2026 • Issue 3 Official Publication of the Louisiana Automobile Dealers Association The Latest in AI and Technology
10543 South Glenstone Place, Baton Rouge, LA 70810 • 225-769-9923 • theldsgroup.com LADA'S ENDORSED F&I PROVIDER OF PRODUCTS, TRAINING AND INCOME DEVELOPMENT A FEW OF OUR 60+ TEAM MEMBERS: Keith Decell President Jason Rasti Executive Vice President Rick Barnett Director of Training Shelley Cavin Client Relations Manager Sunny Mayhall General Counsel Lee Martinez Regional Manager Dan Stowers Territory Manager Curtis Loftin Territory Manager Edward Burnett Territory Manager Alfonso ‘Fons’ Augustine Territory Manager Mustafa ‘Moose’ Mohammad Territory Manager Nick Olsen Territory Manager Brandon Choina Territory Manager
Anticipate every turn In an industry that’s always evolving, your dealership can rely on our Dealer Financial Services team’s 90 years of experience to see what’s around the corner, forward-thinking insights to prepare you, and technology to keep you ahead of the curve. What would you like the power to do?® Thomas Ballard, thomas.ballard@bofa.com business.bofa.com/dealer ©2024 Bank of America Corporation. All rights reserved. DFS-699-AD 6942528 Investment products offered by Investment Banking Affiliates: Are Not FDIC Insured Are Not Bank Guaranteed May Lose Value “Bank of America” and “BofA Securities” are the marketing names used by the Global Banking and Global Markets divisions of Bank of America Corporation. Lending, derivatives, other commercial banking activities, and trading in certain financial instruments are performed globally by banking affiliates of Bank of America Corporation, including Bank of America, N.A., Member FDIC. Trading in securities and financial instruments, and strategic advisory, and other investment banking activities, are performed globally by investment banking affiliates of Bank of America Corporation (“Investment Banking Affiliates”), including, in the United States, BofA Securities, Inc., which is a registered broker-dealer and Member of SIPC, and, in other jurisdictions, by locally registered entities. BofA Securities, Inc. is a registered futures commission merchant with the CFTC and a member of the NFA. Anticipate every turn In an industry that’s always evolving, your dealership can rely on our Dealer Financial Services team’s 90 years of experience to see what’s around the corner, forward-thinking insights to prepare you, and technology to keep you ahead of the curve. What would you like the power to do?® Thomas Ballard, thomas.ballard@bofa.com business.bofa.com/dealer ©2024 Bank of America Corporation. All rights reserved. DFS-699-AD 6942528 Investment products offered by Investment Banking Affiliates: Are Not FDIC Insured Are Not Bank Guaranteed May Lose Value “Bank of America” and “BofA Securities” are the marketing names used by the Global Banking and Global Markets divisions of Bank of America Corporation. Lending, derivatives, other commercial banking activities, and trading in certain financial instruments are performed globally by banking affiliates of Bank of America Corporation, including Bank of America, N.A., Member FDIC. Trading in securities and financial instruments, and strategic advisory, and other investment banking activities, are performed globally by investment banking affiliates of Bank of America Corporation (“Investment Banking Affiliates”), including, in the United States, BofA Securities, Inc., which is a registered broker-dealer and Member of SIPC, and, in other jurisdictions, by locally registered entities. BofA Securities, Inc. is a registered futures commission merchant with the CFTC and a member of the NFA.
A MESSAGE FROM THE PRESIDENT 6 2026 Legislative Report By Coulter McMahen, President/CEO, LADA 8 Tech Versus Tradition in F&I Operations By Jason Rasti, President, The LDS Group 9 The Hidden Drivers Behind a More Profitable Deal By Hannis T. Bourgeois 10 Mitigating AI Bias in Employee Management 10 Practical Tips for Louisiana Dealers By Brea Childs, Associate; David J. Walton, AIGP, CIPP/US, Partner; and Timothy Scott, Partner, Fisher Phillips 12 A Smarter AI Strategy for Dealership Success By Cross-Sell 15 Five Technology Gaps Costing Dealerships Customers, Control and Profit By Shawn Torres, CEO, In-Telecom 18 The Financial Benefit of Preparation By Risk Management Services LLC 20 Louisiana Auto Outlook Q2 2026 ©2026 The Louisiana Automobile Dealers Association (LADA) | MBR Connect™. All rights reserved. Up to Speed is published four times per year and is the official publication for this association. The information contained in this publication is intended to provide general information for review, consideration and education. The contents do not constitute legal advice and should not be relied on as such. If you need legal advice or assistance, it is strongly recommended that you contact an attorney as to your circumstances. The statements and opinions expressed in this publication are those of the individual authors and do not necessarily represent the views of LADA, its board of directors or the publisher. Likewise, the appearance of advertisements within this publication does not constitute an endorsement or recommendation of any product or service advertised. Up to Speed is a collective work, and as such, some articles are submitted by authors who are independent of LADA. While a first-print policy is encouraged, in cases where this is not possible, every effort has been made to comply with any known reprint guidelines or restrictions. Content may not be reproduced or reprinted without prior written permission. For further information, please contact the publisher at (801) 676-9722. 2025-2027 EXECUTIVE COMMITTEE Patton Fritze Red River Chevrolet Chairman Rand Alford Alford Motors Inc. Vice Chairman, District 15 Ryan LeBlanc Sterling Automotive Group Treasurer, District 5 Kristie M. Hebert Arceneaux Ford Immediate Past Chairwoman Lawrence S. Searcy Jr. Walker Automotive District 8 Clint Hixson Hixson Autoplex of Alexandria District 16 Mark A. Hebert Sr. Hebert’s Town & Country Ford Lincoln NADA State Director OUR TEAM Coulter McMahen President/CEO Katherine Carver Director of Events and Communications Alexandra Hughes Director of Membership Mignon LaBorde Administrative Assistant Jenny Leach Accountant CONTENTS 2026 Events Spotlight OCTOBER 27 Charity Golf Tournament The University Club Baton Rouge, LA 4
