A recent J.D. Power study reveals that tariff shock created an early-quarter pull-ahead for car buyers, underscoring a time-shift in retail demand with a hangover for dealers.
The details: The study—drawn from 32,616 buyers who purchased or leased a new vehicle from March 2025 through May 2025—found that the levies prompted buyers to expedite the buying process, albeit at a higher cost.
36% of buyers say tariffs changed their vehicle purchase plans—with 87% of premium and mass-market import buyers signing their deal sooner.
Nearly 15% of buyers in both segments say they spent more than originally intended for their new vehicle.
And as a result, customer satisfaction scores stayed virtually unchanged from last year.
Why it matters: Accelerated consumer demand for premium and mass-market imports in Q2 and Q3 is now producing a soft spot in Q4. Meaning, dealers could watch floorplan costs rise if front-loaded inventory ages into winter.
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Between the lines: Transparency is now a measurable profit driver. And according to J.D. Power, clear appraisal explanations are the cheapest trust dealers can buy, followed by personalized post-delivery check-ins.
Among buyers surveyed who traded in a vehicle, 28% say their trade-in value was less than expected.
However, buyers who were unhappy with trade-in value, but received a thorough explanation during the process still scored 128 pts higher on satisfaction.
22% of buyers want feature tutorials post-delivery, yet 53% never get them, exposing dealers to an easily preventable retention leak.
Bottom line: Despite market fluctuations, customer service basics remain largely the same.
“Dealers who stay transparent during the deal, take time to educate buyers on their vehicle’s features, and maintain that connection after delivery are the ones poised to boost buyer satisfaction, ultimately leading to better customer retention and business growth,” said Stewart Stropp, vice president of automotive retail at J.D. Power.
Stewart Stropp
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