1. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Marketing With A Mobile Mindset: How To Reach The Smartphone Shopper Presented by Marty Blue October 6, 2015

2. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Mobile A Seismic Shift

3. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com What challenges do you face with mobile? How are you reaching the mobile customer? How do you respond to the mobile customer? Mobile: Opportunities and Challenges

4. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com 1. Why Mobile Matters for E-Commerce 2. How Mobile Impacts Shopper Behavior 3. Merchandising Best Practices for Mobile 4. What’s Unique About Mobile Email 5. What You Can Do Next What You’ll Learn

5. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Prepare for a Mobile Future Anticipate Different Behaviors on Mobile Manage Your Mobile Presence Market to the Mobile Shopper Reach Shoppers at Point of Purchase AGENDA

6. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Mobile Device Use Has Exploded Hours spent per day, 2008-2015 Source: comScore

7. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com The Mobile Experience Is Improving

8. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Mobile Commerce and You Have you ever bought anything on a smartphone or tablet? Apps, music, transportation, physical goods

9. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Mobile Commerce Is Poised for Growth Mobile commerce transactions to triple by 2019 Two-thirds of online shoppers visit a brick-and- mortar store before or after buying Source: Juniper Research, A.T. Kearney

10. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com PwC on Mobile Commerce (Video)

11. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Car Shopping Goes Mobile CarGurus traffic by device type CarGurus' mobile traffic rose 134% From 2014 to 2015 Source: CarGurus data

12. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com More People Are Finding Cars on Mobile One year ago… CarGurus produced 3x more desktop leads than mobile leads This year… The desktop-to-mobile multiple is just 1.5x Source: CarGurus data

13. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Prepare for a Mobile Future Anticipate Different Behaviors on Mobile Manage Your Mobile Presence Market to the Mobile Shopper Reach Shoppers at Point of Purchase AGENDA

14. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Mobile Visits Are Shorter Mobile site visitors spend less time on site

15. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Mobile Users Are Quicker to Bounce Mobile users access fewer pages per visit

16. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Mobile Browsing Leads to Calls Mobile shoppers more likely to call than fill out an online form

17. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Mobile Is One Piece of the Research Process Major purchase shoppers break research into “bites” Shoppers rely on multiple research channels 80% of large-purchase shoppers perform research online Source: Google

18. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com What Are Mobile Car Shoppers Doing? 1. Viewing photos 2. Searching for reviews 3. Looking up current offers

19. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Prepare for a Mobile Future Anticipate Different Behaviors on Mobile Manage Your Mobile Presence Market to the Mobile Shopper Reach Shoppers at Point of Purchase AGENDA

20. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Which Sites Are Mobile Users Visiting? Dealer websites Manufacturer websites Search engines Third-party sites Source: Google

21. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com What You Can Manage for Mobile Success Your website Your inventory Your presence on third-party sites

22. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Your Website, Optimized for Mobile Ensure that your site is responsive Set up Google Analytics for tracking Pay attention to time on site, pageviews Add top navigation menu or search bar to help users find content

23. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Your SEO Strategy Matters for Mobile Mobile users more likely to rely on search So… SEO strategy is important for attracting mobile shoppers

24. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Merchandising Your Inventory for Mobile 3 of the top 4 auto channels impacted by merchandising 80% of people visit at least 3 sites when car shopping –Yet today’s buyer visits just 1.6 dealerships Source: CarGurus data, McKinsey

25. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com What Matters in Merchandising Accurate listings Up-to-date contact info Multiple photos Pricing in line with market norms (pricing transparency)

26. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com 1. ACCURACY Help buyers find exactly what they’re looking for Optimize for filters Options Colors Drivetrain

27. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com 2A. UP-TO-DATE CONTACT INFORMATION

28. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Mobile users can easily click to call Where do your phone numbers go? CarGurus analysis: Only 21% of dealer phone numbers go directly to sales team, while 12% reach a bad number, go directly to voicemail or aren't picked up 2B. UP-TO-DATE CONTACT INFORMATION

29. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com 3. HIGH-QUALITY PHOTOS 1 photo increases conversion by 15% (versus no photos)

30. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com 4. FAIR PRICING Price info is easy to acquire (even easier thanks to mobile) Consumers expect price transparency, e.g., Kayak and Zillow Source: Retail Systems Research data, July 2015

31. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Inventory Merchandising With Video More than half of shoppers watch at least 30 minutes of video during the research phase Mobile video to make up half of all video by 2016 – rise of YouTube –Example: Florida Fine CarsFlorida Fine Cars Source: YouTube

32. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com QUESTION: VIDEO Do you produce videos to help promote your dealership or your inventory?

33. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Merchandising on Third-Party Sites Source: Google

34. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Analytics on Third-Party Sites What do you look for in third-party analytics?

35. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Your Reputation on Third-Party Sites Nine in 10 shoppers have read local business reviews – 39% read them regularly Source: BrightLocal

36. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Prepare for a Mobile Future Anticipate Different Behaviors on Mobile Manage Your Mobile Presence Market to the Mobile Shopper Reach Shoppers at Point of Purchase AGENDA

37. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Communicate With Shoppers On the Go Email is ideal for reaching the mobile shopper of people use their phones for email of email opens are on mobile Source: Direct Marketing Association, Pew, Experian

38. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Set Up Email Marketing Campaigns Use email “drip” campaigns to stay top-of- mind with shoppers Reach customers across all of their devices

39. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Why Optimize Email for Mobile? Designing email for mobile devices can lift open rates and click-through by 20% CTR typically between 2% and 12% Remember: mobile = small screens Source: Yesmail

40. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Designing Mobile-Friendly Emails Small images (<250 pixels wide) Larger text (at least 11-point font) High-contrast (e.g., black text on white background) Low-contrast content likely to be ignored

41. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Drafting Mobile-Friendly Emails Mailboxes (desktop/mobile) show subject line + first ~80 HTML characters Use buttons instead of text links Include call-to-action near the top of the email

42. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Maximize Reachability Across Channels Banner ads – are they sized for mobile? Make it easy for shoppers to reach your site –QR codes in mailings –QR codes in print ads

43. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Prepare for a Mobile Future Anticipate Different Behaviors on Mobile Manage Your Mobile Presence Market to the Mobile Shopper Reach Shoppers at Point of Purchase AGENDA

44. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Mobile Makes Price Comparisons Easier Half of online car shoppers using phones do so at the dealership 61% of that group access pricing information Source: JD Power

45. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Mobile Shoppers Want Price Data Have you ever used your mobile device to comparison shop while at a dealership? % of respondents Source: CarGurus data

46. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Transparency Attracts Millennial Shoppers Four out of five Millennials have been introduced to a new brand, product, or service via their mobile device Millennials are 3.6x more likely to share product reviews/recommendations Source: ShareThis

47. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com …And Millennials Are Buying Cars Generation Y made up 27 percent of new-car buyers last year Up from 18 percent in 2010 After all, digital isn't all the Millennial shopper cares aboutdigital isn't all the Millennial shopper cares about

48. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com What You’ve Learned 1. Why Mobile Matters for E-Commerce 2. How Mobile Impacts Shopper Behavior 3. Merchandising Best Practices for Mobile 4. What’s Unique About Mobile Email 5. What You Can Do Next

49. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Next Steps Review your vehicle listings Confirm that your site is mobile-friendly Validate that your emails work for mobile Examine your call routing setup

50. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com Q&A Any questions? Visit us at Booth 835

51. Marty Blue | CarGurus | VP of Marketing and Business Development | marty@cargurus.com CONTACT INFO Full Name: Marty Blue Company: CarGurus Job Title: VP of Marketing & Business Development Email: marty@cargurus.com Share an important takeaway you received from this session using hashtag #DD19 for a chance to win an iPad