How Facebook AIAs Help Dealers Reach New Customers & Get More Leads
As shoppers spend more time online, the success of dealerships increasingly hinges on their ability to connect with potential buyers through effective online marketing strategies. One of the most powerful tools at a dealer’s disposal are Automotive Inventory Ads, or AIAs, on Meta platforms like Facebook and Instagram. As we navigate a turbulent and unpredictable economy, focusing on cost-effective dealership marketing strategies is more important than ever. So, we’re here to help explain what AIA are, how they function for dealerships, and the benefits they offer for awareness and conversion.
What are Automotive Inventory Ads?
Automotive Inventory Ads are a dynamic ad format that promotes a dealership’s current inventory to interested buyers. Unlike traditional ads that require manual updates and static content, Meta AIAs leverage real-time data to display the most relevant units to potential customers based on their interests and browsing behavior. This automated nature ensures that users see ads tailored to their preferences, increasing the likelihood of engagement and lead generation.
For example, imagine a potential customer searching online for fifth wheel RVs for sale. That information is tracked, and the behavior is noted in their digital footprint. Meta takes this information about the user’s interest in fifth wheels and, through an AIA, can show that person your current fifth wheels for sale in their Facebook or Instagram feed. This same logic can apply to AIAs for trailer dealers, marine dealers, powersport dealers and more.
How Facebook AIA Functions for Dealerships
AIAs are a game-changer in digital marketing for dealerships. These ads can integrate seamlessly with your existing inventory feed, allowing you to showcase your inventory on the social media platforms your customers are already scrolling. Here’s a step-by-step breakdown of how AIAs work for dealerships:
Integration with Inventory Feed
AIAs pull data from your inventory management system. A third-party agency or your DMS manager can set up an automated dealership inventory feed, including vehicle details, images and prices. This integration ensures that the ads are always up to date with your latest inventory. Here at NetSource Media, our in-house inventory management platform is built to connect seamlessly with Facebook AIAs.
Dynamic Ad Creation
Using Meta’s machine learning (AI) algorithms, AIAs are dynamically created and personalized for each viewer. These ads highlight units that match the viewer’s interests, behavior and demographics. Meta can collect data like this through behavior tracking codes like the Meta Pixel.
Targeting and Retargeting
AIAs leverage Meta’s advanced targeting capabilities to reach motivated potential buyers. They can target users based on their location, age, interests and past interactions with similar content. Additionally, AIAs can retarget users who have previously visited your website or engaged with your content.
Placement Across Meta Platforms
AIAs are not limited to Facebook and Instagram feeds. They can appear in other placements within Meta’s ecosystem, like Facebook Marketplace, WhatsApp and Messenger. They could even appear on other websites and mobile apps through Meta’s Audience Network. Meta’s algorithm will choose an ad’s placement based on which one is most likely to improve the ad’s results.
Benefits of Facebook AIA for Dealerships
Dealers who ran AIAs with NetSource have reported a myriad of benefits. Some key advantages have included more people seeing the ads and higher conversion rates at a lower cost per lead. In our experience, AIAs have resulted in four times more exposure, a two times lower cost per Facebook Messenger conversation and a five times lower cost per landing page view compared to traditional Facebook ads for RV dealers!
The dynamic nature of these ads ensures that they reach a wider audience that is more likely to be interested in the units they are shown. It’s also important to note that Facebook implements a frequency cap on ads, so a single user can only see an ad so many times. AIAs change based on current inventory and the user’s most recent behavior, so the frequency cap is often much higher than that of traditional ads. Meaning that users are shown AIAs more often than they would be shown a traditional ad.
In addition to showing more often, these ads have better engagement and conversion rates. By showcasing vehicles that align with users’ interests, AIAs significantly boost engagement rates. Users are more likely to click on ads that feature boats, trailers or vehicles tailored to their interests, leading to more interactions and potential leads.
They’re also one of the most cost-effective lead-generating digital ad options for dealers. The automated nature of these ads reduces the need for manual updates, saving time and resources while optimizing ad spend. This real-time feature ensures that your ads always reflect your current stock, preventing the frustration of outdated listings.
Best Practices for Maximizing AIA Success
To fully leverage the potential of Facebook AIA, dealerships should consider the following best practices:
Optimize Your Inventory Feed
Ensure that your inventory feed is accurate and up to date. High-quality images and detailed descriptions will enhance the appeal of your ads. Be sure to fill out as much information and give as much detail as possible. Facebook’s current limit is 20 photos per item, and it’s best to add as many photos as possible. This helps people feel more confident about contacting your dealership and helps prevent people from clogging your sales team’s inboxes and phone lines with basic questions.
Use Meta’s Targeting Options
Take advantage of Meta’s sophisticated targeting tools to reach the right audience. Experiment with different targeting parameters to find the most effective combinations. You should also collect information like the name, email and phone number of your customers. These can be submitted to Meta, allowing them to find your customers on their platform and to understand their behaviors and interests. They’ll use this information to show your ads to users who are similar to your previous customers. If you have a NetSource Media website, our social media marketing team takes care of this step for you.
Engage with Prospective Buyers
Use the increased engagement from AIA to interact with potential buyers online. Promptly respond to inquiries and provide excellent customer service to nurture leads through the sales funnel. This is essential when it comes to AIA optimized for Messenger conversations. Many dealers don’t take the time to provide people on Messenger with the same level of care and attention that they offer in-person or phone call leads. Treat potential buyers contacting you through Messenger the same as you would a person who walked through your dealership door. Respond in a friendly manner and ask questions to help the user narrow down which item is best for them.
Start Your Facebook AIA and Other Dealership Ads with NetSource Media
Automotive Inventory Ads on Meta platforms offer many dealerships a powerful tool to enhance their digital marketing efforts. By leveraging the dynamic and targeted nature of AIAs, dealerships can significantly increase their exposure, engagement and conversion rates. At NetSource Media, we have seen firsthand the transformative impact of AIA for our clients. As dealership marketing continues to evolve, staying at the forefront with innovative solutions like AIAs will be key to driving success and growth in a competitive market. Schedule a consultation with our digital marketing team to find out how our services can help your dealership find new customers and new leads online!