February 12, 2026
· Updated February 15, 2026

Last week at NADA, one pattern became difficult to ignore: booth after booth pitched AI as a way to remove humans from the customer conversation.
On the surface, it sounded efficient. Underneath, it revealed a sharper division.
The industry is standing at an automation crossroads. Two paths were on display, and they lead to very different operating realities.
After NADA, dealerships face a practical choice: adopt AI primarily to replace human interaction, or adopt AI to amplify human expertise and reduce friction while keeping people central.
Two distinct philosophies showed up again and again. Both will be marketed as “AI-powered.”
Only one tends to create durable advantage over time.
In this model, AI is positioned as a substitute for people:
There are use cases where automation helps. The risk emerges when workforce removal becomes the core strategy.
What gets removed isn’t just payroll. It’s relationship density, local voice, brand texture, and human judgment in ambiguous moments.
Those are difficult to rebuild once they’re gone.
In this version of the future, AI doesn’t replace expertise. It carries it.
Advisors become faster. Managers become clearer. Marketing becomes more coordinated. Service becomes more consultative.
Instead of shrinking the team, the system expands what the team can do.
The question isn’t “Can this automate something?” Almost everything can.
Better question: Does this reduce our capability, or increase it?
If a system removes humans from customer interaction entirely, you may gain efficiency.
If a system removes friction from humans, you gain leverage.
Those outcomes can look similar in a demo. They behave very differently in operating reality.
The most composed operators weren’t chasing the loudest demos. They were asking deeper questions:
They weren’t trying to eliminate their people. They were trying to eliminate wasted effort.
That distinction tends to define the winners.
Automation belongs in modern dealerships. Missed calls should be captured. After-hours scheduling should exist.
Manual reporting should shrink. Repetitive work should be reduced.
The issue isn’t whether AI is used. It’s what philosophy drives its use.
One optimizes for cost. The other optimizes for strength.
Over the next 12–24 months, this divide will widen.
Some stores will become leaner and more automated.
Others will become more aligned, more context-rich, and more differentiated.
Both will say they are “AI-powered.” Only one tends to feel durable.
The most meaningful shift after NADA isn’t technological. It’s philosophical.
AI can either flatten your organization or elevate it.
The decision is operational now.
If you’re evaluating AI vendors post-NADA, share this with leadership teams and partners aligned to long-term capability building.
Part of the Human + AI Series