Here’s how TikTok AIAs work
If you’re new to advertising on TikTok, you may not know that you don’t need an organic presence to run ads successfully. When it comes to ads on TikTok, there’s a wide variety of ad formats available, but the ad format we’re going to cover today is Automotive Inventory Ads (AIAs). They are a powerful step forward in how users interact with dealership inventory and stay on the platform. Using TikTok’s engaging format and highly targeted auto-specific audience, the new AIAs are an ideal solution for dealerships wanting to tap into TikTok’s massive audience.
Ad Content
AIAs are made up of the following components:
1. Inventory Feed – This is the first step in setting up AIAs as you will need an inventory catalog to create your ads.
2. First Frame – This is what the shopper will see in their feed first and you have a few options.
- Video – this could be OEM provided videos, test drive footage, customer testimonials, great organic internally produced video, or incredible dynamic video specific to your inventory like sMedia’s AI Inventory Video For Ads.
- Dynamic Inventory Feed – is the first frame of a Dynamic Carousel (see next) with a call to action that takes people directly into your on-TikTok inventory feed.
3. Dynamic Carousel – After the first frame the feed has a carousel of your inventory that matches TikTok’s algorithm assessment of the shopper. They can scroll through up to 20 units.
4. End Card – This is located at the end of the carousel and can include logos, location, marketing messaging, incentive offers, branding, etc. It could also recommend the shopper continue scrolling to search your inventory.
5. Dynamic Shopping Experience – This is a live, in-app, shopping experience that lets your audience shop your inventory, conduct searches, and apply filters like year/make/model, to find exactly what they are looking for. This all happens right in the TikTok App, so no one feels as though they are being pulled off the app unwillingly.
6. Click-Through – TikTokers are not inclined to click away from the app, but since they’ve shopped your inventory thoroughly by this point, they may be interested in going to your site. They can do so from any of the interactive inventory display pages, clicking directly through to the appropriate VDP.
Personalized Ads Based on Shopper Behavior:
TikTok’s AIAs use advanced AI to analyze shoppers’ interactions, interests, and preferences. It then automatically personalizes your ads to specific audience segments. For instance, if a shopper shows interest in a specific model, like a Ford Bronco, and you’re a Ford dealer running AIAs, the algorithm will optimize your carousel to display the Bronco inventory first for that particular shopper. This could also include an end card with additional promotion or feature-based content for the Bronco to tie it all together.
Dynamic Inventory Promotion:
With the launch of AIAs, dealerships can leverage an inventory feed to showcase their units. TikTok’s AIAs can pull content from your vehicle listings and display real-time information, including prices, discounts, or promotions tailored to the audience based on data coming through in your feed. This makes your ads not only relevant but also time-sensitive, encouraging potential buyers to act quickly.
Continuous Optimization:
TikTok’s ad platform continuously monitors performance and automatically adjusts targeting, bidding, and creative delivery based on the best-performing content. Over time, the system learns what works best, making the campaign more efficient and helping to drive better results with less manual effort. While we all love being able to work smarter and not harder, this is not a set-it-and-forget-it campaign. AIAs still require diligent oversight and ad inputs to maximize ROI.
Why you should work with a certified TikTok partner
You might be thinking that with the official launch of AIAs globally, you can easily set up and run these campaigns on your own at the dealership. The short answer would be – it depends. sMedia has been on the TikTok AIA beta program since its inception last year and has worked through the switch from VSAs to AIAs and launched numerous campaigns over the past 12 months. Here are the top things you should consider when deciding whether or not to work with an official TikTok partner for your ads.
Time Management
Setting up, running, and optimizing AIAs takes time, including setting up and managing the inventory feed. Working with a partner can not only free you up for other tasks, but also guarantee that your ads are up to date with TikTok’s best practices, and are optimized through the combined learnings of managing hundreds of campaigns.
Support
When everything is working great, we tend not to think about support. But when it’s not, we all know what it’s like ringing the red alarm bell. TikTok is set up similarly to other ad platforms where they do not have a support team large enough to work 1:1 with every dealer. This is where TikTok partners come into play as we work directly with the TikTok team. We have dedicated reps who work with our team month in and month out and address any support requests we may have.
Budget Management & Campaign Optimization
Optimizing campaigns for the best performance, and understanding the anatomy of successful campaigns means you not only benefit from the improved performance that comes with the experience of a dedicated TikTok partner, but also ad spend efficiencies. As an additional layer of support, TikTok partner accounts will be reviewed to ensure campaigns are properly optimized, best practices are implemented, and budgets are appropriately set.
Automotive dealer benefits of using TikTok AIA
Content is king, and video is by far the highest-performing content. Be where the people are, and give them the format they want. Whether you’re targeting first-time buyers, repeat customers, or those simply researching their next vehicle, TikTok Automotive Inventory Ads allow you to reach them effectively.
Reach and Engagement: 178 Million Monthly Active Users on TikTok in North America reportedly spend more time on TikTok than any other social/entertainment platform, upwards of 90 minutes daily.
Showcase New Inventory: Create and utilize engaging videos that highlight new arrivals and feature the unique selling points of each vehicle, from safety features to fuel efficiency, high-tech amenities, and trunk or interior space.
Special Promotions & Offers: Use TikTok’s AIAs to promote limited-time discounts, last-available, or even seasonal deals that encourage shoppers to act quickly.
Highlight Virtual Tours and Test Drives: Create videos for virtual tours or POV test drives of specific models to leverage in your AIAs, linked to all your in-stock inventory of that model. Keep these short and to the point, leaving your shoppers wanting more.
TikTok AIAs allow automotive dealers to connect with potential buyers in a creative, highly-targeted way. By automating ad creation and optimization, dealers can save time, reach the right audience, and drive better results from their TikTok campaigns, all while showcasing their vehicles in a fun and engaging manner. Couple this with dynamic ad video creation, and you have yourself a winning combination to truly take advantage of the AIA platform.
Want even more TikTok Info? Read more here and here.
– Angie Milana & Terry Bell
