Prefer to listen to this newsletter? Click here for the audio version.
Hey everyone. Really pumped about the next episode of the Car Dealership Guy Podcast.
We’ve *never* had a guest like this before.
Recently, I spoke to Bryan Collins, Shop Foreman at Braman Miami, to get a boots-on-the-ground look into the life of a master automotive tech.
We talk about everything—including his journey rising through the ranks of a dealership shop, strategies for retaining technician talent, the real pay ranges technicians can achieve, and much more.
— CDG
The average annual earnings for publicly owned dealerships are dropping:
Publicly owned dealerships raked in an average of $4.1M per store over the last twelve months ending in Q3 2023—
Down 26% year-over-year and 36% from the record higher of $6.4M in 2022.
But—get this:
Profits *still* remain over twice as high as pre-pandemic levels, driven by increased service and F&I revenues—a trend expected to continue into 2025.
(Data source: Haig Partners)
1. Electric vehicles claimed 8.1% of U.S. sales in 2024—a record year
Electric vehicle sales in 2024 may not have hit earlier sky-high projections, but they still reached a record 1.3 million units—8.1% of U.S. new-car sales—according to Cox Automotive.
The fourth quarter was particularly strong, with 365,824 EVs sold, marking a 15.2% year-over-year increase.
Tesla continues to lead the market, with the Model Y and Model 3 making up over 40% of all EV sales.
Hyundai secured the second spot, driven by the Ioniq 5, while Honda’s Prologue made a strong debut with over 33,000 units sold.
Federal policies remain a wildcard, as President-elect Donald Trump has vowed to roll back EV tax credits and emissions regulations—potentially cutting sales by 300,000 units annually, analysts warn.
Still—with over 15 new EV models set to launch in 2025 and improvements in charging infrastructure, the industry’s long-term trajectory remains upward … (Go deeper: 2 min. read)
2. Hendrick Automotive dominates Reputation rankings for fourth straight year
Hendrick Automotive Group earned the highest spot in Reputation’s 2024 rankings for the fourth straight year—90 points (on a 1000-point scale) ahead of its nearest competitor.
Ken Ganley Automotive came in second, followed by Holman and Findlay, with Swickard rounding out the top five.
On the public side, Penske Automotive claimed first place, dethroning AutoNation, which dropped to second, followed by Group 1, Sonic, and Asbury.
What sets these leaders apart? Reputation’s report makes it clear.
There are five total best practices the top dealers are using, which include encouraging feedback, proactively responding to reviews, optimizing online business listings, delivering personalized experiences, and leveraging customer data … (Go deeper: 4 min. read)
In today's automotive landscape, car buyers invest more time than ever in researching, considering, and comparing options. But for dealers, the challenge lies in pinpointing the audience ready to make a purchase.
Enter Premier by Edmunds.
Premier offers dealers a groundbreaking way to connect with in-market car shoppers precisely when, where, and how they prefer. With over 20 million monthly visits, Edmunds.com is the go-to destination for buyers seeking market insights, expert advice, and budget tools to make informed decisions.
Through Edmunds Premier, dealers gain access to this highly coveted audience. Simply list your new and used inventory on Edmunds, and watch as qualified, in-market traffic flows directly to your vehicle detail pages on your website.
Don't miss out on this opportunity to elevate your dealership's visibility and sales performance. You can sign up for Premier today at Edmunds.com/CDG.
3. Google AI powers Mercedes-Benz’s next big leap in car tech
Mercedes-Benz is stepping up its in-car tech game with a next-gen virtual assistant powered by Google’s Automotive AI Agent, set to debut in the 2025 CLA.
Integrated into the MB.OS platform, the system offers a conversational, intuitive experience with “predictive” and “empathetic” features.
Drivers can ask follow-up questions, look up restaurant reviews, locate points of interest, and get personalized recommendations through Google Maps.
Big picture: With this collaboration, Google continues to expand its influence in connected vehicle technology … (Go deeper: 3 min. read)
Bonus: The untapped potential of embedded auto insurance in car dealerships
The cost of owning a car is still near record highs — and auto insurance is a big part of the equation.
Premiums have surged 50% over the past three years—driven partly by insurers responding to cover surging claims and repair costs, among other things.
And while the insurance market is showing signs of stabilizing, the process of shopping for coverage remains a pain point for most consumers, often involving hours of research and follow-ups.
But by embedding a digital auto insurance marketplace into the sales process, dealers can offer customers real-time quotes from multiple carriers, helping them secure a better rate … (Go deeper: 5 min. read)
New Jeep, Dodge EVs hit dealers after software-related delays.
Biden administration finalizes U.S. crackdown on Chinese, Russian vehicles.
Auto dealerships enter 2025 with interest rates down 1 point.
China’s electric car boom is expected to slow down in 2025.
Kia access to Tesla Superchargers delayed.
Did you enjoy this edition of The Daily Dealer newsletter?
Thanks for reading everyone.
— CDG
