Developing a strategy - I want to get it right

Discussion in 'Sales, Marketing & PR' started by Gordon - Commercial Finance, Jul 17, 2019.

  1. Gordon - Commercial Finance

    Gordon - Commercial Finance UKBF Ace Free Member

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    Hi experts

    I'm trying to put together a strategy for marketing a particular product. I'm basically trying to get consumers to get finance arranged for their car before they go to the dealer and take their finance.

    Just a couple of questions and areas where I would like some guidance. The model I'm looking at is similar to that of a very large company who spent a fortune on TV advertising. I don't have a fortune to spend, and equally I don't necessarily need to payback that they've got from it.

    One of the methods I'm entertaining instead is Facebook advertising. I don't have a Facebook account, so I'm not all that familiar with how it all goes, but I will be able to figure it out. Can I have a business page without having a personal one? When I went on there to set it up it just seemed to want me to set up a personal account.
    If I do manage to gather enquiries by this method, do I need a website or landing page to direct people to, or is there a way to do gather leads just using the Facebook set up?

    Another method I like is YouTube ads. Does anyone have any experience of this and can share their experiences? I'm interested as I can target people's interests. For example people who have a keen interest in cars and who would look at motoring related videos in my eyes are more likely to be looking at higher value cars. I don't have data to back this view up but its just an example for now.

    I presume with YouTube I will need a website to send the CTA link to and just gather information for each lead. Would a self-built website on a reasonably good platform (such as Squarespace) be suitable for that purpose?

    If so, does anyone have recommendations on a build platform? I've got a site that I built on WebsiteBuilder which is ok but not exactly slick. Not too fussed about it as I just needed to get the domain and have a presence, but for that part of the business no one really uses websites currently.

    Appreciate everyone and anyone's input on this. I want to do this myself but I want to get it right as I did some AdWords campaigns for a bit which ended up being an expensive lesson as it just wasn't thought through carefully enough (by me).

    Thanks
     
    Posted: Jul 17, 2019 By: Gordon - Commercial Finance Member since: Jun 26, 2017
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  2. Clinton

    Clinton UKBF Big Shot Full Member

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    I don't have time to put a long post together. Drop me a PM and arrange a call and I'll give you some tips on the phone.
     
    Posted: Jul 17, 2019 By: Clinton Member since: Jan 17, 2010
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  3. Darren_Ssc

    Darren_Ssc UKBF Regular Free Member

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    In order to have a business page on facebook you have to have a personal page. That said, it can be more or less blank with information that doesn't identify you (other than your name, which is likely more common than you might think?). Just make sure you use an email that isn't already in use with friends or family (this is one method they use to identify people who don't even have an account) and avoid using a photo of yourself (it is possible but facebook don't really encourage this, for obvious reasons).

    To run any kind of successful advertising campaign it is essential you have a good landing page. Not only does this impact on your conversion but a good landing page can have a dramatic effect on your cost per click.

    Look at what your audience likes and give them more of the same. Nice pictures and a clear message rather than anything complex that makes people think too much.

    The real key to success though is constant optimisation of your ad copy, landing page and audience. Get this right and your laughing but don't expect instant success, it's a steep learning curve and an expensive one.

    One advantage facebook has over google ads, aside from being cheaper, is the ability to define a specific target audience and once you've optimised it you can do it all again with a 'lookalike' audience which is basically another ready-made bunch of people just like the one you've gone to great pains to find before.

    Re youtube, I don't know anything about that, sorry.
     
    Last edited: Jul 17, 2019
    Posted: Jul 17, 2019 By: Darren_Ssc Member since: Mar 1, 2019
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  4. AllUpHere

    AllUpHere UKBF Ace Free Member

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    I'll say it for the thousandth time on this forum. Don't even think about promotional marketing until you have the strategic stuff sorted. What advantage do you have over the competition? What angle can you use?

    Bear in mind that you are competing with big finance companies who pay for opinions from people like me, and then may throw 5, 10 or 20 million at an idea to see if it works. The very first thing you need to do is work out what your advantage is.
     
    Posted: Jul 17, 2019 By: AllUpHere Member since: Jun 30, 2014
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  5. Calvin Crane

    Calvin Crane UKBF Regular Full Member

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    Is this another example of some youtube guru telling everyone they can run a few ads and start making money? If you found adwords hard you will struggle with facebook.
    Lead generation is very hard to get right and if you don't even have a facebook account that tells me you are not the kind of person who is going to do it easily.
    Take a look at your local newspaper website (or the sun) and look at the blocks of content with enticing words. Click through and see what you need to do and how you will have to compete.
     
