The National Automobile Dealers Association (NADA) has long been a pillar of support and guidance for auto dealers across the country. As the industry shifts further towards electrification, the NADA finds itself at the forefront of addressing critical issues.
On this episode of Inside Automotive, host Jim Fitzpatrick is joined by Mike Stanton, CEO and President of NADA, to discuss some of the challenges facing the industry today, including electric vehicles and affordability. Stanton will be discussing these topics and more at the New York Automotive Forum hosted by J.D. Power, NADA, and the New York International Auto Show on March 26.
Key Takeaways
1. The automotive industry is shifting towards electrification. This transition poses challenges for auto dealers, who need to adapt to changing consumer demands and technological advancements.
2. Stanton notes that while there has been a softening in profits, business is still relatively good compared to previous years. Dealers are adjusting to the latest economic conditions by leveraging both the new and used vehicle market.
3. There is a significant focus on the relationship between auto dealers, dealer associations, and government regulators, especially concerning the pace of transition to electric vehicles. Dealers are advocating for a more measured approach that aligns with consumer demand and market readiness.
4. Dealers are investing heavily in electric vehicle inventory and infrastructure, demonstrating a commitment to electrification. However, dealers and automakers are calling for more government support to build the necessary infrastructure and create conducive policies for electric vehicle adoption.
5. Stanton acknowledges the need for a diverse range of vehicle technologies to meet different consumer needs and achieve environmental goals. An emphasis on building an inclusive market that offers various vehicle options to consumers at different price points would not only help the industry move toward electrification faster it would also improve affordability and increase sales.
"Dealers are not against EVs, and we've got the data to prove it...I've always said that dealers are the biggest EV customers in the world because they've bought more than anybody. We've got $6 billion in EV inventory out there. We've invested and have committed to invest another $6 billion in facilities, training, those types of things. So we want this to work. But it's got to work at the pace of the consumer, and that's the problem." — Mike Stanton
