The National Automobile Dealers Association is leading the auto industry into a brave, new world. In the past few years, we’ve seen the retail automotive landscape change at a rapid pace. We’re seeing changes in the cars themselves and the way people purchase them. But with change comes a wave of new opportunities for dealers across the nation! We need the help of state dealer associations, like the Kentucky Automobile Dealers Association, to be as engaged and proactive as ever to meet the challenges of the year.

NADA has led dealers through a complex time in our industry. Last year, we worked to overcome a host of issues: microchip shortages, disruptions along the vehicle supply chain, low inventory on our dealership lots, and overly broad federal regulations that could negatively impact our businesses, employees, and customers. Moreover, our franchise system is currently being challenged from all directions — calls for agency relationships, expanded over-the-air updates, direct sales, new data sharing regulations, and more.

To meet these new and evolving challenges, NADA launched its “Guiding Principles,” which capture the realities of our business:

• The Evolving Business Model
• The Franchise System
• Downstream Revenue
• Allocation-Reservations
• Data
• Operational Efficiencies

Click the link below to read more about the “Guiding Principles.”
https://www.nada.org/nada/issues/future-retail

These six particular aspects highlight our core values and the common ground between dealers and legacy OEMs. I encourage you to review these principles and keep them in mind this year. NADA will continue to reinforce how auto dealers are ALL IN on EVs, and that we are essential for an electric future. Make no mistake, this evolution is being driven not only by consumer demand but also by government emission and fuel economy regulations. And we are doing our part to sell and service these exciting vehicles.

Rest assured NADA will continue to advocate on behalf of all dealers in our Nation’s Capital as well as work with our OEMs to build bridges so we can provide our customers with a great buying experience. Dealers and their OEMs essentially want the same things; we just don’t always agree on how to do it. The NADA team will make a concerted effort to demonstrate that the new-car franchise system is the best way to sell and service vehicles and that dealers are the competitive advantage for the legacy OEMs over the direct sellers.

I wish KADA and all its dealers a successful 2023 in this brave, new world ahead!

Mike Stanton