Your Guide to What’s Next inAutomotive Retail
Micah Tindor joins Jade Terreberry to open the 2026 season with a deep dive into ROI as part of owning the R.O.A.D. and why it must replace gross as the primary success metric and how dealers can shift their strategies to compete in a more informed, margin‑tight market. From consumer affordability to trade‑in valuations and cultural transformation inside the dealership, they outlines the practices that will separate the winners from the rest in the coming year.
Guest Expert:
Micah Tindor
AVP of Consumer Vehicle Disposal
Kelley Blue Book ICO
Top Takeaways:
Gross is shrinking—and ROI must take center stage: Used car gross margins and F&I performance are declining, driven by consumer affordability challenges and the lowest confidence levels seen in years. Dealers must shift from “How much gross?” to “How much ROI per opportunity?”
High‑value customers and trades require lifecycle thinking: Leading dealers are using AI to analyze customer lifetime value and the total ROI potential of each trade, evaluating not just today’s front‑end profit but the multi‑transaction tail that follows.
Website leads aren’t a source—they’re an outcome: With 60–250 touchpoints in today’s shopping journeys, dealers must stop attributing website leads as origin points and instead measure the channels that drove shoppers there.
Trade‑in valuations demand transparency and data: Consumers arrive with 2–6 competing offers. Winning dealers justify their number with market data, perform sight‑unseen appraisals, and train teams on transparent talk tracks that shift emotion to logic.
Culture—not tools—is the real competitive advantage: Dealers who train their teams on new processes, embrace discomfort, and use data to inform every decision will gain market share—even in a tightening economy.
Timestamps:
0:00 – 3:22 — Welcome & 2026 Kickoff
Jade introduces Micah and sets the stage with the year’s guiding acronym: ROAD (ROI, Omnichannel, AI, Data).
3:22 – 6:48 — Why Gross Is No Longer Enough
Micah explains declining margins, consumer sentiment data, and why ROI matters more than ever.
6:48 – 8:14 — From Gross to ROI: What Dealers Are Changing
Dealers begin segmenting consumers by lifetime value and adjusting strategy accordingly.
8:14 – 11:04 — Understanding Full‑Journey ROI
Jade explains why website leads aren’t sources and why weighted engagement across 60+ touchpoints is essential.
11:04 – 14:46 — The New Trade‑In Reality
Micah breaks down shifting valuation expectations, consumer behavior, and how dealers must compete with new‑format retailers.
14:46 – 16:30 — Using Data to Build Trust and Close Gaps
Dealers use competitive set data and transparent conversations to justify their trade numbers.
16:30 – 19:45 — Training Teams for a New Era
Micah outlines the three cultural changes winning dealers are making in trade‑in and appraisal conversations.
19:45 – 22:03 — The Talk Track Every Dealer Should Adopt
Micah shares the simple market‑based script that removes emotion and builds trust.
22:03 – 23:33 — Final Advice & Closing Remarks
Micah encourages dealers to embrace discomfort, take risks, and use real data to guide decisions in 2026.
Summary:
Discover the top technology trends shaping automotive retail in 2026. Learn how data, automation, and AI are transforming inventory sourcing, customer engagement, and operational efficiency—empowering you to win more deals and build lasting trust. Kelley Blue Book® Instant Cash Offer leads the way with transparent, VIN-specific solutions designed for today’s market.
What You’ll Learn:
2026 represents an unprecedented opportunity for automotive retailers. As technology accelerates and shopper expectations evolve, you have more ways than ever to win inventory, streamline your operations, and build lasting customer relationships. For a century, Kelley Blue Book has been your trusted resource for transparent, data-driven vehicle valuations—helping you navigate every market shift with confidence.
Below, we explore the top tech trends that will define success in the year ahead. Each trend is designed to address the real challenges dealers face today, from sourcing quality inventory to building shopper trust at every touchpoint.