A MESSAGE FROM THE PRESIDENT 2026 Legislative Report BY COULTER McMAHEN, PRESIDENT/CEO, LADA The 2026 Regular Session is now in the books, and it was another strong year for Louisiana’s franchised new car and heavy truck dealers. Every session, our mission is the same: Protect and promote the franchise dealer model. Louisiana has arguably the strongest franchise laws in the country, and we do not take that for granted. We went to the Capitol with a clear agenda. On offense, we passed laws that protect your stores and modernize how you do business. On defense, we stopped bad ideas before they reached your showroom floor. We tracked more than 200 pieces of legislation this session, and our 2026 Legislative Session Report breaks down each measure that has a direct impact on your operations. I encourage all dealers to read the report in full and reach out to our team with any questions. None of the wins outlined in the report happened by accident. Each took months of drafting bills, testifying in committee and lobbying legislators on both sides of the aisle. I’d like to thank the legislators who carried our priority bills this session: Senator Thomas Pressly, Senator Valerie Hodges and Representative Michael Melerine. Most importantly, I’d like to thank our dealer body. The relationships you build in your communities and with your local elected officials are what make this association a powerful force at the Capitol. When dealers from every corner of the state speak up and engage in the legislative process through grassroots advocacy, legislators listen. To give the new laws time to take effect and procedures time to be established, we have postponed our Legislative Roadshow to early 2027. In the meantime, I encourage you to stay engaged with LADA throughout the rest of the year. We are already shaping priorities for the 2027 Fiscal Session and will keep you informed every step of the way. The LADA executive leadership team will travel to Washington, D.C., in September for the NADA Washington Conference, where we’ll meet with Louisiana’s congressional delegation and dealers from across the country to strengthen our voice at the national level. Our Charity Golf Tournament, taking place Oct. 26-27, will once again support the NADA Foundation’s Employee Emergency Relief Fund. With hurricane season upon us, we’re reminded of the generous support this fund has provided to Louisiana dealership employees over the years, and LADA is proud to continue giving back as a small token of our gratitude. In conjunction with the Charity Golf Tournament, members of our NextGen Dealer Program will gather at our inaugural NextGen Pickleball Social. This program continues to grow, giving rising leaders at your dealership a seat at the table in shaping advocacy and the future of our industry. Thank you for entrusting us to carry your voice to Baton Rouge, and for your continued partnership as we build a stronger future for Louisiana’s automotive industry. Bill What it does What it means for your store Effective date Offense: Priorities we drove Act 454 (SB 72) Statewide electronic lien, registration, and titling; e-signatures equal wet ink. Mandates a fully electronic ecosystem. Every transaction document, including limited and secure powers of attorney, can be e-signed and transmitted electronically once the OMV modernizes its system, on or before Jan. 1, 2028. Phased rollout Act 458 (SB 102) Confirms the association’s legal standing to act for its members. LADA can fight industry-wide issues in court on your behalf. May 29, 2026 Act 681 (HB 888) Modernizes the temporary tag and dealer plate framework. Temp tag fee stays $4 until secure print-on-demand arrives, then rises to $20; Green Tag plates used on loaners are now valid 10 days (previously 5 days). June 1, 2026 SESSION SCORECARD 6
Coalition Wins: Measures we supported with the business community SR 164 Directs the Department of Insurance to study insurer steering to favored repair shops. Spotlight on steering. Relevant to body shop and service. Report due Feb. 1, 2027 Act 766 (SB 408) Comprehensive workers’ comp reform. Modernizes the medical fee schedule. Targets comp cost drivers and builds a fairer, data-driven system. Phased rollout Act 648 (HB 456) Allows the employer or its payor to file a disputed comp claim. You can move a contested claim to resolution, not just wait. Aug. 1, 2026 Defense: Threats we eliminated or shaped to our benefit Act 751 (SB 254) Bans debit card surcharges. No surcharging on debit card transactions (already prohibited by card network rules). Cure and reimburse within 30 days of a customer’s written notice to avoid a private suit. Aug. 1, 2026 Act 570 (HB 853) Regulates misleading solicitations by nongovernment entities. Dealers are expressly exempt. Aug. 1, 2026 Act 502 (SB 386) Creates the Louisiana Data Privacy Act. Dealers are exempt via Gramm-Leach-Bliley Act (GLBA). No separate state compliance program needed. Jan. 1, 2027 HB 659 Would have banned surcharges on both credit and debit transactions. Stopped. The narrower debit-only measure, Act 751 (SB 254), prevailed instead. Did not become law HB 617 Hidden-fee disclosure mandate on goods and services. Stopped in Senate Commerce. LADA secured a dealer carve-out before the bill’s failure to pass. Did not become law Industry Impact: New laws that change how you operate Act 925 (HB 989) Raises the maximum Public Tag Agent (PTA) fee from $23 to $27 for handling registration and titling for the customer. Your customer may pay up to $27 if your PTA charges the full amount. Aug. 1, 2026 Act 701 (HB 1085) Eliminates the passenger vehicle inspection sticker. Major operational change for those offering inspections. Watch for LADA guidance on timing and emissions parishes. Jan. 1, 2027 (citation moratorium from June 30, 2026) Act 966 (HB 732) Suspends the hybrid road usage fee for non-plug-in hybrids. Suspends the hybrid road usage fee for non-plug-in hybrids. Talking point for hybrid sales. Suspension, not full repeal. Fee suspended June 24, 2026-Aug. 1, 2027 Act 691 (HB 1039) Adds fairness and due process to local sales/use tax audits. Stronger footing in parish tax audits. Fewer surprise assessments. Aug. 1, 2026 Act 577 (HB 1010) Requires standardized parish ad valorem tax reporting. A good-government measure ensuring accurate, consistent tax data. Aug. 1, 2026 7
