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online car shoppers doing online search

Why Fast, Thoughtful Follow-Up Wins More Sales (and How to Find the Right Leads)

Subaru’s rise to the top in online lead follow-up is more than just a brand win. It is a clear sign of what works. Fast, personal outreach can be the difference between earning a customer and losing them to the dealer down the street. And the reason is simple: most shoppers begin their vehicle search online. They compare reviews, explore options, and narrow their choices before they ever step foot in your showroom. That is why identifying high-intent online car shoppers early puts you in a stronger position to earn their business. Subaru’s performance makes the case. Their dealers connect with online shoppers through email, phone, and text 71 percent of the time, well above the 49 percent industry average. That kind of responsiveness gets noticed. Dealerships that shift from delayed or minimal follow-up to consistent, thoughtful outreach can see up to 50 percent more sales from the same pool of leads. That’s a significant lift, with no additional traffic required. But here is something to consider, you cannot follow up with people you cannot see. Knowing who is actively shopping and what they are looking for is the first step toward turning online interest into real conversations and real sales. Turning Online Car Shoppers into Real Opportunities Every online car shoppers leaves a trail. What are they browsing? When did they enter the market? Which features are they focused on? The challenge is turning that activity into something useful. It is not about collecting names. It is about identifying who is truly in-market and understanding what drives their decisions. That is where a tool like the Active Shopper Network comes in. It helps you stop guessing and focus on the people who are most likely to buy, including those who may have never contacted your store directly. What You Can See with the Active Shopper Network: Identify active online car shoppers as soon as they enter the market. See who is researching vehicles and what they are considering, often within 24 hours of their activity beginning. Gauge shopper intent and engagement level. See how actively they are browsing, which helps your team understand how close they are to a decision. Utilizing that insight to tailor your outreach, whether it is a helpful follow-up with more info, a personalized offer, or an invite to visit the showroom. Get access to more than basic contact info. View names, emails, phone numbers, current vehicle ownership, and even details on where they are getting their vehicle serviced. Bring back service customers. Know when your existing customers are going elsewhere for service so you can reconnect with timely and relevant offers. This is not about sending more messages but showing up at the right time with something that resonates. Why This Matters for Your Team When your team knows who they are talking to and what that person cares about, conversations feel more natural and productive. There is no need to open with a general sales pitch. If someone has been researching hybrid SUVs, your team can skip straight to what matters most. For current customers, this kind of insight creates a chance to rebuild the relationship before it fades. If someone has started servicing their vehicle at another shop, a well-timed message can bring them back. With fewer dead ends and better context, your team can spend more time having the right conversations and less time chasing leads that go nowhere. What This Means for Your Store Subaru’s success shows what is possible when dealers respond quickly and personally. But identifying the right people to reach is what truly unlocks better performance. Furthermore, the Active Shopper Network gives your store a clear advantage. It allows your team to focus their energy on real buyers, personalize their outreach, and move faster with better information. It also helps you make smarter use of your marketing dollars. Many brands approve these efforts for co-op, which means you can stretch your budget further and attract high-intent shoppers without increasing your ad spend. More foot traffic, higher ROI, better closing ratios, and fewer wasted opportunities. Often, the difference between a missed lead and a closed deal is not about effort. It is about timing, relevance, and knowing who to reach. The right shoppers are already in your market, actively looking. With the Active Shopper Network, you can connect with them sooner, engage them smarter, and close with more confidence. Connect with us to see how it can work for your store.