Want to see these innovations in action? Visit Kelley Blue Book® Instant Cash Offer at NADA 2026 and see how these trends come to life.
Used car inventory shortages and sourcing inefficiencies are still major challenges. The margin for error is shrinking, and every acquisition decision matters. That’s why leading retailers are turning to AI-powered tools and real-time, VIN-specific data to identify, appraise, and acquire the right vehicles—faster and with greater confidence.
By using automation and trusted data, you can reduce guesswork, lower your cost-to-market, and make every offer competitive and credible.
When your offers are backed by Kelley Blue Book® Instant Cash Offer (KBB ICO), you build credibility from the very first interaction—making every deal smoother. Not only that, KBB ICO is evolving rapidly, helping you become more efficient, data‑driven, and proactive.
Shoppers expect seamless transitions between online and in‑person interactions, and your team needs tools that simplify—not complicate—workflows.
Connected processes minimize manual entry and reduce errors, letting you move quickly from digital engagement to in-person interactions. Whether your shopper starts their journey online, in-store, or in the service lane, unified processes ensure every step is consistent, transparent, and easy to navigate.
Delivering a unified appraisal experience not only speeds up deal times but also solidifies your credibility and ensures trust at every touchpoint.
Reaching and converting the right buyers is always a challenge. Predictive analytics and first-party data now make it possible to identify transaction-ready shoppers—both those looking to sell and those ready to buy.
By personalizing offers and communications based on real-time insights, you can maximize marketing ROI and connect with your customers when they’re most likely to act. Kelley Blue Book® ICO helps you recognize and target more high-intent opportunities through tools like Buying Signals Plus, which reveals shopper timelines and replacement vehicle preferences.
As acquisition pressures intensify, you need ways to remove guesswork, shorten cycle times, and let your staff focus on high‑value interactions. That’s where AI becomes more than just a trend—it becomes an operational efficiency engine.
Kelley Blue Book® ICO uses AI to deliver practical, everyday efficiency improvements that help you appraise smarter. AI-Powered Remote Damage Assessment, which you can demo at NADA 2026, supports valuation accuracy, reduces renegotiation, and improves consumer confidence.
Dealers who embrace these trends—smarter sourcing, unified workflows, data-driven engagement, and AI-powered damage assessment—are positioned to win more inventory, close deals faster, and build lasting trust.
Kelley Blue Book® Instant Cash Offer empowers you to source quality vehicles efficiently while digital appraisal tools help you engage transaction-ready shoppers wherever they are.
With a century of trust and transparent, VIN-specific data, Kelley Blue Book’s solutions are designed to reduce friction, boost credibility, and drive measurable results at every step.
Visit Kelley Blue Book® Instant Cash Offer at NADA 2026 and book your personalized demo.
Discover key insights from Micah Tindor in this exclusive interview with Automotive News, where affordability in the automotive market takes center stage. Learn how rising vehicle prices, loan terms, and insurance costs are reshaping consumer behavior and dealership strategies. Micah Tindor shares practical approaches for dealers to adapt—emphasizing transparency, consumer-centric trade processes, and the integration of AI-powered solutions. Explore how digital tools and seamless omnichannel experiences can help dealers meet evolving customer needs and win in a challenging economic landscape.
Jade Terreberry, Senior Director of Strategic Planning at Cox Automotive, hosts a special new year episode to break down the R.O.A.D. framework—ROI, Omnichannel, Adoption of AI, and Data-driven decision-making—for dealers and OEMs in 2026. Jade explains how focusing on measurable ROI, seamless omnichannel experiences, and embracing AI-powered tools can drive efficiency, personalization, and profitability. She highlights the importance of leveraging real-time data to optimize marketing, operations, and customer engagement, setting the stage for dealers to win in a competitive market this year.
Guest Expert:
Jade Terreberry
Senior Director of Strategic Planning
Cox Automotive
Top Takeaways:
Timestamps:
0:00 – 1:10 – Introduction
Jade Terreberry welcomes listeners, introduces the “For the Road Forward” podcast, and previews the episode’s focus on key strategies for dealers and OEMs in 2026.
