TOGETHER WITH:
Howdy, Fam!
Here's how LLMs actually find, or skip, your dealership.
A new Accenture study found 84% of consumers are open to letting AI handle complex car-buying tasks, and 37% would let an AI agent switch them to a different brand entirely for a better fit. The deciding factor isn't your reputation. It's whether your own inventory data is clean and structured enough for an AI agent to actually read and compare in the first place.
Also in today's email:
The trim level customers are still paying up for, even under real financial pressure
Where the line actually sits on AI-enhanced photos, and why disclosing it works in your favor
Audi's $89,000 answer to a 17% sales slide
Keep Pushing Back,
—Chris with Paul, Kyle & Kristi
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Ford's Sales Are Down. Its Confidence Isn't.
Ford's Q2 revenue slipped 4%, and U.S. sales fell nearly 10% in H1, driven by the Novelis supplier fire and phaseout of models like the Escape. The company raised its full-year EBIT forecast to $10-11 billion anyway, sending shares up roughly 7%.
Every dollar must earn durable returns and drive profitable growth.
Want the full conversation?
🎙️ Listen to today's Automotive State of the Union episode for the complete discussion.
Off-Road Trims Are Carrying the Business Right Now
CFO Sherry House says customers remain resilient despite inflation and high rates. Nearly a quarter of U.S. sales are now higher-margin off-road trims, not base models, real proof premium configurations are outlasting affordability pressure. Ford's next bet: a $30,000 electric pickup targeted for 2027 on its new Universal EV Platform.
What This Means for Your Store
If you carry Ford, look at how you're merchandising trim levels. Customers are reaching for off-road and higher trims even under real pressure. Don't assume affordability concerns mean they only want the cheapest option in front of them.
What if Employee Turnover was Preventable?
The Retail Automotive industry loses nearly $20 billion a year to employee turnover. And most dealers treat it like the cost of doing business.
Here's the problem: You cannot expect to have consistently satisfied customers if your employees are not satisfied.
Leading dealers who’ve figured this out invest in employee experience. And it shows in their employee retention, corporate culture, and profitability.
ESiQ measures employee satisfaction and provides actionable insight into what’s driving engagement and turnover, before employees leave.
Discover how ESiQ can help your dealership turn employee satisfaction into a competitive advantage.
Automakers Have a New Competitor for Car Buyers, and It's Not Another Brand
A new Accenture study found 84% of consumers are open to AI handling complex tasks like negotiating deals, and 37% would let an AI agent switch them away from their current brand entirely for a better fit.
Consider this today
Can YOU find you using an LLM?
Check whether your own inventory listings are clean, structured, and complete enough for an AI agent to actually compare and recommend, not just readable by a human shopper. As Jürgen Reers of Accenture put it, brands now compete for "algorithmic preference" as much as customer preference.
Shoppers Are Fine With AI Touching Your Photos. They're Not Fine With It Touching the Truth.
A new survey found 70% of consumers accept AI-enhanced staging and lighting, but altering a vehicle's actual appearance erodes trust fast. 79% trust a brand more when it simply discloses AI use, disclosure costs nothing and measurably helps.
Audi's $89K Bet to Fix a 17% Sales Slide.
Audi unveiled the three-row Q9 SUV, its new flagship, as U.S. sales fell 17% this year. Unlike BMW and Mercedes, Audi imports 100% of its U.S. product, leaving it far more exposed to tariffs, a structural disadvantage new SUVs alone may not fix.
🚘 Car Stuff
GM's new AI development platform cut prototype costs 20% on the 2027 Silverado, hitting performance targets in a third of the usual time.
Lamborghini's operating profit fell over 8% on tariffs and Middle East instability, even as revenue hit a record high.
Kia is investing $649 million to build EVs in Mexico, a direct hedge against U.S. tariff pressure.
💰 Not Car Stuff
A new airliner just set a record, flying 24 hours nonstop from Australia to France, among the longest commercial flights ever attempted.
AI companies are now recruiting electricians and carpenters by the thousands, a real sign that the AI boom's biggest labor crunch might actually be in the trades, not tech.
NASA is preparing a new small spacecraft technology demonstration mission to the Moon, testing miniaturized systems for future lunar missions.
1619: The first elected legislative assembly in the Americas, the House of Burgesses, convened its first session in Jamestown, Virginia.
1909: French chemist Eugène Schueller founded what would become L'Oréal, starting the company under the name Société Française de Teintures Inoffensives pour Cheveux.
1932: The Summer Olympics opened in Los Angeles for the first time, with 37 countries competing and the U.S. topping both the gold medal and overall medal counts.
Thanks for reading, Friend!
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