10. YouTube Channels / Blogs / Forums: There are numerous digital-first outlets, vlogs, and forums that car enthusiasts frequent for aftermarket news, such as Jalopnik, Motor Trend, and various independent YouTube creators who specialize in aftermarket modifications and reviews.
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Media Planning: Things to Consider Channel Selection 1. Digital vs Traditional: Decide the mix between digital media (social, PPC, etc.) and traditional media (TV, print, etc.). 2. Emerging Platforms: Consider allocating budget to newer platforms that are gaining traction. 3. Cross-channel Synergy: Opt for media channels that can complement each other for a more comprehensive reach.
Budget Allocation 1. Channel ROI: Review past performance metrics to allocate budget wisely among various media channels. 2. Flexibility: Set aside some budget for testing new channels or rapid reallocation in response to
Audience Analysis 1. Demographics: Understand the age, gender, location, and income of your target audience. 2. Psychographics: Understand interests, values, and behaviors to identify appropriate channels and messaging. 3. Customer Journey: Map out the customer journey to identify media touchpoints.
Competitive Analysis 1. Market Share: Keep an eye on competitors’ media activities to identify gaps or opportunities. 2. Differentiation: Ensure your media strategy sets you apart from competitors.
performance data.
Metrics & KPIs Messaging & Creative 1. Consistency: Ensure a consistent message across all media channels. 2. Personalization: Make use of data to tailor messages for specific audience segments. 3. Relevancy: Keep messaging and creatives updated to current events and trends.
Free Download Media Planning Worksheet
1. Measurement Tools: Make sure you have the right tools to measure the success of each media channel. 2. Key Metrics: Decide on KPIs such as CPM, CPA, CPC, and others to measure media effectiveness. 3. Attribution Models: Determine how you will attribute conversions to various media touchpoints.
Legal and Compliance 1. Data Privacy: Ensure that your media activities comply with evolving data privacy laws. 2. Brand Safety: Make sure that your
Organize your paid media placements by
brand isn’t associated with
type, date, and spend.
content that could harm its
Calculate total spend, CPC, CPM, CPA, ROAS, and Revenue.
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Marketing Budget Planning How Much Money Should Your Company Spend on Marketing? As the landscape of marketing continues to evolve, understanding how to create and allocate your budget effectively is paramount. In the ever-changing world of marketing, it’s essential to adapt to shifting trends and consumer preferences. Let’s review the dynamics of crafting your marketing budget for 2024 and provide actionable strategies to optimize your spending. The Marketing Budget Process: marketing budget process Develop an understanding of the budgeting process and create a draft budget for marketing. Keys to success: • In discussions with the corporate budgeting team, identify the model that marketing should adopt and the key steps and timelines. • Calculate the resources required to conduct all ongoing marketing activities based on past estimates and future requirements. • Modify the base budget for strategic priorities and historical variance, and build for cost-efficiency and reduction
Automotive Marketing
Statistics on Spend
86% of CMOs
CMOs are being tasked with making significant changes to how the marketing function works to achieve sustainable results.
9.1%
of revenue The average manufacturer's marketing allocation is 9.1% of total company revenue.
25.4% digital technology The average spend on digital technologies
$7689 Google Ads
The average manufacturer's marketing allocation to Google Pay Per Click ads monthly.
40%
24.6%
40% of businesses plan to increase their trade show budget.
The average spent on in house marketing talent.
28%
23.3%
28% of CMOs’ multichannel budgets will be spent on awareness in 2023. Yet more than half is allocated to consider demand generation and conversion
The average spend on marketing agencies.
Exhibitor Shows
awareness mktg
in house talent
marketing agencies
Tracking Your Investment: ROA vs ROI Return on Ad Spend (ROA)
ROA is your go-to metric when you want to zero in on how well your advertising bucks are working for you. It's pretty straightforward: you divide the revenue you made from an ad campaign by what you spent on that campaign. You drop $100 on a Google AdWords campaign and make $500 in sales. Your ROA would be $500 divided by $100, giving you a 5. Essentially, you pulled in $5 in revenue for every dollar you spent on ads. Not too shabby, right?
Return on Investment (ROI)
Now, ROI is the big-picture guy. It's not just looking at your ad spend; it's considering all the money you've put into your business—like manufacturing, staffing, and even that fancy espresso machine in the break room. To get your ROI, you subtract your total costs from your net profit and then divide that by your total costs. So, let's say you made that same $500 in sales but spent $200 overall to make it happen. Your ROI would be ($500 $200) divided by $200, which gives you 1.5. That means for every dollar you sunk into your business, you made $1.50 back.