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vehicle leasing dealership strategy

Not Just a Payment Option: Why Vehicle Leasing Is a Dealership Strategy

More and more customers are asking the same question: “How do I drive what I want without blowing up my budget?” Prices are up, and while loan rates have dipped slightly from last year’s peak, they are still much higher than what buyers were used to just a few years ago. It is getting harder to make the math work. And the pressure does not stop at the sale Today’s car buyers are facing it on every front: Auto loan rates are still high—even prime buyers are seeing 6.40% APR on new cars, while subprime buyers are facing over 13% as per Experian. Insurance premiums have jumped 44%, driven by higher vehicle prices. Routine maintenance and repairs now cost 13% – 16% more, due to labor shortages and pricier parts. Per F&I Showroom. Inflation continues to stretch household budgets not just during the buying process, but throughout ownership, making buyers more hesitant and more likely to delay purchase decisions. That is where leasing becomes a smart alternative Vehicle leasing dealership strategy does more than drive results for the store. It also solves real pain points for today’s buyers. Furthermore, leasing gives customers a way to drive newer models without the long-term debt, keeps monthly payments in check, and opens the door to F&I and inventory opportunities for your store. For customers trying to avoid long-term risk, leasing offers a practical way to sidestep many of these financial stressors. Lease payments are typically lower than traditional financing, which keeps monthly expenses in check. The shorter term means buyers are not locked into a 6–7-year loan with a high interest rate on a depreciating asset. On top of that, leased vehicles are newer and under warranty, so rising maintenance and repair costs do not hit as hard. In a time when buyers are looking for flexibility and predictability, leasing delivers both, making it easier to close deals. For dealerships looking to move inventory without racing to the bottom on price, leasing offers a meaningful solution. Bridging the Gap: Helping the Customers See the Value Not every customer comes in excited about leasing. Some still see it as giving up ownership, or worry it limits their options. That hesitation is real—but so is the opportunity. Most customers do not need a hard sell—just a clear explanation of how leasing fits their needs. Whether it is explaining how mileage caps really work, how they can roll into another lease early, or why they will not be stuck with a car that has lost value, the conversation matters. When your team takes the time to guide instead of just pitch, customers often discover that leasing offers more freedom. Real Example: How Today’s Market Conditions Affect Tomorrow Trades Let’s take a real-world example. Right now, GM trucks and SUVs equipped with the 6.2L V8 engine are under recall due to a defective engine that can lead to a loss of power or even complete engine failure. The recall affects the 2021 to 2024 model years and, in