2025 ISSUE 2 THE OFFICIAL PUBLICATION OF THE VIRGINIA AUTOMOBILE DEALERS ASSOCIATION Supporting Pro-Dealer, Pro-Business Candidates in ‘25
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©2025 Virginia Automobile Dealers Association (VADA) | The newsLINK Group LLC. All rights reserved. Virginia Auto Dealer is published four times per year by The newsLINK Group LLC for VADA 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 VADA, 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. Virginia Auto Dealer is a collective work, and as such, some articles are submitted by authors who are independent of VADA. 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 (855) 747-4003. CONTENTS 2025 PUB. 6 ISSUE 2 Virginia Automobile Dealers Association A MESSAGE FROM PRESIDENT AND CEO DON HALL 4 Selling Cars, Trucks and Optimism No Matter What 6 VADA Buyer’s Order Updates & Lease Order Introduction 9 VADA Executive Committee Meeting AUTOMOTIVE NEWS 10 Dealers Defend Our Industry 10 VADA Live: Insights, Education and Training 11 Virginia Vehicle Sales Trends Q1 2025 12 Driving Change With Grasstops Advocacy 13 VADA Mid-Year Legal & Legislative Update 18 8 14 14 Are “Main Street” Businesses in Local Economies Dead? The Role of Franchised Auto Dealerships 16 How Payments Are Powering Digital Transformation in Auto Retail By Truist Dealer Services 18 Virginia Dealers Shifting Gears for Good 21 VADA 2026 22 Leadership 23 Thank You VADA Allied Members 24 Thank You VADA Program Partners 26 VADA PAC United as One for the Franchise System Cover photo: (L-R) VADA Chair Dan Banister, Virginia gubernatorial candidate Abigail Spanberger, 86th District candidate Virgil Thornton Sr., VADA President and CEO Don Hall and Virginia House Speaker Don Scott. vada.com 3
Selling Cars, Trucks and Optimism No Matter What Maybe we just need to get our heads around the idea that all times these days are “unprecedented.” I’m tired of tariff talk if I’m being honest. The news shifts so often that the details and the question of impact are hard to follow. We’re well aware that tariffs will drive up prices and make a bad problem worse. But what’s the on-the-ground reality? Talking with dealers statewide, it’s clear they are adapting and planning as best they can for volatility. But in other ways, this is business as usual. Sometimes, they have to reassure consumers amid a murky policy landscape. Tariffs aren’t killing sales yet. Virginia registrations were up in April over a year earlier, and hybrids continue to grow in popularity as BEV sales remain flat. Parts teams are the ones bracing for the initial impact. The challenge is the uncertainty. “It’s been a wild ride through the ideological car wash,” says Tim Pohanka, VADA PAC chairman with the Pohanka Automotive Group. “You’ve got two camps: the political and the apolitical. The political folks come in hot. Depending on the day and their mood, our tariff ads have made me everything from a mouthpiece for the administration to a secret agent for the opposition. Apparently, I’m a one-man bipartisan crisis. I do my best to talk with them — dialogue helps — but often, the issue isn’t politics. It’s confusion.” The apolitical crowd, Tim says, tends to be more curious. “But they’re still trying to figure out what these tariffs actually mean for them,” he says. “The on-again, off-again nature of the tariff news has everyone second-guessing what’s real. It’s like trying to follow the plot of a soap opera when you’ve missed a few A MESSAGE FROM PRESIDENT AND CEO DON HALL 4 Virginia Auto Dealer
episodes. You’re not totally sure who’s being written out or what’s blowing up next.” Planning is nearly impossible. Many dealers are in “wait-and-see” mode. “We have seen used vehicle pricing moving up due to the market being pulled ahead by the threat of higher pricing,” one Richmond dealer tells me. “With the increase in used vehicle demand, the costs of acquiring these used vehicles have also increased. Of course, used vehicle costs typically increase this time of year due to seasonal demand, so it may be difficult to attribute everything going on in the market to tariff panic-buying.” That’s the message I want to drive home: Our industry isn’t defined by downturns or policy debates. It’s defined by resilience, and in good times and bad, dealers will do what they’ve always done — adapt, compete and move forward. I’ve seen it through recessions, gas shortages and, yes, even pandemics. We sell cars, and we figure it out. “I’m not too concerned. It will be what it will be, and we will adapt,” Country Chevrolet’s Andy Budd tells me. “There will be no unaffected dealers, so I think the playing field will be pretty level. Consumers will adjust. I think high-end imports will be most affected, but those buyers are so affluent it won’t really matter. The leasing subsidies will increase to offset the tariffs and the used vehicle values will rise, so long term, I don’t see any major market turmoil.” Years ago, the late, great Virginia Sen. John Warner told a room full of Virginia auto dealers in Washington, D.C., the following, and I’ve never forgotten it. Popping his head into our meeting room, the distinguished gentleman from Virginia exclaimed, “Our home is our castle. Our car is our freedom. God bless the dealers of Virginia!” Yes, the world is shifting beneath our feet — politically, economically and technologically. But that’s been the case for the last century. Inflation, interest rates and political dysfunction are real. But so is this: Cars are still being sold and will continue to be sold. We can’t control every challenge, but we can control how we respond. So stay informed. Stay engaged. And stay optimistic. Because while the headlines may shift by the hour, one thing stays true: Virginians still need cars. And it’s our job to make sure they get them — fairly, affordably and with the freedom John Warner so passionately believed in. vada.com 5
