
Topic 08 of 08
Advertising & Media
Where your ad dollars go, what they buy, and what you can prove.
Why It Matters Now
The average franchised dealership spent $586,246 on advertising in 2025, according to NADA, and 74.9% of dealer ad dollars went to digital media. Search, listing sites, websites and social now take the largest shares, while TV, radio and direct mail lost ground. Viewers are moving too: streaming reached 49.0% of US TV viewing in July 2026, and dealers are being asked to move video and audio money into streaming buys that are harder to verify.
This topic covers paid media from the search results page to the living room: Google Ads, Performance Max and vehicle listing ads, paid social, connected TV and streaming audio, third-party marketplaces, used EV marketing, OEM co-op programs and how the budget gets split. It also covers proof. The questions dealers ask most are practical ones: what did this channel sell, did the ad run where the invoice says it did, and is co-op money being claimed or quietly forfeited.
- $739Average dealership advertising spend per new vehicle sold in 2025, up from $705 in 2024NADA, NADA Data 2025: Annual Financial Profile of America's Franchised New-Car Dealerships, 2026
- 49.0%Streaming's share of all US TV viewing in July 2026; YouTube alone took 14.2%Nielsen, The Gauge, July 2026, 2026
- Nearly 9%Fraud rate in unprotected CTV campaigns, versus under 1% with verification, in DoubleVerify's global dataDoubleVerify, 2026 Global Insights: Must-CTV, Streaming's Shift From Promise to Performance, 2026
- 42 daysUsed EV days' supply in August 2026, matching gas vehicles for the first time this yearCox Automotive, EV Market Monitor, August 2026 (reported by CBT News), 2026
What You May Hear on Stage
The ideas and changes 2027 sessions on Advertising & Media are likely to dig into.
- More Control Over Vehicle Ads
Since May 2026, Google lets vehicle ads run in Standard Shopping campaigns with manual budgets and bids, not only in Performance Max. Since mid-April, Merchant Center flags feed and VDP mismatches in price, mileage or availability, and those vehicles are disapproved.
- Streaming Nears Half of TV
Streaming reached 49.0% of US TV viewing in July 2026, and the IAB projects US CTV ad spend to grow 13.8% in 2026. Dealers will hear more pitches to move TV money into streaming, and more debate about how to measure what it sells.
- Verification Becomes Part of the Buy
DoubleVerify reported fraud rates near 9% in unprotected CTV campaigns versus under 1% with verification, and found bots even in some direct deals. Expect dealers to ask for device splits, app lists and independent invalid-traffic reports before renewing a streaming contract.
- The Off-Lease EV Wave
CDK data points to more than 300,000 EV lease returns in 2026, mostly low-mileage and warranty-backed, and used EV supply matched gas vehicles in August 2026. With supply no longer scarce, local pricing and teaching shoppers about charging and warranties carry more weight.
Questions Dealers Are Asking
Asked on dealer forums, in search and on panels this year, answered plainly with the sources.
Questions about the event? See the FAQHow much should we spend on advertising per car, and where does the average dealer put the money?
NADA puts average dealership advertising at $739 per new vehicle sold in 2025, or $586,246 per store. The biggest shares went to search engine marketing (21.1%), third-party listing sites (20.0%) and website and SEO work (19.5%), followed by social (14.2%), TV (10.5%) and radio (6.9%). Treat these as context, not a target: divide your full monthly spend, including listing sites and agency fees, by retail units sold, then track that number by channel over time.
Sources: nada.org
Are Google vehicle listing ads worth it, and do they still have to run through Performance Max?
Dealers and agencies on forums report good VDP traffic from them, but results depend on a clean inventory feed. Vehicle ads show a car's photo, make, model, price and mileage and run from a vehicle feed in Merchant Center linked to your store locations; since May 2026 they can also run in Standard Shopping campaigns with manual budgets and bids, not only Performance Max. Since mid-April 2026 Merchant Center has flagged feed problems on its account issues page, and vehicles whose price, mileage, condition, VIN or availability does not match the VDP are disapproved. If you stay in Performance Max, ask for Google's channel performance report, which shows cost and results by channel and can be segmented to ads using your vehicle feed.
