1. 1 1 Ralph Paglia Director – Digital Marketing ADP Dealer Services Cell: 505.301.6369 rpaglia@gmail.com

2. 2 2 INTRODUCTIONS Tier 3 Digital Advertising Landscape Director - Digital Marketing OEM Accounts Recognized and proven expert in Automotive Digital Advertising-Marketing, Lead Management and CRM Process design Responsible for driving 144,000+ leads to single-point dealer in 2 years and developing a team that sold 4,000+ Vehicles to Internet Leads in 2006. Strategic marketing planner and consultant to multiple car companies, dealer groups and national enterprise automotive organizations Deep history of developing Digital Marketing strategies and tactical CRM implementation blueprints for dealers and car companies Leader in analyzing research and data, then transforming into strategic planning used to create retail automotive tactical framework Ralph Paglia

3. 3 3 Objective Analysis Where are Dealers shifting money from, so that Digital Marketing does not increase overall advertising budgets or Costs PVR?

4. 4 4 Retail Sales Validation Why should Ford dealers shift advertising budgets from newspaper into Digital Advertising?

5. 5 5 Winners and Losers in Automotive Advertising Automotive Retailer Investment in Online Advertising is Projected to Increase 84% During the Next 5 Years 2006 through 2011 Overall Automotive Advertising by Media Channel ($ Millions) Declining Investment in Less Effective Media include: Newspaper Direct Mail Yellow Page Directories Local Magazines

6. 6 6 "Automakers and dealers pulled dollars out of television, newspaper and magazine media buys and redirected them to digital media in 2006," - Lisa Phillips, eMarketer senior analyst eMarketer predicts the automotive category will account for $2.69 billion, or nearly 14%, of the $19.5 billion estimated to be spent on Internet advertising and marketing in 2007. Auto Industry Takes a Digital Turn The best auto retailers are shifting their budgets into Digital Marketing… Are you planning your shift for maximum effectiveness?

7. 7 7 Tier 1, 2 and 3 New Vehicle Advertising Newspaper, Radio and Direct Mail currently consume 42.4% of dealer ad budgets, with Online advertising getting 5.7%... This is out of sync with the fact that over 70% of car buyers use the web to determine the vehicle and the dealer for their next purchase.

8. 8 8 Online Advertising Dominates Used Car Marketing The shift from analog to digital advertising continues to accelerate with Online having passed Newspaper advertising for used car sales in mid-year 2007

9. 9 9  Also called Pay-Per-Click or Sponsored Listings Solution #3: Paid Search Marketing (PPC)

10. 10 Organic Search Results Paid Search Results SEO and SEM differences

11. 11 How Many Dealers Use SEM Today? …Yesterday?

12. 12 Which Dealers Use SEM Today? How Many Cars Do They Sell?

13. 13 Which Search Engines Are These Dealers Using?

14. 14 Display Ads Video Ads Business Listings Widgets / Gadgets Rich Media Ads Digital Advertising Media

15. 15 Digital Advertising Networks Increase Efficiencies

16. 16 Behavioral Targeted Marketing Campaigns

17. 17 Display Ads Paid Search TV Post Visit Marketing It’s cheaper to convert a qualified prospect than to create a new one Driving qualified prospects to your site is expensive Retargeting Campaigns

18. 18 [ HOME ] [ SOLUTIONS ] EMAIL NEWSLETTER MARKETING Gets Through ISP Spam Filters to Drive Traffic into Dealer Websites LOCAL CONTENT ADP PROVIDED PROESSIONALLY WRITTEN ARTICLES SEGMENTED AND TARGETED DATABASE BY VEHICLE BRAND CAN-SPAM COMPLIANT Re-engages Dealer Websitesvisitors that Dealers don’t follow up with! Gets them back to Dealer Websites – Recycled Sales Opportunities! Re-engages Dealer Websites visitors that Dealers don’t follow up with! Gets them back to Dealer Websites – Recycled Sales Opportunities!

19. 19 Thank You