When it comes to selling cars in 2022, one thing is clear: Auto retail is changing faster today than it has at any time since the dawn of the franchise system.
Selling and servicing cars in the future will not look like it did 30, 20, or even ten years ago. The days of taking inventory from factories and selling as a lone wolf are over.
At the same time, “progressive” auto retail schemes, like direct sales, inevitably short-change consumers on both sales and service. So-called “agency” models, trumpeted by some, won’t lure the investment from dealer entrepreneurs required to create a great experience for our customers.
How then can automotive retail evolve in a way that will take care of our customers best, while proving that the franchise model is second to none – whether we are selling and servicing ICE vehicles, EVs, hydrogen cars, or commercial vehicles?
To answer this question, NADA released its Guiding Principles on Evolving Business Models and the Dealer Franchise System, which are linked below. They include principles to deal with:
Evolving Business Model
To take the future head-on, both dealers and OEMs should lean in — put our customers first and to make our businesses lean, mean, and valuable, both today and for future generations.
Join the NADA grassroots network by texting NADA to 52886.
Your Members of Congress
When lawmakers learn about your business and employees, they become better informed about how their decisions affect your ability to serve customers and grow your business.