many cases, would require a full engine replacement. With over 720,000 units impacted, replacement parts are limited and repair timelines uncertain. So, what happens when your customer wants to trade it in? You guessed it—the value takes a hit. Suddenly, that proud truck owner is upside-down, frustrated, and stuck. Even worse? When a risk like this suddenly hits, underwriters have to adjust fast. That same unit is now seeing a $1,000 surcharge per VSC to ensure coverage is properly reserved. A clear sign of how serious exposure has become. Here is the kicker: if that customer had leased, it would not be their problem. No negative equity, no value hit and no stress. Leasing is peace of mind in real dollars. Why a Strong Vehicle Leasing Dealership Strategy Is a Game-Changer for Your Store With used car prices holding strong and quality trade-ins getting harder to come by, lease returns give your team a reliable source of well-maintained inventory. No guessing on history, no auction markups, no waiting on transport. You control the pipeline, which means better CPO opportunities and stronger front-end margins. It also brings rhythm to your pre-owned strategy. Every lease return is a predictable moment to engage a customer, evaluate reconditioning, and get ahead of inventory planning. Leasing brings structure, margin, and consistency to your operation, and it keeps the customer coming back. This is why, in today’s market, a smart vehicle leasing dealership strategy is about more than monthly payments—it drives retention and profitability. What Vehicle Leasing Dealership Strategy Means for Every Department Sales: Easier monthly payments = more opportunities to close. Leasing is often the most workable solution for everyone at the desk. F&I: Look at lease buyers for opportunities. They want protection too. Maintenance plans, appearance protection, wear-and-tear coverage, and safety products—like Express5, PermaPlate, and Brake Plus are still in the play, just with a different approach. F&I managers who adjust their pitch are seeing real returns. Service & Fixed-Ops: Leases come back to you. That means reconditioning opportunities, CPO candidates, and smoother inventory cycles. Bonus: Customers who lease are more likely to stay loyal to your service lane. Here’s Something to Think About – For dealerships, leasing is more than a financing tool, it is a strategy. One that can: – Shorten trade cycles – Feed your pre-owned inventory – Open new F&I opportunities – Keep your service bay full – Build long-term customer relationship – Want to future-proof your dealership? Start with how you present leasing. Highlighting the unknown benefits, keeping the conversation simple, and meeting customers where they are. Our PRO Team brings proven, profitable strategies to support your dealership teams and bottom line. Connect with us anytime. We will be sharing more ideas on what is working in F&I and how teams are positioning lease deals with clarity, helping dealerships become the clear choice for today’s value-focused buyer. Until then, keep watching what matters, and keep leaning into what works.

