Results of Two-Year Study Shows That Game Changing AI Marketing Solution Significantly Outperforms Human-Managed Campaigns by Increasing Shopper Engagement While Reducing Average Cost-Per-Click by 60 Percent.
LotLinx, the automotive industry’s leading authority on inventory marketing artificial intelligence (AI) solutions, announced an AI powered search engine marketing (SEM) solution that dramatically improves performance while efficiently utilizing spend. SEM /AI/ continuously and dynamically optimizes inventory marketing campaigns to account for changing consumer and market trends, marketing each vehicle uniquely.
Dealer monthly spend on SEM has increased exponentially in the past few years along with the amount of data available for every individual search, making it more complex for dealership SEM managers to maintain optimally running campaigns. The complexity associated with managing campaigns in the face of ever changing consumer and market trends, revolving inventory, and growing competitive pressures is now more challenging than ever.
“It takes a tremendous amount of time and expertise to monitor and adjust SEM campaigns based on a comprehensive understanding of all the interrelated variables,” said Eric Turner, Vice President of Product Management for LotLinx. “The AI powered solutions we provide understands the variables and continuously performs 3-4x better than industry benchmarks with little to no internal process or budget changes required.”
A recent LotLinx research study of more than 1,000 dealer SEM campaigns found that the average automotive SEM manager makes fewer than 25 optimization adjustments per campaign, per month. In the same scenario, SEM /AI/ performed more than 3,500 micro-optimization adjustments on average. A human manager performing the equivalent number of adjustments would take an estimated 30 hours to complete.
The study also revealed that average cost-per-click (CPC) was reduced significantly, averaging $1.72 per click in AI-managed campaigns versus an average of $4.31 in non-AI managed campaigns. When asked to comment on their experience with the closed beta testing, Florida Fine Cars Marketing Director Jamie Suid said, “We’ve been taking advantage of SEM /AI/ for just over a year now within our core product, LotLinx TURN. There is still nothing like it. No solution out there delivers VIN-specific SEM marketing at scale like LotLinx. Also, it’s run directly out of Google Ads, so the results of your campaign are transparent. It’s all there for you to see.”