    Posted: Jul 17, 2019 By: Calvin Crane Member since: Jun 8, 2018
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  6. Gordon - Commercial Finance

    Gordon - Commercial Finance UKBF Ace Free Member

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    Thanks for this. I never said that I found AdWords hard...I actually outsourced that particular campaign. I learned a lot from it.
    I don't have a Facebook account but its not because I don't understand how it works. I did have an account at one point but I deactivated it many years ago.

    Lead generation is hard to get right, I accept that. That's why this time I'm doing my research, looking to get it right from the start, and asking for input from those who know more than me.
     
    Posted: Jul 17, 2019 By: Gordon - Commercial Finance Member since: Jun 26, 2017
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  7. Calvin Crane

    Calvin Crane UKBF Regular Full Member

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    Sorry mate it came across wrong. And I applaud you for avoiding facebook. Look at taboola and others like it. You don't necessarily need facebook.

    Most people in your position just find a lead generation company. I am curious to know why people are not outsourcing highly skillful tasks like this with a lot of moving parts- hence why I thought you might have watched some video telling you how to do it. Soz.
     
    Posted: Jul 17, 2019 By: Calvin Crane Member since: Jun 8, 2018
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  8. fisicx

    fisicx It's Major Clanger! Staff Member

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    How is this even going to work? I don't yet know what car I want, if I'm going to get new or used car or even which dealer to visit.

    How can you offer me a better deal than the dealer? Their deals are often based on how much your old car is worth plus some wiggle room and lots of tweaking.
     
    Posted: Jul 17, 2019 By: fisicx Member since: Sep 12, 2006
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  9. Gordon - Commercial Finance

    Gordon - Commercial Finance UKBF Ace Free Member

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    Thanks Calvin that's fine.
    I'm a bit reticent to outsource again because of how it went down last time with AdWords. Nothing against the company that managed it for me but I think if I take the time to understand what I'm going to do first, its less likely to go the same way.
     
    Posted: Jul 17, 2019 By: Gordon - Commercial Finance Member since: Jun 26, 2017
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  10. Gordon - Commercial Finance

    Gordon - Commercial Finance UKBF Ace Free Member

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    I will almost always get you a better rate than a dealer. Reason being the finance co that serves the dealer builds in a 5% kickback to the dealer and charge you for it. In motor finance, prime customers are priced at about 10% and subprime at 20%. I would price prime at 5% and subprime at 10% because I don't have to pay a referral fee to the dealer and charge the customer for it. The numbers here are rough of course as everyone is different but you get the idea.

    It can work, and there's a major player out there doing it right now who hoovered up £40,000,000 in commissions from this method last year. Some people still go car shopping by nipping down to their local dealer and buying something that they've got on the forecourt, but many people know what they want and find one somewhere that fits their requirements.

    For example, Joe Carbuy wants to buy a BMW M3. He wants a 67 plate with less than 30k on the clock. He goes on autotrader and finds one in the colour and trim that he likes and then he speaks to me to get an idea what his payments are going to be like on that vehicle. Then he can go to see the dealer and get a test drive or whatever he would like, but when asked about finance he already has it arranged thanks very much.
     
    Posted: Jul 17, 2019 By: Gordon - Commercial Finance Member since: Jun 26, 2017
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  11. AstEver

    AstEver UKBF Contributor Free Member

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    Further to what @AllUpHere suggests, a proper marketing strategy, aligned with business strategy, will answer more of the questions and save much resources. You will know what channels you should chose and what are not worth investing in.
    There is a good reason why the best businesses commit to strategic planning. I would say, get the basics right, or else it is going to be a 'spray & pray' strategy.
     
    Posted: Jul 17, 2019 By: AstEver Member since: Jan 10, 2019
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  12. fisicx

    fisicx It's Major Clanger! Staff Member

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    Joe Carbuy is looking on autotrader not youtube, not google or facebook. You need to be right in front of him when he is searching - and that's not going to be easy.

    We watch loads of car shows on the telly - that's where I'd expect to see your adverts. Pistonheads and other auto forums might be useful.

    But actually getting people to fill in your online form isn't going to be easy. And it needs to be instant. If I've seen the car I want and fill in your form I need to know I can get the money before I go see the car.

    And when I get to the dealer he knocks £500 off the price making the deal cheaper than you and I can drive the car away within an hour how are you going to win me back?

    Not knocking what you can do - It sounds great, I just think it's going to be expensive and hard to gain traction. You could easily spend £500K and get nothing in return.
     
