Automakers are turning up spending and creativity as they move to more nontraditional advertising, videos and social media campaigns to reach customers who aren’t spending much time in front of the TV.
Companies such as Ford Motor Co. say they are spending more money and dedicating more resources in the digital advertising space. Think banner ads on websites, messages that pop up on smartphones while using apps such as Pandora, and sponsorship of Web-based video series.
Internet advertising revenue jumped 15.2 percent in the U.S. last year to $36.6 billion, according to the Interactive Advertising Bureau’s Internet Advertising Revenue Report conducted by PricewaterhouseCoopers. Automotive advertising was a big part of that, growing to $4.39 billion last year, up from $3.49 billion in 2011, says the group that represents more than 500 media and tech companies selling a majority of online U.S. ads.
Car companies say digital is an area where they can attract young people and luxury customers, and pinpoint specific age groups and interests. Automakers are using more video content, especially accessible through mobile phones or tablets, to reach those customers.