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Maximizing Car Dealership Advertising: Facebook Ads vs. Google Ads Which Delivers the Best ROI?



The Battle for Car Buyers’ Attention

In today’s competitive automotive market, car dealerships face the constant challenge of standing out, attracting the right buyers, and converting leads into sales. Two advertising giants Facebook Ads and Google Ads, dominate the digital space, each offering unique strengths that can significantly impact dealership revenue.

The big question is: Which platform should you invest in to get the best return on your advertising budget?In this guide, we’ll break down the pros, cons, strategies, and insider tips for using both platforms effectively, whether you’re working with a tight $500 monthly budget or scaling to multiple campaigns.



Why Choosing the Right Advertising Platform Matters

The wrong ad spend strategy can drain your marketing budget with little to no return. While both Google Ads and Facebook Ads can deliver strong results for dealerships, the way they reach potential buyers is completely different:

  • Facebook Ads: Pushes your message to potential buyers based on interests, demographics, and behavior.

  • Google Ads: Pulls in high-intent shoppers actively searching for vehicles like yours.

Your choice or combination of these platforms can mean the difference between an empty showroom and a steady stream of qualified leads.



When Budgets Are Tight: Where to Start

If you’re working with $500 or less per month, investing in both platforms simultaneously can be challenging.Industry experts, like AutoSweet, often recommend starting with Facebook Ads to maximize visibility and lead flow with smaller budgets. This is because Facebook’s cost-per-click (CPC) and cost-per-lead (CPL) are typically lower than Google’s in the automotive sector, allowing you to stretch your budget further.

Pro Tip:If your dealership is brand-new or you’re in a highly competitive metro area, begin with Facebook Ads to build awareness. Once your pipeline has warmed up, introduce Google Ads for targeting bottom-of-the-funnel buyers.


Car dealership instagram carousel ad example

Facebook Ads for Car Dealerships: Building Awareness & Capturing Interest

Facebook Ads excel in brand building and identifying in-market shoppers before they even start searching on Google.

1. Branding and Traffic Campaigns

  • Promote dealership events, special sales weekends, or unique service perks.

  • Drive traffic to your Vehicle Description Pages (VDPs) to build top-of-funnel awareness.

  • Use eye catching images or videos of your inventory and happy customers.

Visual Recommendation:Include a carousel ad showcasing multiple vehicles or a short dealership tour video.


2. Advanced Audience Targeting

Facebook’s targeting capabilities allow dealerships to:

  • Reach buyers based on credit history or income levels.

  • Target people who have visited competitor websites.

  • Create Custom Audiences from your CRM for repeat marketing.


3. Inventory Conquest & Retargeting

  • Inventory Conquest Ads put your vehicles in front of shoppers viewing competitor listings.

  • Retargeting Ads follow users who visited your VDPs but didn’t convert, nudging them back to your site.


4. Loyalty & Buyback Campaigns

  • Use loyalty ads to keep previous buyers engaged with service specials or trade-in offers.

  • Buyback campaigns can help secure pre-owned inventory when supply is low.


5. Lead Generation Campaigns

  • Embed lead forms directly within Facebook for quick conversions.

  • Ask qualifying questions to save time for your sales team.

  • Sync with your CRM for immediate follow-up.



Google Ads for Car Dealerships: Capturing High-Intent Shoppers

While Facebook excels at creating demand, Google is where ready-to-buy customers are actively searching.


1. Google Dynamic Search Ads

  • Appear at the top of Search Engine Results Pages (SERPs) when users search for specific vehicles.

  • Provide Google with your VDP URLs, and ads automatically match buyer search queries to relevant pages.


2. Vehicle Listing Ads (VLAs)

  • Display inventory images with pricing directly in Google search results.

  • Capture attention from shoppers looking for make, model, and year combinations.

Visual Recommendation:Showcase professional vehicle images with clean backgrounds and overlay details like mileage or financing offers.


3. Google Display Ads for Retargeting

  • Keep your dealership top-of-mind by showing ads across the Google Display Network.

  • Ideal for reminding visitors of the vehicles they viewed.

Google Vehicle Listing Ad for used car inventory


Facebook for Reach, Google for Buying Intent

  • Facebook Ads: Best for reaching a broad audience and nurturing them through the funnel.

  • Google Ads: Best for capturing ready-to-buy leads with high intent.

Example Scenario:A shopper sees your Facebook ad for a used Honda Civic → visits your site → later searches “used Honda Civic near me” on Google → clicks your Google ad → books a test drive.

When both platforms are used together, you create a seamless journey from awareness to purchase.


Action Plan: Finding the Optimal Balance

  1. Start Small: If budget is under $500, begin with Facebook Ads for volume and awareness.

  2. Introduce Google Ads: Once lead flow is consistent, allocate 30–40% of your budget to high-intent search campaigns.

  3. Track Every Lead Source: Use UTM parameters and CRM integration to see exactly where your best leads come from.

  4. Test & Optimize: Adjust targeting, bidding, and creative every 2–4 weeks.

  5. Combine Retargeting: Run both Facebook and Google retargeting to stay in front of shoppers until they convert.

Contact us today for a quick strategy session to see which platform is right for you and your budget! 

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