Tech Versus Tradition in F&I Operations BY JASON RASTI, PRESIDENT, THE LDS GROUP If you attended NADA this year, you witnessed an entire section of the Las Vegas Convention Center devoted to AI solutions, all seemingly claiming to be the next savior of the auto industry. Our industry was forged from a tradition of community, personal service and relationships, and for those with deep roots in that tradition, considering the adoption of AI tools can be daunting. In F&I, we operate in an environment that requires speed, accuracy, profitability and exceptional customer service. Artificial intelligence is transforming dealership F&I operations by streamlining processes, improving accuracy and creating more personalized customer experiences. In this article, we’ll explore how AI can bolster your dealership’s F&I operations and whether today’s tech outweighs the value of tradition. ENHANCING THE CUSTOMER EXPERIENCE Your buyers expect the same level of convenience and personalization they receive from online retailers and financial Institutions. For decades, “it takes too much time” has been the most common customer complaint regarding purchasing a vehicle at a dealership. To speed up the financing process, AI-powered lending platforms can analyze customer information, credit profiles, income data and lender requirements in real time. Rather than manually reviewing multiple lending programs, AI systems can quickly identify financing options that best match a customer’s profile and prequalify them before they visit the dealership. With AI streamlining the most time-consuming steps in the financing process, F&I professionals can focus more of their time and energy on providing an excellent customer experience. INCREASING F&I PROFITABILITY The LDS Group has partnered with an AI platform that analyzes F&I professionals’ interactions with customers by scoring their presentations. This ensures all processes are performed at a high level and allows our training team to identify specific performance gaps, such as missed products, unaddressed customer objections, incomplete transitions and overzealous speech cadence. The system also provides feedback on handling customer responses, along with specialized coaching tips to improve the experience. Additionally, the platform assigns real-time training sessions with an AI-simulated customer for the sales, F&I and service departments. We look forward to continuing to learn and perfect this system so we can help dealers maximize profitability in F&I. CONCLUSION Despite the growing capabilities of artificial intelligence, it is not a replacement for F&I professionals. Instead, it arms dealerships with powerful tools that have the potential to improve process efficiency, enhance the customer experience and increase profitability. The automotive business has been, and will always be, a relationship business. The fundamentals haven’t changed; we simply have new tools at our disposal. Ultimately, you may not have to choose between tech and tradition; a blend of both can be a winning combination. 8
The Hidden Drivers Behind a More Profitable Deal While unit sales and revenue targets often take center stage, the most profitable dealerships recognize that long-term success is driven by more than volume alone. The structure, consistency and strategy behind each deal play a critical role in determining overall profitability. One of the most important but often overlooked drivers is consistency within the F&I process. High-performing dealerships typically follow well-defined, repeatable approaches to presenting financing options and protection products. This consistency not only improves customer experience but also leads to more predictable financial outcomes. Training and alignment also play a key role. Well-trained F&I teams with a strong understanding of both products and compliance requirements are better equipped to maximize opportunities within each transaction. At the same time, alignment between F&I operations and accounting functions helps ensure that financial results accurately reflect dealership activity and support better decision-making. Another distinguishing factor is the use of data. High-performing dealerships regularly track and review key performance indicators, such as profit per deal and product penetration rates, to identify trends and address issues proactively. Rather than reacting to financial results after the fact, they use this information to guide strategy and improve performance over time. What ultimately sets these dealerships apart is a more intentional approach to each deal. Rather than viewing F&I as a final step in the sales process, they recognize it as a critical component of overall profitability. This shift in perspective allows them to focus not only on closing deals but on maximizing the value of each transaction. Profitability is rarely the result of a single factor. Instead, it is driven by a combination of disciplined processes, effective training and informed decision-making. By focusing on these underlying drivers, dealerships can build a more consistent and sustainable path to strong financial performance. At Hannis T. Bourgeois, we understand the importance of aligning operational practices with financial strategy. Our team works with dealership clients to develop practical, data-informed approaches that support both day-to-day performance and long-term success. If you have questions about how these factors may be impacting your dealership, call us at (225) 928-4770 or visit htbcpa.com to connect with one of our professionals. BY HANNIS T. BOURGEOIS Since 1924 Your Business Is Our Business Glen LaBorde, CPA, CGMA Partner, Audit + Assurance Providing Dealers Across Louisiana with: Audit + Assurance Consulting Outsourced Accounting Tax Planning + Preparation Wealth Management PROUD MEMBERS htbcpa.com 9