Attribute
ROA (Return on Ad Spend)
ROI (Return on Investment)
Focus
Advertising campaigns
Overall business operations
Formula
Revenue from Ads / Cost of Ads
(Net Profit - Total Costs) / Total Costs
Scope
Narrow, specific to ad spending
Broad, includes all investments
Interpretation
Higher ratio indicates more effective ad spend
Higher ratio indicates healthier overall business
Primary Audience
Marketing team, digital strategists
Executives, investors, broader business teams
Decision-making Impact
Helps in optimizing future ad campaigns
Guides broader business strategy and investment
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Maximize Return with A/B Testing In a competitive and ever-evolving market, the success of a campaign hinges on its ability to resonate with the target audience, elicit emotions, and drive desired actions. Through rigorous testing, advertisers can gauge the appeal of various creative elements such as visuals, messaging, and tone, ensuring that they align with the brand's identity and the preferences of the intended audience. By analyzing the testing results, marketers can identify which aspects of their creative content are working and which need refinement, enabling them to allocate resources strategically and maximize the return on investment. Moreover, testing minimizes the risk of misinterpretation or unintended consequences, allowing brands to convey their messages clearly and authentically. Ultimately, the iterative process of testing creative advertising empowers brands to craft compelling narratives that leave a lasting impact and forge meaningful connections with their customers. HAVEN Creative, Fab Fours’ trusted media partner, routinely tests creative before placement to ensure maximum ROA. When Fab Fours changed to “The Outlaw” voice, they saw an increase in engagement and click rates on their creative.
Fab Fours experienced a 4% increase in open rates and 18% click-through-rate* when testing new creative in the outlaw voice. *Average CTR is 3% on email.
Case Study:
Customer Engagement Transformation Driven to enhance efficiency, agility, customer engagement, and overall competitiveness, Fab Fours hired HAVEN Creative in the fall of 2020 to manage its integrated marketing and communications programs. As a global leader in aftermarket truck and JEEP accessories, Fab Fours recognized the value of digital advertising early on. In 2020 however, Fab Fours began to optimize its advertising efforts, streamline internal processes, enhance customer experiences, and leverage data-driven insights for strategic decision-making. The key components of Fab Fours’ digital transformation included: 1. Integrated Customer Relationship Management (CRM) System: Fab Fours implemented a robust CRM system to consolidate customer data, interactions, and preferences. This allowed the company to personalize its marketing efforts, improve lead nurturing, and enhance the customer journey. 2. Data Analytics and Insights: Fab Fours invested in advanced data analytics tools to gather insights from its digital advertising campaigns. This data-driven approach enabled the company to identify trends, monitor campaign performance, and adjust real-time strategies based on actionable insights. 3. Content Marketing and Thought Leadership: HAVEN shifted Fab Fours’ digital advertising strategy to encompass content marketing and thought leadership. Fab Fours positioned itself as an industry authority by producing high-quality content that fosters trust and engagement with its target audience. 4. Social Media Engagement: Fab Fours focused on building an active online community by sharing informative content, responding to customer queries, and participating in industry conversations, enhancing its brand reputation. 5. E-commerce and Online Catalogs: As part of the digital transformation, HAVEN developed digital installation manuals and a comprehensive knowledge base for jobbers and enthusiasts. This allowed customers to explore products, specifications and installation guides quickly and easily, simplifying the purchasing process and improving the customer service experience.
Return on Investment: By embracing digital transformation, Fab Fours positioned itself as an innovative, customercentric, and forward-thinking brand, gaining a competitive edge in the market. Through the partnership with HAVEN Creative, Fab Fours saw a 75% reduction in customer service support phone calls, meaning the team could focus on daily operations instead of angry customers.
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External Support = Extra Muscle In the dynamic automotive landscape, having a trusted marketing partner offers a strategic advantage, enabling you to navigate the intricacies of media advertising and marketing with confidence, maximize your reach, and achieve meaningful results.
Top 5 Benefits of a Trusted Marketing Agency Partner : 1. Industry Expertise: A trusted marketing partner with experience in the automotive space brings in-depth knowledge of the industry's nuances, challenges, and trends, ensuring that your advertising strategies align with industry-specific requirements. A reliable partner knows these complexities and can effectively communicate your offerings to technical and non-technical audiences. 2. Multi-Channel Expertise: The automotive industry requires a multi-channel approach to reach different customer segments. A marketing partner adeptly navigates diverse channels such as trade publications, industry events, digital platforms, and more to ensure you get the biggest bang for your buck and that your branding and messaging remain cohesive across all advertising channels. 3. Data-Driven Insights: Marketing partners employ data analytics to track campaign performance, providing real-time insights into what's working and what needs adjustments. This data-driven approach ensures your advertising budget is optimized for the best results. 4. Strategic Creative Content Development: . Crafting compelling content that educates, engages, and converts requires creativity and strategy. A marketing partner can develop content that speaks to your automotive solutions in a way that resonates with your target audience and aligns with your long-term business goals. 5. Resource Optimization: Partnering with experts allows your automotive team to focus on core operations while leaving the intricacies of advertising and marketing in capable hands.
How HAVEN Creative® guides marketers to build a business-value budget and strategy The HAVEN Maven Method
1 We make communication your competitive advantage to build awareness for your brand. Our in-house talent enables your team to work faster, smarter and produce solid results.
Core Strengths:
target audiences 2 Determine to identify needs and pains.
3 define key differentiators
Conduct market analysis to
creative narratives 4 Design and visual identities
Brand Positioning Identity Design PR/Media Relations Paid Media Management Creative Advertising Campaigns Marketing Automation & Reporting
Industries: Manufacturing B2B Automotive Government Professional Services
Identify opportunities and set measurable goals.
advertising and 5 Develop marketing plan
automation to 6 Buildmeasure ROI.
7 Deploy campaigns. 4
Need help building your 2024 Marketing Plan?
8 Measure results. 4
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