page contents Automotive Thought Leadership: Ralph Paglia: June 2012 My title page contents

Saturday, June 30, 2012

Car Sales Hit 5 Year High in June 2012 - Automotive Digital Marketing Professional Community

Car Sales Hit 5 Year High in June 2012 - Automotive Digital Marketing Professional Community


U.S. auto sales forecast to hit 5-year high in June

Analysts see SAAR below 14M for 2nd straight month

DETROIT (Reuters) -- The deteriorating European markets have led auto industry executives to worry about possible contagion spreading across the Atlantic, but June new-car sales in the United States are expected to hit a five-year peak for that particular month.
Auto sales, which offer an early snapshot of consumer demand, have been one of the bright spots in the U.S. economy for several months until May results came in short of expectations and raised concerns about the sector's recovery.
Analysts and industry officials, however, said there are just too many old cars that need to be replaced, which will drive consumers into dealers' showrooms.
The average age of cars on the road is an all-time-high 11 years.
"The most interesting thing is the ongoing battle between pent-up demand and concern over financial issues," said Karl Brauer, chief executive of research firm Total Car Score. "There is, by no means, clear sailing ahead on the financial issues, but people are getting really tired of driving their old cars."
Economists polled by Thomson Reuters see the annual selling rate for new cars in the U.S. market in June finishing at 13.9 million vehicles.
That would mark the second month in a row below the 14 million rate, but would exceed last month's 13.7 million.
Opinions vary, however, as TrueCar.com expects a sales rate of 13.6 million, while General Motors CEO Dan Akerson said on Thursday the market was "surprisingly strong" and he saw it finishing between 14 million and 14.2 million.
J.D. Power and LMC Automotive, and Edmunds.com see sales rising 20 percent from last year to about 1.27 million new cars and trucks, while TrueCar sees an increase of 18 percent.
That would be the highest level since 1.46 million were sold in 2007, just before the U.S. economy slipped into a recession that forced GM and Chrysler into bankruptcy.
Some of the projected increase will be due to a recovery by Toyota Motor Corp. and Honda Motor Co. from the impact of last year's earthquake in Japan that hurt U.S. supplies.
Major automakers including GM, Ford Motor Co. and Toyota will report June U.S. new-car sales on Tuesday.
Second-half worries
The downward spiral of the European market has raised concerns, however.
"I'm a little bit worried about the second half because we see softness in Europe," Akerson said Thursday at an event in Chicago. However, his positive forecast for June U.S. sales was based on the pent-up demand in the market.
Ford echoed Akerson's concerns on Thursday when it warned that second-quarter losses from operations outside North America could triple the $190 million first-quarter loss, hurt mainly by weakness in Europe.
The No. 2 U.S. automaker still sees an overall profit, however, as North America remains strong.
"The good news is we still have growth in the economy. It is moderate," Ford North American chief Mark Fields said earlier in the week. "Some of the economic figures in the last six weeks are a little bit contradictory.
The housing starts and permits actually were up. At the same time, we've seen consumer confidence come off its high earlier this year."
Ford expects a June sales pace in the high 13 million-vehicle range, he said.
"The (annual sales rate) does appear to be slowing down from the 14.6 million level in the first quarter, which we attribute to some demand pull forward into the first quarter with the warm winter and an increasingly cautious consumer given some signs of a slowing U.S. economy," RBC Capital Markets analyst Joseph Spak said in a research note.
Spak expects a June sales rate of 13.9 million vehicles, but said lower gasoline prices, easier access to credit and newly launched cars will bolster second-half demand.
He added there are more downside risks to his industry estimate at this time.
Analysts expect sales in June to decline from May, but Kelley Blue Book said such a decrease is what normally occurs this time of year.
Since 2007, the daily selling rate has dropped between 3 percent and 10 percent from May to June, putting the company's projected 8 percent decline within that trend.
Despite the expected second straight month below a 14 million sales rate, analysts are not backing off full-year U.S. sales projections yet.
"Despite the relative slowdown in the last few weeks, the first-half sales results this year indicate a relatively healthy car industry; perhaps the brightest spot in an otherwise struggling U.S. economy," said TrueCar analyst Jesse Toprak. "We expect second-half of 2012 to average around 14.5 million units."
J.D. Power and LMC still expect 2012 sales of 14.5 million new cars and trucks.
"We're seeing healthy retail sales growth as we head into the summer selling season and as automakers change over to the 2013 model-year vehicles," said J.D. Power analyst John Humphrey. "All indicators point toward an industry that continues to get healthy."

