We still do both. Retargeting is much more effective, but for things like Red Tag Days we still get some regional traction on display ads.
That said, this is in Canada where the closest dealership is beyond eyesight, so you can flood your market with display ads and not have to be as concerned that everyone else might be competing for the same radius.
Most effective for us has been branded display ads that follow up on a campaign the customer has seen.
Once we know they've seen our email and engaged with it, we follow them with a similar message in different formats.
The effort is high, but the model seems to work so looking at ways to automate that better.