1:10 – 2:30 – The ROAD Framework for 2026
Jade unveils the ROAD acronym—ROI, Omnichannel, Adoption of AI, and Data-based decision-making—and explains why these pillars are critical for success in the year ahead.
2:30 – 4:00 – ROI: Shifting from Lead Volume to Lead Value
Jade discusses the importance of prioritizing return on investment, using multi-touch attribution and identity resolution to maximize marketing effectiveness.
4:00 – 5:30 – Omnichannel Excellence
Jade emphasizes the need for seamless integration across all customer touchpoints, highlighting how omnichannel strategies drive engagement and loyalty.
5:30 – 7:00 – Adoption and Application of AI
Jade shares how embracing AI-powered tools can improve efficiency, personalization, and conversion rates, and encourages dealers to champion AI within their organizations.
7:00 – 8:30 – Data-Based Decision-Making
Jade explains how leveraging real-time data enables dealers to personalize communications, optimize operations, and build lasting customer relationships.
8:30 – 9:13 – Closing Thoughts and Next Steps
Jade wraps up the episode, encourages listeners to subscribe for future insights, and previews upcoming topics for the new year.
Matt Warpinski and Tiffani Stefanescu, Directors of Performance Management at Xtime
Today there are more vehicles on the road than ever before, but the volume of dealer visits from 2018 to 2025 shows a significant drop. Service customers are going to independent repair shops and quick lubes instead of the dealership. And now we’re seeing new mobile services going out to people’s houses and doing work there.
Once a vehicle is five years old or past its warranty period, customers start visiting the dealership less often – right when the RO amounts are increasing. So, we need to look at why this is happening and what dealerships can do about it to bring customers back in.
As it turns out, customers hold some common misconceptions about dealership service departments. According to the 2025 Cox Automotive Service Industry Study:
The November 2025 session of our Fixed Ops Focus series discussed how dealerships can address these misconceptions and adapt to customer expectations around convenience, value, and trust to retain—and regain—service business.
One thing that drives many customers toward quick-lube shops and aftermarket alternatives is the belief that dealership service is slow and inconvenient. Consumer expectations for speed and flexibility have been shaped by experiences like two-hour Amazon deliveries—which has transformed what customers demand from service providers.
As a result, dealerships are losing business not because they lack expertise, but because customers perceive independent shops to be more convenient. Yet, dealerships have unique advantages: they know the vehicles better than anyone else and can offer a superior, tailored experience. The challenge is to make dealership service as accessible and efficient as the alternatives.
To overcome the misconception that their service takes too long, dealerships can implement several best practices:
A common belief among customers is that dealership service is always pricier than independent shops. This perception often drives customers to the aftermarket shop, even when dealerships may actually offer competitive rates. However, data and experience show that what matters most to customers isn’t just the price—it’s the value and transparency they receive.
When customers understand what they’re paying for and see clear benefits—such as expert technicians, genuine parts, and a tailored service experience—they’re more likely to view dealership pricing as fair. Transparent communication, digital estimates, and upfront explanations help shift the focus from cost alone to overall value.
Here are some steps dealerships can take to address the misconception that they’re “too expensive” and demonstrate their value:
Many customers approach dealership service with skepticism, often recalling experiences where recommendations felt confusing or unnecessary. Real-world anecdotes abound: a young driver surprised by a long list of suggested repairs, or a customer unsure whether a flush or filter replacement is truly needed. These moments of doubt are often rooted in poor communication and a lack of transparency, which erode trust and drive customers elsewhere.
When customers don’t understand what’s being recommended—or feel pressured without clear explanations—they’re less likely to approve additional services and more likely to seek alternatives. The trust gap is not just about technical expertise; it’s about making customers feel informed and confident in every interaction.
