Generative AI has moved from experiment to expectation, with more than half of U.S. adults now using tools like ChatGPT and Gemini, up roughly 10 percentage points in the last year alone. For automotive retail, 2026 is the year dealers and OEMs must treat AI as a strategic layer across the entire customer lifecycle, not a side project.
Treat AI as the New Front Door
More than 40% of car shoppers now use AI-powered tools during their search, and the vast majority of those users say AI will influence what they buy. That means the “first impression” of a brand increasingly happens through an AI-generated answer, not a branded website, ad, or even traditional SEO.
1. Ensure your inventory, pricing, and incentive data are accurate, complete, and machine-readable on your website so AI tools can present you credibly.
2. Connect consumer buying signals across channels so AI-driven experiences stay consistent from research to showroom.
Compete on Reputation in an AI-Filtered World
When consumers ask AI assistants which dealerships are “the best near me”, namely transparent, responsive, and trustworthy, the systems lean into public reviews, CSI scores, complaint patterns, and third‑party benchmarks. In practice, that turns reputation into a ranking signal that determines who makes the AI “short list.”
1. Make review management a core operating discipline - not just a marketing task. Recent reviews, response quality, and complaint resolution should be owned, measured, and executed consistently.
2. Leverage data and workflows to monitor sentiment trends and close the loop quickly, so AI platforms see a pattern of continuous improvement.
Redesign the Journey Around AI-Assisted Communications
Most buyers remain hybrid: they want to do more from home but still value in‑store touchpoints including a test drive before signing. AI is becoming the bridge between those worlds, empowering shoppers to narrow options, compare deals, and set expectations before they arrive.
1. Re-map the customer journey assuming the consumer has already used AI to compare models, payments, and dealer reviews. Rethink the ways it has been done.
2. Equip BDCs and sales teams with AI-driven insights: intent, equity, prior interactions, so every engagement is contextual and relevant.
3. Leverage technology to orchestrate effective communications across the consumer journey across OEM sites, dealer CRM, lead response, sales follow up, service email, text and messaging communications.
Operationalize AI in Sales, F&I, and Service
Industry studies show about three-quarters of organizations are using or piloting AI to improve customer engagement and operations, and automotive is already seeing satisfaction lifts where AI is thoughtfully deployed. The competitive gap in 2026 will be between stores that sporadically “use AI” and those that embed it in core workflows.
1. Use AI for intelligent lead routing and scoring based on intent, equity, and likelihood to buy.
2. Deploy AI-assisted messaging for follow-up, F&I education, and post‑sale communication that reflects each shopper’s history and tone.
3. Apply AI in service for ongoing communication such as proactive maintenance reminders, recall outreach, and triage to reduce friction and increase retention.
Build a Data and Governance Foundation
All of this depends on high-quality, connected data and clear guardrails. Without that, AI amplifies inconsistency instead of creating advantage.[1]
1. Invest in clean, unified data across marketing, sales, F&I, and service so AI systems can deliver accurate, personalized recommendations.
2. Establish governance and a corporate policy around privacy, compliance, and brand voice, and invest in training for your team, ensuring that no one is uploading things like proprietary data into free AI tools that could be externally accessible.
3. Leverage the expertise around experienced partners – like DAS Technology – that understand both AI and our automotive industry realities.
4. Align OEM, dealer group, dealer and lender strategies so the AI-shaped experience feels coherent from research through renewal.
Corporate Carveouts Became One of the Year’s Biggest Deal Engines
The year produced the strongest carveout environment in over a decade. Corporations streamlined portfolios, shedding non-core businesses that didn’t fit long-term AI or automation strategies. Buyers favored carveouts for their durable revenue, strong customer bases, clear operational improvement levers, underinvested tech stacks, and immediate strategic fit.
Strategics used carveouts to strengthen ecosystems, and sponsors used them to build platforms. Carveouts weren’t just another deal category — they became a defining source of high-quality deal flow.
Key Takeaway and Call to Action
For J.D. Power Summit attendees, the message is clear: AI is already guiding how consumers research, shop, and decide; in 2026, it will increasingly guide where they buy and service. The dealers and OEMs that win will be those that execute on these five AI imperatives – treating AI as their new front door, managing reputation as a ranking signal, redesigning journeys, operationalizing AI in the store, and building a strong data foundation.[1]
Consider how your organization, supported by ecosystems like DAS Technology and informed by J.D. Power benchmarks, can turn AI from a disruptive force into a durable advantage in every consumer interaction
See you in Las Vegas?
DAS Technology is proud to sponsor the JD Power Summit in Las Vegas on February 3rd, 2026. We also hope to see you at our NADA booth #1311W where you can learn how DAS is empowering dealers to improve the customer experience and drive additional revenue using AI. While you’re there, you can pick up your pass to the party of the year – the DAS Technology Industry Appreciation Party. Connect with industry leaders and enjoy once-in-a-lifetime experiences in a truly unique setting – learn more at dastechnology.com/nada
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The views and opinions expressed in this blog are those of the sponsor and do not reflect the views, opinions, or positions of J.D. Power.