Industry Insights – November 2025

November brought a noticeable cool down in the market after the tax-credit–driven EV rush earlier in the fall. Here’s what you need to know:

Market Snapshot

New-vehicle sales: Down about 8% YoY, with SAAR around 15.7M.

Retail sales: Slight decline, showing softer showroom traffic and more price-conscious buyers.

EV performance: Demand dropped sharply for several OEMs now that federal EV tax credits are gone. Some brands saw 50–60% YoY EV declines.

Pricing trends: Average transaction prices have stabilized and, on some models, softened as incentives shift.

Consumer behavior: More buyers are turning to used/CPO options because of payment pressure and rising loan terms.

What This Means for Dealers

Expect fewer EV walk-ins unless customers are focused on long-term cost savings versus incentives.

Used and CPO are major opportunities — promote trade-ins, guaranteed appraisals, and monthly-payment-focused marketing.

Inventory strategy is key: EVs and certain trims may sit longer; hybrids and affordable SUVs continue to move.

Payment flexibility wins: Bi-weekly payment options, longer terms, lease offers, and transparent TCO comparisons help convert hesitant buyers.

Service is the stability pillar: With sales softening, service retention becomes the most dependable revenue stream.

Why a Custom-Branded Loyalty Program Matters Right Now

As demand cools and affordability tightens, your dealership’s biggest advantage is customer retention, not one-time sales. A strong loyalty program helps you:

• Keep customers returning to your service drive instead of independents.
• Increase repeat sales and trade-in cycles.
• Build predictable revenue even when monthly sales fluctuate.
• Differentiate your dealership with a branded experience your competitors can’t replicate.

In a softer market, loyalty isn’t optional — it’s the best way to stabilize revenue and finish the year strong.

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