How to advertise your car dealership on Facebook

Want to know how to sell more cars online? Facebook’s Marketplace might be the solution you are looking for.

Most car shoppers in the US planning to purchase a vehicle within three months have not yet decided whom to buy from. This gap in advertising can be addressed by employing the right Marketplace strategy for dealerships.

In this article, you’ll learn how to advertise your car dealership on Facebook effectively, and use automation to grow your business by creating well-optimized dynamic ads. 

We’ll also discuss Facebook’s advanced machine learning and the right integrations that help you manage and capture prospective shoppers.

What Facebook Marketplace offers for car dealerships

Facebook is a specialized, mobile-friendly way to reach customers who want to research and purchase a car. With a unique set of features, it helps you get your dealership listings in front of interested buyers. 

As a customer, it’s reassuring to know if a dealership is reliable or if the salesperson giving you advice is really an expert. In response to this demand, Marketplace is designed to help users research, reach and connect with auto sellers.

As a car dealership, all these features help reduce friction in the car purchase process, target your audience more accurately, and finalize more car sales.

Advertising costs on Facebook for car dealerships

Advertising across Meta technologies can be budget-friendly. It also works well for car dealerships of all sizes. You can decide how much you want to spend each day or for your entire ad campaign, so you’re always in control of your budget. 

Meta’s ad system then shows your ad to the right people based on your bid and how relevant your ad is to them. Whether you want more people to see your ad, visit your dealership, or take specific actions, you’ll only pay for what matters most to you. 

These features make Facebook ads a smart choice for car dealerships by allowing them to reach the right buyers without overspending.

Car dealerships on Facebook Marketplace: How to increase sales 

Is ​​Facebook Marketplace any good for car dealerships? The short answer is a big YES! 

We are looking at a dynamic platform that offers many advantages. It helps you:

• Kickstart your car dealership journey;
• Use specialized tools to run ads and optimize audience targeting;
• And above all, access a popular platform. 

Before discussing how to create a Facebook Marketplace listing, let’s talk a little more about its specialized features for car dealerships.

What is Facebook dealership?

Marketplace’s objective is to connect buyers and sellers. Facebook dealerships is a subsection under Marketplace, where car dealers can create vehicle listings directly from their Page. 

Your dealership’s listings will appear in the Vehicles tab of your dealership Page. Once set up, your dealership listings are displayed together with individual sellers’ listings on Marketplace. 

The platform’s user-centered design lets buyers filter between dealerships or individual listings during their search. For example, they can search based on the car model they are searching for, or the dealership in their area. By default, Marketplace displays listings within 40 miles of the user’s location.

Marketplace best practices for car dealerships

What do you need to focus on when advertising on Marketplace? There are several key aspects to focus on to ensure successful outcomes. Let’s review some of them.

• Focus on the local market

Marketplace’s algorithm displays listings that are geographically accessible to people who are searching for a service or product, including car dealership services. 

This also makes sense since most people prefer to see a car in person before actually paying for it. That’s why it’s best to target your audience locally if you want the highest ad returns.

• Offer an authentic experience 

Receiving an authentic experience makes users prefer your services over car supermarkets. 

You can display your dealership’s authenticity in several ways: themed content during the holidays, posting success stories of your past clients and testimonials, or creating posts that show the faces of your employees. 

This is not a direct sales strategy but it can make your business appear more relatable and reliable. 

• Include high-quality images

Using low-quality and unappealing images does nothing but repel a purchase-ready customer, even if you are offering compelling deals. 

Today’s audiences have an eye for genuine marketing ideas and great content. Make sure all of your images have high resolution and are correctly formatted. 

• Curate your copy

Do not underestimate your ad’s text. Good copy catches the attention of likely customers. It should also include informative descriptions that can answer all your buyer’s questions and potentially close a deal. Test out different copies to see what works best for your ads.

• Add attractive finance-related offers

A discount or an offer helps your audience overcome decision fatigue. Leaving room for negotiation also encourages people with genuine interest to get in touch with you. 

You may consider adding the price for the new vehicle, the second-hand vehicle trade-in fees, and financing options (such as monthly payments, loans, etc.), if applicable. For someone in need of a new car on a tight budget, this might be the clincher.

