Powering performance of automotive digital advertising with DoubleVerify
According to Invest India, India will be the third-largest automotive market globally by 2030, with the passenger vehicle industry slated to grow by 16% in 2023. With consumer spending on automobiles pumping up, the market is naturally increasing investments in digital advertisements to attract customers. As per the data released by AdEx India, the number of digital ad insertions for the automotive industry increased by 83% in 2021 – a figure that is expected to grow exponentially this year.
Despite this growth, supply chain disruptions, chip shortages, and escalating shipping costs are impacting the bottom line. This motivates auto brands to maximize the efficiency and effectiveness of their digital media campaigns. If you are an auto marketer competing to win the race for consumer attention, here are important trends to be aware of:
Digital Touchpoints Matter
A Google survey found that 95% of Indian automotive purchasers conduct online research before deciding on a purchase. Research that was previously conducted in person is now primarily conducted on smartphones, thereby turning the conventional process for purchasing a car on its head. Hence, getting the right messaging in front of car buyers in quality digital environments is vital.
Video Advertising Makes an Impact on Car Buyers
Online video is emerging as the biggest disruptor in advertising for India’s automotive industry. According to the previously mentioned Google survey, 9 out of 10 automotive purchasers take action after watching an online video. That said, automotive advertisers will want to consider protection from fraud and unsuitable environments across video placements. For instance, avoiding having advertisements appear alongside unsuitable content like articles about car crashes and instead aligning the brand with other relevant and positive content like “Best Cars to Buy” stories.
Social Advertising is Growing in Popularity
99% of consumers in India consider buying or leasing a new automotive model after seeing social media posts, according to Facebook. Not surprisingly, social verification for DV’s automotive clients grew 60% YoY, but overall, they seem to be verifying their social campaigns less than other industries, according to DV data. Advertisers looking to explore advertising on social channels like Facebook and YouTube should strongly consider using verification tools to protect their spending and brand reputation.
Advertisers are Shifting Away from Linear TV and Cable Toward Streaming and Connected TV (CTV)
Consumers in India gradually switch from traditional linear TV to connected TV (CTV) and over-the-top (OTT) services as the country undergoes a digital transformation. According to the India CTV report, CTV viewing in India witnessed a noticeable jump of 31%. Furthermore, it was discovered that about 70% of respondents spent between one and four hours each day viewing movies, listening to streaming music, playing games, or watching the news on CTV. The platform offers enormous potential for businesses to develop full-funnel marketing strategies and connect with a large audience of influential consumers. As a result, it has become imperative for automotive brands to increase their investment in this channel to connect with customers. However, the adage holds true – fraud follows the money. According to DoubleVerify’s most recent report, the number of fraud schemes it discovered increased by over 70% in 2022 compared with 2021, with an unprecedented number of schemes targeting CTV. As a result, it becomes imperative for automotive advertisers to work with an objective third-party ad verification company to help evaluate, detect and eliminate all fraud within their media buys.
For the latest in-depth information about the state of media quality in the auto industry, be sure to download this guide and learn more about best practices and solutions to maximize the efficiency and effectiveness of your campaigns.