The automotive industry has always been about speed—how fast cars can go, how quickly they’re manufactured and brought to market, how efficiently they’re sold. At this year’s JD Power Auto Summit and NADA conferences, I saw a different kind of velocity begin to take center stage: the speed at which dealerships and OEMs can build capability and drive performance. In other words, learning velocity.
The focus on velocity in the automotive industry started with inventory management (days to turn, holding costs, and profitability metrics). But the real breakthrough for me is this: if velocity creates competitive advantage on the lot, imagine what it could do for the most critical asset of all—people. Accelerating speed-to-competency (and more quickly achieving higher levels of performance as a result) will drive greater success for individuals and businesses alike.
Here are five key takeaways that reveal why learning velocity isn’t just another L&D buzzword. Instead, it may be the strategic imperative for thriving in an industry facing unprecedented disruption, accelerated change, and volatile conditions.
1. Disruption in the Automotive Industry Requires Faster Workforce Development
The opening comments at the 2026 JD Power Auto Summit set the tone immediately: both dealers and OEMs face a higher frequency of disruption and changing dynamics than ever before. The industry landscape is shifting constantly.
The numbers tell a sobering story about why keeping with the status quo will make it more difficult in the current market:
- New vehicles average nearly $50,000, used vehicles $30,000—pushing affordability to the breaking point for many consumers.
- 2026 new car sales are predicted to be flat, at roughly 16.3 million units.
- Dealer profits are forecasted to decline year-over-year despite maintaining sales volumes.
- Dealers are seeing less profit from new vehicles and are becoming increasingly dependent on used vehicles and service for profitability.
Add evolving regulations, the ongoing talent crisis, and ever-increasing digital retail expectations, and the message is clear: dealers and OEMs need new strategies to help them adapt, thrive, and succeed indefinitely (not just through this year’s end).
The L&D opportunity: The automotive industry can no longer afford slow, incremental improvement. The ability to rapidly build capability and achieve higher performance is the difference between thriving and merely surviving.
2. Speed to Proficiency Is a Critical Dealership Metric
The term “velocity” resonated throughout both conferences. Days to turn is now a key metric in franchise assessments across dozens of brands, with lower holding costs directly translating to profitability.
But here’s what made this year different: conference speakers began applying the velocity concept to workforce development. If rapid inventory turn reduces costs and increases profits, what happens when you apply the same principle to getting new hires productive faster, managers coaching sooner (and more effectively), and teams adapting quicker?
The L&D opportunity: Speed to proficiency is not a soft metric. It is directly tied to productivity. Every day a sales consultant isn’t productive is a day of lost commission for them and a lost sales and gross profit opportunity for the dealership. Every week and month that a manager cannot coach effectively contributes to lower performance, higher employee turnover, and a weakened culture. Learning velocity makes these outcomes measurable and improvable.
3. The Automotive Talent Imperative: Speed to Competency as a Key to Retention
Two of NADA’s six education tracks at the 2026 NADA Show focused entirely on people: human capital and leadership. The technician gap continues to widen, with dealers partnering with high schools and community colleges, some even employing dedicated recruiters to search for talent nationwide. But recruitment is only half the battle—getting employees to stay and become highly productive is the other half.
Sales consultants face notoriously high turnover. For non-luxury dealerships in the 2025 NADA Dealership Workforce Study, 73% of sales consultants fail to make it through their first year. Also concerning is that this is a substantial increase (up 13 percentage points) from 2024, when sales consultant turnover was 60%. A vast majority are leaving before they become profitable contributors. Running on small base salaries plus commission, they need to sell enough cars to survive. If they can’t get there fast enough, they’re gone—along with the dealership’s hiring and training investment and the management time spent.
Conference sessions highlighted that at least four generations are now working in dealerships simultaneously, requiring more sophisticated retention strategies. Topics like resilience, wellbeing, and creating positive cultures where people thrive are no longer nice-to-haves. They are integral to employee experience and directly impact employee retention.
The L&D opportunity: Dealerships need to spend less while hiring better, increase their speed-to-proficiency for new hires, and offer additional learning opportunities beyond basic compliance training requirements. Progressive dealer groups are investing heavily in employee experience through training and education, with some even creating their own corporate universities. Hendrick Automotive Group launched Hendrick University through Rock Ed, as one example, and other dealer groups are taking similar actions to provide more training and development opportunities for their employees.
4. Digital Retail and AI Innovation Require Rapid Upskilling at Scale
Digital retail and marketing comprised the third major education track at NADA. The competitive pressure is intense: Hyundai now sells new and used vehicles through Amazon; Tesla, Rivian, and Polestar sell direct to consumers; and all brands continue to work on unifying and streamlining the online shopping experience. General Motors is investing heavily in digital showrooms and targeted resources, helping its dealers master a seamless transition from online to in-store customer experiences.
The show floor was packed with AI-powered solutions: fraud prevention, compliance tools, scheduling and service capacity management, and mystery shopping automation. But tools alone don’t create change. People need to learn how to use them effectively—and do so quickly.
As regulations continue evolving, legal and compliance are mandatory to keep pace across all areas of the business. Failing to comply with regulations can be extremely costly on a per-transaction basis, making the speed of upskilling an important factor in this rapidly changing landscape.
The L&D opportunity: Every customer interaction is a one-shot opportunity. Dealers can’t afford months-long learning curves for digital tools, compliance requirements, or new service technologies. The organizations excelling in digital retail are those rapidly building capabilities across their sales teams.
5. Employee Experience Impacts Dealership Performance
One of the most powerful themes across both conferences: employee experience drives customer experience, which in turn drives dealership performance and brand reputation. But that cycle only works when employees have the capabilities they need.
Managers need leadership development, time to spend developing their teams (including their strong performers), and education on improving operations in this changing market. Ultimately, organizations need to know how to lead and coach for performance, not just hope for it.
The focus on manager development isn’t accidental. Bad managers drive higher turnover. Good managers help create cultures where people thrive. But developing good managers takes time—top-performing organizations have strategies to accelerate that development.
The L&D opportunity: Robert M. Cavender, President of Cavender Auto Group, was recently asked at the Frost Distinguished Lecture Series what was most important about the future of leadership in the industry. His reply was, “Training. The next generation of leaders is critical.” Learning velocity recognizes that speed to proficiency for new hires impacts the bottom line, rapid manager development creates retention-driving cultures, continuous upskilling of tenured staff drives higher employee productivity and performance, and faster organizational adaptation creates competitive advantage.
The Bottom Line: Velocity Wins
One of the most powerful themes across both conferences: employee experience drives customer experience, which in turn drives dealership performance and brand reputation. But that cycle only works when employees have the capabilities they need.
Managers need leadership development, time to spend developing their teams (including their strong performers), and education on improving operations in this changing market. Ultimately, organizations need to know how to lead and coach for performance, not just hope for it.
The focus on manager development isn’t accidental. Bad managers drive higher turnover. Good managers help create cultures where people thrive. But developing good managers takes time—top-performing organizations have strategies to accelerate that development.
The L&D opportunity: Robert M. Cavender, President of Cavender Auto Group, was recently asked at the Frost Distinguished Lecture Series what was most important about the future of leadership in the industry. His reply was, “Training. The next generation of leaders is critical.” Learning velocity recognizes that speed to proficiency for new hires impacts the bottom line, rapid manager development creates retention-driving cultures, continuous upskilling of tenured staff drives higher employee productivity and performance, and faster organizational adaptation creates competitive advantage.
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