🚗 CA Dealers Sue Scout

🚙 All-in-One, Real Time Data, and Tank vs. Tank

TOGETHER WITH

 

Did you know learning burns calories?

Not at the same pace as more physically taxing activities, but calories nonetheless.

So, learning is simply not something you can do without rest, refreshment, and some pretty good food around.

That’s why ASOTU CON pays attention to the whole process of what dealers need to thrive.

Because sending you home exhausted, underfed, and dehydrated isn’t going to help anybody make more money, retain a stronger team, or serve more customers.

Get your ticket now, and…

Keep Pushing Back,
-Paul, Kyle, Chris & Kristi

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Tariff Talk, Versus Scout, and Q1

Some Tariff Talk

  • Industry Unites Against Tariffs
    Six major auto groups jointly urged the Trump administration to delay 25% parts tariffs, warning of layoffs, bankruptcies, and a $100B hit to the U.S. economy.

  • U.S.-U.K. Auto Tariff Talks
    The U.S. seeks to slash U.K. auto tariffs from 10% to 2.5% amid broader trade negotiations, while Britain pushes for a calm resolution and clearer commitments.

  • South Korea’s Tariff Fight
    Seoul heads to Washington hoping to delay or halt 25% auto tariffs. Officials hint at LNG and shipbuilding investments as possible leverage in negotiations.

  • Mercedes “Let’s Talk, Not Tariff”
    Mercedes-Benz calls EU-China tariffs crude and counterproductive. CEO Ola Källenius urges both sides to negotiate price commitments instead of stifling EV innovation with barriers.

California Dealers vs. Scout

Scout Motors, VW’s EV offshoot, faces a lawsuit from California’s New Car Dealers Association for violating franchise laws. The claim? Scout’s direct-to-consumer model is illegal under California code and unfairly cuts out VW’s franchised dealer network.

Brian Maas, CNCDA president: “VW dealers would welcome the chance to sell Scout vehicles. But their manufacturer partner is shutting them out of the deal.”

VW insists Scout operates as a separate entity. Meanwhile, California dealers argue that the case is about more than one brand; it’s about protecting the franchise system as a whole. Civil penalties could exceed $35M.

Q1: Strong But Concerning

New-vehicle sales jumped 4.8% in Q1 2025, according to Cars Commerce. Inventory is rebounding. Incentives are up. But affordability is sliding.

Only 14% of new inventory is priced below $30,000, down from 38% pre-pandemic.

“The entry-priced vehicle category still hasn’t recovered,” said analyst David Greene. “And tariffs could make it worse.”

Nearly 90% of sub-$30K vehicles are made outside the U.S., making them tariff targets. Only the Civic, Corolla, and Malibu are built domestically, and Malibu production ends in 2026.

Average new-car prices remain stuck at $49,000, a 30% jump from 2019.

More

Read more of the day’s news in our Daily Digest.

Your All-in-One Dealer Growth Solution

When your F&I department is dialed in, your entire operation benefits.

Our friends at Ascent Dealer Services partner with dealerships to drive revenue, develop high-performing teams, and build long-term value through transparent, proven solutions.

Their approach blends top-tier F&I products with professional in-store and online coaching, helping dealers across the automotive, RV, marine, and power sports industries meet real challenges head-on, with real support.

From Guaranteed Asset Protection and Profit Participation Programs to Capital Advance options and lifetime certified products, Ascent delivers more than a service menu, they deliver a strategy.

Meet the Ascent team at ASOTU CON 2025 in Hanover, May 13–16th.

If you’re serious about strengthening your F&I performance, check out their breakout panel—The Importance of F&I in Margin Compression—at the conference.

DATA & INSIGHT

How To Actually Reach In-Market Shoppers

What do sous chefs and sales managers have in common? According to Dave Karasick, a lot more than you think. In this episode of Auto Collabs, the crew sits down with Dave, Dealer Business Development Manager at Urban Science and former corporate chef, to explore how his test-kitchen past flavors his data-driven dealership insights today.

Dave dishes on how understanding customer behavior can outperform any templated CRM sequence. He breaks down why local market focus often beats conquesting, the crucial 8–21 day follow-up window most dealers overlook, and how data should empower humans, not replace them.

It’s a fun, thoughtful, and seriously practical conversation for anyone tired of checking boxes and ready to start cooking with real ingredients (aka real-time behavioral data). If you’re into turning leads into loyalists without overwhelming your team, this episode’s for you.

Want to learn even more from Dave? Meet him in person at ASOTU CON!

🥊 Quick Hits

  • OpenAI wants to buy Chrome (Google’s web browser) and make it an “AI-first” experience. 🤖 

  • U.S. stock futures climb as Trump walks back threats to fire Fed Chair, Jerome Powell. 📈 

  • “I Know What You Did Last Summer” is getting a(nother?) sequel, and that sequel has a trailer. It’s…uh…grim.

🔁 Today in History

  • 1704: The first regular newspaper in British Colonial America—The Boston News-Letter—is published. 📰 

  • 1918: The first tank vs. tank battle occurs in war. 🪖 

  • 1957: Origins of the Nissan Skyline. 🏎️ 

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