For the first time in many years, Virginia has completed a comprehensive overhaul of the Buyer’s Order form. The move is designed to provide greater protections for dealers, improve clarity for consumers, and address modern compliance standards. The new forms — including an optional Lease Buyer’s Order — were issued starting May 1, with no hard deadline for implementation. VADA General Counsel and Executive Vice President Anne Gambardella and our outside counsel, Barrie Beaty, have recorded a short presentation below to walk dealers through the new forms. To view the presentation, scan the QR code. youtu.be/ewdIrmpqwRo The following are key updates to the Buyer’s Order: • Clearer Structure: Organized sections group like items (e.g., taxes, fees, contracts) with additional space for writing line items (for example, two trade-in vehicles). • Warranty Disclosure: Prominently displayed on the front page for both new and used vehicles. Must be consistent with Buyer’s Guide — a critical compliance point. • “As-Is” Language: A clearly visible box consolidates disclosures from both the front and back of the previous form. • New Checkbox for Vehicle Use: The form defaults to personal use; you must check a box for business/agricultural use. • Estimated Delivery Date: A new field allows dealers to specify an estimated delivery date for vehicles, improving clarity in delayed or conditional delivery situations. • Spot Delivery and Arbitration: Spot delivery language is now codified and unified; supplemental delivery forms are no longer needed or recommended. The arbitration agreement is clearly stated, near the signature block and matches standard provider requirements. • No Back Page Numbering: Unlike the existing form, the back of the new form does not use numbered paragraphs. • Inspection and Consent: The buyer confirms vehicle inspection or opportunity for third-party review. It also includes built-in consent for dealer communications (calls, texts, auto-dialing). • Electronic Forms: Requires buyer’s initials on each page to confirm review and agreement. Most DMS systems will prompt this automatically. • Consumer Financing Clause: A new provision allows cancellation of deals if third-party financing isn’t secured within two days. For more information, contact our partners at Reynolds & Reynolds. Contact Cody Broadbent at cody_broadbent@reyrey.com or Jason Gaskill at jason_gaskill@reyrey.com. 6 Virginia Auto Dealer
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?® JL Winslow, jl.winslow@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.
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In late April, members of the VADA Executive Committee took time out of their busy schedules to meet VADA staff in Richmond to help us chart the road forward for VADA. While there, we were honored to host the Virginia gubernatorial candidate, Abigail Spanberger, House Speaker Don Scott, and the 86th District candidate, Virgil Thornton Sr. (himself a retail automotive leader). Virginia dealers elect a new NADA director this year. Mike Suttle is ending his service as NADA director for Virginia after completing two terms as a strong advocate of dealers in the Commonwealth and around the country. The VADA Executive Committee recommended Chris Lindsay of Lindsay Automotive in Northern Virginia as the next Virginia NADA director. NADA members in the state of Virginia chose Chris as their sole nominee for election to the office of NADA director. Chris is a former chair of the VADA Board of Directors and currently serves as the VADA PAC chair. He has also served as NADA PAC chairman for the past six years. It is critical that Virginia dealers are represented by one of their peers who is willing to be actively engaged with NADA — and Chris is just that dealer. We thank those dealers who joined us, including VADA Chair Dan Banister, Immediate Past Chair David Dillon, Roger Keller, Eley Duke III, John Altman, Liza Borches, Chris Lindsay, Tim Pohanka, Tanner Hulette and Zachary Cochran. Thanks also to our partners ComplyAuto for sponsoring our reception and Amberly Allen of Dealer Merchant Services for sponsoring our dinner. Chris Lindsay, new NADA director, with Don Hall. vada.com 9
Automotive News recently published a guest commentary by VADA President and CEO Don Hall on the California New Car Dealers Association’s cease-and-desist letter to American Honda and Sony Honda Mobility of America’s joint venture Afeela. CNCDA demands the manufacturer immediately halt direct sales to consumers. “Direct sales from a manufacturer’s EV brand isn’t innovation. It’s circumvention,” Don writes. “The trend is clear and troubling. Established automakers are trying to carve out EV brands as legal workarounds to franchise protections. But creating a new nameplate doesn’t erase corporate ownership, nor does it erase decades of public policy that prioritizes consumer protection, price transparency, and local economic and community investment.” The California New Car Dealers Association’s message was clear: Afeela is Honda, and Honda is not above the law. Scan the QR code to read the full article on Automotive News. www.autonews.com/opinion/guest-commentary/an-guest-commentarydon-hall-ev-direct-sales-0527/?utm_id=gfta-ur-250605&share-code= W7CKNSMVHFAZNF7EDGCID2NRS4&user_id=4519469&customer_ secondary_source=aac_articleGifting Dealers Defend Our Industry VADA Live: Insights, Education and Training VADA Live is the official podcast platform powered by the Virginia Automobile Dealers Association. Our goal is to bring Virginia dealers and their teams relevant insights, education and training on a range of retail automotive topics — directly from the experts. It’s information (and some entertainment) on your own time. See the latest episodes at vada.com/live. 10 Virginia Auto Dealer
VEHICLE SALES TRENDS 859-275-7950 CONTACT US FOR YOUR LOCAL MARKET DATA: www.cross-sell.com/vada Virginia Q1 2025 EXPLORING Q1 VEHICLE SALES IN VIRGINIA NEW VEHICLES USED VEHICLES EV/HYBRID ANALYSIS With over 64K new vehicles sold thus far in Virginia, new sales have increased 5.08% year-over-year. All fuel types. Used vehicle sales have increased by 0.8% year-over-year in Virginia. All fuel types. New and used EV/Hybrid sales combined increased 22.51% year-over-year in Virginia. EV/Hybrid/PHEV fuel types. (Jan-Mar 2025 vs Jan-Mar 2024) TOP SELLERS TOP SEGMENT (NEW & USED) - Compact SUV TOP SUV MODEL (NEW & USED) - Honda CR-V TOP ZIP (NEW) - Fairfax 22030 TOP ZIP (USED) - Virginia Beach 23462 TOP EV/HYBRID (NEW) - Honda CR-V Hybrid TOP EV/HYBRID (USED) - Tesla Model 3 (January-March 2025) Source: Cross-Sell Interactive, Dealer Summary Report Based on sales registration data in Virginia by Virginia Dealers.