Mitigating AI Bias in Employee Management Artificial intelligence has become increasingly embedded in hiring, promotion and employee management, thereby heightening legal risks for dealerships. From automated resume screening to video interview tools and performance analytics, AI tools can amplify bias, create disparate impact and expose organizations to regulatory scrutiny. This article covers 10 practical steps you should consider to mitigate bias and manage risk throughout the AI employment lifecycle. 1. VALIDATE BEFORE YOU DEPLOY Before rolling out any AI tool, conduct rigorous pre-deployment testing, including bias and disparate-impact audits across protected groups (e.g., race, sex, age, disability) and job categories. Require vendors to provide documentation of their own testing, accuracy data and bias audit results. Don’t assume a high statistical correlation between a model’s features and job performance means the tool is job-relevant. Always ask if the features logically relate to actual job duties. 2. MONITOR OUTCOMES OVER TIME Bias mitigation is not a one-time event. You should track demographic and performance data after hiring or promoting. If patterns of bias or disparate impact emerge, adjust or retrain the model. Regular post-deployment audits are essential to catch “drift” as new data enters the system. 3. ESTABLISH STRONG GOVERNANCE Implement clear policies for AI use, including documentation of all testing, audits and remediation steps. Maintain records of how decisions are made, which features are used and how human oversight is integrated. This documentation is critical for regulatory compliance and defending decisions if challenged. 4. KNOW YOUR FEATURES AND FILTERS Demand transparency from vendors about which resume factors or data points the model uses and which disqualify candidates. Understand the “disqualifying” features and ensure they are job-related and non-discriminatory. 10 Practical Tips for Louisiana Dealers BY BREA CHILDS, ASSOCIATE; DAVID J. WALTON, AIGP, CIPP/US, PARTNER; AND TIMOTHY SCOTT, PARTNER, FISHER PHILLIPS 10
5. AVOID BLOATED JOB DESCRIPTIONS Overly broad job postings that mix “must-haves” with “nice-to-haves” create data noise, making it harder for AI to identify true qualifications. This can lead models to weigh irrelevant factors (such as educational pedigree or resume formatting), amplifying bias. The solution is to provide cleaner, more focused job data. 6. STRENGTHEN VENDOR DUE DILIGENCE Vet vendors thoroughly. Require contractual assurances on data quality, explainability, audit access, and strict limits on data use and retention. Ensure vendors comply with privacy, notice and consent requirements, especially when tools capture biometric-like data (e.g., voice, facial movement). 7. COMPLY WITH EMERGING REGULATIONS Determine if the tool qualifies as an automated decision tool (ADT) under laws like NYC Local Law 144, California’s pending ADMT regulations, Illinois’s AI Video Interview Act or Colorado’s upcoming law. Complete required audits, notices and candidate disclosures. 8. MAINTAIN HUMAN OVERSIGHT AI should inform — not replace — human judgment. Someone in your hiring loop should review AI-generated scores or recommendations and retain authority to override automated decisions. Document when and why human intervention occurs. 9. STANDARDIZE AND ACCOMMODATE For tools like AI video interviews, standardize the experience by providing the same questions, prompts and instructions for all candidates. Provide technical guidance and offer accommodations for disabilities to avoid ADA risks. 10. ENSURE CANDIDATE TRANSPARENCY Disclose AI use to candidates and offer non-AI alternatives when possible. Transparency builds trust and is increasingly required by law. CONCLUSION We will continue to monitor developments related to AI hiring tools. Make sure you are subscribed to Fisher Phillips’ Insight System to get the most up-to-date information. If you have questions about your organization’s use of AI in recruiting or hiring, contact your Fisher Phillips attorney, the authors of this article, or any attorney in our AI, Data and Analytics Practice Group. 01MK8375 01/26 Louisiana Blue gave me a care manager who works on our behalf. She’s wonderful. With her, you feel like you have somebody in your corner. Right Card. Right Care. Central “ “ 11
A Smarter AI Strategy for Dealership Success BY CROSS-SELL Automotive dealerships set their reputations and sales success on their direct customer interactions and institutional knowledge of their core market. Even as the industry has been fundamentally transformed by digital research, retailing, and shopping options, a dealership’s subject matter expertise is as valuable as ever. In fact, according to JM&A’s 2026 Q1 Group Automotive Trends Report, dealerships that focus on providing expert insight and a consultative customer experience “create stronger outcomes for both consumers and the business.” So how can you leverage a smarter AI strategy and your own team’s expertise to produce these results in today’s competitive market landscape? The magic formula is to build upon your team’s expertise, give them high-quality data to drive further insight and ensure your AI usage and automated systems draw from this powerful dual foundation. While the formula is simple, execution is where many dealerships struggle. Even when dealerships embrace the concept of AI innovation, a haphazard approach can hurt more than help. That’s why a systematic approach is the key to unlocking a smarter AI strategy. Here are six practical steps to help your dealership realize AI’s true potential. 1. ADOPT A GROWTH MINDSET Dealerships that set themselves apart from their competitors don’t rest on their laurels. Pre-existing knowledge is a great place to build from, but it’s not enough. So, adopt a growth mindset and explore how to leverage the technology resources at your disposal to really move the needle on all aspects of dealership operations. Think broadly about AI use cases to improve efficiency, make better business decisions, educate staff and bring new insights into your regional audience’s vehicle shopping and purchasing journey. Opportunities abound to leverage AI to power dealership success. 2. MAKE A CLEAR PLAN Proceed thoughtfully and avoid chasing trends. As you explore, make sure your technology choices support your dealership’s expertise-first strategy. As professional services firm Citrin Cooperman reported in their 2026 Dealership Outlook, “Dealers that modernize their operations, manage risk thoughtfully and align strategies with real-world consumer behavior will be better positioned than those pursuing every trend without a clear plan.” 3. BOLSTER EXPERTISE WITH DATA-DRIVEN INSIGHTS We at Cross-Sell, a DataOne company, have seen first-hand the powerful boost that comes from enhancing dealership expertise with market-specific vehicle sales insights. Dealerships that want to position themselves as trusted advisors to consumers need to have real visibility into their region’s vehicle sales trends. Cross-Sell Reports represents a great pathway to implementing and supporting a consumer experience powered by expert insights and education that customers value. Easily configured to specific markets, dealerships accessing Cross-Sell Reports benefit directly by engaging with dynamic visuals illustrating vehicle sales by both region and VIN-level vehicle detail. This deeper level of responsiveness works to produce a greater understanding of dealership markets without additional manual setup. 