The NADA is coming!

Just a few more weeks, and then it’s time again for the pinnacle of retail automotive: the NADA, a conference organized by the American National Automobile Dealers Association. This time, the event will be held in New Orleans. I’ve lost count, but it must be at least the fifteenth time I’m attending. I never skip it, and it never disappoints…

Together with colleagues

We’re going with colleagues from Marktplaats, vibber, CARMEN Automotive BDC, #hexon Erik van den Heuvel, EuroStocks, AutoChat, and #DCDW – Digital Car Dealer Workshop – to improve the online automotive industry! Along with Johan Lammers’ large group, we’re sure to have a great time, including the traditional Friday afternoon drinks at the Holland House.

What can we expect?

I’m especially curious about the deal between Amazon and Hyundai USA. The two parties have been working for a year to shake up online automotive retail in the U.S., which is heavily regulated—especially due to the requirement for a “wet” signature on an order. Fully online purchasing never seemed entirely feasible because of this signature requirement, but now they are making big strides.

I’ve been following all interviews on the topic via CBT News (highly recommended!), and I notice that the sentiment is changing. Amazon is discovering that it’s not easy to facilitate a full transaction 100% online at a normal price. If you offer a 20-30% discount, you can even accept orders via fax… But at standard retail prices, it remains challenging.

Hyundai dealers

The Hyundai dealers working with Amazon recognize the power of the Amazon platform: the data, the engineers, the reach, and the financial resources Amazon can deploy often exceed expectations. Some Hyundai dealers are thinking about short-term sales growth but also realize they may be letting in a Trojan horse. By working with Amazon, they are teaching them how to sell cars online, and once Amazon masters that skill, they will scale it up to a level never seen before.

Where have we seen this approach before? Exactly, in China! The Germans taught the Chinese how to build cars. The result? They created their own competition—bigger, faster, and more efficient. Just keeping that in mind makes the trip to New Orleans worthwhile. I’ll keep you posted!