Automotive Dealer Solutions

How to Sustain Our Automotive Industry, and Particularly Its Suppliers, in Europe European automotive production is expected to remain between 15 and 16 million vehicles annually in the coming years. This volume will likely be shared among a growing number of manufacturers, particularly due to the arrival of Chinese automakers. Chinese OEMs will benefit in Europe from their domestic R&D cost base, global amortization volumes, and broad technological platforms. They are imposing their “business model”: shorter vehicle lifecycles, low annual volumes per vehicle — which require very limited investment per vehicle. Consequently, they will impose short development times, averaging 20 months. Currently, Chinese vehicle prices in Europe are roughly double those in China. However, they remain, on average, half the price of their European equivalents. This context forces European automakers to profoundly reassess and significantly restructure their cost base. They currently purchase on average 70% of their revenue. Competitive pressure could push them to buy more outside Europe, especially in Asia. Today, the European content in vehicles is around 90%. For electric vehicles, it is about 60%. Imported vehicles are taxed by the European Commission at rates between 18% and 45%. Imported automotive components are taxed at 3%. It is clear that protecting automotive suppliers is essential to protect the European automotive industry. The automotive industry vitally needs domestic suppliers. The European Union should impose a minimum European content requirement per vehicle. This content should not be less than 70%. This measure already exists in China and the United States. This European “local content” rule would apply to all manufacturers producing in Europe. This measure would particularly benefit tier 2 and tier 3 suppliers. Tier 1 suppliers, already present in China, have proven their competitiveness. This “local content” rule also protects the exports of EU-based OEMs to other countries, especially the United States, which imposes restrictions on the use of Chinese components and software. However, this solution is not unanimously supported in Europe, especially in Germany. Germany’s economic success was — and still is — largely based on free trade. Currently, German automakers are advocating for innovation and competitiveness rather than “local content”. But our technological lag and cost differences cannot be sufficiently closed in the short and medium term. We must act now!

Can the EU use its market strength to build a net-zero industry Made-in-Europe? This is precisely what Tristan Beucler and I explore in a new report titled ‘Lead markets: driving net-zero industries made in Europe’ by Strategic Perspectives in collaboration with Carbone 4. Europeans may not be able to beat Chinese products on price, but they can certainly compete on sustainability and circularity. This is the core idea behind "lead markets": if you change the market rules, not using price as the sole criterion, but incorporating carbon footprint or recycled content, then you have a chance to compete. A battery made in Europe might be 32% more expensive than one made in China, but it is also 37% less carbon-intensive. A well-designed carbon footprint standard applied to electric cars sold in the European market could thus favor European battery manufacturers. Sustainability criteria can be turned into a competitive edge compared to Chinese manufacturers. However, let's be honest: some parts of the world are moving fast. In some cases, lead market sustainability standards won't be enough to secure European industries. A clear European preference needs to be applied to each euro of public money spent, whether it's for public procurement, bonuses for EVs, or renewable energy auctions. Let's not be shy; the US and China are doing the same. If we combine sustainability criteria with a European preference, the EU can have a powerful industrial tool to support its industry. ▶️ Ensure that 81% of new car sales are made in Europe and equipped with a European battery by 2035, and create 449,000 new jobs in the automotive and battery sectors in the EU.  ▶️ Protect 80% of the wind market for EU manufacturers, generating 50,000 additional jobs by 2035. ▶️ Secure up to 98% of the green steel lead market for EU producers and create 16,000 jobs in 2035. Please read our report on how to implement those new rules quickly to support EU frontrunners effectively. https://lnkd.in/eSR4w-Rn