Dealerships can close the trust gap by embracing transparency and proactive communication:
Transparency isn’t just good for customer satisfaction—it’s also good for business. Data from dealership groups show that ROs accompanied by photos and videos average significantly higher values than those without media. Multi-media tools drive trust in your service team and can help you earn up to 23% more per repair order.*
When customers can see and understand what you’re recommending, they’re more likely to approve necessary repairs—faster—and feel confident in their choices. Dealers sending pictures and videos with additional service recommendations see approvals in as fast as 5 minutes.* So, this leads to higher approval rates, increased revenue, and stronger long-term relationships.
By taking these steps, dealerships can transform perceptions, increase customer satisfaction, and drive higher retention and revenue. The key is to meet customers where they are—digitally, transparently, and with genuine care.
Want to learn more about Xtime solutions that can help you put these strategies into practice?

*Source: Data from all Xtime dealers between Jan 2025 and July 2025.
Eric DeMont, Vice President at Urban Science, joins Jade Terreberry to unpack how data is transforming automotive retail. Eric shares Urban Science’s journey from supporting OEMs to empowering dealers with real-time insights, and highlights the importance of ROI, omnichannel experiences, and AI adoption. He explains how harmonized data and actionable metrics are driving smarter decisions, improved lead conversion, and greater profitability for dealers and manufacturers. Eric also emphasizes that investing in people remains key to success in today’s rapidly evolving industry.
Guest Expert:
Eric DeMont
Vice President
Urban Science
Top Takeaways:
Timestamps:
0:00 – 1:00 – Introduction
Jade Terreberry introduces the episode and guest Eric DeMont, Vice President at Urban Science, and previews the discussion on data-driven strategies in automotive retail.
1:00 – 3:12 – Urban Science’s Evolution
Eric shares Urban Science’s journey from supporting OEMs to working directly with dealers, leveraging real-time sales data and actionable insights.
3:12 – 5:56 – Challenges and Change in Automotive Retail
Eric discusses the biggest challenges facing dealers and manufacturers, emphasizing the importance of embracing change and fostering a culture of innovation.
6:12 – 9:25 – The “ROAD” Framework for 2026
Jade and Eric break down the ROAD framework: ROI as the metric that matters, omnichannel experiences, AI adoption, and database-driven decision making.
9:25 – 12:42 – AI and Data-Driven Decision Making
Eric explains how harmonized data and AI integration are driving smarter decisions, improved lead conversion, and greater profitability.
12:54 – 15:44 – Lead Conversion, Defection, and Process Optimization
Eric reveals how Urban Science’s metrics provide visibility into lead defection and close rates, helping dealers optimize processes and retain more customers.
16:50 – 18:21 – Investing in People
Eric shares his top advice for 2026: invest in people, upskill teams, and build trust, as automotive retail remains a people business.
18:23 – 19:48 – Closing Thoughts
Jade wraps up the episode, encourages listeners to connect with Eric, and previews upcoming conversations with industry leaders.
Summary:
Shoppers are moving from chatbots to AI agents that actively research, negotiate, and schedule test drives. This trending technology compresses the car‑buying journey and raises expectations when shoppers arrive in-store. And while new data shows digital steps save time and boost satisfaction, most dealerships still force buyers to repeat steps in‑store due to fragmented tools and inconsistent data. The blog post explains how Deal Central unifies the deal, automates key actions, and delivers a seamless online‑to‑offline experience that wins in the agent era.
If every shopper suddenly shows up to your store with an AI “broker” that will research, negotiate, and schedule appointments and test drives on their behalf, what does winning look like for your dealership?
Believe it or not, this future is arriving fast. Consumers are already using AI—not just to ask questions, but to take action. Dealers that align their data, processes, and people around this shift will turn speed and trust into a durable advantage.
At Cox Automotive, we believe that the future of automotive retail favors dealers willing to remove friction, meet shoppers wherever they start, and deliver a consistent deal across every handoff. The data—and the demos—back this up.
