Circles Weekly · Feb 6 - Feb 12, 2026

February Sales Trends: Early February new car sales are soft; Midwest, Stellantis, and Ford are slow. Colorado is down 60% on new and 30% on used YoY across 4 stores. Some anticipate a pickup around the 16th with tax season.

January Performance & Used Car Strength: One group finished January at 114% of objective, with high CSI. Used car volume increased versus 2025 for one dealer, with less than 5% inventory over 45 days. Across 35 stores, one dealer reported +16% net profit YoY for January. A Midwest dealer had "one of our best used car months in 2-3 years" in January (145 units vs. 125 average). Some expect record used months, pacing double used units YoY. Recon time is under 2 days for some.

OEM-Specific & Inventory Needs: Stellantis new car sales are "slow" due to a "huge recall." Kia Telluride gas demand is lower than expected; 2025 models sell faster due to discounts, 2027 models gaining traction. Toyota allocated 22 of 2026 Rav4s. Ford F150 4x4, Expedition, and Escape are needed in Chicago.

Massive Recall Impact: A "huge recall" affects "basically all Rams, Wagoneer S, and Cherokee." Dealer-reported figures show 27 of 90 new vehicles (30%) affected at one store, and up to 70% of Ram units unsellable for another.

Critical Parts & Floor Plan Issues: Parts availability is severely constrained; dealers can order only "1 part per store available per week," or "1 every 14 days" for specific components. One dealer noted needing "at least 4" bolts but only getting "1 every 7 days." Stellantis is reportedly not offering floor plan assistance, citing "remedy is available," creating operational friction.

Forced VMS & MAP Program: Stellantis reportedly plans to mandate vAuto Conquest, seen as an "unnecessary expense" by some non-users. Dealer-reported experience finds current conquest pricing programs provide "no value." The MAP program aims to fix "stacked conditional rebates" and "lack of disclosure." Stellantis's 2026 objective is 8% market share (1.1M units), requiring dealers to sell 25% more YoY.

Chargeback Benchmarks: F&I chargebacks should be "no more than 10% of total F&I Gross produced." For $100,000 finance production, chargebacks should not exceed $10,000 monthly. Some stores see 3-10% range. One Ford store reported
$60,000 in chargebacks against $150,000 gross.

Chargeback Mitigation: Most chargebacks are bank-initiated for GAP, often due to refinancing. Strategies include charging back individual managers, or dividing among remaining managers if one leaves. One group applies 100% departmental chargebacks. "No chargeback GAP" policies, despite higher upfront cost, are seen as beneficial. "Non dealer chargeback VSC" products eliminate concerns after 90 days.

F&I Pay Plans: Compensation varies, including individual plans with VPI, VSC, PVR, and spiffs (15% + 2% spiffs, 12-17% max payout). Some pay on gross produced minus shared chargebacks (approx. 50 deals/month). One plan deducts 15% of gross for chargebacks.

DMS Evaluations: Dealertrack is "cost effective and nimble," with new integrations. PBS is praised for "consolidated accounting"; a 16-person store quoted $3,800/month with $29,000 setup. Automatrix offers integrated DMS, CRM, shop, accounting, and website. Reynolds is "old school" with long (e.g., 76 months) contracts. Tekion (36-month term) covers many functions, but onboarding and cost concerns remai

Inventory & Appraisal Tools: Dealerslink offers cost savings vs. vAuto with no reported dips. Appraisal Pro "paid for itself" for trade-ins. Vintel scan tool (integrating with Vincue) is $200 per rooftop. BlueDriver Scanner costs $120, potentially saving $2,000+ annually in integration. Dealer-reported experience with Vettx noted automation challenges and a "$4k+ per month" price impacting ROI. AutoHub is prioritized for acquisition ($1,200-$1,500/month).

Marketing & Websites: Group sites for used, individual sites for new, benefit "unique content" and lead assignment. Motive (site + chat for $2,500/month) offers fast loading. Dealer Alchemist generates upsell attempts. Space Auto is launching "world class tech." In-house QR code stickers link to live pricing, avoiding reprints.

Fixed Ops Tech & AI: Numa is recommended for service. Tekion/CDK are developing repair predictability tools. Interest in AI-driven VIN-specific text coupons (70% higher read rate). MIA offers "real conversation" interactions. Viz Auto (enterprise BI) tracks metrics but requires custom development for external data.

Communication & Meetings: Weekly "frozen assets" sheets, listing 10 oldest items (customer money, inventory, incentives), are discussed at manager meetings. Fixed asset meetings held weekly with controllers and managers.

Internal Imaging & Stickers: Many dealers conduct in-house inventory photography and sticker printing using tools like vAuto, Vincue, or Dealerslink. One dealer uses a DSLR for lot attendants. Dealer Image Pro offers a guided iPad photo service.

Fixed Ops Staffing: NADA suggests "$85,000+" in parts sales per counter person. Wholesale staffing of 2 individuals generating "$50k in gross a month" is a reported benchmark. Toyota's Accessory AIM program pays sales consultants 10% of total AIM sales with presentation/closing qualifiers.

Service Sales Integration: Some groups are implementing sales teams in service departments, seeking advice and KPIs on successful integration.