How to import your vehicle listings on Facebook

The import data for each vehicle should include the vehicle make, model, year, mileage, price, and some photos. You can do this either manually or automatically. 

Manually

We run imports from your dealership’s internal system using Google Sheets. If you do this manually, you’ll need to download this data in CSV format and upload it to your Facebook ad account.

However, the process is somewhat complex and calls for developer-level skills to import your vehicle catalog into Facebook. 

Automatically

Alternatively, you can streamline your imports using automation. Building seamless data bridges between Facebook and automotive CRM (and other marketing tools) offers many advantages. 

Connecting the entire marketing stack lets you create an accurate profile of your target audience, optimize your ad campaigns, reach more qualified leads, and keep your listings updated automatically. 

Learn more about how automation makes a difference for the automotive industry.

How to sell a car on Facebook Marketplace: Top strategies

With these strategies, you’ll know how to sell more cars on Facebook Marketplace and bring in the results you are looking for.

Create relevant content

Relatable content creates a strong connection with potential customers and also helps generate leads.

First, design a content strategy that reflects your company’s values and is aligned with your marketing objectives. Then, publish your posts consistently to keep your target audience engaged. 

When creating a content strategy, always make sure to:

• Create original content
• Target your local market
• Use videos
• Leverage community/seasonal-oriented content  
• Remain consistent and relatable to your audience

Setting up a Marketplace catalog

Facebook offers single-image and catalog (multi-image) formats. While the single-image format is still a go-to for many marketers, the catalog version is more suitable for the dealership. 

These ads are made up of multiple images that can display an in-depth view of the car you are offering. What’s more, it lets you use a longer description compared to single-image ads.

Set up a budget

On average, car dealerships can expect to pay around $25-$50 per lead through their Facebook ads. 

However, the marketing budget is always determined by your business’s objectives and limits. For instance, you should adjust your budget depending on the size of your business and the number of car sales leads generated. 

When it comes to the actual ad costs, there are also other factors. Handle them well, and you’ll get the most out of every dollar you spend. An optimized landing page, targeting the right audience, and creating great content. All of these factors can help you get high-quality leads at a lower cost.

Leverage Facebook’s algorithm

In addition to costs, Facebook’s algorithm is another reason that you should target your audience more accurately. This helps the platform’s machine learning to find out which audience segments respond best to your ads and expand your reach. 

Avoid adding too many interests to the targeting, and keep your custom audience lists updated. Likewise, adjust your content according to your audiences’ wants and needs. 

Set up two campaigns simultaneously

Use the same ad content to set up two campaigns simultaneously: one for targeting the immediate geographic location of your dealership (within 15-20 miles) and the other for targeting the broader locations (across your state or region).

Run remarketing campaigns

Remarketing shows ads to users based on their past interactions/displays of interest in your brand or previous marketing campaigns. This could be a request for a test drive or a quotation.

Your remarketing campaigns should focus on offering people ads for automobiles that are most relevant to them. These include:

• Dynamic Remarketing (based on the SRPs and VDPs that a person visited).
• In-Store Remarketing (based on physical visits to your dealership).
• Post-Purchase Remarketing (focusing on converting one-off customers into lifetime customers).

Facebook Inventory Ads

Facebook Automotive Inventory Ads are exceptionally high-performing for car dealerships. This feature makes selling both new and used car inventory much more efficient. 

Target a broad audience

In addition to other campaigns, you can also run ads with no interests or a single interest, such as “car” or “used cars”. This helps both Facebook’s algorithm and users with better searchability. 

Run A/B tests

A/B tests could be performed for testing a variety of elements: your copy, images, target audience lists, and so on. Test to find out what works and what doesn’t, and use these results to optimize your future campaigns. 

Use automation 

Whether you want to focus on Facebook’s machine learning or connect with users with genuine interest, automation integrations allow you to boost your audience targeting. 

As an official Meta Business Partner, LeadsBridge helps you to build high-performing ads by targeting your ideal custom audience.

To learn more, here is all you need to know about creating more effective ads by targeting your ideal custom audience through automation.

