NADA 2013 Convention and Expo, February 8-11, 2013, Orlando, Florida
Who’s Calling, based in College Station, Texas is a customer capture service for dealers, providing intelligence for those prospects making in-bound calls.
There was definitely a sign that the industry is in recovery mode at this year’s National Automobile Dealer Association Convention and Expo. Perhaps it depends on your viewpoint, but February in Canada is often enough to test the hardiest of souls. It’s freezing cold, there’s not much action in the showroom and people in general just aren’t in the mood to buy cars. So that’s why a trip down south the the National Automobile Dealers Association Convention and Expo, is a good use of time, both for dealers and also the vendors that provide services to them. The annual NADA Convention represents the ideal opportunity to engage, network; form new friendships and rekindle old ones. This year, dealers and industry people from all across North America and beyond, gathered for this annual event, which took place at the sprawling Orange County Convention Center, a stone’s throw from Universal Studios in Orlando, Fla. For those living in the Northeastern part of the continent, a fierce winter storm hampered travel to the Convention this year, but for those that did make it, February 8-11 proved to be the perfect opportunity, not only to experience temperate weather but to be at the centre of the latest happenings in the industry.
STAR KEYNOTE SPEAKERS
For 2013, the NADA Convention drew some stellar keynote speakers: John Krafcik, president and CEO of Hyundai Motor America, Robert M. Gates, former U.S. Secretary of Defense (under Presidents George W. Bush and Barack Obama), plus Captain Mark Kelly, astronaut, former commander of the space shuttle Endeavour and husband of former Congresswoman Gabrielle Giffords, who narrowly survived an assassination attempt. All three delivered engaging sessions, providing attendees with both insight and inspiration on a variety of different topics.
For a true hands-on experience, Chrysler’s Mopar parts and service division set up a mock dealership on the show floor.
The press conferences were well attended this year. Highly anticipated by many dealers was the findings from Phase Two of NADA’s study on the impact of factory image programs. Industry consultant Glenn Mercer said that in 2013, “the facility image program is not as painful for dealers as it was in 2010 or 2011,” partly because business conditions have improved. He emphasized the need for OEMs to provide dealers with better business cases for facility upgrades before asking them to commit and that, the current trend of building ever more expensive stores will lead to excessive and wasteful spending. Mercer said that while the current dealership model will remain intact in the future, “there is the possibility for much more efficient design of facilities,” such as looking at new methods to boost service business and relocating support services off-site.
The NADA’s chief economist, Paul Taylor provided an update on the state of the industry. He said that he expects new vehicle sales to total more than 15.4 million units in the U.S. in 2013, a bump from 2012’s 14.4 million new cars and trucks. “Pent up demand, affordable auto loans and enticing new-vehicle designs add up to a solid sales year that will outperform the overall U.S. economy,” he remarked.
Activity at Dealertrack’s NADA booth.
TIME TO INVEST
Out on the show floor, attendees we talked to said that this year’s event was good from an interest standpoint. With economic conditions improving, dealers are looking to spend and invest more in their stores than in the last few years. A big change has been the adoption of mobile devices, there were more dealers sporting them this year than in the past, an indicator that the future in many respects is likely to be portable (or at least a good portion of it). A lot more dealers also seem to be focusing on the service side of the business, a legacy it seems stemming from the Great Recession when demand for new cars and trucks plummeted and new opportunities were sought.
The show floor was busy, with more than 500 vendors exhibiting everything from CRM tools and digital marketing solutions to hoists and car wash equipment. Combined with the press conferences, dealer franchise meetings and multiple workshops there was a lot to take in. Check back with Canadian auto dealer for further coverage of this year’s NADA Convention and Expo.
