One of the biggest areas of growth for the auto business in recent years, and one particularly impactful for franchised dealers, has been certified pre-owned car sales.

Even after five straight years of record years, we may only be scratching the surface for CPO.

In an emailed Q&A with National Automobile Dealers Association chairman Jeff Carlson ahead of the annual NADA Convention & Expo, Auto Remarketing asked Carlson what he believes has made the certified pre-owned market such a strong option for franchised dealers these past five years, and whether he expects the momentum to continue.

“There is tremendous consumer demand for manufacturer-certified pre-owned vehicles, and we expect that trend to continue,” Carlson said. “Among other factors, leasing is up, and that means there will be a growing inventory of off-lease vehicles with low mileage returning to the used-vehicle market that consumers want and at a price point they find attractive.

“A strong CPO market is beneficial to consumers, dealers and auto manufacturers,” he said.

Another impactful trend in the car business has been the digitalization of parts or all of sales process and the online sales model, particularly over the past year or two.

This has been seen both from within their industry through programs from AutoNation and General Motors, for instance, and outside the car business, through so-called “disruptors” like Carvana, Beepi and others.

Auto Remarketing asked Carlson where he see franchised dealers fitting into this process, and how they might use it to their advantage.

“Customer satisfaction is the nature of auto retailing, and dealers strive daily to exceed the expectations of their customers. Car buyers have the power of the Internet, through many third-party sites, to review dealerships,” Carlson said.

“The result is that dealers are not only competing for customers based on price, but also on the value of the total package from sales, service, customer friendliness and community involvement,” he said.

Editor's note: For a complete look at NADA chairman Jeff Carlson's goals for the association this year and his take on the challenges and opportunities for dealers, stay tuned for our featured content in the April 1 edition of Auto Remarketing, our annual NADA Convention issue. That magazine will feature a special section that includes a more extensive feature on Carlson.