    Posted: Jul 17, 2019 By: fisicx Member since: Sep 12, 2006
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  13. The Byre

    The Byre UKBF Ace Free Member

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    Another one of my collection of random thoughts in no special order -
    • Cars and finance - the higher the cost, the fewer people want or need financing. e.g. Merc. G-Waggon - almost none of the people buying them use any kind of financing.
    • YouTube is VERY effective for reaching car buyers and enthusiasts. BUT your videos have to be professionally produced and don't even think about producing fewer than one a week. The more you make, the more hits and repeat hits you'll get. Most of the really popular YT car channels do several a week.
    • You must (as @AllUpHere said) first establish your USP and your overall strategy. e.g. a bi-weekly look at all things financial around a car. VAT, workshop hours, Stig-With-a-Spanner v. Indi Garage v. Dealer for repairs, insurance and insurance claims, cost of fuel, environmental costs - the list of angles is just bloody endless. The whole issue of the economics of manufacturing cars could be a channel in itself!
    More later - it's beer-o'clock already!
     
    Posted: Jul 17, 2019 By: The Byre Member since: Aug 13, 2013
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  14. saythisinstead.co.uk

    saythisinstead.co.uk UKBF Regular Free Member

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    There is also the problem that around 80% of private new cars are sold under some form of PCP scheme and not on conventional finance. That really only leaves used cars and still a hefty percentage of those can be on PCP too.
     
    Posted: Jul 17, 2019 By: saythisinstead.co.uk Member since: Nov 30, 2017
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  15. Gordon - Commercial Finance

    Gordon - Commercial Finance UKBF Ace Free Member

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    Very much agree with your second point, but not so sure on the first. In my experience if someone "wealthy" has £100,000 they most certainly wouldn't want to sink it into a rusting and depreciating piece of metal. Quick way to lose £40,000......
     
    Last edited: Jul 17, 2019
    Posted: Jul 17, 2019 By: Gordon - Commercial Finance Member since: Jun 26, 2017
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  16. Gordon - Commercial Finance

    Gordon - Commercial Finance UKBF Ace Free Member

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    That's one area where there is a benefit in doing funding with me first. There's no consumer protection in PCP and often inflated future values are a trap set by the dealers. I would do everything on HP which can be structured the same as PCP but with a sensible balloon, and its not impossible to get out early.

    I can also fund new cars just as easy as used. And a PCP scheme is conventional finance. What I'm trying to do is the unconventional method. I've just done exactly this with someone buying a new Porsche. The Porsche dealership could only do PCP and at an inflated rate. I could not only save him money but also could do structured HP which was better for the client.
     
    Last edited: Jul 17, 2019
    Posted: Jul 17, 2019 By: Gordon - Commercial Finance Member since: Jun 26, 2017
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  17. Gordon - Commercial Finance

    Gordon - Commercial Finance UKBF Ace Free Member

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    That's a very good point. My thinking on YouTube was that car enthusiast types would see it and if the ad explained that you can save money by arranging the finance first or whatever the focus would be, then if they were already in the market for a new car they would give it a shot.

    Yes true, but if my finance is cheaper by more than £500 total (not impossible) then there's only so much the dealer can do. Good point though about winning you back if the dealer has done his convincing.
     
    Posted: Jul 17, 2019 By: Gordon - Commercial Finance Member since: Jun 26, 2017
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  18. Gordon - Commercial Finance

    Gordon - Commercial Finance UKBF Ace Free Member

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    I'm developing a strategy - that's why I'm here and not inputting my card details on the YouTube ads page right now...
    Also see the title of the thread. I'm thinking it through, planning, getting the basics right so that its not just "Spray & Pray"....
     
    Posted: Jul 17, 2019 By: Gordon - Commercial Finance Member since: Jun 26, 2017
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  19. fisicx

    fisicx It's Major Clanger! Staff Member

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    Except that's not how it works. Very few people either click on the ad or remember what they saw.

    They are researching cars, they aren't in the market for finance yet. They probably won't even think about finance until after they have found the car they want. I know I didn't.

    So this is going to be your dilemma. How to firstly make people aware of what you offer and then remind them of this when they find a car. There are various numbers but it's generally accepted that you need multiple impressions of an advert. So you will be spending money for a good while to just let people know there is an alternative source of funding. Not sure it's going to be cheap.
     
    Posted: Jul 17, 2019 By: fisicx Member since: Sep 12, 2006
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  20. AstEver

    AstEver UKBF Contributor Free Member

    56 6
    What would you say on using such a tactic as:

    Visual advertising promoting (and linking to) a content on your landing page. The advertisement would have a catchy title e.g. 'Before You Buy a Car' or something in that manner and the content would serve the informative and educational purposes of communication. Among general suggestions, one section would be elaborative on finance i.e. your product and you would load the landing page with forms, pixels, trackers and all the funny stuff for measurement and re-marketing purposes.
    I am not a specialist so feel free to butcher the idea :)
     
    Posted: Jul 17, 2019 By: AstEver Member since: Jan 10, 2019
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