AI Is Targeting Car Salespeople and Honestly, It Makes Total Sense

AI Is Targeting Car Salespeople and Honestly, It Makes Total Sense

      An auto dealer software company is promoting AI-driven kiosks intended to replace car salespeople on showroom floors. According to Automotive News, the industry shows a degree of skepticism. But let’s be honest—would you genuinely prefer engaging with an average car dealership salesperson instead of a machine?

      Epikar, a South Korean firm that develops digital management solutions for car dealerships, has introduced its latest AI creation, the Pikar Genie. This device allows customers to interact, ask product-related questions, and perform essentially all the functions of a car salesperson, except for finalizing the deal and completing the paperwork.

      It might not be exactly the same as ordering nuggets through one of those large-screen ATMs at McDonald's, but it shares a similar concept.

      Renault, BMW, and Volvo are already implementing some of Epikar's products in South Korean dealerships, although this new customer-oriented AI solution is still in development. According to Epikar CEO Bosuk Han, “Renault has three salespeople assigned to its Seoul showroom enhanced with Epikar automation, compared to six in other Renault showrooms across South Korea,” as reported by AN.

      The company is now aiming to expand to the U.S. and is reportedly already testing its products at at least one American dealership.

      Car-dealer consultant Fleming Ford (Director of Strategic Growth at NCM Associates) told AN that U.S. dealerships “aren’t prepared for fully automated showrooms.”

      “The showroom isn’t only a place to purchase a car,” he stated to Automotive News. “It’s where you determine whom to trust in selecting the right vehicle.”

      I must confess, I’ve only set foot in car dealerships as a buyer fewer than a dozen times. However, I can't say I've ever encountered a “trustworthy” vibe from commission-driven salespeople.

      In fact, every interaction I’ve had with a sales representative felt more akin to conversing with a chatbot than with an actual individual.

      This isn’t meant as a slight against those working in car sales. I understand they’re trying to meet their quotas like everyone else. However, in my experience, active car salespeople often follow scripts to move older inventory into customers’ hands rather than engaging in genuine conversation.

      For instance, I assisted my grandfather in purchasing a new Nissan Frontier recently. He has been driving pickups since the 1960s and specifically wanted a low-spec, short-cab Frontier as likely his last truck.

      Accompanying him to a Nissan dealership, I explained his preferences. The salesperson cheerfully nodded and typed what seemed like an entire script on his computer, then printed a specifications list and handed me a deal for a four-door, top-tier PRO-4X model. We left empty-handed.

      A few days later, we successfully found the truck he wanted at another dealership—I had to literally read the stock number from the store’s website to get the sales associate to retrieve the keys.

      So, while I'm not exactly an AI “fan,” I'm not particularly upset about the potential reduction of human jobs in this context. However, it's uncertain if Epikar will be the driving force in this transition—I’ve had difficulty accessing its website on any browser as of this writing (not the best indicator for a tech firm).

      Car dealers have a history of resisting change, and transitioning to AI in car sales might require quite some time due to the associated paperwork (loans, insurance, titles, registration). However, once the technology is in place, dealership owners are likely to embrace robot sales associates. A salesperson who doesn't need breaks, can easily access the internet, and, most importantly, doesn't earn a commission will likely be appealing to managers, regardless of consumer sentiments.

      Have a tip? Reach out at tips@thedrive.com.

AI Is Targeting Car Salespeople and Honestly, It Makes Total Sense

Other articles

AI Is Targeting Car Salespeople and Honestly, It Makes Total Sense

The "Pikar Genie" is being presented as an enhancement for showroom personnel. However, would you genuinely prefer to interact with a aggressive salesperson instead of a chatbot?