Driving Change With Grasstops Advocacy There’s no getting around the fact that change is difficult. It’s challenging to change someone’s mind or opinion. Imagine the difficulty in getting a group of legislators to change a law or political stance. Auto dealers have the power to advocate for a better industry. The effects can make a huge difference to your teams, local communities, state or even at times on a national level. In advocacy, especially when it comes to protecting and promoting the interests of auto dealers, two terms often come up: grassroots and grasstops advocacy. They sound similar, but they play very different roles. GRASSTOPS VS. GRASSROOTS Most people have likely heard of grassroots advocacy. This is a method of advocacy that involves recruiting ordinary people to combine their voices. The emphasis here is on the quantity of voices. Maybe you’ve donated to the NADA PAC or signed a petition to fight a bill. These efforts are significant, but sometimes, advocacy needs to go a step further. That’s where grasstops advocacy comes in. Grasstops advocacy involves individuals engaging directly with decision makers. This method relies on the quality of voices to bring about change. Have you ever personally picked up the phone to call a key legislator about an issue affecting our dealerships? Did they answer? That begs the question: How can we do better at engaging at that higher level? Grasstops advocates bring credibility, strategic influence and access — and often help open doors that grassroots advocates can walk through. A grasstops advocacy strategy isn’t just for lobbyists. In fact, as auto dealers, we are uniquely positioned to be grasstop advocates. We are community anchors, employers and, often, well-connected individuals. Grasstops advocacy taps into this influence to help shape policy outcomes from the top down. It’s about using your voice, your relationships and your credibility as an auto dealer to make a direct impact. WHY IT MATTERS A multitude of regulatory or legislative issues affect dealers, such as EV mandates, franchise laws and tax policies. In addition, it’s no secret that legislators have packed inboxes and receive many phone calls. Cultivating a relationship with a legislator can help your chances of having your email opened and your voice heard. Picture this: It’s the legislative session. A legislator is receiving a high volume of emails and calls. Everyone wants to talk to them, meet with them, and be heard. The legislator opens his or her email and scrolls through the names. A familiar name stands out. The legislator opens the email from the individual they know — in this case, you — thus marking the winner of the legislator’s attention. This is a classic scenario reflecting a simple truth: The attention of someone in power will be caught first by a familiar name. This is why grasstops advocacy is so effective. You want the lawmakers to know your name and your story, so your voice can be heard and your cause can be advanced. HOW TO BUILD A GRASSTOPS STRATEGY Knowing where to start when it comes to a grasstops approach to advocacy can be intimidating. You may feel like you don’t have the time to make a difference, or maybe you’re uncomfortable reaching out to lawmakers and afraid of pushback. The easiest approach is to view the process as actionable steps. 1. Map Your Network: Identify any relationships or connections you have with local, state or federal officials. You may have more connections than you think. 2. Grow Your Network: Put yourself in situations to create relationships with individuals in the industry. Visit lawmakers, make connections and let those connections lead to more. 3. Engage Regularly: It’s important to regularly make contact with your network of legislators. You can achieve this by calling them a few times a month, interacting on social media, hosting events or inviting them to visit your dealership. 12 Virginia Auto Dealer
4. Tell Your Story: When talking to legislators, you want them to remember you and your story. Personalizing the relationship and showing them why you care about your dealership, the industry, and what is happening on the legislative front can help them understand your point of view and, in turn, help. CONCLUSION Grasstops advocacy is a powerful tool that more association members need to use. By crafting personal relationships with legislators, we can effectively fight for our industry. Grassroots and grasstops advocacy strategies should be used in tandem to champion our industry effectively. Grassroots efforts provide the quantity through widespread public engagement, while grasstops deliver the quality by leveraging the power of an influential individual to shape decision-maker perspectives. Together, they create a balanced and powerful approach that combines broad support with strategic influence. Remember, it just takes one dealer with the right connection to make all the difference. So, take the first step. Start a conversation, attend a legislative event, or contact the association about getting involved. vada.com 13
Are The U.S. Chamber of Commerce reports that small businesses account for 99.9% of all U.S. businesses and employ 46% of the private sector workforce. According to the SBA’s “small business” definition, the majority of local franchised auto dealerships are part of the 33.2 million small businesses that form the foundation of our nation’s economy. At the heart of many communities are “main street” businesses. They are often locally owned brick-and-mortar stores that offer essential goods and services. These “main street” businesses serve as a hub for social interaction while fostering a sense of place and hometown pride. Franchised auto dealerships are the last true “main street” businesses. With deep community ties, many of these businesses are family-owned and have been passed down from generation to generation. When it comes to local franchised auto dealerships, an estimated 85% of the 16,000+ are family-owned and some even have a fourth generation getting ready to take over the reins. These dealerships are known