The Demise of Career Car Sales and What’s Ahead

The car business has always been about people. Relationships, trust, and the art of the sale are foundational. Yet over the last five years, that foundation has shifted so significantly that it may be beyond repair. Dealerships across the country are facing an undeniable truth: the younger generation of salespeople has grown up behind a screen, and the sales process has rocketed into the digital era because of the pandemic. The result? The way business gets done is transformed. 

Former business development manager, Katie Bonnot,  explains how digital retailing and changing customer expectations have reshaped dealership operations and the future of the sales role.

From Salesmanship to Screens

Bonnot spent years managing dealership sales teams, and cites the industry’s evolution as disruptive.

“The new generation of salespeople often depends on technology for everything.” “Phones have replaced handshakes—and in some cases, basic greetings are being lost altogether. I spent a lot of time teaching young salespeople how to have face-to-face conversations.”

Dealerships are feeling the effects of this cultural shift. As online platforms like Carvana and DriveTime make it easier for customers to shop and buy remotely, in-person engagement is dropping. And that brings a devastating effect for career salespeople, who find it increasingly difficult to make the money they’re used to. 

Dealers rely on young people, often fresh out of high school, to staff their sales floor. Due to a lack of experience and tenure, managers are stepping in to close more deals themselves, and turnover among sales staff is at an all-time high. 

The Post-COVID Customer: Confident, Informed, and Detached

A new kind of car buyer is emerging in the post-pandemic era.

“Today’s customers walk in knowing exactly what they want. They’ve already done their research online,” Bonnot explained. “By the time they arrive at the dealership, the interaction often feels like order-taking, not selling.”

This trend has serious implications for dealership profitability. Accessory sales, spiffs, and upsells have declined, as more of the buying process takes place before a salesperson even says hello. And as customers skip the traditional sales conversation, dealerships lose the opportunity to build relationships that once led to higher gross profits and long-term loyalty.

“We used to have regulars that came in every couple of years and always went straight to their salesperson. Today, you’d be hard-pressed to find the same salesperson at the dealership two years later.”

The Impact on Dealership Profitability

Bonnot noted that while car sales margins continue to thin, service departments are now carrying much of the profitability load. “The salesperson role just isn’t as financially rewarding as it used to be,” she said. “It’s no wonder turnover is so high. The career opportunity just isn’t the same.”

For dealerships, that means it’s time to rethink structure and strategy. Reducing the sales staff may save on payroll, though it can also weaken the customer experience if not done correctly.  The challenge ahead is to bridge the gap between convenience via technology and personal connection.

Automation and AI in Dealerships

Bonnot also predicted that dealership sales will increasingly mirror other industries where automation has replaced traditional service. “Think of it like fast food kiosks,” she said. “Customers are gravitating toward quick, easy, and independent transactions, and the automotive industry is following that path.”

From virtual showrooms to self-service financing and AI-driven chat tools, technology will continue to reshape how customers interact with dealerships. Some innovative dealerships see it as an opportunity rather than a threat, while others resist what’s ahead.

Dealerships that embrace tools like digital retailing to streamline the process and personalize the customer experience will remain in the years to come. The future of car sales can’t be built on the phrase, “That’s how we’ve always done it.”  Adaptability will be key. 

Insignia Group Can Help 

Finding new ways to deliver a positive customer experience with digital tools will give dealerships a competitive edge. Dealers who want to stay relevant (and profitable) must rethink what they offer and how they sell. The tech gap is only getting wider, and the road ahead is digital. 

Insignia Group’s API is ready to plug into your data today! We partner with major digital retailers to deliver your accessory information consistently and accurately, whenever and wherever you need it. 

Contact us today to find out how to close the gap.