Sources: support.google.com, support.google.com, ppc.land
Are we spending too much on third-party listing sites?
Listing sites took 20.0% of the average franchised dealer's 2025 ad budget, $117,249 per store, close to the 21.1% spent on search, per NADA. Google's vehicle ads policy also lets aggregators upload vehicles from licensed dealers, so a marketplace may be advertising your inventory in the same results as your own ads. Match each site's leads and calls to sold deals in your DMS and compare cost per sale by site each month, not cost per lead.
Sources: nada.org, support.google.com
Is connected TV worth it for a dealership, and how do we prove it sold cars?
Streaming reached 49.0% of US TV viewing in July 2026, so a TV plan built only on broadcast and cable misses a large share of viewing time. CTV seldom produces direct clicks, because the response usually happens later on a phone or laptop, and attribution depends on matching IP addresses or device IDs. The most convincing proof is a holdout: run CTV in some ZIP codes or weeks and not others, then compare leads, store visits and sales between the two.
Sources: nielsen.com, adexchanger.com
What should we ask our OTT provider about where our ads actually ran?
Under Media Rating Council definitions, CTV means ads on a TV screen, while OTT is a broader content label that can include phones and laptops, so an OTT line item may not be TV at all. Ask for impressions split by device type, the list of apps and channels, frequency per household, and invalid-traffic rates from an independent verification company. DoubleVerify's 2026 data showed fraud near 9% in unprotected CTV campaigns versus under 1% with controls, and it found bot traffic even in some direct deals.
Sources: adexchanger.com, doubleverify.com
Are we leaving co-op money on the table, or losing it to the rules?
Co-op funds are generally use-it-or-lose-it within each program period, and every OEM sets its own rules on pre-approval, eligible channels, approved vendors and claim paperwork, which change often. Dealers on forums say some programs only reimburse when ads point to OEM-approved sites or run through certified vendors, which can conflict with what performs best. Have one person reconcile accruals, claims and denials every month against your OEM's current guide, and weigh each reimbursement against the channel's cost per sale rather than chasing the credit alone.
Sources: coxautoinc.com, digitaldealer.com
Should we be stocking and marketing used EVs right now?
Supply is rising: CDK data points to more than 300,000 EV lease returns in 2026, mostly two- to three-year-old cars with about 25,000 miles, many still under battery warranty. Cox Automotive reported 44,350 used EV sales in August 2026, up 14.7% from a year earlier, at an average listing price of $37,441, with days' supply at 42, even with gas vehicles. The federal used EV credit ended for vehicles acquired after September 30, 2025, so the VDP has to sell value on its own: show battery and warranty details, price to your local market, and train staff to answer charging questions.
Sources: cbtnews.com, cbtnews.com, irs.gov
Should we test streaming audio alongside, or instead of, local radio?
Edison Research's Infinite Dial 2026 found 81% of Americans 12 and older listened to online audio in the past month, and monthly listening among those 55 and older rose from 52% in 2024 to 70% in 2026. Radio still took 6.9% of the average dealer's 2025 ad budget, per NADA. Test streaming audio with its own call tracking number or landing page, run it long enough to compare cost per sold unit against your radio buy, and include a pause period to see what changes when it stops.
Sources: edisonresearch.com, nada.org
On the Agenda
The 2027 agenda keeps its three-day shape and fills in through the spring. Here is what’s confirmed on Advertising & Media, and what this topic looked like at DMSC 2026.
