As economic uncertainty, policy shifts, and global competition create turmoil in the auto industry, Don Hall, President and CEO of the Virginia Automobile Dealers Association (VADA), says optimism and leadership are more important than ever. On the latest episode of Inside Automotive, Hall shares his insights on staying resilient, capitalizing on evolving consumer preferences, and reinforcing the strength of the franchise system.
To begin, Hall acknowledged that both dealers and consumers are navigating an uncertain economy, made more volatile by ongoing tariff discussions and policy shifts. “Every day, when it comes to tariffs, we’re hearing something different,” he said, emphasizing that dealership leaders must stay focused and inspire their teams. However, despite external noise, Hall maintains that “we’re still selling cars and trucks”—the real question is whether dealers are claiming their fair share of the market.
According to Hall, he urges dealers to reconnect with former customers, work harder, and embrace evolving customer expectations. Stating, “It’s about the customer. It’s about the customer buying experience.” He then adds, “Let’s be long-term thinkers.”
Shifting to the Virginia market, Hall noted that plug-in hybrid sales are rising, Tesla sales are declining, and internal combustion engine (ICE) vehicles are seeing renewed strength, thanks in part to the state no longer being governed by California’s CARB regulations. Meanwhile, OEMs like Toyota are leading the hybrid charge, with Hall praising the versatility of EVs and hybrids, saying they offer consumers more choice and less range anxiety.
Additionally, Hall addressed the potential influx of Chinese vehicles following a recent deal struck by President Trump, which has OEMs like BYD eyeing U.S. entry. Hall cautioned that these manufacturers must respect the U.S. franchise dealer system, which has been the backbone of the auto industry for over 100 years. “We’ve got plenty of dealers nationwide ready and willing to partner with whomever,” he said.
When asked what OEM leaders need to better understand, Hall highlights a lack of familiarity with dealership operations. Having met with nine different OEM heads during his career, he noted that many come from engineering backgrounds and don’t fully grasp the role associations like VADA play, or the value that franchised dealers bring to the table.
It is important to note that Hall called on dealers to also share positive anecdotes to reevaluate the industry’s image.
In conclusion, Hall shares his outlook for the remainder of 2025: “Car dealers are eternal optimists.” With the stock market up and dealer sentiment positive, he reiterates that a strong customer experience and staff culture will carry the industry forward.
“No matter what happens [in the economy], we learn to turn nothing into something positive.” – Don Hall