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Automotive Dealership - Avg CPA ?

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

Hello all,

 

I am trying to find what the avg AdWords CPA range is for automotive dealerships (sales). $200-$300, $700-$800, higher?

I know it's a pretty general question but would appreciate any help. Thank you.

 

Regards, Scott

1 Expert replyverified_user
Marked as Best Answer.
Solution
Accepted by topic author Scott P
September 2015

Re: Automotive Dealership - Avg CPA ?

Explorer ✭ ✭ ☆
# 2
Explorer ✭ ✭ ☆

Hi @Scott P,

 

Welcome to the community!

 

If I could still remember well:

 

  • The average CPC for Auto & Vehicle is around $1.30 at the moment
  • The average conversion rate for Google search is around 4%, for Google display is around (usually above 6%)
  • And the average lead-to-dealership rate is 3%

 

Therefore, the average car dealership nowadays is in the range between 600 -700 USD. (Well of course it's slight different when looking into different type of dealerships: used cars, luxury cars, etc..)

 

For my experience, if you could set the Household Income Tier setting by demographics targeting, it will greatly improve the performance in both conversion rate and lead-to-dealership rate:

 

Capture.PNG

Hope this helps!

 

Thanks,

Jason

 

 

 

Marked as Best Answer.
Solution
Accepted by topic author Scott P
September 2015

Re: Automotive Dealership - Avg CPA ?

Rising Star
# 3
Rising Star
Hey Scott,

I will make space for other people to post the numbers, but I'd like to lay down my opinion.

I always look through "averages" accross segments with much care.

A LOT of factors can determine the final amount that you're payment for lead. Considering a few things like

- Strength/awareness of your brand
- Adwords usage (best practices, CPC, Quality Score and so on)
- Landing page experience
- Product awareness/desire

Those factors can determine whether an advertisers pays $200 or $800/lead for the same keywords/strategy.

Also, remember that for segment averages, there's always someone paying more or less for the lead.

I'd say that it's interesting to see information from the others, but on top of it all, test which is better for your campaign.

Hope this helps.

Leandro Martinez | Basta1Click

Re: Automotive Dealership - Avg CPA ?

Visitor ✭ ✭ ✭
# 4
Visitor ✭ ✭ ✭
Thanks very much, Jason, for the kind welcome and the data you shared! Much appreciated. :-)

Re: Automotive Dealership - Avg CPA ?

Visitor ✭ ✭ ✭
# 5
Visitor ✭ ✭ ✭
Hey leandrofm, thanks kindly for the tips! Your advice jives with what I've seen across other segments. Had't worked in the automobile vertical before so your assistance is helpful and much appreciated! :-)