When Shawn Vaughan looks at what’s ahead for the automotive market in 2024, he sees much uncertainty — about the economy, interest rates, politics.

But there’s one thing he’s sure of.

“Retail is back,” said Vaughan, president and CEO of Vaughan Automotive, which operates two Toyota dealerships in Houston and Boerne, Texas that retail some 1,500 units with annual sales of about $500 million.

As the auto industry continues to evolve in the post-COVID era, many dealerships are having to ...