While AI is quickly changing the automotive retail sector, Cox Automotive executives Tessa Nadik, AVP Product Management, and Rob DeGeorge, Director of Product Consulting, assert it is not a threat to dealership employment. Instead, they view AI as a powerful tool to boost efficiency, enhance the customer experience, and free up staff for high-value personal interactions on today’s episode of Inside Automotive.
“Consumers are not afraid of technology. They’re afraid of making the wrong decision.” - Tessa Nadik
Key requirements:
- Clean, Structured Data and Integration: Both executives stressed the non-negotiable need for accurate, aligned data. AI must integrate seamlessly across all dealership systems, including DMS, CRM, marketing, and inventory, to produce relevant insights and support personalization.
- Empowering staff: Dealers need to train employees to effectively use the new technology and identify “AI champions” to drive successful adoption and demonstrate real-world results.
Moreover, consumer behavior is rapidly changing, with almost half of vehicle shoppers using AI tools like ChatGPT alongside traditional platforms such as AutoTrader and Kelley Blue Book. Since AI interactions now shape a brand’s trust and reputation before a dealership visit, digital visibility is more critical than ever.
"Don’t evaluate AI by what it promises, instead evaluate it by the problems it solves and the outcomes that it produces.” – Rob DeGeroge
Recommendations:
According to Nadik and DeGeorge, dealers should choose AI solutions based on the specific problems they solve, documented performance, transparency, and integration capabilities, rather than on marketing hype. Key applications include generative, predictive, conversational AI, and computer vision, all of which improve workflows, messaging, and customer engagement.
Strategic adoption:
While AI may automate repetitive tasks, it opens new opportunities for employees to focus on relationship-building and higher-quality service. Cox Automotive encourages dealers to:
- Audit current AI capabilities.
- Define clear goals for efficiency and conversion.
- Start Small with experimentation and partner with vendors that offer comprehensive guidance, support, and education.
Looking ahead to 2026, Cox Automotive emphasizes the need for immediate action. Both executives recommend adopting strategic AI, along with strong data management and a focus on human elements, to gain the competitive advantage necessary for navigating the future of automotive retail.