J.D. Power and LMC still expect 2012 sales...

J.D. Power and LMC still expect 2012 sales of 14.5 million new cars and trucks.  "We're seeing healthy retail sales growth as we head into the summer selling season and as automakers change over to the 2013 model-year vehicles," said J.D. Power analyst John Humphrey. "All indicators point toward an industry that continues to get healthy."
Car Sales Hit 5 Year High in June 2012 - Automotive Digital Marketing Professional Community
U.S. auto sales forecast to hit 5-year high in June Analysts see SAAR below 14M for 2nd straight month DETROIT (Reuters) -- The deteriorating European markets…
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As the AutoConnections Conference and Exposition...

As the AutoConnections Conference and Exposition Chairman, I could not be more pleased and proud to have Grant Cardone as our featured keynote.  Having attended many of Grant's seminars and presentations over the years, I can attest to his uncanny ability to move professionals to taking action.  Grant is a dynamic and inspirational speaker with insights and guidance that WILL positively impact you and your organization.  Be sure to register for AutoCon today before this event sell out!
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Friday, June 29, 2012

Social Media Marketing Optimization by Ralph Paglia

1 in 5 Americans Have Bought a Brand of Car that a Friend Has Followed on Facebook - Automotive Digital Marketing Professional Community

1 in 5 Americans Have Bought a Brand of Car that a Friend Has Followed on Facebook - Automotive Digital Marketing Professional Community


20% of American Car Buyers Have Bought a Brand of Car That a Friend Has Followed on Facebook 
18% of US consumers - including 23% under 35 - have bought a brand because their friends like or follow the brand on a social network, per findings from an Ipsos survey released in June 2012.
This figure was much higher in other markets, though, led by China (54%), India (44%), Turkey (39%), and Indonesia (39%). Overall, 22% of the consumers polled in 24 countries around the globe said that they had bought a brand due to a friend following it on a social network, with the under 35 group twice as likely as the 50-64-year-old set to have done so (27% vs. 13%).

A comScore study released in June used a variety of case studies to demonstrate that Facebook earned media influences buyer behavior, with friends of fans proving a potent audience for brands.

Marketers Mixed on Facebook’s Purchase Influence

Marketers appear to see some value in Facebook’s ability to fuel purchase intent, although they are somewhat ambivalent about the extent to which this is the case. According to an AdAge survey of its readers (who classified themselves as decision-makers in social media marketing), while slightly more than two-thirds say that Facebook is at least somewhat useful in driving purchase intent, the majority of those respondents (55.5% overall) believe that it is only somewhat useful.

In fact, roughly one-third either don’t know (19%) or don’t find Facebook useful (13.4%) at all.

Facebook Ad Dollar Growth to Lag Social Media Overall

Further data from the AdAge survey reveals that more than 7 in 10 marketers expect to increase their social media advertising budgets over the next year, compared to 25.3% who will maintain current levels and 1.9% who will decrease spending. Interestingly, though, a smaller proportion (56.4%) will increase their Facebook ad budgets, suggesting that social media advertising budgets may be headed for other networks.

Dealer Feedback on Suppliers Sought - Automotive Digital Marketing Professional Community

Dealer Feedback on Suppliers Sought - Automotive Digital Marketing Professional Community


Dealer Feedback on Suppliers Sought
If you work at a dealership, submit reviews for your favorite products that are being considered for the 2012 AWA Awards in Las Vegas. This includes best websites, mobile sites, marketing tools, website add-ons, social media tools, and more. Vote here:http://bit.ly/DealerSurvey

AutoCon speaker Richard Bustillo and Rick Case Honda Featured in Automotive News Cover Story on Facebook

AutoCon 2012 Provides Diversity and Women’s Issues Workshops - Automotive Marketing

AutoCon 2012 Provides Diversity and Women’s Issues Workshops - Automotive Digital Marketing Professional Community


AutoCon 2012 Provides Diversity and Women’s Issues Workshops

The AutoCon 2012 Planning Committee is pleased to announce our partnership with Jody DeVere, CEO of AskPatty.com to create a powerful set of workshops that address diversity marketing and Women’s issues in the automotive industry.