The Chinese are killing our margins – we cannot compete! - GCC Dealers I hear this the whole time, yes, the Chinese are offering amazing feature and fantastic prices, but most people still purchase emotionally – they either love the car, love the price, or love both! The biggest discount driver is in-house, it is never competition. So, do you have the right controls and measures in place to hold or even improve your margins? 1.    Across your multiple branches, is the price consistent, the P/X valuation consistent – your own branches cannot compete against each other using your margin for the same customer? Set controls and delete the under the table inducements of free tinting etc. 2.    Train your teams to “defend your price” – talk about the product, the features, what is on the car, not what is off the price, talk about the back up and assurance of buying from yourselves. 3.    Reduce the levels of discount available through management escalation - $100 is not even noticeable to a customer but improve all your margins by the same and its significant, progressively start to reduce these “escalation” discounts, which are simply given away to keep the customer happy. 4.    Discount the waiting time not the price – I am sorry I cannot do anything further on the price, but I may be able to reduce the usual waiting time for such a vehicle. 5.    Think about a one price strategy – this is the price that you pay – make it part of a transparent pricing strategy that shows. a.    The base vehicle price b.   On the road costs c.    Any additional charges from the factory d.   Cost of delivery from the factory At this point the price remains the same, you have simply broken out the costs transparently “in line with the manufacturers wishes” but over time you can introduce additional costs for 1.    Increased delivery charges (global shipping cost increases) 2.    Cost of PDI (currently a cost of sale, but actually a service to the customer) 3.    A charge for metallic paint – yes this is more than deliverable! 4.    A charge for the on the road pack – fire extinguisher, warning triangle, first aid kit etc. In my experience customers prefer this level of breakdown to the vehicle costs, as it gives clarity to what they are paying for. Establish which are your highest margin vehicle entities, order more from your OEM, and maximise your profitable vehicle mix Margin improvement is not a short-term tactic, its a management strategy – a fitting example, Ramadan, prices drop, and gifts abound – but why? There are more customers in market, and they know what they want. In one role – we took prices up in Ramadan, and still sold what we needed to Great margins are required to sustain a business, but you need a strategy, to believe you can do it, and to be prepared for a bumpy transition.

With almost every dealership I work with (Powersports, Marine, RV) the service department is almost always treated as an afterthought. I can count on one hand (not using all my fingers and ignoring my thumb) the number of Powersports dealers I believe have a world class service operation. The recently Car Dealership Guy newsletter had some great points on service. In summary: At the core of every successful dealership is its fixed operations department—a profit engine responsible for about 50% of the dealership's gross profit. But the true drivers of this engine are the auto technicians, and here’s the challenge: skilled techs are increasingly hard to find and even harder to keep. According to WrenchWay’s Voice of the Automotive Technician Survey, dissatisfaction among techs is on the rise. To counter this, top dealerships are innovating, offering not just competitive pay structures like flat rate with performance bonuses, but also guaranteed minimums and hourly pay for entry-level techs. It’s about showing technicians their worth from day one and creating a compensation model that values productivity and loyalty. Beyond pay, career development is a game-changer. Only 29% of techs report having a clear career path—a steep decline from last year. Forward-thinking dealerships address this gap with detailed action plans, mentorship, and training programs tailored to each tech’s skill level. Whether it’s structured 90-day development cycles or six-month certification tracks, these initiatives are giving techs clarity, purpose, and a tangible way to grow their careers. For entry-level techs, added support like hourly pay during their first year makes it easier to transition into full productivity while retaining talent that might otherwise leave. Finally, innovation is reshaping how dealerships support their techs. From four-day work weeks reducing turnover to robotic parts runners saving valuable time, these operational enhancements make technicians’ lives easier while boosting shop efficiency. The results? Faster repair times, happier employees, and better customer experiences. It’s clear: the dealerships treating technicians as their most valuable assets are turning their service departments into unbeatable profit centers—and setting the gold standard for the industry. If you had to rate your service department on a scale of 1-10 (the entire operation, not just the facility) where does it fit in? In case you need some starters: - 1 Dirt Floor - No AC - Owner doesn't know the names of half the techs. Everyone actively avoids entering this area. - 10 Customers rave about how well they were treated and proactively post reviews online without being pestered. Sales team uses the service department as a closing tool. Be honest! If you'd like to sign up to receive CDG content, here's the link. https://lnkd.in/eyZzTtnV #CarDealershipGuy #Powersports #Marine #RV

