State dealer associations defend dealers' rights daily by monitoring industry trends, anticipating challenges, and initiating protective measures before dealers even realize they're needed. Ted Smith, President of Florida Automobile Dealers Association, explains how trade associations provide crucial support to dealers who are too busy running their businesses to track regulatory changes and manufacturer maneuvers.

• State associations monitor industry trends and anticipate challenges so dealers can focus on running their businesses
• Florida led the fight against manufacturers bypassing the franchise system with direct-to-consumer sales models
• FADA raised $4 million to win a landmark 2008 case ensuring proper warranty reimbursement for dealers
• Current battles include fighting for OEM parts usage and against EPA regulations that could disrupt dealer allocations
• The Alliance of Automobile Manufacturers' letter to the DOJ calling franchise laws "anti-competitive" raises serious concerns
• Smith challenges manufacturers to clarify if they truly support the franchise system or are planning to bypass dealers

Support your state dealer association and NADA through membership and PAC contributions to ensure they can continue fighting for dealers' rights at both state and federal levels.

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Chevrolet National Dealer Council Chairman Andy Gelcher discusses how dealerships are navigating today's challenging automotive landscape while maintaining strong performance. Despite uncertainty around EV tax credits and shifting consumer preferences, Mohawk Chevrolet has increased new car sales by nearly 40% and used car sales by nearly 30% compared to last year.

• EV sales increasing 25% at Mohawk Chevrolet, partly driven by customers rushing to use the $7,500 federal tax credit before it expires
• Strategic focus on more affordable EVs under $40,000 to maintain momentum after tax credits end
• Used car sourcing succeeding through service drive exchanges (20-30 vehicles monthly) and digital tools like Kelley Blue Book's Instant Cash Offer
• GM's Car Bravo program providing competitive advantage by allowing dealers to offer special financing on non-GM certified pre-owned vehicles
• Mobile service growing but still developing, with capacity for significant expansion beyond current 6-7 appointments weekly
• Tariff concerns and "buy American" sentiment having less impact than initially expected as manufacturers absorb most costs
• Customer experience remaining the central focus across all dealership touchpoints

Our success comes from focusing on exceptional customer experiences at every interaction point – whether in our showroom, service drive, or delivering vehicles to homes states away.

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Jim Keffer, CEO of Keffer Auto Group, shares how his organization continues expanding through acquisitions while navigating industry challenges by focusing on equity partnerships with talented operators.

• New acquisition of a Chevrolet dealership in Minnesota demonstrates their growth strategy despite retail headwinds
• Keffer's unique business model offers equity partnerships to strong operators rather than focusing primarily on location or brand
• Philosophy originated with Jim's father who received a similar opportunity in 1974 from Charles Johnson
• Decentralized management approach gives owner-operators autonomy to make decisions for their specific markets
• Acquisition targets focus on stores with upside potential rather than already-optimized dealerships commanding premium multiples
• Strong used car operators make ideal partners as they can quickly improve profitability while building other departments
• EV tax credit rollback presents challenges but represents a small portion of total business currently
• Upcoming tariffs likely to further impact vehicle affordability with manufacturers unable to fully absorb the 15% increases
• Industry may need to develop more used vehicle leasing programs to address affordability concerns
• Competitive mindset summarized by Keffer's bear metaphor: "You don't have to run faster than the bear, just faster than your friend"

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Pete MacInnis, CEO of eLEND Solutions, reveals shocking data about payment accuracy in auto retail and the significant financial impact on dealerships when quotes don't match approvals.

• Only 1.6% of all credit applications are approved exactly as submitted by dealers
• Average payment on approvals is $32 higher than quoted on new cars, $36 higher on used vehicles
• 76% of survey respondents agreed with the payment discrepancy findings
• 55% of dealers report losing up to 5% of vehicle sales due to payment disconnects
• 86% of respondents stated front-end gross profit was reduced 5-20% to resolve payment friction
• 53% reported finance gross profit reductions of 1-10%, with another 34% seeing 11-20% reductions
• Current siloed approach creates poor customer experience when terms change after negotiations
• Solution requires bringing true lender finance approval terms to the front of the sales process
• eLEND Solutions offers connected retailing products to address these issues

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Jack Hollis joins Accrual Equity Partners as managing partner after 33 years at Toyota, partnering with founders Brady Schmidt and Jacob Tilzer to create a multi-faceted automotive investment firm. Their company spans dealerships, collision centers, aftermarket repair, and M&A services with a unique approach focused on creating value through service and relationships.

• Jack chose entrepreneurship over corporate offers to continue serving dealers and customers
• Accrual Equity Partners operates across multiple automotive sectors including dealership ownership
• The company is self-funded, allowing more flexibility than traditional private equity
• Fixed operations remains the backbone of dealership profitability and is "recession proof"
• Dealership consolidation continues with mid-sized groups needing to grow to remain competitive
• Technology investments, especially AI, will transform dealership operations in coming years
• The M&A process typically takes about a year from listing to closing
• Accrual's philosophy centers on creating "win-win-win" outcomes for sellers, buyers, and communities
• Jack's industry relationships from his Toyota career provide valuable connections
• Continuous improvement (Kaizen) and servant leadership are core values for future success

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Kelly Loeffler, SBA Administrator and former US Senator from Georgia, shares insights on how the administration is supporting America's 34 million small businesses and creating an environment for economic growth and innovation.

