Shoot us a Text.

As we wind down another week, we’re talking about how NADA and Mike Stanton are winding up their opposition of Scout Motors direct-to-consumer plans. Plus, we’re looking at a report that says that EV charging isn’t such a cost-effective alternative to gas, and how Shake Shack is introducing its first ever value meal.

Show Notes with links:

• The National Automobile Dealers Association (NADA) has escalated its opposition to Scout Motors’ direct-to-consumer sales model, sending a strongly worded letter to Volkswagen Group CEO Oliver Blume and other top executives.
  • In the letter, NADA CEO Mike Stanton argued that the franchise model would give Scout Motors immediate marketplace traction through a network of experienced dealers.
  • The direct sales plan, which establishes Scout-branded experience centers, is set to launch in 2027 with the Traveler SUV and Terra pickup.
  • The letter also highlighted the potential fallout of Scout’s strategy, including prolonged legal battles across multiple states and a strained relationship with VW, Audi, and Porsche dealers.
  • Stanton expressed disappointment over a lack of response to a previous letter sent in July 2023, noting that this latest message seeks a direct meeting with VW leadership.
  • “The decision to directly distribute Scout in the United States and compete with your dedicated dealer body is misguided, violates well-established state franchise laws, and is one that I strongly encourage you to revisit.” — NADA CEO Mike Stanton

• EV adoption has been touted as a cost-effective alternative to gasoline, but rising electricity costs in several states are challenging that narrative. While EVs remain cheaper to operate in some regions, escalating residential and public charging rates are narrowing the gap.
  • Charging an EV at home in Massachusetts is 116% the cost of fueling an efficient gas car, while New York and California cost 92% and 90% respectively.
  • Washington and Florida remain the most economical for EV driving, with electricity costs at 38% and 54% of gasoline costs.
  • Public fast charging costs have surpassed gasoline in some areas, diminishing the financial incentive to switch to EVs.
  • Homeowners with access to off-peak EV-specific electricity rates or home solar and battery storage can still find savings, but this requires an upfront investment.
• Shake Shack, known as the most expensive fast-food chain in America last year, has launched its first-ever budget-friendly combo meal to appeal to price-conscious consumers.
  • The $9.99 combo includes a Chicken Shack sandwich, crinkle-cut fries, and a small soda. Buying the items separately would cost around $8 more.
  • The deal is part of a broader trend in the fast-food industry, with competitors like McDonald

Join Paul J Daly and Kyle Mountsier every morning for the Automotive State of the Union podcast as they connect the dots across car dealerships, retail trends, emerging tech like AI, and cultural shifts—bringing clarity, speed, and people-first insight to automotive leaders navigating a rapidly changing industry.

Get the Daily Push Back email at https://www.asotu.com/

JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/