𝗬𝗼𝘂𝗿 𝗗𝗲𝗮𝗹𝗲𝗿𝘀𝗵𝗶𝗽 𝗜𝘀𝗻’𝘁 𝗟𝗼𝘀𝗶𝗻𝗴 𝗣𝗿𝗼𝗳𝗶𝘁 𝗶𝗻 𝗕𝗶𝗴 𝗖𝗿𝗶𝘀𝗲𝘀... 𝗜𝘁’𝘀 𝗹𝗲𝗮𝗸𝗶𝗻𝗴 𝗽𝗿𝗼𝗳𝗶𝘁 𝗲𝘃𝗲𝗿𝘆 𝘀𝗶𝗻𝗴𝗹𝗲 𝗱𝗮𝘆, 𝘀𝗶𝗹𝗲𝗻𝘁𝗹𝘆. After working with 200+ dealerships, here’s the truth I’ve learned: 𝗣𝗿𝗼𝗳𝗶𝘁 𝗱𝗼𝗲𝘀𝗻’𝘁 𝗱𝗶𝘀𝗮𝗽𝗽𝗲𝗮𝗿 𝗼𝘃𝗲𝗿𝗻𝗶𝗴𝗵𝘁. 𝗜𝘁 𝗱𝗶𝗲𝘀 𝘀𝗹𝗼𝘄𝗹𝘆 𝘁𝗵𝗿𝗼𝘂𝗴𝗵 𝗱𝗮𝗶𝗹𝘆 𝗼𝗽𝗲𝗿𝗮𝘁𝗶𝗼𝗻𝗮𝗹 𝗹𝗲𝗮𝗸𝘀. Your carousel captured this beautifully, let's talk about those 5 leaks: ❌ 𝟭. 𝗣𝗼𝗼𝗿 𝗖𝘂𝘀𝘁𝗼𝗺𝗲𝗿 𝗙𝗼𝗹𝗹𝗼𝘄-𝗨𝗽 𝗗𝗶𝘀𝗰𝗶𝗽𝗹𝗶𝗻𝗲 Leads are coming… Updates are not. Customers shift to competitors quietly. Fix: A simple Day 1–3–7 follow-up rhythm can recover lost revenue. ❌ 𝟮. 𝗜𝗻𝗲𝗳𝗳𝗶𝗰𝗶𝗲𝗻𝘁 𝗪𝗼𝗿𝗸𝘀𝗵𝗼𝗽 𝗣𝗿𝗼𝗰𝗲𝘀𝘀𝗲𝘀 Low TAT. Idle bays. WIP pile-up. Every 10 minutes lost equals a margin lost. Fix: Morning load planning + bay allocation before 9:30 AM. ❌ 𝟯. 𝗣𝗮𝗿𝘁𝘀 & 𝗜𝗻𝘃𝗲𝗻𝘁𝗼𝗿𝘆 𝗠𝗶𝘀𝗺𝗮𝗻𝗮𝗴𝗲𝗺𝗲𝗻𝘁 Non-moving stock = dead cash. Wrong ordering = cash stuck on shelves. Fix: Weekly ABC review + clear-out targets. ❌ 𝟰. 𝗟𝗼𝘄 𝗧𝗲𝗮𝗺 𝗖𝗮𝗽𝗮𝗯𝗶𝗹𝗶𝘁𝘆 & 𝗛𝗶𝗴𝗵 𝗔𝘁𝘁𝗿𝗶𝘁𝗶𝗼𝗻 Every time a trained advisor leaves, Your performance resets to zero. Fix: Coaching + growth path + structured onboarding. ❌ 𝟱. 𝗟𝗲𝗮𝗱𝗲𝗿𝘀 𝗙𝗶𝗿𝗲𝗳𝗶𝗴𝗵𝘁𝗶𝗻𝗴 𝗜𝗻𝘀𝘁𝗲𝗮𝗱 𝗼𝗳 𝗕𝘂𝗶𝗹𝗱𝗶𝗻𝗴 𝗦𝘆𝘀𝘁𝗲𝗺𝘀 Daily chaos consumes leaders… while root problems remain untouched. Fix: Weekly root-cause review → fix system, not symptoms. 𝗧𝗵𝗲 𝗙𝗶𝗻𝗮𝗹 𝗣𝗮𝗴𝗲 𝗦𝗮𝘆𝘀 𝗜𝘁 𝗕𝗲𝘀𝘁: 𝗣𝗿𝗼𝗳𝗶𝘁 𝗱𝗼𝗲𝘀𝗻’𝘁 𝘃𝗮𝗻𝗶𝘀𝗵. 𝗜𝘁 𝗹𝗲𝗮𝗸𝘀 𝘁𝗵𝗿𝗼𝘂𝗴𝗵 𝘄𝗲𝗮𝗸 𝘀𝘆𝘀𝘁𝗲𝗺𝘀, 𝘄𝗲𝗮𝗸 𝗽𝗲𝗼𝗽𝗹𝗲 𝗰𝗮𝗽𝗮𝗯𝗶𝗹𝗶𝘁𝘆, 𝗮𝗻𝗱 𝘄𝗲𝗮𝗸 𝗱𝗶𝘀𝗰𝗶𝗽𝗹𝗶𝗻𝗲. This is exactly why I built Drive to Lead™ — to help dealerships build strong systems, strong teams, and strong leadership. 👉 Want to fix these leaks inside your dealership? DM “𝗣𝗥𝗢𝗙𝗜𝗧” and I’ll show you how to rebuild margins with clarity and control. #autopreneurschool #drive2lead #dealershipprofitability #automobileindustry 