Rarely do mainstream conferences invest the time and workshop space to cover what we consider as important topics for today’s auto dealership.

The workshops will include subject matter experts, women in leadership in the automotive industry, dealer principals, and diversity specialists.   Attendees that attend at least three of the Diversity Tract workshops will receive a Diversity Training certificate on the closing day of AutoCon 2012.

Diversity Workshop Offered at AutoCon 2012

Here are the current workshops offered in this tract:
  • Diversity Marketing to Latinos
  • Recruiting, Hiring, & Retaining Women in Automotive Industry
  • Case Studies of Dealerships Getting It Right With Women
  • Diversity Marketing to LGBT Community
  • A Candid Discussion With Women Leading Successful Dealerships

We encourage members of the automotive community that would like to see more discussion on Women’s issues, leadership opportunities for Women, and marketing strategies for our diverse customer base, to please share the information about AutoCon to their peers.

For more information and online event registration, please click the image below:

Thursday, June 28, 2012

Google Local: Thoughts 1 Month After Launch - Automotive Digital Marketing Professional Community

Google Local: Thoughts 1 Month After Launch - Automotive Digital Marketing Professional Community


As we all know, Google made a HUGE shift on May 30th, when they moved all Google Places pages to Google+ Local.  We are 1 month since the announcement and shift, and I wanted to share some of my experiences and observations so far. 

Google is very important when it comes to online reputation and specifically online reviews for local businesses, including auto dealers and other categories.  Google's move to launch Google+ Local shows a large commitment by Google to reviews and the local business space.  As with any new launch, it will evolve over time.  From what we have seen thus far there are some great things about Google+ Local and some challenges with how it is implemented currently.  The fact remains that it is here to stay, and the best thing we can do is educate ourselves and our customers on Google+ Local, and utilize it to the best of our ability, while being aware of its current limitations.

This blog post summarizes some of my own observations, so please comment if you have any additional insights to share.
1: User Experience
The overall look and feel of the new Google+ Local pages looks great.  It is easy to read, the larger images are compelling, and the way the review summary is highlighted is nice, etc.  However, there are two areas where Google+ is lagging, and these two areas will impact user adoption: sign up process, and lack of iPad / iPhone support for writing a review.

Currently, in order to sign up for Google+, a user is taken through a 4 step process where they are "guided" through a variety of new features that Google has to offer.  For new users, this may be over-whelming.  In addition, each time there is a new step, users will fall out of the conversion process.  Google needs to refine this sign-up process to make it easier for users to join Google+ and participate in reviews.

One of the big reasons that Google launched Google+ Local was to provide an increased focus on reviews and propagate their new Zagat-style review scale, the 30 point scale.  For that reason, having users write reviews seems to be an important outcome of the launch.  At this point in time, Google has not launched an iPad app for Google+ and their Google+ app for iPhone does not include the ability to search Google+ Local or write reviews for local businesses.  With the penetration for iPhones and iPads and users' desire to do things while on the go, this will limit user adoption and users' ability to write reviews.
2: Phasing Out Google Places
The launch of Google+ Local really only encompassed a partial launch of the service -- the front end user interface.  The back end, which includes the management of a Google+ Local Business Page as well as integration with the Google search offerings is not fully implemented yet.

In order to manage or change information, local businesses still have to log into their Google Places dashboard.  This is where they would update images, any information/ hours, etc.  The business also has to log in here to respond to reviews from customers. 

Google+ Local is not yet fully integrated into the Google search results.  When you execute a search that includes local businesses in the search results, reviews are not included as a part of the Google organic or paid results.  Where you do see reviews/ Google+ Local information is in the Google Places part of the search results.  It is still entitled "Places for [xyz business] in [city]" and includes every listing for that business, the associated reviews, and a map to the businesses.  I am sure that we will see further integration down the line and a complete retirement of any references to Google Places.
In Closing...
Google+ Local is here to stay.  Google is pushing its review platform to be more relevant to local businesses and get users engaged.  I believe that over time, using Google+ will become easier to use from all devices, and Google+ Local will be fully integrated within Google Search results. 