for their accessibility, a place where customers can often interact personally with the owner, thus fostering strong community relationships. Additionally, dealers are inherently ingrained and deeply invested in their communities, giving back as much, if not more, than they bring in. Across the board, dealers directly invest in their neighborhoods through car donations, Little League sponsorships, volunteer hours and so much more. And this is just the start of what dealerships bring to the local table. Employees of dealerships are often involved in chambers of commerce and other local business associations, playing a direct role in keeping the local business community vibrant and healthy. This level of community commitment is not easily replicated. It’s not hard to see how franchised dealerships have become an integral piece of the local economy and we haven’t even mentioned economic activity. According to NADA, in 2024, Virginia dealerships employed 61,245 people, that’s 65 employees per dealership on average with a whopping $2.4 billion in payroll. What’s more, those employed in the automotive industry don’t have just another low-paying job. Whether it be in retail or as a service technician, the automotive industry offers one of the few work opportunities where those who don’t see a four-year college degree as an option, can find a path to the middle class and higher. All that is needed is a healthy dose of work ethic, a willingness to learn and on-the-job experience. The benefits of these jobs to the community are immediate because employees and customers are the community. The profits feed right back into the local area. Really, the only people the franchise model isn’t good for are Wall Street billionaires. Yet another staggering number is the $1.2 trillion in total sales that Virginia’s franchised auto dealers made in 2024. That equates to more than $24 billion in state and federal income taxes and $112.3 billion in state sales tax. Those are impressive numbers, and though there are certainly outliers, most franchised dealerships, fit into the “main street” business mold. They are not what one would classify as a mom-and-pop shop nor are they considered a billionaire class. Simply put, they are affluent “main street” community businesses. While not immune to consolidation by larger corporations, for the most part, dealerships remain a fundamentally local small business that lives and dies by their community, selling person to person to their neighbors. The recent efforts of new tech manufacturers to disrupt the franchised dealership system — which has thrived for over 100 years — have not succeeded. What leaders from new tech companies fail to realize is how expensive it is to get a storefront, customize and brand it, fill it with inventory, hire staff and train them on the intricacies of the car make and model so the customer relationship can be built, nurtured and live well beyond the initial purchase of the vehicle. This carefully developed relationship happens over time and includes regular oil changes, service and repair, warranty work, and if all goes to plan, selling the customer their next new car when the time is right. Over the last decade, we’ve heard a lot of talking points about the usefulness of physical dealership stores. The talking heads spoke from one extreme to another, especially with Tesla and The Role of Franchised Auto Dealerships in Local Economies Dead? “Main Street” Businesses 14 Virginia Auto Dealer
Learn more at BankWithUnited.com Member FDIC / Subject to credit and underwriting approval. United Bank specializes in tailoring a combination of financial products and auto-dealer services to best meet the specific needs and goals of your automotive dealership. Floor Plan Line of Credit Term Financing Indirect Financing Cash Management Services GET MORE BANK FOR YOUR DEALERSHIP their internet model of selling cars. In statehouses across the nation, bills were filed, hearings were held, and legislation was passed in an effort to protect the franchised system. As the dust settles, the evidence is clear, the integration of a physical store with an online shopping option is the optimal retail model. Not because we said so, it’s because car buyers prefer a combination of physical and digital channels, and their money does the talking. The “bricks and clicks” model of selling cars is here to stay. While younger generations may prefer a digitally enhanced car buying experience, they still value physical touchpoints, choosing to gather information and make decisions based on a combination of online and physical channels. At the same time, older generations prefer an in-store car-buying experience but are increasingly engaging in online shopping options. The benefits of the franchised dealer model are the wide distribution network, personalized customer service, the ability to manage inventory and financing while providing a physical space for test drives and the final purchase experience. It also supports the car sales process and provides a deeply human interaction, one that can be facilitated, but not replaced, by technology, making the franchised auto dealership the epitome of “main street.” vada.com 15