4. UNDERSTAND THE STRENGTHS AND PITFALLS OF AI IN DEALERSHIP OPERATIONS Effective, profit-driving modernization is much easier said than done, as many dealerships encounter challenges incorporating AI tools into their everyday processes. If your dealership is struggling to gain value from AI, you are not alone. Lotlinx recently surveyed over 200 dealership executives and found that 66% of respondents were not confident that AI models such as ChatGPT understood their business. A staggering 84% reported they “often” or “always” failed to get what they needed from AI. Why are so many dealerships failing to get what they need from AI? One reason apparent from the survey is that the most common uses of AI identified by respondents are often those where a surface-level approach, uninformed by dealership-specific expertise and data, falls short. Most often, the problem is not the AI tool itself, but a lack of investment into an AI strategy. The foundational rule of ChatGPT, Claude, Gemini and other AI platforms is that they are only as good as the information you feed them. Intermittent, ad-hoc AI usage that’s specific to isolated tasks will not enable the software to gain a true understanding of your operations and strategic goals. These programs need to consume the acquired expertise that your dealership team has amassed over the years in an organized, documented format that can be easily consumed. Additionally, AI prompting needs to be repeatedly tested in a structured fashion until productive outcomes are consistently discovered. 12
With a smarter AI strategy, your dealership can set a turnkey approach to greater customer satisfaction and business success. Digital Dealer reinforces the idea of AI serving as an advisor and a partner rather than a purely transactional relationship, declaring, “The danger is not AI itself. The danger is dealerships attempting to use AI to replace people instead of strengthening people. Technology should enhance human capital — not eliminate it.” Dealerships that can shift away from ad-hoc uses and toward an intentional AI strategy grounded in building upon their own expertise will reap the rewards. Thoughtful AI investments can bring more efficient dealer operations, more informed and expert employees, and a more positive, reputation-building customer experience. 5. ESTABLISH A PRODUCTIVE AI DIALOGUE WITH YOUR MARKET INTELLIGENCE Where do dealerships see untapped potential for AI? The Lotlinx survey revealed a broad demand among dealers for inventory-specific AI advisors. Their most critical need is a greater understanding of their data and inventory risk. To address just this need, we’ve seen innovative dealers integrating Cross-Sell’s in-depth data, focused on region-specific market conditions, directly into their AI-based technology stack. Ensuring your AI strategies are informed by in-depth market data is a useful pathway to fast, workable insight supporting your vehicle merchandising strategy. Cross-Sell data is designed to be extracted and fed to other platforms easily. Using this vehicle sales data as the basis for a productive dialogue with an AI tool can save significant time in identifying valuable takeaways during the data review process (such as vehicle-specific sales spikes or anomalies). Other patterns, such as which lienholders are used most frequently, concentrations in buyer activity or sales referral sources, can also be surfaced more easily during AI conversations to drive stronger partner relationships or adjust promotional budgeting. This combination of robust market reporting, a dealer’s own market expertise and a fully informed AI assistant expedites the confident decision-making around inventory management and risk exposure, addressing critical concerns for many dealers. 6. SET A TURNKEY APPROACH TO GREATER CUSTOMER SATISFACTION Dealerships in 2026 connect best with their customers by presenting a confident, organized and educated positioning on vehicle sales trends in their online storefront and on-the-lot customer engagements. Success in developing that positioning and unlocking powerful operational advantages will be rooted in the ability to craft a sustainable process for sourcing and applying insight from both their firsthand knowledge and their market’s vehicle sales data, with AI as a powerful multiplier. Cross-Sell Reports have been developed to make integration easier within a dealer’s AI framework and can work to optimize the ongoing interpretation of a dealership’s market intelligence, reducing the time needed to uncover profit-driving and relationship-building opportunities within your market. With a smarter AI strategy, your dealership can set a turnkey approach to greater customer satisfaction and business success. Cross-Sell, a DataOne company, is a provider of interactive vehicle sales data through its Cross-Sell Reports. If you are interested in learning more about Cross-Sell’s approach to modernizing vehicle sales intelligence to help dealers drive new sales milestones and increase market share, visit cross-sell.com or call (800) 369-5870. 13