Google is also establishing different standards (e.g., the 30 point scale, and 1-3 ratings) and requirements for reviews than other sites.  For example, Google has stated that reviews can be obtained directly within the business location.  Since a Google+ account is required to submit a review, Google must feel that the benefit of getting more customer participation by involving the business in encouraging customers to review outweighs the threat of abuse, since users have to have their own Google+ account to leave a review.

We cannot ignore Google+ Local and Google Reviews.  We need to educate ourselves and our customers on how Google+ Local can be leveraged as an asset to drive additional business into dealerships.

AutoCon 2012: What Would You Do With An Extra $10,000?

       
       
What Would You Do With An Extra $10,000?
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What Would You Do With An Extra $10,000?
Not many automotive conferences are known for putting money in your pocket. Then again, AutoCon 2012 isn't really like any other conference. 

At AutoCon, every single attendee will receive over $10,000 in free vouchers from the industries most innovative and trusted vendors. That's over 50 vendor coupons you can use to market, merchandise, and improve your dealership - just for showing up.

AutoConCertificate1

On top of this, Dealer Principals are invited to join at no charge, and early registrants save an additional $200 off registration costs. Add it all up, and AutoCon practically pays for itself. 

 
Register By Friday & Save $200

Featured Sponsors & Exhibitors
sponsors
Early Bird Registration Ends Friday!

Sign up before June 30th and save $200 off the price of admission. 

register-home 3


Keynote Speakers

- Dave Anderson
- Lon Safko
Grant Cardone
Jim Ziegler
- David Lewis
Bill Lovejoy
- Sean Stapleton
- Patrick Kelly

register-home 2
 


Internet Now Largest Share of Car Dealer Advertising

Wednesday, June 27, 2012

Google Enters New Car Lead Generation Business

Google Enters New Car Lead Generation Business - Automotive Digital Marketing Professional Community
Another prediction that I wrote about has come true.  Change is in the air again at Google.  Paid Search just took a big step forward or backwards, depending on how you think.  It's called "Google Commercial Unit For Cars".

In November 2011, I wrote about a product called "Google Advisor" which will change the landscape of paid search marketing for new car sales.    It has taken a very long time for this product to get off the ground.  This type of product has been around in the mortgage lead generation business for years.

Well the Google Advisor product for automotive leads is here and it has a more common name: Google Cars.

I finally was able to see the product live today and so can you.  Just change your browser location to Zip Code 94301 and conduct a search on Google with this phrase:
Palo Alto Toyota
What you will see might shock you, as Google has clearly entered into the new car lead generation business.  I created a few screen shots to explain how the model works, and I am sure this will be evolving.  I would love to get your opinion on this strategy and if you would be interested in testing this new service.

San Francisco Bay Beta Test of Google Cars


Currently, this product is only available in the San Francisco Bay area.  We will find out when this will open up to other markets.   This is only for new cars and it requires a dealer to provide and inventory feed of their new cars.


According to my sources,  this product is focused on lower sales funnel queries meaning the buyer has already decided on a brand and a model to purchase.   So it will not be showing up for all automotive search queries, just a subset that Google believes have already made a brand/model selection.

Google Cars Inventory Model Results Page


When you Click on the first photo of the Toyota Camry in the red box above, you will be shown this page


Google Cars Pricing Info



If you click on the "Google Price Info" link, you might get a chill down your spine, like TrueCar did for car dealers.

The Google Price popup box is shown on the right.  If you click on the "Learn More" link, you can read about how these prices are determined.

The "regional price paid" data according to Google comes from data shared by dealers to the DMV in their state.   Here is what Google says:

Regional price paid tells you how much the vehicle you want tends to sell for in your area. It is calculated from real new car sales in your area over the past 90 days, as reported by dealers to the DMV.

Regional price paid is specific to the make, model, trim, packages, and options shown. It includes destination charge; it excludes taxes and fees. It may include incentives and other promotions running at that time that may have impacted the average price paid."