The pandemic may be recognized for ushering in record-setting returns for auto retailers, but its most lasting impact may be jumpstarting the digital transformation of the industry. Between customers’ growing preference for digital tools to research and purchase vehicles and dealers’ interest in technology that enhances operational efficiency, the adoption of digital solutions has accelerated. Enabling cash to move through the business with greater speed, security and efficiency is now a foundational goal for dealers — one that directly contributes to business value. A Deloitte study found that 68% of respondents ranked digital transformation as the single most important investment to drive enterprise value.1 It’s no surprise that dealership owners are seeking ways to leverage technology for growth. WHY PAYMENTS ARE ESPECIALLY IMPORTANT FOR DEALERS There’s good reason for dealers to focus on improving their payments processes. As Jason Smith notes, “Dealerships are cash- and capital-intensive businesses. Look at the variety of payment types: debits and credits with consumers and suppliers, vehicle sales and service transactions and used vehicle purchases — the size and volume of transactions can be staggering.” “Dealers want to know how to collect money faster and pay it out more efficiently, all the time recognizing that their cash intensity makes them a target for fraud,” adds Smith. “The typical structure of dealer bank accounts and relationships adds complexity to financial operations,” says Andy Rankin. “Most retail auto businesses have a minimum of two accounts — operating and payroll — for each location, not including accounts at the management company level for commercial real estate holding companies.” USING PAYMENTS TO GIVE CUSTOMERS WHAT THEY WANT Payments are integral to creating the optimal customer experience. Research by Cox Automotive shows that 89% of customers intend to complete some part of the automobile buying process online,2 and more than 60% are comfortable completing the entire purchase digitally.3 “Dealerships have a vital interest in enhancing the customer buying experience,” says Chris Ward. “As more elements become digital, the focus shifts to maximizing transaction speed and reducing friction. It’s about balancing efficiency and cost while delivering an exceptional customer experience.” That kind of experience, Ward explains, hinges on simple, speedy and safe payments. “Dealers are focusing first on simplicity for an intuitive buying process that customers can understand and execute with ease. Speed matters — no customer wants to spend all day in the dealership once they’ve decided to buy. Customers demand safety supported by proper controls throughout the entire payments process.” Safeguarding payments is essential to maintaining the trust that dealers work hard to build. “Whether it’s making a service repair payment or accepting a down payment, everyone wants a safe, sound and secure process — free of surprises,” Ward says. “When you think about payments, don’t forget service,” Smith adds. “There are far more transactions in the back end of the dealership than the front. Every customer wants the service process to be quick and painless.” “One way to improve the service experience is to have mobile payment devices that allow customers to pay by phone when picking up their vehicle — rather than walking to a cashier’s desk,” Smith suggests. GETTING THE MOST FROM DIGITAL PAYMENTS “While the case for digital payments is strong, you’ve got to take a strategic mindset toward payment advancement,” says Lyubena Smith. “Examine all payment flows — money in, money out — and financial processes. A full analysis allows you to rebuild a more How Payments Are Powering Digital Transformation in Auto Retail By TRUIST DEALER SERVICES 16 Virginia Auto Dealer
seamlessly initiate and receive payments while collecting data that will ultimately enhance the customer buying experience.” Keep your eyes on new applications and use cases of AI. While AI isn’t yet central in auto retailing, its power for analyzing consumer data offers promise. “AI is going to help dealers get better at early identification of their buyers’ needs,” Rankin predicts. “And that will improve the buyer experience.” Stella AI’s reshaping of customer engagement is just one example of how AI is transforming the auto retail business. Consider alternative payment methods. Younger buyers often drive the adoption of the latest payment alternatives. “Consumers want multiple digital options like PayPal®, Venmo® and digital wallet,” says Rankin. “That’s where the future is headed.” Digital payment technology advances are rarely groundbreaking and are often adopted over an extended period. Opportunities to benefit from payment strategy come from finding ways to incorporate incremental digital advancements in your financial operations and pursuing adoption with customers and vendors alike. TAKE ADVANTAGE OF PAYMENT STRATEGIES THAT DELIVER SPEED, SIMPLICITY AND SAFETY Truist’s Dealer Services team has experience with a wide variety of auto dealers. They can help you enhance the customer experience and maximize your dealership’s value through smarter payments. To learn more about Truist Dealer Services and how their experience, insight and strategic support can help your dealership business, scan the QR code. efficient payments ecosystem centered on speed, simplicity and security.” Here are five strategies for dealers evaluating their payments approach: 1. Rethink how you receive funds: Customers typically use a mix of cash, checks and credit cards. The right merchant services set up can automate and eliminate manual steps in posting and reconciliation and better secure the receipt of funds. Truist partner Dealer Pay offers another approach with its dealer-specific payments and point-of-sale software solution that integrates payment acceptance into eight of the top dealer management software (DMS) systems. With Dealer Pay, you can provide your customers with a standout experience that’s not limited by your DMS vendor’s payment solution. 2. Consider newer payment methods and payable approaches: Real Time Payments (RTP®) let dealers keep cash on hand longer and enable immediate payment settlement — such as purchasing a car from an individual seller. Streamlining your business-to-business payments with Truist ePayables can help you improve cash flow, streamline accounts payable and simplify invoice payments. 3. Use B2C options like Zelle®: Zelle enables quick payments to consumers without needing bank account information, just a phone number or email. It’s ideal for tax, tag and title refunds or trade-in payments. And Zelle replaces checks, which carry fraud risk, higher processing costs and mailing delays. 4. Use commercial cards to extend cash flow: Commercial credit cards increase buying power, reduce fraud exposure and allow for extended payment windows. If you use Truist Purchasing Card, you can pay vendors under their timing terms while benefitting from the 30-day extended pay window. 