Looking at used car market data, something keeps jumping out at me: the stores that consistently outperform have something in common, and it's not just inventory algorithms. The real edge goes to dealerships that have a culture rooted in process standardization, but still give their people freedom to adapt for their clients and their market. When I helped transform our pre-owned department, that combination of strong central strategy and on-the-ground execution turned talk into measurable results. Three areas have proven to make the difference, time and again: Clear acquisition profiles—focused on what works across all markets. That lets you maintain steady turns, without just reacting to what's trending in your city. Reconditioning process that raises the bar for quality at every level. Speed is great, but predictable, honest consistency creates trust—internally and with our buyers. Pay plans built on what teams can actually control. As margins are tightened by the market, we have to rethink compensation to make sure we’re encouraging real performance, not just chasing lost gross. I’ve noticed groups that do this best aren’t locked in a tug-of-war between central control and local freedom. Instead, they find ways to lock in the non-negotiables while keeping enough slack in the rope for genuine innovation. Where have you seen success managing that balance between company-wide standards and the unique needs of your market? #UsedCarRetail #DealershipOperations #RetailAutomotive #usedcars #automotive #insights

Revving Up Auto Retail Productivity in 2025   Despite major investments in AI, digital platforms, and CRM tools, #autoretailers continue to face stagnant productivity, rising SG&A costs, and shifting customer expectations. A new integrated, tech-driven approach is needed to unlock real value.   McKinsey & Company’s latest report outlines a playbook for driving sales excellence:   ✅ AI-Powered Lead Management: 56% of new leads arrive after hours, yet only 37% of dealerships respond within an hour. AI can engage leads instantly, increasing conversion rates.   ✅ Seamless Omnichannel Sales: With 29% of consumers preferring digital purchases and another 23% favoring a hybrid model, integrating online and in-store sales is essential.   ✅ Data-Driven Inventory Optimization: Real-time insights help dealerships reduce days on lot by 20-50% and improve margins by 1-2%.   ✅ Proactive Customer Engagement & Loyalty: Smarter CRM strategies can cut rising acquisition costs and improve retention through personalized offers.   ✅ Scaling & Performance Tracking: Establishing key sales metrics, piloting new approaches, and scaling proven strategies can drive a 25%+ increase in sales per employee.   🚀 The Opportunity: With the auto market poised for growth in 2025, dealerships that embrace a holistic approach to digital transformation will lead the way in profitability and performance.   How is your dealership leveraging AI, automation, and data to stay ahead? Let’s discuss in the comments!   Ben Holmes Earl Carroll Ian Plummer Steve Whitford Marc Palmer Ricardo Conesa Martinez Michael Assi ASE Global #AutoRetail #DealershipInnovation #AIinSales #McKinseyInsights #CustomerExperience #DigitalTransformation #Profitabilit

What if I told you your dealership’s biggest profit leak isn’t in your sales process – it’s hiding in your untouched data? Most dealerships think they know their customers, but data says otherwise. The goldmine isn’t in more leads – it’s in better intelligence. Here are 3 strategies that could transform your 2025 results: 1. Predict Trade-In Timing 🚗 🔹 Analyze service history + vehicle age/mileage. 🔹 Identify customers likely to trade within 90 days. → One dealership boosted trade-in capture by 18% using this exact method. 2. Mine Your Service-to-Sales Pipeline 🔧 🔹 Cross-reference declined repairs with financial profiles. 🔹 $2000+ in declined repairs on 5+ year-old cars? → Those are prime sales leads waiting for the right offer. 3. Precision Inventory Matching 📊 🔹 Combine DMS data with in-market signals. 🔹 Predict what buyers actually want, not what you think they want. → Dealers reduced aged inventory by 27% and grew front-end gross by aligning stock with real-time demand. Ready to unlock the hidden potential in your data? Let’s connect – I’d love to show you how. #QoreAI #DealershipProfit #AutomotiveInnovation #DataDrivenSales #AutomotiveRetail

