Dealer's Digest

What We Learned from This Year's NADA Show

Written by Charles Stilwill | Feb 7, 2025 5:48:06 PM

A Recap in Case You Missed NADA 2025

Ikon Technologies was thrilled to be part of NADA 2025. This event is more than just a trade show—it’s an opportunity to connect with new prospects, strengthen relationships with valued partners, and engage with industry peers who share our vision for innovation and growth. Despite the challenges, this year’s show was a testament to resilience. The unwavering commitment of attendees made every conversation even more meaningful, and the determination on display reinforced a key theme of NADA 2025: the strength of an industry that pushes forward, no matter the obstacles.

Optimistic but Cautious

This resilience fuels our optimism for 2025. With the economic climate shifting and new challenges emerging, conversations at NADA revealed a sense of cautious optimism. Many in the industry expect conditions to improve, but they are keeping a close watch on legislative changes and market fluctuations. Over the past year, a slower economy has meant slimmer margins for many dealers, leaving less room for negotiation. However, Ikon’s dealer partners have continued to see an average of $300 - $500 PVR by integrating Ikon’s suite of no-cost solutions. This additional revenue has helped dealers maintain strong profit margins regardless of economic conditions.

The road ahead looks promising, but in an industry as dynamic as ours, adaptability is essential. At Ikon Technologies, we don’t just help dealers navigate change—we empower them to thrive in it. Our dealer-branded Connect App and patented Smart Marketing platform don’t just drive revenue; they future-proof dealership success. Dealers who prioritize customer retention, operational efficiency, and engagement will be the ones leading the way in 2025. At Ikon, we’re committed to ensuring our partners stay ahead of the curve, because success isn’t just about weathering the storm—it’s about accelerating through it.

Cybersecurity Becomes a Priority

Cybersecurity was another major focus at NADA 2025, as more dealers recognized the importance of protecting their operations from digital threats. In the past, many believed dealerships were immune to cyberattacks, but that perception changed after major breaches in 2024 brought dealership operations to a halt. With the automotive retail sector valued at over $250 billion, dealerships have become prime targets for cybercriminals. This shift in awareness has fueled the demand for cloud security solutions, a market expected to grow beyond $25 billion by 2030.

At Ikon Technologies, we take cybersecurity seriously. As a company dedicated to protecting dealer and customer data, we have invested in SOC 2 compliance and industry-leading security measures to ensure that every interaction—whether through Smart Marketing’s branded SMS campaigns or our customer retention platform—is encrypted, secure, and fully compliant. In an era where data breaches can cripple businesses, we provide peace of mind, ensuring that dealership and customer data remain protected while keeping operations running smoothly.

Auto Dealers Shift Focus to Customer Lifetime Value (LTV)

Another major trend at this year’s show was the growing focus on maximizing Customer Lifetime Value (LTV). Many OEMs are exploring subscription-based product features, but more importantly, some are moving toward Car-as-a-Service (CaaS) subscriptions to build recurring revenue streams. The shift toward CaaS is designed to meet the rising demand for convenience, flexibility, and deeper engagement with customers over time. OEMs also showcased mobile car care solutions aimed at enhancing convenience and customer experience. Just two years ago, mobile car care was dismissed as hype, but this year, it was a major focus. Bozard Ford has already implemented the solution, and many other auto dealers are following suit, marking a significant industry-wide shift toward on-demand car care to improve service offerings and foster loyalty.

However, it’s not just about offering added convenience; it’s about building lasting relationships that drive sustained revenue. That’s where Ikon Technologies’ patented Smart Marketing comes in. With branded SMS campaigns and automated scheduling, dealers can maintain consistent, personalized communication with their customers. Our Smart Marketing platform also features a fully staffed service BDC group that operates under the dealer’s brand, keeping the dealership front and center in customer interactions. This approach has led to an additional 1 in 6 customers coming back to the dealer for service. Best of all, our Smart Marketing platform is included for free as part of our no-cost lot management platform, because real innovation doesn’t just create value—it delivers it.

Stolen Vehicle Trends

The surge in vehicle theft—up 28% over the last few years—is becoming a serious financial burden for car dealerships, driving up insurance premiums and deductibles. Sophisticated theft tactics, like keyless entry hacks and relay attacks, have forced insurers to reassess risk, making coverage more expensive and restrictive.

Ikon’s no cost lot management platform provides dealers with a proactive solution for inventory protection. In the unfortunate event of a stolen vehicle, Ikon’s dealer partners see an average recovery time of under 30 minutes. Our geofence alerts notify dealers the moment a vehicle leaves the lot and our best-in-class GPS technology pinpoints the location of the vehicle in real time allowing for the authorities to be on the scene within minutes of the notification.

This is a game-changer in reducing loss and reducing insurance premiums with some dealers seeing up to a 25% discount in their insurance premiums by having Ikon installed in their vehicles on their lot.

Exploring New Applications for Connected Car Technologies

The evolution of connected car technologies was another theme at NADA 2025. From AI-driven platforms to fleet tracking and even health metrics, connected car applications are rapidly expanding. At the show, we highlighted our latest innovations, including our car key tracking technology, which eliminates the hassle of lost keys and streamlines car showings and inventory management. We take pride in being at the forefront of this growing sector, developing solutions based on firsthand experience as auto dealers.

Ikon Connect has become a boost for many auto dealers due to its ability to enhance customer retention and build dealership brand equity. Our lot management solution is provided at no cost because our founder, Sam, is a dealer himself and understands the challenges of rising operational costs. While our customers already love the features offered through our Toolbox App, we are now on the verge of launching a V2, which we previewed during NADA 2025.

 

If you feel like your dealership can benefit from Ikon's solutions, you can talk to us today—just click the button below, and we'll connect with you soon.