Leverage the right Facebook ads targeting for car dealerships

Facebook has come a long way in creating its state-of-the-art targeting features. That’s why selling cars on Facebook Marketplace requires a multi-layered targeting strategy. Here are your options:

• Demographic targeting focuses on your audience based on basic demographic details such as age, gender, and location. For example, targeting adults in 30-50 years of age who have higher vehicle purchase rates.
• Interest-based targeting is for users who have shown an interest in automotive content, specific car brands, or related interests such as automotive magazines, car repair, and auto shows.
• Behavioral targeting uses behavioral data to target users based on their purchase behavior, device usage, and other activities. For example, target individuals who have used car valuation tools.
• Connection-based targeting focuses on users based on their connections to your Facebook Page, app, or events. For instance, people who have interacted with your previous ads.
• Custom audiences retarget individuals who have previously interacted with your dealership. This includes past customers, website visitors, and users who engaged with your content on Facebook or other platforms.
• Lookalike audiences expand your reach by targeting new users who share similar profiles with your best existing customers.
• Facebook ads targeting for car dealerships also includes geographic targeting, which is about creating a dual campaign strategy where one campaign targets users within a close radius of your dealership for immediate lead generation, and another targets a broader geographic area to increase brand awareness.
• Advanced matching options in your lead ads help you capture and auto-fill details like email addresses and phone numbers from profiles, which increases the accuracy of your lead data.

How to set up your Marketplace catalog 

Step 1: Forming your vehicle listing 

To get started with listing vehicles, you’ll need to set up the stage first. 

a) Create listings

Facebook lets you create listings directly from car dealerships’ Facebook pages. Under the Vehicles tab on the dealership Page, you can find and edit your listings. 

Once displayed, the content of your posts encourages buyers to click on them, at which point they’ll be redirected to your Page and DM you for more info.

You can choose to create your listings by: 

• Manually typing in the details of each vehicle
• Use automated data bridges to sync your information to Marketplace seamlessly
• Set up a catalog for your inventory ads using Sincro or Naked Lime.

Please remember that using a Facebook inventory partner to import the existing catalogs is no longer an option. More on that in just a few paragraphs.

b) Add high-quality images & descriptions

You can upload up to 10 high-quality images that show different angles of the vehicle. Get the help of a professional photographer to create elegant and descriptive images.

Include all the necessary details in your ad’s copy, such as brand, model, color, etc. Then, use the right tags and keywords to improve your ad’s SERP rankings as well as alternative searches.

c) Manage your inventory

Facebook Marketplace also allows advertisers to create, list, manage, and advertise their inventory. To get the most out of this feature, consider adding filters to your listing and get more results by changing your ad’s CTA to the ‘View inventory’ option.

Step 2: Improve the reach of your vehicle listing

After creating your listing, you’ll need to improve its visibility in order to reach more potential customers. You can:

a) Consider using the ‘boost the listing’ feature

Select the ‘boost the listing’ feature in your dashboard (on the Facebook marketplace cars and trucks page) to increase the impressions of your listing.

Here, you can customize the display duration, define target audiences, and add a budget. Facebook then uses this info to filter through the audience list and bring you in touch with more potential buyers. 

b) Inventory ads

Facebook ads need no introduction when it comes to lead generation and getting better visibility. Once your ad campaign is active, Facebook enables you to reach new people and retarget customers that have already bought cars or trucks from you. 

Step 3: Conversions & transaction 

Like any other form of advertising, the final stage is the bottom of the sales funnel. Here, you are dealing with high-quality leads who are likely to be sales-ready.

To close a deal, you’ll need to keep a few things in mind:

• Make sure to leverage speed-to-lead by getting in touch with interested users/potential buyers.
• Stay transparent. During your communication with them, mention any applicable registration or shipping costs involved distinctly. 
• Before finalizing the deal, ensure the authenticity of the buyers by checking their credentials and Facebook profiles.

How to run Facebook ads for a car dealership: Best practices

Focusing on a few key best practices can significantly impact how much your ads tap into the right audience and even help maximize your ad spend.

Define your target audience carefully.

Different groups have unique car preferences. For example, families might prioritize safety and space, while younger professionals might seek out style and technology. Leveraging Facebook’s Audience Insights tool can help you pinpoint these details and reach the right people effectively.

Use interesting visuals that capture attention.

The visual elements you choose should showcase the best features of your vehicles. Quality images and videos are essential for capturing attention. For instance, consider video ads that give a virtual test drive, or carousel ads to display multiple car models. Customer testimonials and photos can also add credibility and appeal.

