2005 Outlook: The Boom Continues for Online Auto Ads

The next wave - dealer association online spending - is just beginning to hit. Dealer groups spent $58.3 million on online advertising in 2004 and are expected to increase that by 26 percent this year. While the numbers may seem big, they are still a drop in the bucket compared with the $30 billion spent on all auto advertising in 2004. The Internet category captured a 4% slice of that pie in 2004. What does this all mean? While branding and price-and-item advertising continues to be a mainstay for local media, the Internet is fueling some new models for making money in the business of connecting auto buyers and sellers. Lead generation is one way. Trackable rich-media advertising is another.

Executive Summary

Chapter 2: The Big Ad Spending Shift

Conclusions & Recommendations