Critical Shifts:
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The Discovery Gap: While 82% of dealers use AI internally, 63% of shoppers plan to use AI for vehicle discovery, leaving stores invisible early in the funnel if they haven't adapted to AI-driven search.
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Expectation vs. ROI: 69% of dealers expected AI to boost sales and revenue, but only 22% have seen revenue growth so far—most results are currently tied to productivity and efficiency gains.
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Partnering Accelerates Results: Dealers collaborating with external AI partners are far more likely to report optimal tool usage, higher output confidence, and direct revenue growth compared to those building in-house strategies alone.
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Consumers are increasingly turning to artificial intelligence to research and shop for vehicles, but many dealerships have yet to adjust their strategies to match the changing behavior. That’s one of the key takeaways from Cox Automotive’s new AI in Auto Retail Tracker, which surveyed dealers and in-market vehicle shoppers during the first half of 2026.
Cox found that 63% of shoppers say they will definitely or probably use AI during their next vehicle purchase, while 82% of dealers report already using AI. The gap is showing up in vehicle search, where consumers are adopting AI faster than many dealers are adjusting their strategies.
For independent dealers, the shift could affect how shoppers discover vehicles and dealerships before they ever make contact. The most common dealer uses for AI include automating routine or complex tasks, coordinating customer follow-up and generating content. But the research also suggests that simply using AI does not guarantee results.
While 69% of dealers expect AI to drive sales and revenue growth, only 22% of AI users say they have seen that growth so far. Improved customer experience and employee productivity were the most commonly reported benefits. The difference may come down to how AI is integrated into the dealership rather than whether a dealer is using it at all.
“AI is no longer something we are testing. It has become part of how we operate every day. Across both sales and service, AI helps us engage customers, answer questions, and make sure opportunities are not missed,” said Brian Wieland, senior director of used vehicles at Van Horn Auto Group.
Cox also found that dealers working with an external AI partner were more likely to report positive results. Those dealers were more likely to say they were using AI optimally and to report sales and revenue growth from their AI efforts.
The findings point to a shift similar to the early days of digital retailing: Consumer behavior can change faster than dealership processes. Cox says the dealers seeing the most value from AI are not necessarily chasing the latest technology, but using it to improve basic retail operations, customer service and decision-making.
