Vendors say study confirms adoption, trust and integration challenges
Technology providers say the Canada’s Automotive Retail Technology Study (CARTS) confirms what many have been hearing from dealers for years.
The issue is not access to technology. It is getting that technology working for them.
Nick Cossette, co-founder and CEO of Matador AI, said the study reinforces a consistent message from dealers.
“The study confirms what we hear from dealers constantly: the biggest challenge isn’t finding technology, it’s making it work,” said Cossette. “A tool that doesn’t get adopted isn’t a solution, it’s a cost.”
He said the data on satisfaction is particularly telling.
“The two biggest drivers of dealer satisfaction, solution fit and ease of use account for over half of the overall experience,” said Cossette. “Dealers don’t need longer feature lists; they need tools that slot into their workflows and actually move the needle.”
Ian Cruickshank, president and CEO of Leadbox Inc., said the findings point to something deeper than software performance.
“What stands out most is that this is fundamentally a story about human behaviour, not a technology story,” said Cruickshank. “Dealers clearly rely on trust, relationships and peer validation when making decisions.”
That reliance on trust helps explain why the study emphasizes the need for providers to demonstrate value rather than describe it.
“Dealers are telling us they learn best through experience, conversation, and seeing outcomes, not through feature lists or abstract promises,” said Cruickshank.
Marty Meadows, co-founder and chief revenue officer of Flitehouse, said the study also reflects confusion in the market, particularly around artificial intelligence.
“I call it navigating the noise of AI, specifically what is AI, what is automation and what is just a chatbot?” said Meadows. “Dealers are getting inundated with companies trying to sell them AI.”
He said the findings highlight the need for better education and clearer communication from providers.
“I took from the study that there’s more work to do from our side to educate people,” said Meadows.
Barry Hillier, co-founder of Auto Agentic AI, said the study’s AI findings reinforce that adoption is as much cultural as it is technical.
“As much as AI is a technological adoption it’s really a cultural adoption,” said Hillier. “It’s education and people that right now are far more of a barrier than the technology is.”
He said many in the industry are still approaching AI as a tool rather than a shift in how businesses operate.
“You can’t operate in the AI era with the same strategies and understanding you had in the digital era,” said Hillier.
Cruickshank pointed to a gap between belief and behaviour when it comes to AI.
“On one hand, there’s strong openness to new technology and clear evidence that people who use AI see meaningful efficiency gains,” he said. “On the other hand, a majority of end-users haven’t used it at all.”
Cossette said a similar disconnect appears between decision-makers and frontline staff.
“The gap suggests that in many cases employees are experimenting with tools like ChatGPT on their own without oversight, governance or any real strategy,” he said. “That’s a risk.”
For vendors, the study also highlights how expectations differ between established and emerging technology categories.
“In more mature categories like chat or website providers, the products themselves have largely become commoditized,” said Cossette. “The outcome is driven less by the technology itself and more by the dealer’s level of involvement and execution.”
With newer categories such as AI, he said the technology can still deliver meaningful gains, but only with proper adoption and engagement.
Rick Johnston, vice president of product management at Quorum Information Technologies, said the study provides valuable industry-wide insight.
“It’s an absolute treasure trove of where Canadian customers are today and where they feel they are going,” said Johnston.
For providers, the message is clear: success will depend less on adding features and more on reducing complexity, improving integration and helping dealers adopt technology with confidence.
The CARTS study was conducted and prepared by the Clarify Group on behalf of the Canadian Automobile Dealers Association. RBC Auto Finance is the study’s exclusive sponsor.