At DMSC 2026
- The Co-Op Heist: How Dealerships Are Accidentally Stealing From ThemselvesStop losing co-op dollars and turn compliance into a competitive advantageMark Baruth
- Streaming as a Market Share Engine: How Dealers Win with CTV & Digital AudioUse CTV and digital audio to drive incremental reach and measurable market share growthBrett Hall
- From Search to Showroom: Mastering Google Ads for Dealers in 2026Build, optimize, and measure Google Ads strategies that drive real dealership performanceSarah Ciociola, Joshua Donaldson
- How to Add Millions in Gross with Used EVsUnlock the most overlooked inventory opportunity driving dealership profitRyan Osten
- Things That Make You Go Hhhmmm… What Your OTT Provider Isn’t ExplainingLearn how to spot misleading metrics and fix underperforming streaming campaignsOwen Moon
People & Partners
The speakers who covered Advertising & Media at DMSC 2026, and the partners whose work sits in this space.
On Stage
Take It Back
to the Store.
Ask Your Vendor
What share of our streaming impressions ran on TV screens, on which apps and channels, and what invalid-traffic rate did an independent verification company measure?
How many of our vehicles were disapproved or limited in Google Merchant Center last month, and what mismatches between the feed and our VDPs caused it?
Which channels you run for us qualify for co-op under our OEM's current guide, who files the claims, and what went unclaimed or was denied last quarter?
Try This Monday
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Terms Worth Knowing
- Connected TV (CTV)
- Streaming video watched on a TV screen through a smart TV, streaming device or game console.
- OTT (over-the-top)
- Video delivered over the internet instead of cable or satellite, on any device, including phones and laptops.
- Vehicle listing ads
- Google ads built from your inventory feed that show a vehicle's photo, price, mileage and dealership name.
- Performance Max
- A Google Ads campaign type that uses automation to spread one budget across Google's channels, including Search and YouTube.
- Co-op advertising
- Manufacturer money that repays part of a dealer's qualifying ad spend when the ads follow OEM rules and are claimed on time.
- Invalid traffic (IVT)
- Ad impressions or clicks from bots, data centers or other non-human sources that an advertiser should not pay for.
Go Deeper
Research, tools and conversations from Pasch Group, and the reporting worth your time.
From Pasch Group
- ResearchThe Streaming Accountability GapA framework for checking where CTV and OTT ads ran, what you paid for, and real results.
- ResearchCo-op advertisingHow automaker reimbursement for dealer ad spend works and the brand rules it carries.
- ToolCost Per Sale CalculatorCompare cost per lead, close rate and cost per car sold across every ad source.
- Tool2026 Dealership BenchmarksCited benchmarks for answer rates, lead response, CRM use, website tracking and ad spend.
- ArticleIs Your Agency Ready for Automotive CDPs?How CDP marketing changes the campaigns, skills and staffing you should expect from your agency.
- ArticleActivating Small CDP AudiencesWhy small CDP audiences struggle on Google and Meta, and which activation partners help.
- PodcastReimagining Video Marketing (Owen Moon and Kevin Kulma, Dealer Stream)Why cheap CPMs can mean poor streaming inventory, and what to ask your CTV provider.
- PodcastSales Down This Summer? Get the Why and a Path to Improvement (Jonathan Lucenay, Client Command)Why modeled audiences waste ad spend and reaching real in-market shoppers first protects gross.
Further Reading
- NADA · 2026NADA Data 2025: Annual Financial Profile of America's Franchised New-Car DealershipsDealer ad spend reached $9.96 billion in 2025; the advertising pages show the split by channel.
- PPC Land · 2026Vehicle ads break free from Performance Max, now run in Standard ShoppingWhat Standard Shopping support for vehicle ads changes for budget and bid control.
- Nielsen · 2026TV Usage Kicks Usual Summer Slowdown, Fueled by World Cup and Streaming in Nielsen's July Gauge ReportsStreaming hit 49.0% of US TV viewing in July 2026, with YouTube at 14.2%.
- DoubleVerify · 2026Global Study: Fueled by AI, CTV Fraud Schemes Surge 140% GloballyVerification vendor research on CTV fraud, including bot traffic found in direct deals.
- CBT News · 2026Dealers brace for influx of off-lease EVs in 2026, CDK reportsMore than 300,000 EV lease returns are expected in 2026, with residuals below lease assumptions.

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