Five Technology Gaps Costing Dealerships Customers, Control and Profit BY SHAWN TORRES, CEO, IN-TELECOM Dealerships do not need more technology. Most already have plenty of it. They have a phone system, a DMS, CRM, cameras, access control, computers, Wi-Fi, cybersecurity tools and a long list of vendors responsible for different pieces of the operation. The problem is not a lack of technology. It is a lack of ownership. When systems are disconnected, calls go unanswered. Customer information gets trapped inside conversations. Security footage is reviewed after the damage is done. Managers lack visibility across departments and rooftops. When something fails, three vendors point fingers at one another while the dealership absorbs the cost. That is what dealership leaders should be watching. The next stage of automotive technology is not about adding another tool. It is about gaining greater control over the customer experience, the operation and the risks surrounding the business. That challenge becomes especially clear as dealerships add locations, inherit systems and rely on more vendors. In this article, we’ll look at five areas where improvements in visibility, consistency and ownership of critical technology can make all the difference for your dealership. 1. TECHNOLOGY SHOULD BE STANDARDIZED ACROSS ROOFTOPS Acquiring or opening another dealership creates an immediate technology challenge. The new rooftop may have a different phone provider, internet connection, camera platform, access control system, cybersecurity setup and IT company. It may also have outdated equipment, undocumented processes and user accounts that were never properly removed. Leadership inherits all of it. Allowing every location to operate independently may seem easier in the short term, but fragmentation becomes expensive as the group grows. It creates inconsistent customer experiences, uneven security standards, duplicate expenses, difficult reporting, slower employee onboarding and confusion over who is responsible for each system. Growing dealer groups need a technology standard. That does not mean every rooftop must become identical overnight. It means leadership should establish clear expectations for communications, cybersecurity, access, video, networks, support and reporting. There should be a repeatable process for bringing a location into the group, assessing its risks, assigning ownership and moving it toward the organization’s standard. 15
The same principle applies to vendors. When the phones, network, computers, cameras, access control, and cybersecurity are managed separately, problems do not stay neatly within vendor boundaries. A call-quality issue may involve the phone platform, local network, internet connection or firewall. A camera outage may be caused by power, cabling, connectivity, credentials or hardware. The dealership should not have to manage the investigation. Your technology partners should own the outcome. 2. CYBERSECURITY SHOULD BE AN EXECUTIVE RESPONSIBILITY Cybersecurity cannot be delegated entirely to the IT department or an outside provider. It affects customer data, employee information, financial operations, communications, service scheduling, payment systems and the dealership’s ability to operate, all of which make cybersecurity a leadership issue. Dealerships are complex environments with numerous users, vendors, devices, applications and integrations. Every connection creates value, but it can also introduce risk. Strong cybersecurity requires more than installing software. It requires ongoing management and clear standards for things like: • Who can access critical systems • Whether former employees are removed promptly • Whether multi-factor authentication is consistently enforced • Whether devices are monitored and updated • Whether backups can actually be restored • How employees are trained to recognize threats • Who takes control during a security incident • How third-party vendors are evaluated A dealership should have one clear answer when leadership asks, “Who owns this?” The worst time to determine responsibility is after an incident. Cybersecurity is strongest when the people, policies, network, communications and physical environment are managed as parts of the same operation — not as unrelated technical projects. 3. CALLS SHOULD NEVER BE MISSED Dealerships invest heavily in advertising, inventory, websites, lead platforms and business development. Then a customer calls, only to be placed on hold, transferred incorrectly, sent to voicemail or disconnected. That customer rarely waits patiently for a return call. They call the next dealership. The phone remains one of the most important entry points to a dealership. Customers call to confirm inventory, ask about financing, schedule service, check on a repair, order a part or speak with someone they already know. Every one of those calls has value. Dealer leadership should know: • How many calls go unanswered • How long customers wait • Where callers abandon the process • Which departments miss the most opportunities • Whether promised callbacks actually happen • How calls are handled differently between employees, departments and rooftops Traditional phone reports only reveal part of the story. They can show that a call occurred, but not necessarily why the customer called, what was promised, whether the issue was resolved, or whether the conversation created or lost an opportunity. That information should not remain buried in call recordings. 4. AI SHOULD PROTECT THE CUSTOMER EXPERIENCE There is no shortage of AI hype. Dealership leaders should be far more interested in practical results, and one of the clearest applications is an AI-powered virtual receptionist. A virtual receptionist can answer calls when employees are busy, departments are closed or call volume spikes. It can handle routine questions, route calls, collect information, schedule appointments and initiate follow-up workflows. That does not eliminate the human side of the dealership. In fact, it protects it. Your strongest employees should spend their time helping customers, solving problems and closing sales, not repeatedly answering questions about operating hours or transferring callers between departments. The standard should be simple: Every caller receives a prompt, professional and useful response. That standard becomes harder to maintain across multiple departments and rooftops. Staffing changes. Call volume fluctuates. Service gets overwhelmed. Sales teams are on the lot. Employees handle the same situation differently. A properly built virtual receptionist creates consistency without forcing every interaction into a rigid script. It supports the staff, fills service gaps and helps ensure that customers are not ignored because the dealership is busy. AI should not make a dealership feel less personal. It should prevent operational pressure from making the dealership less responsive. 5. CAMERAS SHOULD TELL YOU WHAT IS HAPPENING NOW Most dealerships have cameras, but that doesn’t always mean those cameras provide usable intelligence. Traditional surveillance systems are primarily investigative. An incident occurs, someone reports it, and an employee begins searching through recorded footage to determine what happened. That is better than having no record, but it is still reactive. 16