5. Focus on fraud reduction: Make sure you’re taking the fundamental steps to secure your funds from electronic and check-based fraud. Use Payee Positive Pay to reject fraudulent checks, set up ACH Fraud Control or ACH Block, and Check Block on accounts that don’t receive debit transactions, and employ tokenization and virtual cards. Look for vulnerabilities, assess ways to reduce your fraud exposure and think through contingencies and backup procedures if you’re attacked. Truist offers insights and resources to help you stay ahead of cyber threats and fraud. LOOKING FORWARD Protect your dealership against the increasing risk of fraud. Paper checks, once dominant, have been largely replaced by electronic payments — driven in part by the rising threat of fraud. In 2023, over 80% of organizations reported attempted or actual fraud, up from under 70% the prior year. Checks remain the most fraud-prone payment method.4 Look at embedding financial services in your DMS. Embedded finance solutions increase convenience for consumers, boosting satisfaction and loyalty while simplifying a host of dealer financial processes. Rankin says, “Embedded financial services let you Truist Bank, Member FDIC. ©2025 Truist Financial Corporation. Truist, the Truist logo and Truist Purple are service marks of Truist Financial Corporation. Equal Housing Lender. https://www.truist.com/commercial- corporate-institutional/industry-expertise/ auto-dealer A special thanks to Truist leaders Chris Ward, head of Enterprise Payments; Jason W. Smith, head of Truist Dealer Commercial Services; Andy Rankin, head of Sales for Specialized Industries; and Lyubena Smith, CTP, Treasury Solutions Leader, for their contributions to this article. 1. Mapping Digital Transformation Value—Metrics that Matter, Deloitte, November 17, 2023. 2. 2024 Cox Automotive Car Buyer Journey Study Research Summary, Cox Automotive, January 2025. 3. The Evolving Customer and How to Meet Their Needs, Cox Automotive, January 2025. 4. Payments Fraud and Control Survey Report, Association for Financial Professionals, 2024. vada.com 17
Virginia’s auto dealers aren’t just selling cars; they’re investing in the Commonwealth. We’re highlighting the positive impact auto dealers are making in their communities. From charitable giving to community service, these stories showcase how local dealerships go above and beyond to support their teams and neighborhoods. 18 Virginia Auto Dealer
SIGNING DAY AT BISBEE HONDA OF DANVILLE In late April, Bisbee Honda of Danville celebrated the launch of its Automotive Technician Youth Apprenticeship program with a signing ceremony at their location. Three rising seniors from Danville Public Schools officially signed on as the first apprentices in the program, which was supported by Expanding Talent through Registered Apprenticeship (ExTRA), a program from The Institute for Advanced Learning and Research designed to help employers across Southern Virginia create and implement state-registered apprenticeship programs. The youth apprenticeship program is the first of its kind in Danville. It provides local youth with the opportunity to work in the automotive industry while gaining hands-on experience and developing their skills for successful careers in this high-demand field while still in high school. The event coincided with National Apprenticeship Day, which celebrates the growing importance of registered apprenticeships in providing industry-recognized credentials and clear career pathways. “Danville Public Schools is very grateful to Bisbee Honda for the partnership. It’s great to be a part of this opportunity for students to reach their potential. This apprenticeship program will enable our students, and others following, to pursue their dreams and become productive members of society,” said Dr. J. Ako Barnes, work-based learning coordinator at Danville Public Schools. SIGNING DAY AT CARTER MYERS AUTOMOTIVE Carter Myers Automotive took part in a Career Technical Education Signing Day at Brightpoint Community College in Chester. vada.com 19
SHEEHY FORD OF ASHLAND AND FORD MOTOR COMPANY DONATEVAN AND TOOLS Sheehy Ford of Ashland and Ford Motor Company donated a 2023 Ford Transit Cargo Van and advanced diagnostic tools to the Caroline County Public Schools Automotive Technician Training Program at Caroline High School. The donation gives students hands-on experience with cutting-edge technology. DEALERS RECRUIT AT COMMUNITY COLLEGE OPEN HOUSE In April, Tidewater Community College hosted an open house for students interested in a career as an automotive technician. Many of our dealers were there participating in the recruiting process, including Hall/MileOne, Checkered Flag, First Team, Cavalier Auto Group, RK Chevrolet and Southern Automotive. 20 Virginia Auto Dealer
PET SUPPLY DRIVE HOSTED BY ALEXANDRIA TOYOTA Alexandria Toyota hosted a pet supply drive for the Animal League of Alexandria. Customers and employees helped fill a pickup truck with treats for the animal care, control, protection and sheltering service. vada.com/event/ vada-2026convention vada.com 21
VADA Executive Committee Dan Banister Chair Banister Automotive Roger Keller Vice Chair Sheehy Auto Stores Eley Duke Treasurer Duke Chevrolet GMC John Altman Secretary Beyer Auto Group Don Hall President David Dillon Immediate Past Chair Southern Auto Group Tim Pohanka Legislative Chair Pohanka Nissan Hyundai Chris Lindsay PAC Chairman Lindsay Automotive VADA Board of Directors John Altman Beyer Automotive Group Conrad Aschenbach Front Royal Ford LLC Daniel Banister Banister Nissan of Chesapeake Andy Budd Country Chevrolet Harry Carrion Haley Automotive Zachary Cochran Whitten Bros Chrysler Dodge Jeep Mazda Mark Dalton Terry Volkswagen Subaru David Dillon Southern Team Auto Group Eley Duke Duke Automotive Eric Flow Flow Motors Don Hall Virginia Automobile Dealers Association Josh Hamilton Checkered Flag Motor Car Co. Tanner Hulette Mechanicsville Toyota Cameron Johnson Magic City Ford Lincoln Isuzu Roger Keller Sheehy Auto Stores