Google Cars VDP


When you you click on a specific vehicle, you will be taken to a VDP page that looks like this:

Google Cars Email Contact Options


And when you click to contact the dealer, you have three options.  Clicking on the "Email Dealer" choice reveals this screen.

Notice that the consumer can easily select other local dealers to quote on the same vehicle.

Communication Via Proxies


I was able to confirm that this is a pay per lead model and user contact information is not shared, all communications will go through proxies.  Take a peek at the image above to see the statement "Google protects you from spam".


This is an attempt to limit spam to consumers from dealers. Read the information on this link: http://support.google.com/websearch/bin/answer.py?hl=en&answer=...

This adds a degree of complexity since normal CRM workflows and contact strategies will be impacted by lack of direct phone number via proxies.  This means that leads generated by the program will really need to be worked to get direct contact information before the proxy period expires.

I will be working to get the information you need to prepare for this new opportunity in new car vehicle marketing.  If you have any specific questions, let me know.  You can send me an email to:  brian@pcgmailer.com

In the meantime, I'll be busy researching this and getting the facts.   Keep in mind that at AutoCon 2012 will have 3 deep dive workshops on all the latest paid search strategies that car dealers can leverage.


Brian

Brian Pasch, CEO
PCG Digital Marketing

Brian Pasch 

Stephen Jackson writes: "The auto industry...

Stephen Jackson writes: "The auto industry in particular spends a lot of time, money, and effort on video content. How many ridiculous "car guy" commercials have you seen? Sometimes we even get a glimpse of how stressful making a viral video really is. How much do your customers value these attempts? Do they visit your dealership more often because of it?"
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Tuesday, June 26, 2012

Shuki Lehavi at Gumiyo Headquarters

The Further Adventures of #TravelLikeRalph

Because of the high cost of vehicles, along...

Because of the high cost of vehicles, along with a great need to "touch and feel" (and test drive) before you buy, it is unlikely that sales conversions will start to take place on mobile devices anytime soon. But mobile campaigns have the potential to shape consumers' opinions at the early stages of their research process, and push them along the sales funnel. Auto brands that incorporate mobile into their overall strategy, instead of considering it an afterthought, will benefit from the practice...
Car Buyers Use Mobile to Research Vehicle Purchases - Automotive Digital Marketing Professional Community
Automotive Shoppers Look to Mobile to Research Purchases Almost 70% of consumers in a recent study were interested in using mobile devices to investigate vehi…
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Car Buyers Use Mobile to Research Vehicle Purchases

Car Buyers Use Mobile to Research Vehicle Purchases - Automotive Digital Marketing Professional Community


Sunday, June 24, 2012

Don't Miss AutoCon 2012! Register at http://AutoCon2012.com - Automotive Digital Marketing Professional Community

Don't Miss AutoCon 2012! Register at http://AutoCon2012.com - Automotive Digital Marketing Professional Community

Why Should I attend AutoCon 2012? Unlike some other fall conferences, AutoCon was conceived, designed and made with the dealer's interests in mind. Here are some of the reasons we're different:
- Workshops, Not Sales Pitches
- All Inclusive Meals
- 100% Internet Access
- Hands On Training Labs
And, most importantly of all, at AutoCon you will be able to connect with the very best automotive experts, speakers, thought leaders and practitioners in an environment designed to connect you with what you need to drive your unfair competitive advantage when you get back to your dealership, and even before you leave Las Vegas!

Register today at http://AutoCon2012.com 

Marketing Directors Choose AutoCon 2012 Over Other Fall Conferences

Marketing Directors Choose AutoCon 2012 Over Other Fall Conferences - Automotive Digital Marketing Professional Community

