Previously aired Nov. 14, 2024
We all know that Cox Automotive’s Autotrader and Kelley Blue Book are consumer mega-marketplaces—a cornerstone of car buying and selling in the U.S. For over twenty years, Autotrader has led the way in online car shopping, helping U.S. consumers decide what car to buy, where to buy it, and what deals are available.
So, on today’s episode of Inside Automotive, we’re again joined by Jade Terreberry, senior director of Strategic Development at Cox Automotive, and Mike Tegtmeyer, AVP of Dealer Sales with Autotrader and Kelley Blue Book. Together, they discuss how dealers can close their ‘blind spots’ regarding lead attribution, which is crucial in today’s competitive automotive market.
Terreberry and Tegtmeyer break down the crucial blind spots in lead attribution that automotive dealers often overlook. According to Terreberry, the primary issue is the lack of visibility in how marketing dollars translate to consumer action, emphasizing that technology has closed this gap. “We spent so many years in automotive not knowing where our marketing dollars were going,” she explains. However, dealers now have the tools to connect with consumers across every touchpoint, using real-time data to adjust strategies and maximize efficiency.
The conversation also highlighted common misconceptions about lead attribution, particularly regarding the “cost per lead” metric. Terreberry noted that while cost per lead has been a key performance indicator, relying on it alone can be misleading. For instance, some dealers may have a low cost per lead but might be dealing with lower-quality leads or struggling to convert them into sales.
According to Tegtmeyer, “People have changed how they buy cars.” To help dealers improve their performance for the rest of the year, the AutoTrader and Cox Automotive teams have created a blueprint. This blueprint includes five actionable recommendations that dealers can use to maximize lead attribution:
- Identify key lead providers and their websites, along with third-party sources, ensuring accurate measurement of each provider’s effectiveness.
- Focus on CRM accuracy by ensuring sales teams correctly label leads and utilize CRM tools to track lead sources.
- Recognize the growing importance of third-party marketplaces like Autotrader and Kelley Blue Book, which account for over 60% of consumer activity and facilitate seamless data transfer between CRM systems and digital retail tools.
- Emphasize the importance of quality over quantity in lead generation and ensure sales teams effectively use digital tools to close deals.
The duo also stresses the importance of third-party marketplaces like AutoTrader and Kelley Blue Book. According to Terreberry, more than 60% of both high- and low-funnel consumer activities happen on these platforms. “Consumers are doing more of their shopping online, and we need to be where they are,” she says. The seamless integration between these third-party marketplaces and dealer CRMs helps streamline the process and reduce consumer friction.
"The dealers who accept that data and understand that there are better ways to make decisions now—those are the ones that are going to win." — Jade Terreberry