Steve Klimkiewicz Cavalier Ford Lincoln Ashton Lewis, Jr. First Team — Automotive Chip Lindsay Lindsay Management Co. Chris Lindsay Lindsay Chevrolet Ross Luck Luck Chevrolet Thomas Mohr Highway Motors Jeff Owens Southern Auto Group Michael Patrick Patrick GMC Tim Pohanka Pohanka Nissan Hyundai Rachel Pullen Safford Brown Michelle Radley Radley Automotive Group Jake Sodikoff Steven Nissan Michael Suttle Suttle Motor Corp. Matthew Walsh Carter Myers Automotive Virginia Motor Vehicle Dealer Board Alexis Barker-Taplett Mercedes-Benz of Virginia Beach Thomas Bates RK Chevrolet Inc. Tom Barton Beach Ford and Barton Ford Dennis Ellmer Priority Automotive Group Chip Lindsay Lindsay Volvo Cars of Alexandria Dick Myers Dick Myers Chrysler Dodge Jeep Ram Fiat Timothy Pohanka Pohanka Nissan of Stafford LLC LEADERSHIP VADA Group Self-Insurance Association Board of Directors Cole Balderson Ourisman Automotive of Virginia Burt Brenner Lindsay Lexus of Alexandria Chris Brown Haley Automotive Penny Burch Magic City Ford Lincoln Isuzu Gerald Duncan Duncan Ford Chrysler Dodge Jeep Don Hall Virginia Automobile Dealers Association Adam Johnson Johnson Family Chevrolet Fred Kirschbaum Checkered Flag Motor Car Co. Ralph Mastantuono American Service Center Associates Benji Nowak Ted Britt Ford Lincoln Michelle Radley Radley Automotive Group Chris Strosnider Strosnider Chevrolet Rich Tritel Carter Myers Automotive HRADA Officers Pat Fields President Wynne Ford Volvo Heath Wynn Treasurer Hall Auto Group Mike Owen Secretary Southern Auto Group Rebecca Wilson Immediate Past President Checkered Flag Audi HRADA Board of Directors Jarryd Carver Winners Circle Auto Group Brian Clark Charles Barker Mercedes-Benz Jim Hernandez Priority Honda Dave Lawson CMA Williamsburg Ford Cameron Shaw Southern Auto Group Allied Member Bryan Dougherty ACV GRNCDA Board of Directors Keith Hightower Chairman Pearson Honda Zach Cochran Vice Chairman Whitten Brothers Harry Carrion Secretary/Treasurer Haley Automotive Michael Patrick Immediate Past Chairman Patrick Buick GMC Brenton Evans Audi Richmond Kayla Kody Richmond Ford 22 Virginia Auto Dealer
Accumatic Inc. Ally Financial Atlantic Union Bank AutoFi Baker Tilly US LLP Bank of America — Merrill Lynch BDO USA LLP BG Products & Services Brightline Dealer Advisors Brown, Edwards & Co. CarNow CBIZ Charapp & Weiss LLP Computerized Vehicle Registration Core 22 Design Build Core Assurance Councilor, Buchanan & Mitchell, PC DLRdmv Dominion DMS DSMA Dynatron Software Ethos Group Forvis Mazars Foti, Flynn, Lowen & Co. Fulton Bank GM Financial GPW & Associates Inc. Greensboro Auto Auction Haig Partners JM&A Group Kerrigan Advisors KPA M&T Bank Manheim Fredericksburg Manheim Harrisonburg OpenLane People’s Bank PDP Group Pinnacle Bank PMA Management Corp. Protective Asset Protection QoreAI Safepoint GPS Solera TitleTec Strategic Source Tekion TowneBank TradePending True Car Truist Bank United Bank Wells Fargo Dealer Services VADA ALLIED MEMBERS THANK YOU! PNC and PNC Bank are registered marks of The PNC Financial Services Group, Inc. (“PNC”). Bank deposit, treasury management and lending products and services, foreign exchange and derivatives products, bond accounting and safekeeping services, escrow services, and investment and wealth management and fiduciary services are provided by PNC Bank, National Association (“PNC Bank”), a wholly owned subsidiary of PNC and Member FDIC. Lending, leasing and equity products and services, as well as certain other banking products and services, require credit approval. ©2025 The PNC Financial Services Group, Inc. All rights reserved. PNC Dealer Finance Group | With a complete range of banking and financial services — and the support of our dedicated relationship management team — PNC’s specialized Dealer Finance group is committed to making a positive difference for your business. From floor plan and retail financing to treasury and wealth management, we can leverage our resources to deliver a flexible, custom-built solution that moves you forward financially. Shift Your Plans into Drive, Starting Today. Contact a PNC Relationship Manager today and put our Dealer Finance group to work for you. Daniel P. Cannaday VP Floor Plan & Commercial Financing 1 E. Pratt St. Baltimore, MD 21202 443-605-7334 daniel.cannaday@pnc.com CON LEND PDF 0125-0138-2616502 vada.com 23
ACV is investing in game-changing technologies and world class people to improve the wholesale process for all dealers. They provide unbiased vehicle information that is unparalleled in its transparency. Their inspectors complete comprehensive condition reports on fresh vehicles, right at the seller’s lot. Cintas leads the industry in supplying corporate identity uniform programs, providing entrance and logo mats, restroom supplies, promotional products, first aid, safety, and fire protection products and services. Learn how Cintas’ solutions can benefit your sales and service departments at cintas.com. Forget the forms, binders, spreadsheets, folders, manual audits and training sessions. Compliance is automatically performed, logged and demonstrated in one simple platform. They’re not just another software company. They’ve actually worked at dealerships and have spent their entire legal and compliance careers in the automotive industry. You can receive optimal results for your parts warranty uplift. Just outsource the process to Armatus. Hand the entire retail warranty process to them, and you won’t have to lift a finger. Plus, there are no upfront fees — Armatus doesn’t get paid until you do. As the leading innovator in Vehicle-to-Government (V2Gov) technology, Vitu is transforming the way vehicles, businesses, government and drivers interact with one another. Vitu partners with state government agencies and businesses across the U.S. with cutting-edge process management SaaS solutions — including Digital Title and Registration — that cross state borders and transcend state-by-state variables. Digital Air Strike is the leading social media, intelligent lead response, consumer engagement and customer experience (CX) technology