Why Marketing Directors Should Choose AutoCon 2012 Over Other Fall Conferences

We understand that Marketing Directors have many choices where to invest their time out of the dealership. We have made AutoCon 2012 the ideal choice for Marketing Directors for these reasons:
  • AutoCon is a new with fresh ideas and an innovative approach to the conferences structure.
  • Advanced Marketing and Advertising workshops are include in the educational offerings.
  • Breakfast, Plated Lunch, Breaks, and Evening Cocktail Receptions are included in the registration fee.
  • AutoCon provides over 60 workshops and hands on labs to maximize the learning experience.
  • Sponsored workshops are clearly labels to allow Marketing Directors to shop for new products or not.
  • Exhibit hall allows Marketing Directors to shop for new products and connect with new technology.
  • Conference format allows for peer networking and group discussions to improve your sales strategy.
  • WiFi is provided in all conference areas and hotel rooms so you can stay connected to work.
  • Marketing Directors receive vendor coupons worth over $5,000 in product discounts.
  • Attendees receive conference workbook, Dry-Fit Conference T-Shirt, and assorted logo brands gifts.

Suggested Conference Workshops


Only you can know what workshops best interest you today, but here are a few workshop examples that would be ideal for Marketing Directors:
  • Leveraging Google+ Local For Marketing and Online CSI Scores
  • Diversity Marketing: Latinos, LGBT, and Women
  • Dominate Your Local Market With Video Pre-Roll Marketing
  • Why Pinterest & LinkedIn Should Be Part of Your Social Strategy
  • I Know The Top 10 Profit Leaks At Your Dealership
  • Data Mining & Segmentation Strategies To Identify Buyers
  • The Power Of Landing Pages – 10+3 Tips To Drive Conversion
  • What Influences Customer Loyalty & How Do We Measure It?
  • Set Your Fixed Ops Video Strategy on Fire
  • Sell More Cars Using The Service Drive

Lock In Your Attendance – Limited Time Offer

We encourage Marketing Directors to confirm their participation for AutoCon 2012 today.  Take advantage of the Early Bird pricing for you and your team, which adds further savings to your September conference budget.
General Manager Registration For AutoCon 2012


Saturday, June 23, 2012

Automotive Compliance and Chief Operations Officers

Compliance and Chief Operations Officers

Compliance and Chief Operations Officers

We understand that Compliance and Chief Operations Officers have many choices where to invest their time out of the dealership. We have made AutoCon 2012 the ideal choice for Compliance and Chief Operations Officers for these reasons:
  • AutoCon is a new with fresh ideas and an innovative approach to the conferences structure.
  • Compliance and Chief Operations Officers can take advantage of specific workshops targeted to their needs.
  • All meals and receptions are includes in the complimentary admission.
  • Sponsored workshops are clearly labels to allow dealers to shop for new products or not.
  • Exhibit hall allows attendees to shop for new products and connect with new technology.
  • Conference format allows for peer networking and executive level discussions.
  • WiFi is provided in all conference areas and hotel rooms so you can stay connected to work.
  • Compliance and Chief Operations Officers receive vendor coupons worth over $10,000 in product discounts.

Suggested Conference Workshops

Only you can know what workshops best interest you today, but here are a few workshop examples that would be ideal for Compliance and Chief Operations Officers:
    • Diversity Marketing to Latinos
    • I Hate/Love My Online Reputation
    • I Know The Top 10 Profit Leaks At Your Dealership
    • Panel Discussion – 10 Guidelines for Success in Social Media
    • What Influences Customer Loyalty & How Do We Measure It?
    • Three Case Studies – Successful Strategies Marketing To Women
    • Why Do I keep Repeating Myself? Getting Your Team to Do It Right the First Time
    • Digital Dealer Roadmap: How to Convert your Dealership to Maximize Profits
    • Dealer Compliance in a Digital Age & How To Avoid Fine
    • How to Use Objective Data to Create Performance Plans and Compensation Models

Lock In Your Attendance – Limited Time Offer

We encourage Compliance and Chief Operations Officers to confirm their participation for AutoCon 2012 today.  Take advantage of the Early Bird pricing for you and your team, which adds further savings to your September conference budget.
General Manager Registration For AutoCon 2012
  
 

http://ADM.fm - American Ad Agency Revenue from Digital Marketing Channels

Thursday, June 21, 2012

Webinar: Guerrilla Marketing and Competitive Advertising Strategies

Webinar: Guerrilla Marketing and Competitive Advertising Strategies

Webinar: Guerrilla Marketing and Competitive Advertising Strategies

Webinar: Guerrilla Marketing and Competitive Advertising Strategies