Write persuasive ad copy that speaks to the benefits.

Do not just focus on the features of each car when writing your ad copy. Highlight comfort, performance, or safety in ways that make the value clear to your audience.

Optimize your ads’ interface for mobile.

Since most Facebook users access the platform via their phones, mobile optimization is important. Ensure that visuals and text are clear and engaging on small screens. And don’t forget to check your ad before launching it to make sure your website is mobile-friendly and offers a smooth user experience.

Implement Conversions API for better data tracking.

You need to follow valuable customer actions (like viewing inventory or submitting a lead form). Conversions API lets you do that directly from your server.

This server-side tracking means you’re less affected by issues like ad blockers or iOS privacy changes, which can prevent pixel tracking. Once you’ve collected more accurate data on actions taken on your website, Meta’s algorithm can help you optimize your ad delivery more effectively.

Integrating the Conversions API with your dealership’s CRM is a must for you to track conversions throughout the full sales funnel. This granular insight helps you better understand customer behavior and adjust your existing ads. Also, use this data to create other campaigns that are better adapted to capture more leads.

Meta’s current automotive advertising policy

Meta did not stop at partner listings, however. It has now decided to take down free business listings in order to clean up the Facebook Marketplace advertising space of fake or misleading ads. 

Meta also mentioned that starting on January 30, 2023, it would remove the ability to create vehicle and property listings via Facebook business Pages and also discontinue the Vehicles and Manage Inventory tabs.

They clearly stated that the ability to target audiences with ads would not be affected. Facebook will continue to adhere to its non-discrimination advertising policy. 

Please note that non-business users can continue to sell their vehicle or property on Facebook Marketplace by accessing it through their personal profile.

Facebook lead ads for car dealership lead generation 

Generate leads from customers who want to sell their vehicles. These are users might have:

• Expressed an interest in selling their car
• Been considering a trade-in
• Shown signs of likelihood to buy or sell a car soon.

Then, all you have to do is manage your leads and run the right Facebook lead ads follow-up campaign.
Here are some more tips you can use to generate leads for your automotive business. 

Lead generation tips on Facebook ads for car salesmen

How to sell more cars on Facebook? Don’t overlook the potential of Facebook lead ads.

Follow these simple tips: 

Create an optimized landing page

• Well designed, SEO optimized, and easy to navigate. 
• Include a form where potential customers can provide their contact information.
• Mobile friendly and includes a Meta Pixel.

Consider video content

There are many reasons why you should use video content. Mostly because they:

• Are more engaging than text-based content;
• Make the advertising more trustable by showing the dealership or salesperson;
• Help reach a larger audience with its ads;
• Could become viral if you use catchy and creative ideas;
• And have higher content engagement.

Push a variety of ad content on Facebook

We recommend testing different variants of your content to target a broad audience. Use different ad objectives to target both Lead Generation and Lead Conversion.

Then, use automation integration to streamline your lead data management.

Run Events

Facebook ads for car salesmen are perfect because they also facilitate event promotion to attract customers. A well-planned event helps you show off the dealership’s inventory and generate leads. This, in turn, helps Facebook’s algorithm to highlight your services for those interested in your dealership. 

Types of events that dealerships can run:

• Car show
• Car swap meet
• Car auction
• Cookouts

Need more inspiration? Here are 21 car dealership event ideas you can use all year long.

Having a successful Facebook lead ad follow-up script 

When creating a Facebook script for car dealership sales, the key is to keep it personable and direct. Here’s a quick structure to guide your script and increase engagement with potential leads.

Start with a friendly introduction

Begin with a friendly, approachable tone to make a great first impression. For example: “Hi, this is [Your Name] from [Your Dealership]. I saw that you recently clicked on our Facebook ad about financing options for a new car. I wanted to reach out personally to see how we can help you find the perfect vehicle that fits your budget and needs. Do you have a few minutes?”

This introduction establishes familiarity and reminds the lead of their initial interaction with your ad. This makes the conversation feel less like a cold call.

Focus on their needs with a leading question

Once they’re engaged, ask questions that uncover their needs and desires. For example: “If I told you we have financing options that could fit your budget comfortably, would you be interested in hearing more about how it works?”