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Tariff and tax refund car sales

From Uncertainty to Confidence: Sales and F&I’s Role in Today’s Market

Buyer energy is high—and the numbers back it up. The used-car market picked up speed in March, with retail used-vehicle sales climbing over 9% from February, with 1.66 million units sold across franchised and independent lots. Certified pre-owned sales rose even faster, jumping 21% month over month and 6.4% year over year. The surge in tariff and tax refund car sales is driving this momentum—some buyers are making the most of their refunds, while others are acting early to avoid potential price hikes tied to tariffs or supply chain shifts. Whatever their reason, one thing is clear: people are ready to buy but they need the right support to feel confident doing it. This is where the expertise of the Sales and F&I teams could make a positive impact. Customers are not just seeking vehicles; they are looking for clarity, stability, and wise choices in a changing market. The opportunity lies in offering steady guidance, real solutions, and conversations rooted in their needs not pressure. Let us explore how to lead with value, address price sensitivity, and turn today’s urgency into long-term trust. 1. Price Sensitivity Is Real, So Is Value With vehicle and parts prices rising steadily, most buyers are laser-focused on keeping monthly payments manageable. But that does not mean they are unwilling to invest. It means they need to see how that investment benefits them. When coverage aligns with how they drive, what they value, and the risks they want to avoid, it starts to feel less like an add-on—and more like a smart move. What to do: Present products like GAP, VSC, and prepaid maintenance as proactive safeguards against real risks. When positioned as part of a well-rounded ownership strategy, they become essential tools, not just add-ons. Customers do not just want protection—they want predictability, peace of mind, and long-term savings. Focus on how these offerings address today’s real concerns: extended loan terms, higher repair bills, and complex tech in modern vehicles. Highlight how the value of coverage outweighs the cost of going without—especially when vehicles are financed over 72 months or more. The longer the loan, the greater the exposure to unexpected expenses. 2. Simplify the Message, Maximize the Moment: Navigating Tariff and Tax Refund Car Sales Today’s buyers are navigating a fast-moving market. Between shifting prices and new incentives, it is easy for them to feel overwhelmed. Your role is to cut through the noise by showing them what makes sense right now. The clearer your message, the more confident they will feel. What to do: Keep the conversation focused on what your dealership is offering now. Emphasize the support, protection, and flexibility available today. Focus less on what is driving pricing changes and more on how you can help them take advantage of current opportunities—like employee discounts, if available. Reinforce the value of timing—when customers understand what they can gain by acting now, the decision becomes easier. 3. Confidence Comes from Clarity Confidence is contagious. The more clearly your team presents options and educates buyers, the more empowered they feel. When customers understand their choices and how each fits their needs, they are far more likely to say yes to the right products—not just the cheapest option. From picking the right vehicle to choosing the right coverage, clarity and trust are key to helping buyers make confident decisions. What to do: Ensure you are helping customers be aware of their needs. If customers do not see the problem, they will likely view the solution as optional, no matter how well you present it. Use questions to guide them toward relevant options— How do you typically use your vehicle day to day? How long do they plan to keep the vehicle? What repairs have they dealt with in the past? Position yourself as trusted advisor—not just salesperson. When buyers feel guided rather than sold to, they are more likely to engage, trust the process, and say yes. That trust creates space for a consultative conversation that focuses on their needs. 4. Support Urgency Without Pressure Spring momentum is real. Many customers are arriving with a sense of urgency—driven by tax refunds, fresh inventory, the desire to beat future price hikes, or make use of limited-time incentives. The rise in car sales impacted by tariff and tax refund reflects that urgency. But urgency still needs direction. The goal is not just to close quickly but to guide buyers through a value-driven conversation that leads to decisions they will feel confident about long after the deal is done. What to do during tariff and tax refund car sales season: Encourage them to lock in today’s pricing and coverage while it’s available, especially if incentives or employee discounts are in play. Present F&I products as tools to help keep future costs predictable, especially as repair and part prices rise. Share real examples of how products like theft protection, maintenance plans, or GAP coverage have helped recent customers. Customers Need Your Expertise More Than Ever Today’s buyers are not just shopping for vehicles—they are looking for a steady, informed partner to help them make a smart decision. Sales and F&I teams who lead with clarity, strategy, and a spirit of partnership are the ones who turn urgency driven by tariff and tax refund car sales into trust, helping buyers feel confident in their decision. That also means surrounding yourself with the right support—collaborating with trusted industry experts who align with your goals and offer proven strategies and product support to help drive profitability. Just as important is investing in your own growth. Ongoing training and development keep your conversations sharp, your knowledge relevant, and your impact strong. The more prepared you are, the more confident your customers will be. And in today’s market, that level of preparation is what sets top-performing dealerships apart.