Yes, AI will be part of the story—but not the whole story. This isn’t just about technology. It’s about people and creating seamless dealership experiences that speak to modern shoppers.
A GenAI chatbot is great at answering questions. An AI agent goes further. It reasons, plans, and completes tasks across systems—like comparing inventory and incentives, initiating pre-approvals, booking test drives, even drafting outreach to GMs. In short, chatbots talk with you. AI agents work for you. For dealers, this means that more informed customers and more decisive shoppers will be arriving at your doorstep.
Recent demos of consumer AI agents show what’s already possible across four pivotal moments:
Each of these steps arms the buyer with clarity and compresses deal time. That’s the new baseline your process must meet or beat.
Even as margins normalize, dealers continue to invest in online retailing. More stores now let shoppers complete every step online—34% in 2022 → 39% in 2023 → 43% in 2024. This progression is all customer pull, not vendor push. In fact, 65% of shoppers want to do some or most of the car buying process online, and 69% of dealers say customers are driving adoption.
But why? Because digital steps produce measurably better outcomes. Buyers who complete more steps online save 42 minutes at the dealership and are more likely to be highly satisfied (81% vs. 71%). In other words, you’re not just “moving tasks online”—you’re building confidence before the buyer walks in the door.
When it comes to building a deal, shoppers overwhelmingly expect to be able to pick up in‑store where they left off online (85% agree). But 97% of dealers say customers end up repeating steps in‑store—hurting efficiency at a time when shorter wait times and greater efficiency are the improvements buyers want most. Unfortunately, buyers report being idle for approximately 40% of their in-dealership time, with the longest delays around paperwork and financing.
The culprit isn’t a lack of intention; it’s often a lack of consistency and confidence in online data once the shopper arrives. Many stores (62%) run multiple digital retailing tools, so it’s no surprise they cite data inconsistencies, redundancies, and weak integrations as top pain points. If the desk can’t trust what the shopper did online, the store has to re‑key, re‑quote, and re‑explain—erasing the very benefits digital was supposed to deliver.
So how can your dealership move from watching AI happen to actually winning with it? The answer isn’t more tools—it’s smarter use of the right ones. The dealers pulling ahead are proving that AI isn’t just theory; it’s driving measurable efficiency and stronger outcomes on the ground.
Dealers who report improving sales and marketing efficiency (“Thrivers”) outsource more online retailing capabilities (avg. 4.8 vs. 4.0 for peers) and are more likely to use AI capabilities across chat, predictive insights, generative communications, and automated offers. They’re also more receptive to innovative workflows that unify desking through signed contracts with embedded shopper insights. The through‑line: less tool sprawl, more connected workflows, stronger outcomes (from close rates to profit per deal).
At Cox Automotive, we’ve developed Deal Central—a technology that works across our integrated products to give your team the control, visibility, and speed to keep every deal moving. The agent era raises the bar—but it also opens new opportunities. With Deal Central, you’re ready to win when shoppers show up smarter and faster. Here’s how Deal Central can help:
Bring everything that typically fragments trust—vehicle, incentives, taxes and fees, trade, lender programs, and F&I—into one consistent view across your website, BDC, showroom, and F&I office. When a shopper’s pre-work flows straight into the desk, you stop re-doing steps and start finalizing deals.
Carry over the shopper’s saved configuration, credit tier, estimated down payment, and appointment details directly into the in-store workflow. That continuity tackles the biggest restart moments—verification and process habits—so instead of “Let’s start over,” it’s “Let’s pick up where you left off.”
Put AI to work behind the scenes: pre-assemble deal structures, flag discrepancies, and generate compliant, salesperson-approved communications—from proposals to status updates—without manual delays. This matches the pace that agents already deliver to consumers.