This question prompts them to think about their financial needs and reassures them you’re looking out for their best interest. This approach builds trust and piques their curiosity.

Reinforce the value and set the next steps

If they’re open to learning more, briefly explain how your dealership can make their buying experience more personalized.

For instance, you can convey that by saying something like: “We’re a family-owned dealership in [location], focused on finding solutions that work for you. We’d love to help you explore options. Are you available for a quick chat, or would you prefer to stop by in person?”

If they express interest in coming in, offer specific appointment slots to lock in their commitment: “Fantastic! I have [list two specific time options, like tomorrow at 10:15 or 3:30]. Which works better for you?”

Wrap up by reassuring them

If they hesitate or aren’t ready to commit, keep the door open by offering future assistance and building rapport. “If a great deal on an SUV with low mileage comes in soon, would you like me to reach out?”

This line gives them the option to keep the line of communication open without pressure, which many leads will appreciate.

Automate automotive campaigns with LeadsBridge integrations

LeadsBridge integrations enable you to leverage the full potential of Facebook Marketplace ads.

These data bridges help create highly-targeted custom audiences. How? By automatically syncing your CRM segments, email marketing contacts, or customer lists with Facebook in order to retarget or exclude leads at every stage of your advertising funnel.

Benefits of using LeadsBridge for your car dealership

Using automation, you are able to:

• Communicate with your potential customers at the right time
• Build real-time data syncing between Facebook and your favorite automotive marketing tools
• Cut out CSV files and manual exports and imports
• Generate and reach better-qualified leads
• Send automatic welcome emails and SMS
• Define more accurate target audiences
• Get easy and fast-tracked access to the Meta products thanks to our official partner assistance
• Choose from self-service integrations and managed services based on your company’s needs

LeadsBridge solutions for dealerships on Marketplace 

Higher conversions and better lead nurturing

To maximize Facebook Marketplace ads for your business, you’ll need to optimize them for the best performance. Using automated data bridges, we help you streamline your data transfer between Facebook Marketplace and your favorite CRM, autoresponders, or automotive app. 

This way, you can funnel your leads from Facebook directly to your marketing apps and provide a timely response to your potential buyers.

Accurate audience targeting 

You can also integrate your data stack with Facebook custom audience and lookalike audience for more accurate targeting.

First, create a Facebook custom audience from your customers’ list on your CRM or autoresponder through LeadsBridge. Then, you can enhance your audience targeting and retargeting on Facebook Marketplace and maximize your ROI.

Moreover, you can create a variety of high-performing campaigns through lookalike audiences.

Successful examples of Facebook ads for car dealerships

So far, we’ve looked at all the aspects of great Facebook ads for car dealerships. From targeting the best custom audiences based on your CRM, customer lists, or pre-determined “in-market” audiences, tracking parameters, and the ad’s structure itself. 

Now the question is; what do the best Facebook ads for car dealerships look like? 

Let’s review some real-life examples of ads you can use to run successful campaigns.

Patterson Nissan’s Dynamic Carousel ad

This car dealership’s Facebook ad displays longer copy that features a transparent financial offer, local highlights, and all the details that a car shopper might be interested in. 

After publication, Space Automotive reported a significant boost in clicks and engagement for this ad.

The ad’s call-to-action sets the expectation of a “Facebook form”. Once a user clicks on it, they are redirected to a simple form that collects customer contact info. 

The advertiser then processes this data and sends it formatted correctly to the dealership CRM in seconds. This workflow could also be automated to increase the campaign’s efficiency. 

For instance, LeadsBridge offers integrations that facilitate real-time data sync between the advertising platform and the marketing tool you use every day, such as a CRM. Here are some popular car dealership integrations: 

Ads such as this offer effective lead-generation opportunities while decreasing the costs to a fraction of third-party or Google PPC ads.

Madera Ford’s Collection ad

Facebook ads for car dealerships are effective means to accelerate sales of both new and used vehicles. Take Madera Ford, for example. 

This ad expertly showcases their available used cars in the vicinity of their stores.

This Facebook auto ad is thoughtfully crafted to align with the customers’ budgets, spotlighting the car’s price and payment options, along with other features.

Choosing Facebook Automotive Inventory Ads offers a laser-focused approach to users with automotive interests, setting your dealership apart in the online marketplace.