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Serving women car buyers

The Road to Better Sales: Creating a Better Experience for Women Car Buyers

What if the key to unlocking higher profits, stronger customer loyalty, and a standout reputation is already walking into your showroom—women buyers, but choosing for a dealership that offers a more comfortable, personalized experience? Women influence a notable share of vehicle purchase decisions, up to 85%, and make up a significant portion of new car buyers in the U.S. Still, many have shared that the car-buying experience can sometimes feel disconnected or not as welcoming as it could be. In many cases, some dealership approaches may not fully reflect the preferences of today’s buyers—particularly those looking for a more personalized and respectful experience. Small Shifts, Big Impact: Rethinking the Buyer Experience When dealerships refine their approach to better reflect what buyers value, they create a better experience for all customers—and that translates to stronger business results. Harvard Business Review says companies that understand and meet the needs of women buyers can better connect with those driving purchase decisions across industries. That said, the automotive industry is no exception. In addition, this spans every stage of the buying process—from initial conversations to the finance and insurance (F&I) experience—where trust, transparency, and clarity matter most. It is not about starting from scratch—it is about refining your existing approach to be more welcoming and better aligned with your full customer base. To sum up, this could mean improving how your team engages, ensuring pricing transparency, or tailoring communication to meet different buyer needs. A Closer Look: Where the Experience Falls Short An HBR survey on women’s experiences in financial services revealed consistent themes around feeling overlooked, whether due to a lack of personalization, unclear communication, or rigid processes. In some cases, the F&I experience can reflect similar challenges, with women describing moments of feeling less recognized or understood. These insights across financial services can offer valuable perspective for dealerships, too: “Financial service reps talk down to women as if we cannot understand more than just the basics.” “I hate being stereotyped because of my gender and age, and I don’t appreciate being treated like an infant.” “As a single woman, I often feel that financial services institutions aren’t looking for my business.” These insights are a call to evolve—not overhaul. A more thoughtful, tailored approach in Sales and F&I can go a long way toward building trust with all your buyers. Designing a Customer Experience That Works for Everyone Creating a more welcoming dealership experience is not just about coffee bars and better lighting (though ambiance does play a role). It is about building an environment where every customer feels informed, confident, and in control. How dealerships can make it happen: Train Your Sales Team to Listen, Not Just Pitch – Many buyers, especially women, come in well-informed and ready with questions. A listening-first approach builds trust and shows respect for their time and research. Tailoring the conversation to their priorities makes the experience more engaging and more effective. Transparency is Key – Clear, upfront pricing and easy-to-understand explanations around financing and add-ons go a long way. It helps avoid confusion, builds credibility, and creates a more confident buying experience for everyone. Rethink the Test Drive – A simple shift in approach can make a big difference. Asking a few thoughtful questions upfront helps you understand what each customer values—whether it’s safety, comfort, technology, or something else. Then, use the test drive to highlight the features that matter most to them in a relaxed, informative way. Make Your Marketing Reflect Your Buyers – Women are making many of the car-buying decisions so when your messaging represents the full spectrum of your customers, it becomes more relatable, more effective, and more impactful. Stronger Teams, Smarter Results As of 2023, women make up less than a quarter—just 23%—of the workforce in automobile dealerships, according to the Bureau of Labor Statistics. Bringing a wider range of talent into sales and F&I roles has been shown to improve customer rapport, team performance, and business outcomes. Professionals who lead with qualities like approachability, trust, and empathy often create more effective, comfortable buying experiences—traits many customers value. But strong hiring is just one piece. Notably, what matters just as much is the environment you create. When employees feel supported and respected, they are more likely to stay, contribute, and grow—resulting in stronger engagement, collaboration, and performance across the board. The bottom line, thoughtful hiring and a positive team culture is smart business. Dealerships that build teams with a variety of strengths and perspectives are better positioned to thrive in a competitive market. A Smarter Way Forward The dealerships that succeed tomorrow are the ones adapting today—those that stay focused on their customers, invest in their teams, and align with what today’s buyers expect. At PRO Consulting, we believe in walking the walk. Women make up 60% of our team, driving strategy and performance across sales, operations, and marketing. More importantly, we understand what it takes to build high-performing teams that reflect today’s customer base and deliver results. We work alongside dealerships to support team structure, training, and talent development, helping you connect with more customers more effectively and profitably. Let’s explore how we can help you move forward—together.

