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What is smart targeting, and why should your dealership care?

  • March 21, 2017
4 min read
What is smart targeting, and why should your dealership care?

Table of Contents

    Mollie Monett

    Mollie Monett

    Table of Contents

      Smart targeting is becoming a popular term in the automotive space. But with every buzz word, it’s important to understand the actual meaning.  What is smart targeting and how can it benefit your dealership’s website?

      What is the Definition of Smart Targeting?

      Smart targeting is the use of AI (artificial intelligence) technology to predict the interests of website visitors and target them with relevant content and offers at optimal times.

      Let’s break that down.

      Every person browsing your website is looking for something. Maybe they’re seriously considering a particular model and are checking out VDPs. Maybe they are first-time browsers and need comparison charts, feature explanations, and financing guides to help them move forward. Maybe they’re just looking for service. Whatever the website visitor is looking for, if your website has mobile-optimized design, clear navigation, and plenty of content for shoppers at all stages of the buying process, that’s going to be really helpful for your visitors– and a great start.

      How Smart Targeting Helps You Target the Right Customer at the Right Time

      Smart targeting takes that bulk of content and targets it to the right customer at the right time, making sure that each visitor has opportunities to convert when interest is high.

      Here are some examples:

      • Someone browsing VDPs will be shown an offer on that particular vehicle after having a few moments to read and research on their own. Because they are demonstrating interest in that vehicle, this offer is really useful for them, and is offered at a time they will likely convert.
      • The first-time visitor will see an offer for a holiday sale, not the second they arrive onsite, but after 15 seconds or so, enough time to get oriented. Note: this customer will not see a specific vehicle offer because they are likely still shopping around and not ready to choose a car yet.

      How does smart targeting actually work?

      The technology works like this: a system based on algorithms and machine learning tracks visitor data such as location, browser language, and time of day. It also notes behaviors such as number of site visits, time onsite, and VDP views. Using this information, the system then creates segments of visitors, such as early-stage shoppers, late-stage shoppers, shoppers in a particular location, and so on, and predicts the interests of each segment. With segments in place, the system can categorize site visitors and offer them content they are likely to want to see. It then records their responses– did they convert or not?– and uses that data to further improve its segments and future predictions.

      In non-technology terms, smart targeting is a system that behaves like a great salesperson, responding to customer interests, anticipating their questions, and helping them find the products and deals that interest them.

      How does smart targeting benefit my dealership?

      Smart targeting is a tool that brings online car shoppers unprecedented levels of personalization on dealership website. This means:

      Improved advertising ROI

      When customers convert on your site, the ad dollars you spend bringing them there pay off. You also save on retargeting.

      A competitive edge

      In today’s market, 55% of customers are willing to pay more for better customer service. The dealership that can provide it from the moment customers arrive onsite will win over those customers, drawing them away from the competition.

      More leads for your dealership

      Recent research shows that 74% of customers get frustrated with content that is irrelevant to their interests. Conversely, 48% of customers spend more in response to personalization, and businesses in a variety of industries report 65% increased conversion rates from personalization efforts. Personalization is an effective way to get more leads. Smart targeting is the key to personalization.

      Using smart targeting on your dealership website is the best way to match the personalization your customers find in your showroom. Try it today!

      Want to get started with the best smart targeting technology for your car dealership? Request a demo today!

      • Automotive
      • CDXP
      • Digital Advertising

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