How to Sell Cars on TikTok: A 2023 Beginner's Guide for Car Dealers

Leveraging TikTok for Car Sales: A Guide for Dealerships in 2023

As of today, an increasing number of car dealerships are turning to TikTok to sell their vehicles. While everyone is still getting the hang of this platform, there are certain pitfalls to avoid if you want to build a strong following and, most importantly, generate sales.

I’ve been collaborating with car dealerships aiming to create new sales channels, especially as Google Ads and Facebook Ads have seen a decline in ROI over recent years.

How Can Your Dealership Benefit from TikTok?

Many TikTok users share videos of their daily lives or participate in trending dances and lip-syncing. It’s understandable why dealerships might be confused, as hoping to go viral isn’t a reliable marketing strategy.

When I talk to dealers, I often hear:

- “TikTok is for kids and teens.”

- “There are no car buyers on this app.”

- “TikTok is just a silly dance app.”

But is TikTok really unsuitable for car dealerships? Let’s explore this. Like any media platform, TikTok has proven frameworks that can enhance your chances of success and drive exponential results.

This is your opportunity to create content based on challenges, trending hashtags, dances, dialogue reenactments, Q&A sessions, behind-the-scenes looks, collaborations, and live streams.

What is TikTok and How Does It Work?

TikTok, a popular short-form video app, evolved from Musical.ly (launched in 2014) and has become a leading social media platform with over 100 million users by August 2018. In August 2018, ByteDance acquired the app, merging it with TikTok. Today, TikTok is the fastest-growing social media app globally.

Why TikTok is So Powerful?

TikTok's meteoric rise is largely due to its understanding of user entertainment. The app tracks user behavior like no other platform, including collecting biometric data like faceprints and voiceprints to understand user emotions and reactions.

Another key factor is TikTok’s algorithm, which promotes videos based on user engagement (likes, comments, shares, completions, watch time, re-watches), audio, subject matter, hashtags, captions, and user feedback.

Should Your Car Dealership Be on TikTok?

It’s only a matter of time before car dealerships flock to TikTok. It makes sense to reach potential car buyers using both organic and paid methods.

Organic: Utilize hashtags in your captions to target local areas and cities, increasing your chances of appearing on prospects' For You Pages.

Paid: TikTok's improved local targeting options give car dealers more ways to reach potential buyers.

4 Reasons Why Car Dealers Should Be on TikTok

1. TikTok Monthly Active Users: TikTok boasts over 1 billion monthly active users, making it a significant platform compared to others like Facebook, YouTube, and Instagram.

2. Total App Downloads: With over 2.6 billion downloads worldwide, TikTok is one of the most downloaded apps ever.

3. Monthly Active Users in the U.S.: TikTok has over 138 million active users in the U.S., with many engaging with car-related content.

4. Changing Demographics: More than one-third of TikTok users are aged 30 and above, and this number is growing.

Advantages of TikTok for Car Dealerships

- Engagement: TikTok's highly engaged user base offers a great platform for interacting with potential customers.

- Audience Growth: The algorithm can make your content visible to a large and diverse audience.

- Visual Showcase: As a video-centric platform, TikTok is perfect for showcasing your cars and dealership.

- Trend Participation: Participating in viral trends and challenges can make your dealership appear current and relevant.

- Analytics: Business and Creator Accounts have access to analytics, helping you understand your audience better and optimize your content.

Getting Started on TikTok:

When joining TikTok, you can choose between a Creator or Business account. Switching between these account types is easy if you need to.

Creator Account: Generally favored for growth, offering tools and features for content creation.

Business Account: Provides more detailed insights, which can be valuable as your following grows.

Are Car Buyers Using TikTok?

TikTok is no longer just about teens dancing and lip-syncing. The platform’s user base has significant purchasing power, and its local targeting capabilities are ideal for car dealerships.

With 37% of daily TikTok users aged 30 and above, now is the time to create a solid connection and brand presence in your primary market area with minimal investment. Dive in and explore how TikTok can drive sales for your dealership!