Digitize and pre-stage the steps that create the most idle time—financing and paperwork—so buyers spend less time waiting and more time satisfied. That’s how you reclaim the 42 minutes saved by mostly digital buyers and turn it into speed and delight.
If an agent can blast “Who can beat this offer?” messages to multiple dealers in minutes, experience and relationship become your true differentiators. Deal Central empowers you to respond with transparent breakdowns, accurate payments, and scheduling certainty—so even price-shopping moments become confidence-building closers.
Bottom line: Consumers are stepping into the showroom with unprecedented power—and raising expectations for speed and consistency. With Deal Central as your command center, you don’t have to fight that wave. You can ride it to faster deals, higher satisfaction, and a repeatable, competitive edge.
Ready to see it in action? Fill out the form to schedule your demo and discover how Deal Central can help your dealership win in the agent era.
As we wrap up Q4, automotive dealers face a rapidly changing market. In a recent webinar, Micah Tindor, Assistant Vice President of Consumer Vehicle Disposal at Cox Automotive, shared actionable strategies to help dealerships navigate inventory volatility, affordability challenges, and evolving consumer expectations.
As the New Year approaches, dealers who embrace data-driven strategies and prioritize customer-centric solutions will be best positioned to adapt and succeed. Leveraging Kelley Blue Book Instant Cash Offer tools helps bridge the gap between consumer expectations and dealership goals, ensuring a strong finish to the year.
To learn more, click to watch the full webinar.
To see these solutions in action, visit the Kelley Blue Book Instant Cash Offer booth at NADA!
Source:
1. Cox Automotive data
3. Edmunds
4. Cox Automotive Q4 2024 Vehicle Disposer Research
5. ICO Attribution Dashboard May – August 2025
Digital marketing in automotive retail is entering a new era – one where precision, personalization, and performance matter more than ever. As consumer expectations evolve, dealerships need strategies that go beyond visibility to deliver meaningful engagement at every touchpoint.
At Dealer.com, we are focused on helping retailers stay ahead of these shifts with solutions that integrate advanced analytics, AI-driven optimization, and seamless omnichannel experiences. The trends shaping 2026 aren’t just about technology, they are about creating smarter, more connected journeys that turn interest into action.
2026 is the year personalization stops being optional. AI is now the engine behind every meaningful shopper interaction, transforming static websites into dynamic experiences. Dealer.com solutions leverage predictive analytics and AI-driven design to deliver tailored messaging and real-time recommendations that accelerate decision-making. The payoff? Higher engagement, faster deal cycles, and stronger customer loyalty for dealerships that embrace this evolution.
Search is changing and dealerships need to keep pace. AI-powered platforms are reshaping how shoppers discover vehicles, and GEO best practices ensure your site is ready. Dealer.com websites are built with structured data, optimized content, and verified AI bot accessibility, positioning your inventory to rank where it matters most in this new search landscape.
Shoppers expect flexibility—and omnichannel retailing delivers it. In 2026, success means creating a seamless experience from online research to in-store visits. Dealer.com helps unify workflows and connect data across channels, enabling dealerships to meet customers wherever they start and streamline operations for maximum efficiency.
Guesswork is out; precision is in. First-party data and advanced analytics now drive every marketing decision. Dealer.com empowers retailers with predictive insights to identify transaction-ready buyers, personalize outreach, and measure ROI with confidence. In 2026, data isn’t just information – it is your competitive edge.
Technology accelerates efficiency, but people build trust. The most successful dealerships pair advanced tools with expert teams who guide and connect with shoppers. Dealer.com’s Managed Services amplify this advantage offering professional website management, SEO, creative and content, social engagement, and reputation management to keep your dealership ahead.
Dealer.com delivers integrated digital marketing and retailing solutions that help dealerships connect with shoppers, convert leads, and grow their business. Backed by Cox Automotive, our mobile-first websites, targeted advertising, and real-time insights drive performance across every touchpoint.
Ready to capture more leads and drive smarter growth? Schedule time with us at NADA 2026