🚗 Scout’s Colorado Win Signals a Bigger Shift

TOGETHER WITH

Happy New Year, Friend!

Before we talk about Scout, December, Mexico, and 2026 strategy, I want to share for the More Than Cars team that we’re thrilled to spend another year with this community.

Since our merger, the meetings, calls, and conversations have circled one thing:

Stewarding your trust well, with work that’s clear, durable, and actually moves the needle.

So that each creative partnership, every podcast, and all these morning emails lead to more thriving for your business, and further solidify retail auto as an industry worth fighting to get into.

I can’t wait to see what this year holds for the whole community.

Join us this morning for a look back on the year with Paul and Kyle.

Keep Pushing Back
-Chris with Paul, Kyle & Kristi

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TOGETHER WITH VEHICLES FOR CHANGE

2 Cars and $10K!

“At Vehicles for Change, we’re changing lives and impacting generational poverty, and that’s what it’s all about.”

Back at ASOTU CON 2025, we saw the heart of the auto industry on full display as Vehicles for Change gifted cars to two deserving families, proving what reliable transportation can unlock.

Each vehicle’s trunk was full of fun and needed things. And the event participants raised another $10k auctioning a custom MTC guitar by Shreds.

Want to change a life? Donate a vehicle or give today at VehiclesForChange.org.

THE NEWS

Direct Sales, New Vehicle Demand, Tariffs, and 2026 Strategy

Direct-to-Consumer Sales Expand as Scout Wins Colorado License

Colorado’s decision signals how fast the rules are evolving as new brands build retail models from scratch.

Scout Motors (Volkswagen-backed) secured a license to sell directly to consumers in Colorado after regulators determined Scout is not the same-line manufacturer as Volkswagen, Audi, or Porsche. Dealers should track the legal implications closely, because other OEMs will study this playbook.

At the same time, Scout is working hard to frame its approach as a clean-sheet rebuild designed around trust and transparency, not a shot at dealer partners. In our conversation with Ryan Decker, Scout’s VP of Brand and Strategy, he emphasized discipline, community, and a customer-first sales model built around transparency.

Colorado is a signal worth tracking, especially as customer-first arguments become a bigger part of how these models are defended.

December New Vehicle Sales Forecast Drops While Transaction Prices Hold

When the customer relationship becomes the battlefield, softer demand makes every lead, trade, and close more expensive.

J.D. Power and GlobalData project for December:

• Total new-vehicle sales: 1.454M (–7.5% YoY)

• SAAR: 15.9M

• Avg. retail transaction price: $47,104 (+1.5% YoY)

Volume pressure is real, the margin story is uneven, and affordability continues to squeeze buyer confidence.

Treat this as “higher cost per opportunity,” and tighten speed-to-lead and closing process accordingly.

Trade and Tariff Pressure Is Back as Mexico Raises Duties on Chinese Imports

When volume tightens, supply and cost conditions matter more, and geopolitical moves start showing up in real operational ways.

Mexico’s new tariffs (many up to 35%) on imports from non-FTA countries, including China, take effect Thursday and cover vehicles and auto parts. This is another sign that 2026 could bring policy-driven volatility as North American trade alignment intensifies ahead of USMCA dynamics.

Even if you don’t feel it immediately, automaker sourcing and parts pricing often do.

Monitor parts cost pressure and OEM allocation behavior, not just retail incentives.

2026 Will Reward Dealers Who Build Clarity and Acquisition Systems Early

In a world where trust and convenience are being algorithmically scored, operational clarity becomes a real competitive advantage.

In our conversation with Cars Commerce’s Brian Kramer: 2026 is about clarity.

Used supply is rising, but the mix will be shaped by the COVID-era production trough. Off-lease and fleet activity mean used EV inventory is coming either way. Winning dealers are shifting from conversion tricks to appraisal volume: if you sell 100 cars, you should be appraising closer to 200, and automation is the only way to keep up. AI search is also fact-checking dealer sites against third-party sources, so vague claims and messy CTAs can reduce visibility.

Audit your appraisal pipeline and your website promises this week. If the experience is unclear, the algorithm and the customer will both move on.

The throughline is control: trust, acquisition, and operational clarity will decide who wins when the rules and the market stay uneven.

AROUND THE ASOTU-VERSE

Dealer Conferences and Industry Events (2026)

• January 22: Public Policy Day, D.C. Auto Show, DC

• February 3-6: NADA Show 2026, Las Vegas, NV

• May 12-15: ASOTU CON 2026, Hanover, MD

Trends for Dealers to Know

• Chinese brands are proving they can pivot faster than legacy OEMs when rules change. 🇨🇳 

• Tesla’s data opacity is becoming part of the story as global sales ranking claims are harder to validate, and analysts rely on registration estimates. 📈 

• Comerica’s 2026 Small Business Pulse Index shows strong optimism heading into 2026, with about 80% of owners confident and 79% expecting sales growth, even as inflation and tariffs remain top concerns. 😊 

Today in History

• 45 BC — The Julian calendar takes effect as the civil calendar of the Roman Republic, establishing January 1 as the new date of the new year.

• 1773 — The hymn that becomes known as "Amazing Grace", previously titled "1 Chronicles 17:16–17, Faith's Review and Expectation", is first used to accompany a sermon led by John Newton in the town of Olney, Buckinghamshire, England.

• 1942 — The U.S. ordered a freeze on civilian auto production to support World War II, leading to a full shutdown by February 22 and the rise of “blackout cars” built with painted trim instead of chrome to conserve critical materials.

I’ve heard people always overestimate what they can accomplish in a week and underestimate what they can accomplish in a year. Today is a tidy day to start measuring what you can accomplish in a year. 😀