• SBA supports small businesses through access to capital, business counseling, government contracting opportunities, and disaster relief
• The agency provides loans up to $500,000 for homeowners affected by disasters like the recent Texas floods
• Recent tax legislation makes permanent the 20% pass-through deduction and 100% expensing of capital purchases
• Working families will take home approximately $10,000 more annually thanks to the elimination of taxes on tips and overtime
• New SBA onshoring portal at sba.gov lists over one million domestic suppliers to help businesses source American-made products
• Current priorities include deregulation and pushing for lower interest rates to further support small business growth
• SBA's 504 loan program funds over 100 factory loans weekly, supporting American manufacturing resurgence

Visit sba.gov to explore resources including our onshoring portal, loan programs, and business counseling services to help start or grow your small business.

Inside Automotive with Jim Fitzpatrick is powered by CBT News, your go-to source for the latest news, trends, and insights in retail automotive. Subscribe for more interviews with top industry leaders, dealership innovators, and experts shaping the future of automotive.

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Doug Eroh, president and GM of Longo Toyota, reveals how the world's largest Toyota dealership is navigating industry challenges while maintaining strong sales growth. He breaks down the impact of EV tax credit changes, shifting consumer preferences toward hybrids, and the effects of tariffs on automotive retail in this detailed conversation about the state of auto sales.

• New car sales up 10% year-over-year with used sales remaining flat
• EV mandate rollback in California and 12 other states viewed as positive for consumer choice
• 58% of Longo Toyota's 700 monthly vehicle sales are now hybrids
• Affordability remains the industry's biggest challenge with average new vehicle prices nearing $49,000
• Tariffs initially created a sales "frenzy" that pulled deals forward before normalizing
• Manufacturers largely absorbing tariff costs so far with minimal price increases to consumers
• Focus on leasing as a solution to affordability concerns
• High repair costs driven by advanced safety systems and technology
• Maintaining success through "controlling the controllables" and exceptional guest experience

Visit us at Longo Toyota, where we've been the world's largest Toyota dealership for 58 consecutive years.

Inside Automotive with Jim Fitzpatrick is powered by CBT News, your go-to source for the latest news, trends, and insights in retail automotive. Subscribe for more interviews with top industry leaders, dealership innovators, and experts shaping the future of automotive.

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Kevin Tynan, Director of Research at the Presidio Group, discusses the auto industry's shift from chasing market share to maintaining pricing power and margin integrity. This new discipline among manufacturers creates a healthier market environment with controlled production levels and stronger profitability despite lower sales volumes.

• June sales volume was not impressive but pricing power and margin integrity remain strong
• Industry has moved away from chasing market share and overproducing inventory
• Production discipline learned during pandemic shortages is creating a more stable market
• EV sales may surge temporarily as $7,500 federal tax credits face potential elimination
• This surge should not be misinterpreted as genuine demand but rather consumers chasing deals
• The true organic EV market will finally become visible in late 2025/early 2026 without subsidies
• North America rushed to match China's EV pace despite not controlling the mineral supply chain
• American manufacturers excel at producing profitable trucks and SUVs for the domestic market
• Dealerships represent an "undiscovered opportunity" with four diverse revenue streams
• Auto parts retailers provide strong investment returns through their counter-cyclical business model
• Vehicle affordability challenges will persist as domestic brands maintain higher price positioning

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The auto industry secures a significant win with the signing of resolutions to block California's EV mandate, representing a victory for dealers, manufacturers, and consumers by restoring choice in the marketplace.

• NADA CEO Mike Stanton describes the policy shift as "a win for industry, consumers, our country, and common sense"
• The blocking of California's mandate allows for a more diverse approach to reducing emissions beyond just EVs
• Trade associations including NADA and state ATAEs played crucial roles in advocating for this policy change
• Dealers with substantial EV investments will still benefit long-term as electric vehicles remain an important market segment
• The $7,500 EV tax credit is likely to be phased out gradually rather than ending abruptly
• Ford is working to repair relationships with dealers after aggressive EV program requirements
• Despite some business cooling in recent months, dealers report sales still outperforming pre-pandemic levels
• The upcoming NADA Show in Las Vegas is expected to have strong attendance with exhibit space already filling up

We encourage dealers to maintain a positive attitude through industry changes, knowing your trade associations are advocating for your interests in Washington on everything from EV mandates to potential tariffs.

Inside Automotive with Jim Fitzpatrick is powered by CBT News, your go-to source for the latest news, trends, and insights in retail automotive. Subscribe for more interviews with top industry leaders, dealership innovators, and experts shaping the future of automotive.

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April Simmons, Corporate Internet and Marketing Director at Horn Auto Group, reveals how dealerships are missing opportunities by failing to properly handle internet leads and phone calls. We explore why many dealerships have lost the fundamental communication skills needed to convert digital leads into sales.

• Most dealerships have recognized they drifted from sales fundamentals in showroom interactions during COVID but haven't applied the same realization to digital communications
• The industry benchmark for internet lead closing ratio is 15%, but most dealerships hover at 8-10%, with many falling to 5-6%
• Templated responses fail to address what customers are actually asking for and miss opportunities to build relationships
• April identifies nine different types of leads (chat, specific vehicle, third-party, OEM, etc.), each requiring a distinct response strategy
• Customers self-qualify through the CTAs they click on websites, revealing their "hot buttons" in the process
• The "Listen, Align, Persuade" approach applies to all sales channels, including digital communications
• AI and automation should serve as assistants to salespeople, not replacements for human connection
• April deleted all templates from her CRM to force personalized responses, resulting in increased closing rates

If you'd like to learn more about improving your internet sales process, reach out to April Simmons on LinkedIn where she's happy to share her training materials and playbook.

Inside Automotive with Jim Fitzpatrick is powered by CBT News, your go-to source for the latest news, trends, and insights in retail automotive. Subscribe for more interviews with top industry leaders, dealership innovators, and experts shaping the future of automotive.

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