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Unlock traits of top car salespeople

From Selling to Succeeding: How Top Dealership Pros Think, Act, and Win

The dealership floor is never the same two days in a row—one minute, you are sealing the deal, the next, you are navigating objections, waiting on approvals, or watching a buyer walk. The ones who thrive do not just react to the chaos; they use it to their advantage. They know what drives them, and that focus shapes every move. So, what keeps top performers their edge? It goes beyond experience—it is having a keen sense of purpose, clear guiding principles, and the traits that consistently drive results for top F&I and car salespeople. Let us break it down: 1. Know Your Why—And Keep It Front and Center Your “why” is not just a motivational poster in the breakroom. It is the driving force behind why you show up every day and why you push through tough deals instead of giving up. Is it financial freedom? Aiming for a GM or GSM position? Providing a better life for your family? Being the top performer on the leaderboard (with the paycheck to match)? When you know your why, your energy, focus, and hustle change. Now, you’re onto building momentum toward something bigger. 2. Define Your Values—The Traits That Set You Apart The traits of top car salespeople and F&I personnel are what set high-performing Sales and F&I pros apart. Moreover, these are not fluffy buzzwords—they are authentic that define their efforts and interactions: Discipline – The ability to stay sharp and consistent, even when the sales floor is slow. Integrity – Doing right by customers and peers, even when no one is watching. Continuous Learning – Staying ahead of industry changes, product updates, and buyer behaviors. Resilience – Not letting a difficult day (or 10) derail long-term success. Effective Communication – Mastering the art of listening, guiding customers, and closing deals without sounding like a script. The best in the automotive business do not just talk about these values—they live by them. 3. Align Your Values with Your Daily Hustle Values aren’t just for self-help books. In fact, they should show up in your daily interactions, decisions, and even the way you approach deals. For example: Discipline – You make that extra call, follow up when others forget, and sharpen your process instead of blaming the market. Integrity – You help a customer find the best solution, not just the biggest commission. Continuous Learning – You are the person who knows the latest lender incentives or how to handle a tricky financing and borrowing situation for a low credit score buyer. When your values align with your actions, customers notice, managers notice, and suddenly, you are not just another salesperson—you are the one they trust, respect, and promote. 4. The Values That Drive Top-Tier F&I and Sales Pros If you have ever met a six-figure earner in this business, you know they play by a separate set of rules. Here is what sets them apart: Ownership Mentality – They treat their role like a business within a business. Some examples: a. They do not wait for leads- They cultivate referrals and find creative ways or advanced tools to keep pipeline full. b. They master their craft— For the most part, constantly learning about industry trends, finance options, and customer psychology to sharpen their edge. c. They track their own performance—analyzing their closing ratios, deal structures, and commission earnings to optimize their approach. d. They think beyond just ‘today’s sale’—understanding that every great customer experience leads to repeat business, upsells, and career opportunities. Problem-Solver Mindset – They do not just sell; they help customers find the best solution. Some examples: a. They ask the right questions – Instead of jumping straight into a pitch, they uncover what is really holding the customer back and address it head-on. b. They simplify the complex – Great problem solvers break down financing, warranties, and trade-ins, making them clear while guiding customers to recognize needs they may not have considered. c. They stay calm under pressure – When a deal gets complicated, they do not panic—they strategize, keeping customers confident and engaged. d. They create win-win outcomes – Instead of just pushing for a sale, they ensure the customer walks away feeling great about their purchase, leading to referrals and repeat business. Storytelling Skills – They do not just list features; they paint a picture customers can see themselves in. Some examples: a. They create emotional connections– Remember your first car, the freedom it gave you? That is what this truck can do for you now—weekend trips, towing your boat, all without worrying about reliability. b. They share success stories– I had a customer just like you last week who was unsure about leasing, but once they saw how much they could save on their monthly payment, they were thrilled with their decision. c. They use stories to overcome objections– I understand, adding another cost today might not seem ideal. A customer felt the same—until his engine failed, leaving him with a $6,000 bill. Another customer who took coverage? Walked in, got it fixed, and paid nothing. That peace of mind is why so many protect themselves upfront. 5. Leverage Your Traits for Bigger Results You already have a unique set of strengths and traits of top car salespeople. However, the key is learning how to maximize them. a. Good with people? Build stronger customer relationships that lead to referrals and positive reviews. b. Detail-oriented? Dominate F&I by knowing every deal structure inside and out. c. A natural leader? Show management that you are someone who can handle more responsibility. At the end of the day, dealerships reward high performers—the ones who are dialed in, committed, and constantly developing themselves. Final Thought: Own Your Values, Own Your Future Your “why” and core values can be a powerful competitive edge when leveraged effectively. The best in the business do not leave success to market conditions or luck—they harness their mindset and develop core traits of top car salespeople and F&I personnel to win every day. For

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Road ahead- Auto Industry in 2025

