TOGETHER WITH:
Howdy, Fam!
Would your customer ditch you for better tech?
A new McKinsey survey found nearly 1 in 4 shoppers would switch brands entirely for better driver-assistance technology, and younger buyers are even more willing to walk away from a favorite brand for it. Design and prestige aren't holding the line the way they used to.
Also in today's email:
The move worth making before a customer asks about the next Luminar-style supplier collapse
Why a 7.1 earthquake in Japan might hit your inventory before it hits the headlines again
A surf foilboard double backflip that's breaking the internet today
Keep Pushing Back,
—Chris with Paul, Kyle & Kristi
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A Quarter of Shoppers Would Ditch Their Favorite Brand for Better Tech
A new McKinsey survey of over 20,000 mobility users found technology, not brand loyalty, increasingly wins or loses a sale. Nearly a third of buyers plan to delay their next purchase, and 45% are considering a cheaper vehicle. About 1 in 4 would switch brands entirely for better driver-assistance tech, and younger buyers are far more willing to walk away from a favorite brand for it.
Want the full conversation?
🎙️ Listen to today's Automotive State of the Union episode for the complete discussion.
Show Them the Phone Trick, Don't Just Tell Them
Design and prestige are losing ground to software and ADAS, exactly what premium brands have leaned on to justify price. Don't describe phone integration in the abstract. Physically pair the customer's phone during the test drive and let them experience it directly, the same shift Bluetooth pairing went through years ago.
What This Means for Your Store
Train your sales team to run this demo live, every time, especially with buyers under 45. If you sell a premium brand, this matters even more.
Amplify 2026 Is 11 Days Out, and Registration Is Still Free
Reynolds and Reynolds has a seat open for dealership operators.
Amplify 2026 runs August 10-11 at the Park Hyatt Aviara Resort in Carlsbad. Dealership employees can still register for free; all they have to do is show up.
The lineup includes featured speakers like Steve Greenfield and Jeff Swickard, Rey workshops by department, a golf outing at Aviara's Palmer-designed course, and plenty of built-in networking with peers across the expo floor.
The Automotive Amplifiers Contest returns too, judged this year by our own Michael Cirillo of Dealer Playbook and Flex Dealer. Complimentary hotel rooms are limited.
When a Supplier Fails, the Customer Still Shows Up at Your Store
Volvo discontinued lidar entirely across its EX90 and ES90 after supplier Luminar went bankrupt; hardware was still installed, just permanently inert, with customers getting cash compensation instead.
This isn't a Volvo problem. It's a preview: any dealership can land here the moment a customer-facing feature depends on one outside supplier who fails.
Consider this today:
Assume a customer has seen this news and will ask which feature on your brand’s models could someday be knocked out by a third-party bankruptcy. Have an answer before they ask.
A 7.1 Earthquake Hit Japan.
Toyota and Nissan report no major plant damage near the Kyushu quake, but supplier disruptions in this manufacturing-dense region tend to surface weeks later. If you carry Toyota, Lexus, Nissan, or Infiniti, worth flagging with your inventory team now.
Mercedes Is Betting U.S. Growth Can Outrun China Losses.
Global sales fell 7% in H1, driven by a 30% China slide, while U.S. sales rose 10%. Mercedes targets 400,000 U.S. sales by 2030 and will build the GLC in Alabama to cut tariff exposure.
🚘 Car Stuff
BYD launched a mini EV in Japan under $12,500 after subsidies, a real test of whether Chinese automakers can finally crack a market they've struggled in since 2023.
Saudi Prince Alwaleed disclosed a 5% Lucid stake, shares up 25% on sentiment alone, a passive filing, not new capital.
California loosened proposed tire efficiency rules after pushback, pushing the timeline back to 2029.
💰 Not Car Stuff
Someone just landed the world's first-ever double backflip on a surf foilboard, a genuinely wild first for the sport.
Apple is reportedly partnering with Klarna to let customers lease iPhones for $17.99 a month, a notable shift toward subscription-style device ownership.
Games Workshop brought in director Mike Flanagan to help build out Henry Cavill's Warhammer 40,000 cinematic universe, with the script phase starting next.
1836: The Arc de Triomphe was formally inaugurated in Paris, commissioned by Napoleon to commemorate the victories of the French army.
1958: President Dwight D. Eisenhower signed legislation establishing NASA, in direct response to the Soviet Union's launch of Sputnik the year before.
2005: Astronomers formally announced the discovery of Eris, initially believed to be a 10th planet before later being reclassified as a dwarf planet.
Thanks for reading, Friend!
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