Wonderland Auto’s single-image ad

Here’s a good example of a straightforward image ad that seamlessly directs viewers to a high-impact website. While Carousel ads are considered to be the best Facebook ads for car dealerships, image ads can aim at various objectives for both targeting and retargeting your customers. 

This ad shows an ideal canvas to project Wonderland Auto‘s brand authority or time-bound promotions. The ad effectively showcases the model and features while encouraging customers to take action with a straightforward copy.

Car dealership Facebook post ideas

Besides ads, you can use Facebook posts to promote your car dealership. This is a cost-free tactic that can yield great results. When planning your dealership’s Facebook content, just make sure to focus on variety. For instance, consider recommending products like a carport for sale alongside your vehicles to appeal to customers looking for comprehensive automotive solutions.

Mix up images, videos, articles, and dealership updates to appeal to a broad audience and keep your feed fresh and engaging.

Here are some car dealership Facebook post ideas you can use today.

Using customer testimonials

Including a short, genuine testimonial quote lets you share your customer’s positive experience with the rest of your audience. This kind of social proof builds trust and encourages others to consider your dealership when they’re ready to buy. Here’s an example by Jim Marsh Used Cars of Las Vegas.

Sharing fun behind-the-scenes 

You can give your followers a peek behind the curtains with a day-in-the-life video of your dealership. Or even better, make this encounter fun. Harrs Motors highlights the friendly faces of the sales team, using a humorous video post.

You can also showcase your vehicle servicing area, share the process of preparing a new car for sale, or present your top employees as Bedard Bros. Auto Sales has done.

Overall, this type of content humanizes your brand and builds a connection with your audience.

Breaking down Facebook Ad costs for the car industry

How much does Facebook advertising really cost? Facebook ad costs for the car industry are not the same for every business. It can hugely change based on factors like campaign goals, targeting, and competition. Luckily, Facebook ads are still an affordable option for most car dealers.

Let’s address some questions you might have:

Question 1: How much does it cost to advertise cars on Facebook?

Facebook ads for car dealerships and automotive businesses fall in somewhat mid-range of ad costs. Here are some interesting stats:

• For-sale automotive ads (such as new and used car listings) have an average cost-per-click (CPC) of $0.79, with an average click-through rate (CTR) of 1.02%.
• Auto repair, service, and parts ads tend to cost a little more, with an average CPC of $0.96 and a CTR of 1.10%.

Facebook ads are cheaper than Google ads, where automotive businesses can pay somewhere between $2-$4 per click.

Question 2: What makes Facebook ad costs for the car industry so competitive

For starters, its massive audience reach gives you the option to target local buyers searching for their next car and pick those hanging fruits. Next up is its advanced targeting options that accommodate behavioral targeting, interest-based targeting, and custom audiences.

While Google Ads for car dealerships can have a CPL over $40, Facebook’s CPL often stays in the $20-$30 range. Doing the math, Facebook remains the budget-friendly choice.

Question 3: How to reduce your Facebook ad costs

Instead of spending on cold audiences, retarget website visitors and previous leads to get more conversions at a lower cost. Always optimize for lead ads. Lead generation campaigns tend to have lower CPCs and CPLs than traffic campaigns.

Also, it’s good to test high-quality images and engaging videos and see what gets more results. Good creatives get better CTRs, which can lower your CPC down the line.

Lastly, try to leverage lookalike audiences to expand your reach to people similar to your existing customers for better engagement and conversion rates.

Final takeaways

By creating a vehicle inventory listing on the Facebook Marketplace’s cars and trucks section, you are ready to target your audience. 

Once you have figured out how to advertise your car dealership on Facebook, the next step is to improve your campaign by using the best automotive strategy and best practices, such as uploading high-quality visuals and optimized audience lists. 

Using LeadsBridge, however, you can build a seamless connection between Facebook and automotive CRM. This connection allows you to better optimize your ad campaigns efficiently, and increase the quality of the leads you generate, and get in touch with them as they come in. 

We are an official Meta partner that offers integrations with the top automotive tools available on the market, such as ADF/XML, VinSolutions, DealerSocket, elead, Velocify, ProMax, etc.

Discover over 380 integrations with the leading automotive apps by LeadsBridge.