How to Thrive in a High-Tech, Low-Margin New Car Sales Market

Margins are tightening, competition is intensifying, and the pace of change across the automotive industry is accelerating rapidly. Electrification, new brands entering the market, changing consumer expectations and evolving OEM models are all reshaping what success in new car sales looks like.

For franchised dealers, the question is no longer simply how many vehicles you can sell, but how you build a profitable and sustainable new car operation in a changing landscape.

That’s why this session will be a key feature of the 2026 AADA Sovereign Insurance General Session, taking place from 10:00am to 12:00pm on Wednesday 29 July at ICC Sydney.

A Market That Looks Stable – But Is Changing Fast

At first glance, the Australian new car market appears relatively stable. Annual sales have hovered around 1.2 million vehicles, and strong consumer demand has continued through multiple economic cycles.

But beneath that stability, the structure of the market is shifting.

Electrified vehicles are gaining ground, new Chinese manufacturers are rapidly increasing their market share, and digital platforms are reshaping how consumers research and buy vehicles.

At the same time, dealerships are operating in an environment where gross margins are tighter and operating costs continue to rise.

Understanding how these forces interact – and what they mean for dealers on the ground – will be central to this session.

Featuring Industry Voices Who Understand the Market

This year’s presentation will be delivered by two of Australia’s most recognised automotive commentators:

Damon Rielly, CEO of CarExpert
Paul Maric, Founder and Presenter at CarExpert

Together they bring deep insight into the Australian automotive market – from consumer trends and vehicle technology to brand strategy and the forces reshaping the industry.

With millions of Australians engaging with CarExpert content each month, Damon and Paul have a unique vantage point on how buyers think, what influences their decisions, and how the market is evolving.

Their session will translate those insights into practical implications for dealers.

What Dealers Will Learn

The presentation will explore a number of key questions facing franchised dealers today.

The maths behind new car sales

Dealers will see a clear picture of the economics of the modern new car department – including benchmarks, margin pressures, and where new vehicle sales fit within the broader dealership profitability model.

How the market mix is changing

From the rise of BEVs and PHEVs to the rapid growth of new brands entering the Australian market, the definition of “normal” in the new car business is evolving quickly.

Understanding what these changes mean for product mix, customer expectations and dealership operations will be critical.

The growing role of demo and near-new vehicles

As OEMs experiment with new distribution approaches and electrified vehicles require more consumer education, demonstration fleets are becoming increasingly important.

This raises important questions for dealers around stock management, margin and the role demos play in the broader sales ecosystem.

How dealers can stand out in a crowded market

In an environment where many dealerships sell similar vehicles under similar pricing structures, differentiation matters more than ever.

From customer experience to brand positioning and digital engagement, the session will explore how dealers can create a clear point of difference in their local market.

Why This Conversation Matters Now

The automotive retail sector is entering a period of profound transformation.

Technology is reshaping vehicles themselves, while digital media is reshaping how consumers discover and evaluate them. At the same time, new competitors and new distribution models are entering the market.

For dealers, the winners in this environment will be those who adapt early, understand the trends shaping the market, and build strategies that turn change into opportunity.

This session will provide the insight and perspective needed to do exactly that.

Join Us at AADA 2026

The 2026 AADA Convention & Expo will take place on July 29-30 at ICC Sydney, bringing together the people and ideas shaping the future of Australia’s franchised new car dealership network.

🎟️ Early Bird registrations are now open for a limited time

If you’re responsible for new vehicle sales – or the overall performance of your dealership – this is a session you won’t want to miss.

👉 Secure your place and take advantage of Early Bird pricing today!

Because in a high-tech, low-margin environment, understanding the market isn’t optional – it’s essential.