What will tomorrow look like? hubinternational.com Scan the QR code to learn more. It may not be what you expected. With HUB, you have a partner who is committed to supporting and protecting you, assisting to align business and personal goals to protect your profits and drive organizational vitality and resilience. Risk & Insurance | Employee Benefits | Retirement & Private Wealth David W. Alligood, Senior Vice President Office: 225-218-2410 david.alligood@hubinternational.com Dealerships have large inventories, open lots, customer vehicles, service bays, parts departments, employee-only areas and multiple entry points. Leadership needs to know when something unusual is happening now, not the next morning. AI security intelligence combines video surveillance and access control with real-time detection and alerts. It can help identify loitering, unauthorized access, unusual activity, and abnormal movement during the event. It can also make recorded footage easier to search by time, location and activity. The goal is not to flood managers with more notifications. It is to direct their attention toward activity that may require a response. Security should help a dealership answer three questions quickly: • What is happening? • Does it matter? • Who is responsible for responding? A camera system that only records evidence is incomplete. Modern security should improve awareness, accountability and response time. YOU NEED MORE CONTROL, NOT MORE TOOLS High-performing dealerships are not adopting technology simply because it is new. They are using it to establish higher standards. Every customer call should be handled. Every important conversation should produce insight. Every rooftop should operate under clear expectations for technology and security. Every suspicious event should be easier to detect and investigate. Every critical system should have an accountable owner. That is the technology shift dealership leaders should be watching. AI will continue to change how calls are handled, conversations are analyzed and facilities are protected, but technology itself is not a strategy. The best strategy for dealership tech is to build an operation that is responsive, visible, secure and prepared to grow. 17
THE FINANCIAL BENEFIT OF PREPARATION BY RISK MANAGEMENT SERVICES LLC Workplace injuries are an inherent risk, and the efforts made to reduce that exposure may not protect you fully from the financial impact that results should an injury occur. While one hopes that an accident never happens, preparing in advance can significantly limit the overall impact. Organizations that take a proactive approach to injury management by implementing policies and procedures, preparing documentation, establishing medical partnerships and coordinating return-to-work programs are better positioned to control both the immediate and long-term costs associated with workplace accidents. Without a clear and organized claims process, organizations may face delays in reporting and medical care, which can also delay the employee’s return to work. When policies and procedures are unclear, confusion can follow and may impact employee morale and expectations regarding the claims process. In addition, it may result in lost productivity, as resources are pulled to manage reporting requirements, coordinate medical treatment and address staffing needs during an employee’s absence. Minimizing these expenses and their impact on day-to-day operations begins before the accident occurs by establishing a defined process that runs from initial reporting through the employee’s return to work. WHAT CAN YOU DO TO PREPARE? • Establish an internal policy that outlines the designated points of contact responsible for receiving and reporting workplace injuries on behalf of the organization. • Ensure required accident reporting and investigation forms are accessible to those responsible for claim reporting by creating a claims reporting binder that includes all necessary forms, along with key contact information for management, after-hours medical clinics, insurance representatives and other relevant contacts. • Develop an accident investigation policy that outlines accident reporting requirements, including witness statements, supervisor investigation reports, and procedures for reviewing and retaining video footage of accidents. • Establish relationships with occupational health providers in your area to review your workplace needs, including post-accident drug testing, availability of modified duties and insurance billing procedures. • Implement a modified or light-duty return-to-work program for employees involved in work-related accidents. Preparation serves as a proactive financial strategy that protects both the employee and the organization by establishing a structured response in the event of an accident. This helps reduce reporting delays and uncertainty about medical treatment, which in turn can shorten claim duration and reduce overall claims costs. PAID ADVERTISEMENT 18
A TRADITION OF SERVICE AND SUPPORT SINCE 1998! Risk Management Services (RMS) has proudly served Members of the Louisiana Automobile Dealers Association Self-Insurers’ Trust Fund (LADA-SIF) since 1998. Our knowledgeable and dedicated team works closely with Members to provide a full range of services, including Claims Administration, Loss Prevention, Accounting, Underwriting & Policy Services. RMS is committed to helping Members manage risks efficiently and effectively by providing practical health and safety recommendations. For nearly 30 years, Risk Management Services has built lasting relationships with Members of the LADA-SIF by delivering dependable support, industry expertise, and responsive service at every level. The RMS team takes pride in being a reliable resource for guidance, problem-solving, and day-to-day operational support, helping LADA-SIF Members navigate challenges with confidence. If your dealership is interested in becoming a member of the LADA-SIF, we welcome the opportunity to answer questions and discuss coverage options and benefits. To learn more about membership, contact Jean Robért at 1-800-351-RISK (7475) or by email at JRobert@RMSLA.com. Claim Reporting and Investigation Medical Oversight Return to Work Coordination Legal Oversight Evaluation of Exposures Financial Oversight CLAIM SERVICES Receiving, Posting, & Depositing of Premium Payments Daily Claims Check Procedures Reporting Dividend Distribution ACCOUNTING SERVICES Loss History & Claims Review Site Surveys Identify High Risk Hazards Corrective Action Follow-Up Accident Trend Analysis Reporting & Recordkeeping Guidance LOSS PREVENTION SERVICES Customer Service Addressing Inquiries Certificates of Coverage Year End Audits Manage Endorsement Changes UNDERWRITING & POLICY SERVICES 19