The Road Ahead: Key Trends Shaping the Automotive Industry in 2025

As we step into 2025, the automotive industry is poised for growth and transformation. Historically, the year after an election tends to see an uptick in consumer sentiment, and early signs suggest 2025 could follow suit. With Goldman Sachs economic outlook projecting 2.5% growth in the US GDP, recession fear diminished, inflation trending back to 2%, and a stabilizing labor market—this year has all the makings of a defining moment for the auto industry. Recession Insights: Declining fear Data Source– Goldman Sachs and Bloomberg Research A Look at the Factors Shaping Business—Insights from Dealers Surveyed in Q4 Data Source– PR Newswire and COX Automotive A recent survey conducted shortly after the national election reflects this emerging confidence. While market conditions stabilize, U.S. automobile dealers report increasing optimism about the future. Key factors influencing their outlook include the economy and interest rates. Notably, while the economy remains the top-ranked factor, the percentage of dealers citing its influence dropped from 62% in Q4 2023 to 56% in Q4 2024, signaling that economic concerns may be easing slightly. Gearing Up for a Stronger Automotive Industry in 2025 Building on the optimism among dealers, Cox Automotive’s 2025 forecast suggests it could be the strongest year for the market since 2019. New vehicle sales are projected to reach 16.3 million units, an encouraging 3.14% increase from 2024’s 15.9 million units, This marks the third consecutive year of growth and reflecting a steady rebound. On the retail side, used-vehicle sales are anticipated to hit 20.1 million units, the strongest performance since the record-setting year of 2021. While inventory for used vehicles at retail remains tight, the Manheim Used Vehicle Value Index anticipates historically normal growth, finishing 2025 slightly higher year over year. Factors Driving Consumer Demand Auto loan rates are showing signs of improvement, easing some affordability concerns. According to the 15th edition of the 2024 Car Buyer Journey Study, satisfaction with the new vehicle buying process has reached an all-time high, with 75% of buyers reporting they were “highly satisfied.” Dealership training helps streamline the buying process, making it more efficient and enjoyable. Additionally, training helps sustain high levels of buyer satisfaction and fosters greater loyalty, driving repeat business and long-term success. Customer Traffic and Dealer Performance Trends Dealers are seeing mixed signals regarding customer traffic. Franchised dealerships remain more optimistic than their independent counterparts, with sentiment indicators showing steady improvement. However, in-person visits have dipped slightly, causing the Customer Traffic Index to slip from 32 to 31. On the brighter side, digital traffic is inching upward, with its score rising from 39 to 40. Dealer profitability has also seen a slight uptick, with gains across both franchised and independent dealers. However, profitability remains below the highs of 2021 and 2022. With digital interest climbing, staying ahead means adopting tools that quickly identify and connect with high-intent shoppers. Imagine knowing exactly who’s ready to buy within 24 hours of them entering the market. Additionally, being the first to reach them. Pinpointing active buyers improves lead quality and drives showroom visits. Advanced tracking tools enable dealerships to understand buyers’ wants, deliver personalized offers, and communicate at the right time. With these strategies, dealerships can boost traffic, improve ROI, and strengthen customer satisfaction much needed in the auto industry in 2025. Tariffs and Their Ripple Effect in the Auto Industry in 2025 Proposed tariffs from the new administration could significantly influence vehicle affordability in 2025 and beyond. Vehicle production relies on a globally integrated supply chain. Therefore, a potential 10% tariff on Chinese imports and a 25% tariff on goods from Mexico and Canada would disproportionately impact auto prices. Many components cross U.S. borders multiple times during the manufacturing process. According to Ivan Drury, director of insights at Edmunds, this unique supply chain dynamic means that tariffs could significantly raise the cost of assembling vehicles. Ultimately, increasing sticker prices for consumers. Despite this, there’s a silver lining for car shoppers in 2025. Most vehicles arriving on dealer lots in early 2025 have already been assembled or are currently in production, so they are unlikely to reflect the impact of any new tariffs. Dealers will likely offer competitive incentives to attract buyers. The average prices remain higher than pre-pandemic levels. Yet, relative stability provides an advantage for dealers: the ability to focus on driving traffic and closing deals without significant price fluctuations disrupting buyer sentiment. The Road Ahead As 2025 unfolds, the automotive industry is navigating a positive trajectory. Stable economic growth and improved consumer sentiment are expected to create opportunities across new and used vehicle markets. Dealers and manufacturers are well-positioned to capitalize on these conditions, paving the way for steady growth throughout the year. Success in this evolving landscape requires a focus on preparedness—leveraging insights, optimizing processes, and aligning strategies with market dynamics and dealership team needs. At PRO Consulting, we specialize in supporting dealerships’ growth and success with tailored solutions. Let’s work together to position your dealership for success in 2025 and beyond. Contact us for a free consultation to review your 2025 plans and uncover growth opportunities.

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