company helping over 7,700 businesses increase consumer response and conversions by leveraging patented AI-powered digital technology that generates measurable ROI. A pioneer in digital response, social media marketing technology and online reputation management solutions, Digital Air Strike deploys industry-specific mobile apps, software, intelligent messaging and consumer engagement platforms to monitor, respond, improve and convert more consumers into customers for thousands of businesses in the United States. More information about the company is available at www.digitalairstrike.com. As specialists in the antitrust settlement field, DCap makes antitrust claim filing easy for businesses, navigating the inherent complexities of the process and maximizing claim refunds for its clients. For nearly a decade, DCap has provided premier settlement education, guidance and ongoing support, resulting in millions of dollars recovered, for thousands of businesses. VADA PROGRAM PARTNERS THANK YOU! Directly from state registrations, Cross‑Sell Interactive® vehicle data provides insight into customized local markets to help dealerships and dealer partners create strategies for increased market share. Cross‑Sell reports provide in-depth views of local automotive sales, registrations and trends. VADA regularly publishes articles and news from our Program Partners. It’s content that makes you a more informed dealer. Find it at vada.com/news. For more information on our programs, contact Natalie Toler at ntoler@vada.com. 24 Virginia Auto Dealer
DMS allows dealers to take advantage of federal law to greatly diminish their expenses with credit card processing fees, typically between 75% and 95%. DMS can save some dealers well over $100,000 per year in fees. Find out how at dealermerchantservices.com. Promote your business, reduce compliance risk, manage data and keep your office inventory stocked with Reynolds Document Services. Hilb Group comes to work each and every day to ensure they have you covered. They take pride in providing sound advice to all of their clients. Hilb Group’s job is not done until you have complete peace of mind that you and your employees are receiving the best benefits and service available. MOC® is a leading provider of innovative products and solutions to the retail automotive industry. Their program is designed to provide new car dealers the ability to buy necessary products, tools and equipment at manufacturer direct pricing, but also receive unprecedented local and regional service and support. One Source Wonderful! Your local, one‑stop shop for all departments supply needs! In 2010, Co-Founders Adam Robinson, Michael Krasman and Jeff Ellman reinvented the hiring process, empowering businesses to ditch their filing cabinets and manilla folders in exchange for an intuitive, technology-based hiring process. Management consulting, human resource management and labor relations. For more information visit sescomgt.com. Zurich F&I professionals can help you increase product penetration, per vehicle retail, and customer satisfaction. They currently work with more than 100 Mid-Atlantic dealers, helping them build relationships with their customers and increase product sales. As the provider of Connect CRM, a leading dealership customer relationship management system, VinSolutions helps more than 5,000 dealers make every connection count. VinSolutions products integrate dealership systems, processes and tools to deliver a single view of the customer across the business. RockED’s mobile learning platform turns employees within minutes into customer‑centric high-performers. The app allows for learning anytime, anywhere, through a mobile solution. Lessons are based on competencies and include highly relevant, industry-specific audio-visual content delivered by industry leaders. Learn more at rocked.us. Sqwire’s mission is to help low- to moderate-income families realize their financial promise by providing financial education that is hopeful, respectful and fun. Financial education includes topics that build a solid financial foundation, using tools created specifically for today’s adult learners and quizzes, and detailed reporting ensures clients meet their goals. Learn more at getsqwire.com. vada.com 25
vadapac.com VADA PAC United as One for the Franchise System Virginia dealers fiercely compete with one another. But when it comes to politics, they are united as one under the Virginia Auto & Truck Dealers Political Action Committee (PAC). Auto dealers support pro-business, pro-dealer candidates regardless of political affiliation. Our support gives us access to candidates and lawmakers to share our stories and discuss the important issues impacting the auto industry. We need every member of VADA to contribute to our PAC, including dealership owners, general managers, dealer operators, parts and service directors, finance and insurance managers, and used/new car managers. Whether you are an owner, GM or principal, give to the PAC. Forward this message to your leaders and have them give, too. Even a few dollars from sales or service members is appreciated. If every one of Virginia’s 61,000 retail automotive employees gives, consider the impact. INVEST IN YOUR FUTURE BY CONTRIBUTING TO THE VIRGINIA AUTO & TRUCK DEALERS PAC Our dealerships rely on a strong, united voice to tell our story to elected officials who craft the regulatory rules of the road impacting our stores. Every dealership role, from owners and general managers to salespeople and technicians, depends on the pro-business environment that comes from supporting candidates who value the work our industry does every day in keeping customers on the road, creating jobs and serving as an economic engine for Virginia. Securing pro-dealer laws and regulations takes hard work, and it’s a fight we can’t win unless we have your investment to help elect candidates who support our industry. Please give to the Virginia Auto & Truck Dealers PAC and help us continue on the road to success. 26 Virginia Auto Dealer
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