Opinion
Industry Voices | Want Quality Referrals and Higher Closing Rates? Try This
Amid tariff proposals and regulatory changes adding complexity to the industry, car dealers urgently need to find effective partners. Retailer referral services (such as the Costco Auto Program) not only generate sales leads but also provide high-intent, transaction-ready customers. This article details their five major advantages: customers as buyers, simplified pricing and sales processes, zero-cost built-in marketing, a long-term customer pipeline, and exclusive OEM incentives, and notes that the program has strict eligibility requirements, but those who qualify will see significant benefits.
Industry Voices | Fraud Is Getting Smarter. Your Defense Strategy Should, Too.
Lenders have long relied on consumers as the first line of defense against third-party fraud. However, the growing sophistication of AI-generated fraud necessitates a reassessment of this strategy, driving the integration of artificial intelligence tools to empower both lenders and consumers in this ever-evolving battle.
Industry Voices | Auto Shows Aren’t Dead — They’ve Just Moved Down the Funnel
In recent years, claims about the "death" of auto shows have been common, but the reality is that auto shows are returning to their essence—as a powerful marketing tool for the mid-to-lower funnel. Data shows that 64% of visitors plan to buy a car within 24 months, and 61% of test drivers believe the experience influences their decision. Brands like Toyota have adjusted their strategies, focusing on localized configurations and limited-time offers. Auto shows and media campaigns are not competitors but complements, jointly driving a closed loop from awareness to conversion.
Industry Voices | Disruptions Mean Leaders Must Energize Teams
The automotive industry faces disruptive changes including electrification, tariffs, and AI. Leaders must adopt a human-centered transformation approach to tackle employee fatigue, narrow skill gaps, and drive sustainable innovation.
Industry Voices | Luxury Automakers Leverage AI-Powered Marketing
Luxury car brands such as BMW, Porsche, and Mercedes-Benz are using AI-driven marketing strategies, employing predictive analytics, chatbots, and personalization tools to provide hyper-personalized experiences for high-net-worth customers. The article analyzes the evolution of AI in automotive marketing and offers three practical suggestions for CMOs and CIOs.
Industry Voices | Demystifying Biweekly Payments
With average new car prices exceeding $48,500 and interest rates around 6.8%, consumers face loan constraints, while F&I departments contribute up to 74% of per-vehicle gross profit. Biweekly payment plans can accelerate principal repayment, reduce interest, and shorten loan terms, yet adoption remains low. This article analyzes the reasons, strategic value, and implementation recommendations to help dealers win customers in the 2025 competition by adopting an advisory role.
Industry Voices | Is the Dealer's System Holding Back Good Employees?
When the showroom makes mistakes, we tend to blame employees, but the problem may lie in the system. This article analyzes five signs: compliance is only one person's responsibility, manual verification, lack of training for new hires, emphasis on sales over process, and no feedback mechanism, and proposes solutions, emphasizing the critical role of system and culture in employee performance.
Industry Perspectives | Five Pillars of Successful OEM Digital Retail
In an era where consumers expect transparency, personalization, and seamless cross-channel experiences, the traditional car-buying process has become disconnected. Most OEM digital retail tools are based on legacy models, struggling to support evolving sales models, global expansion, and the complexities of electrification. This article proposes five pillars—seamless online-to-showroom experiences, plug-and-play integration, AI-driven personalized transactions, globally scalable architecture, and multi-sales-model support—as a blueprint for a future-ready digital retail platform.
Industry Insights | Tariffs Drive Up Car Prices, Savvy Buyers Still Hold the Upper Hand
In April, the U.S. imposed a 25% tariff on imported cars, with new car prices expected to rise by $5,000 to $10,000, and monthly payments could reach over $840. However, the Federal Reserve's rate cuts have reduced auto loan rates from about 7% to around 5%, partially offsetting the price pressure. Dealers attract customers through cash incentives, low-interest financing, extended warranties, and other measures, while digital tools provide real-time pricing and transparent payment information. Industry analysts believe that the total cost of ownership over five to seven years may remain relatively stable.
Industry Voices | Warranty Rate Shrinkage: Are OEMs Suppressing Dealer Warranty Settlement Standards?
OEMs continue to pressure dealers on reimbursement for warranty labor rates and parts markup percentages. Laws in 49 states require reimbursement to be no less than retail levels, but some manufacturers still undercut prices under the guise of "reasonableness." This article cites industry expert opinions, analyzes rate disputes, legal grounds, and dealer counterstrategies, and discloses 2024 warranty reserve and spending data for Ford, General Motors, and Tesla.