📌 First Post of 2026 - A Reminder to Every Dealership: Aftersales Is Your Backbone New year, new targets, new models, new strategies - but let’s not forget one thing as 2026 begins: Sales creates the customer. Aftersales keeps the customer. In automotive, we celebrate deliveries - photos with ribbons, handover videos, the big moment. Beautiful energy… but it’s only the beginning of a 5-year relationship. A customer buys one time, but visits your service facility 10+ times through ownership. 📍 10,000 km / 6-month intervals 📍 ~100,000 km usage average 📍 At least 10 touchpoints - minimum That’s 10 opportunities to build loyalty, or 10 chances to lose it. And one satisfied aftersales customer? They don’t just return - they bring others with them. One great experience → one story shared → new leads walk through the door. No marketing beats sincere word-of-mouth from trust earned. Retention > conquest Loyalty > one-time sale Relationship > discount Too often, aftersales gets labeled as: ❌ A cash cow ❌ A mandatory stop for maintenance ❌ A “back-end” function behind sales But in reality: Aftersales is the backbone of dealership sustainability. The diesel engine that keeps the business running long-term. And none of it works without PEOPLE. Your service advisors, receptionists, technicians, workshop managers - they represent your brand more frequently than your sales team ever will. Customers today are informed, vocal, connected. They know pricing, compare services, and share experiences instantly. So in this new year - a note to dealerships: 👉 Invest in aftersales, not only marketing 👉 Support and train your service teams 👉 Build retention, not just acquisition 👉 Serve with transparency - no hidden surprises 👉 Treat customers like relationships, not revenue lines Because how you treat them after the sale decides if they ever return to buy again. Let 2026 be the year dealerships remember: Aftersales isn’t just profit. It’s loyalty. It’s reputation. It’s long-term survival. #FirstPostOfTheYear #Aftersales #AutomotiveService #CustomerRetention #DealershipReminder #Sustainability #AutomotiveBusiness #ServiceExcellence #RetentionStrategy #CustomerExperience #BrandLoyalty #AutomotiveIndustry #AfterSalesService #FutureOfDealerships #CX #Transparency #ServiceTeam #DealershipGrowth

The shift to electric vehicles (EVs) is definitely shaking up the traditional automotive aftersales business, especially since EVs have fewer moving parts and require less routine maintenance compared to internal combustion engine (ICE) vehicles. But there’s still plenty of opportunity if you're ready to adapt. Here's a strategy framework to help evolve your aftersales business post-EV flood: 1. Redefine the Service Offering EVs don't need oil changes or timing belts, but they do need: - Battery health checks and replacements - Software updates & diagnostics - Tire and brake service - Cooling system maintenance - Suspension and alignment Consider offering EV-specific service packages to address these. 2. Invest in Technician Training Most current technicians aren't trained to service EVs safely or effectively. Upskill them in: - High-voltage systems safety - Battery diagnostics & replacement - EV-specific drivetrains and electronics - OEM-specific software tools Partner with OEMs, technical schools, or certification programs. 3. Upgrade Equipment and Tools Modern EVs often need specialized tools: - Insulated equipment for high-voltage safety - Battery lifts and testing gear - Advanced diagnostic software - EV charging stations 4. Go Digital-First EV customers are generally more tech-savvy. Optimize your digital touchpoints: - App-based appointment scheduling - Real-time service tracking - Mobile alerts for battery health or service needs - OTA (over-the-air) update assistance Bonus: - Use predictive maintenance reminders powered by AI or telematics. 5. Offer Battery Lifecycle Services Batteries are the biggest cost in EVs. Services you can monetize: - Battery state-of-health diagnostics - Warranty extension packages - Refurbishment & replacement programs - Recycling and end-of-life logistics 6. Fleet & Commercial EV Support Commercial EV fleets need fast, reliable, large-scale service: - Create dedicated B2B service lines for fleet operators - Offer mobile service or service-on-demand - Fleet battery health monitoring and analytics 7. Tap Into EV Accessories Market People still want to customize their cars. Popular accessories: - Charging cable management - EV floor mats and frunks - Aero wheels, spoilers - Vehicle wraps or coatings 8. Build Green Cred Post-EV Aftersales Strategy Framework EV drivers are often eco-conscious: - Offer carbon-offset service packages - Use recycled parts and fluids - Electrify your own service fleet - Make your shop "green-certified" to stand out.