157,777 160,065 171,146 171,300 2023 Actual 2024 Actual 2025 Actual 2026 Forecast Second Quarter 2026 Released July 2026 Market Summary Forecast for State New Retail Light Vehicle Registrations UP 4.2% vs. ‘22 UP 1.5% vs. ‘23 UP 6.9% vs. ‘24 DOWN 0.1% vs. ‘25 Louisiana Auto Outlook Coverage of the Louisiana new vehicle market TM Domestics consist of vehicles sold by GM, Ford, Stellantis (excluding Alfa Romeo and FIAT), Tesla, Rivian, and Lucid. Other Asian includes Genesis, Hyundai, Kia, and VinFast. Data sourced from Experian Automotive. The graph above shows annual new retail light vehicle registrations from 2023 to 2025, and Auto Outlook’s projection for 2026. Historical data sourced from Experian Automotive. YTD '25 YTD '26 % Chg. Mkt. Share thru June thru June '25 to '26 YTD '26 TOTAL 85,476 84,532 -1.1% Car 12,555 13,202 5.2% 15.6% Light Truck 72,921 71,330 -2.2% 84.4% Domestic 42,503 39,730 -6.5% 47.0% European 5,363 4,595 -14.3% 5.4% Japanese 27,797 28,995 4.3% 34.3% Other Asian 9,813 11,212 14.3% 13.3% FORECAST State New Vehicle Market Predicted to Increase Slightly in 2nd Half of Year Year-to-date results in state market Louisiana new retail light vehicle registrations declined by just 1.1% during the first six months of this year versus a year earlier, better than the 6% drop in the nation. Second quarter registrations this year were up 1% compared to 2Q ‘25, an improvement from the 3.4% drop in the First Quarter. Factors steering the new vehicle market It might sound like a broken record because we have been emphasizing it for a long time, but pent-up demand resulting from delayed purchases during the pandemic will continue to support the market for the foreseeable future. The vehicle fleet continues to age, and as a result, replacement demand will place a floor on how low sales can go - which is a good thing because other key determinants are pointing to a softening market. Affordability issues continue to keep many prospective purchasers on the sidelines. Relatively high interest rates, elevated vehicle transaction prices, and stagnant real personal incomes have made a new vehicle purchase a stretch for many consumers. Increasing costs and inflationary pressures resulting from tariffs, higher gas prices, and an uncertain economy are other headwinds. It’s a complicated forecast scenario, and there is heightened uncertainty due to changing federal government policies and geopolitical events, but it seems likely that the new vehicle market will drift lower this year, while avoiding a significant decline. Forecast for rest of this year New retail registrations in the second half of this year are predicted to increase slightly versus year earlier. Third quarter results should be about even compared to 3Q ‘25, while an increase is possible in the fourth quarter. Annual registrations this year are predicted to exceed 171,000, essentially unchanged vs. ‘25. Tracking alternative powertrain sales Battery electric vehicle registrations declined 4% during the first half of this year versus year earlier, but there were signs that the slide in BEV sales may be subsiding. BEV market share fell from 3.0% in 3Q ‘25 (before expiration of the federal government tax credits), to 1.8% in the first quarter of this year, but then increased to 2.2% in the second quarter. Hybrid vehicles continued to post gains, with registrations improving 8% in the first half of this year and market share reaching 9.5%. Monitoring brand sales performance State new vehicle registrations for Tesla, Nissan, Kia, Toyota, Ram, and Jeep increased so far this year versus year earlier. Ford, Chevrolet, Toyota, Honda, and GMC were top selling brands (see page 4). Based on a comparison to U.S. market share, GMC, Nissan, Ford, Kia, and Chevrolet are strong performing brands in the Louisiana market (see page 5). 20
Page 2 Louisiana Auto Outlook 8.5% 0.1% -3.4% 1.0% 5.6% -4.7% -8.0% -4.2% Q3 '25 Q4 '25 Q1 '26 Q2 '26 State U.S. 43,900 45,081 2Q avg. ('21 to '25) Q2 '26 Louisiana Auto Outlook Published by: Auto Outlook, Inc. PO Box 390, Exton, PA 19341 Phone: 610-640-1233 EMail: autooutlook@icloud.com Editor: Jeffrey A. Foltz Information quoted must be attributed to Louisiana Auto Outlook, published by Auto Outlook, Inc. on behalf of the Louisiana Automobile Dealers Association and must also include the statement: “Data sourced from Experian Automotive.” At Auto Outlook, we strive to provide sound and accurate analyses and forecasts based upon the data available to us. However, our forecasts are derived from thirdparty data and contain a number of assumptions made by Auto Outlook and its management, including, without limitation, the accuracy of the data compiled. As a result, Auto Outlook can make no representation or warranty with respect to the accuracy or completeness of the data we provide or the forecasts or projections that we make based upon such data. Auto Outlook expressly disclaims any such warranties, and undue reliance should not be placed on any such data, forecasts, projections, or predictions. Auto Outlook undertakes no obligation to update or revise any predictions or forecasts, whether as a result of any new data, the occurrence of future events, or otherwise. KEY TRENDS IN LOUISIANA NEW VEHICLE MARKET STATE MARKET VS. U.S. Louisiana DOWN 1.1% U.S. DOWN 6.0% Data sourced from Experian Automotive. QUARTERLY RESULTS Data sourced from Experian Automotive. % Change In New Retail Market YTD ‘26 thru June vs. YTD ‘25 New retail light vehicle registrations in Louisiana declined by just 1.1% during the first six months of this year versus year earlier, much better than the 6.0% fall in the Nation. QUARTERLY TREND Percent Change in Registrations vs. Year Earlier QUARTERLY PERSPECTIVE 2Q ‘26 Registrations Versus 2Q Average for Previous Five Years The state market improved in 2Q ‘26 vs 2Q ‘25, while the U.S. market declined. 2Q ‘26 registrations were above the previous five year average. 21
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