Dealer Magazine had the privilege of talking with Gary Gilchrist, the 2024 chairman for the National Automotive Dealers Association (NADA).
Gilchrist is president of Gilchrist Chevrolet Buick GMC, Inc. in Tacoma, WA, a family-owned dealership that has been for over 90 years. Gilchrist started in the automotive business in 1977 selling cars in Tacoma after graduating from college.
In this interview, Gilchrist reflects on being a third-generation dealer, the importance of family, NADA initiatives he will be spearheading as chairman, his view on the Biden Administration’s push on electric vehicles and his bullish beliefs on the franchise model moving forward.
DEALER MAGAZINE: Thank you for speaking with us today, and congratulations on your appointment as NADA Chairman for 2024. To start, can you share a little about yourself?
Gilchrist: I am the third-generation dealer of Gilchrist Auto Center in Tacoma, Wash and have proudly served on the NADA Board of Directors since 2017 representing dealers in Washington.
In my personal life, I am devoted to my family and my community. The best gift my parents ever gave me was my brother John. We did everything together – from playing high school football to taking over our family’s dealership. In 2015, John was diagnosed with non-Hodgkin’s lymphoma. After undergoing conventional treatments without success, John went through three clinical trials arranged by South Sound CARE, giving John healthy years to pursue his passions.
John passed in 2020 and in his memory, my wife Gwen and I continue to support the South Sound CARE Foundation’s important work.
DEALER MAGAZINE: Did you always know that you wanted to be a part of the family business to have a career in automotive?
Gilchrist: I never planned to join the family business and went to college to pursue an entirely different career. But my connection to my family drew me back, and 47, years later, I’ve never done anything else.
DEALER MAGAZINE: What was your first job in the industry? And what is the biggest lesson you learned that has stayed with you throughout your career?
Gilchrist: I sold cars for seven years, then moved around the departments of the store, including used cars, parts and new cars. For me, this business is about family and community, and the way to build and strengthen those relationships is through transparency and trust. That’s what I’ve been bringing to work for 47 years.
DEALER MAGAZINE: What sets your dealership apart from others in the market? How many people do you employ at your dealership?
Gilchrist: We have 120 employees between three stores. Community and family are at the center of our work – I know all of our employees, and our customers are like family.
Leading NADA
DEALER MAGAZINE: When and why did you become involved with NADA leadership?
Gilchrist: My niece Stephanie and my son Nick are the fourth generation leading Gilchrist Auto. When they took on leadership roles, I was able to devote more time and energy giving back to the community and to the industry. There are always ways to get involved and help grow the industry.
I was first involved with the Washington State Auto Dealers Association; then, about a decade ago, my mentor encouraged me to get more involved in NADA. When the director for Washington stepped down in 2017, I jumped at the opportunity to serve as a director on the board.
DEALER MAGAZINE: What are some of the accomplishments you have played a role in with NADA?
Gilchrist: Education and training have always been a hallmark of my standard operating practice as a dealer, and I translated that into my early work at NADA, where I took a strong interest in dealer operations, eventually chairing that committee. As the chair, I helped kick off a pilot program that emphasized the professional series, NADA Academy and 20 Groups to help develop junior dealership employees. I believe that education leads to greater opportunities in the store for employees and improves the dealership and customer experience.
DEALER MAGAZINE: Can you share some of the top initiatives for NADA in 2024?
Gilchrist: New franchised dealers’ main priority has and always will be the customer experience, and we have two obstacles to that this year. The first is the FTC Vehicle Shopping Rule, which NADA challenged in court. This rule will make the vehicle-buying process longer and more confusing for consumers. Luckily, the FTC issued an Order postponing the effective date of the Vehicle Shopping Rule pending judicial review of the petition.
The second are current EV mandates, which really impede consumer choice. Franchised dealers share the goals in lowering emissions and electrifying the fleet – believe me, we want to sell the cars! But the EPA mandates are too far, too fast. The infrastructure isn’t there yet and the vehicles aren’t affordable for most Americans. We are hoping the government considers plug-in hybrids as a way to transition to full electrification.
DEALER MAGAZINE: What are some of your main priorities, and what do you hope to accomplish during your tenure as chairman?
Gilchrist: My three goals for the year are to:
1) continue to work with NADA professional staff and OEMs to support the franchise system;
2) engage dealers across the country in NADA’s advocacy and education efforts; and
3) strengthen our relationships with ATAEs, who bring invaluable local and state perspectives and work to the industry.
Electric Vehicles
DEALER MAGAZINE: A group of nearly 5,000 dealers recently asked for a slow down by the federal government when it comes to EV’s. 1) Were you a signatory and 2) What is NADA’s position on dealer’s concerns about moving too fast to EV’s?
Gilchrist: NADA was not behind this letter. New franchised dealers are excited to sell and service electric vehicles. We are committing $10 billion in EV infrastructure, inventory and training and NADA supports these efforts through education and training.
But the last year has shown us that the consumer demand for EVs does not match the Biden Administration’s goals. The current EV mandates are too far, too fast for consumers. NADA continues to provide on-the-ground perspectives to the administration about the realities of this rapid transition primarily due to lagging infrastructure and affordability concerns.
DEALER MAGAZINE: Conversely what should dealers focus on right now and in the coming months with EVs? What must they have in place over the next one to three years?
Gilchrist: NADA has been advocating for realistic public policies that focus on turning over the fleet, getting consumers comfortable with vehicle charging and getting cleaner vehicles on the road through plug-in hybrids.
Plug-in hybrid vehicles can achieve zero emission commutes but are still easy to charge at home with a 120- or 240-volt charger. And the gasoline backup eliminates anxiety about finding an open fast charger. A 2032 where a majority of new-car sales are plug-in hybrids is more likely than one where EVs are the majority.
DEALER MAGAZINE: How are you readying the Gilchrist Chevrolet Buick GMC dealership for the EV future? What are some of the group’s top priorities and initiatives?
Gilchrist: We are investing in infrastructure, charging and sales training. We are ready to answer any questions our customers have about their transition and educate them on their vehicles – that is the benefit of the franchise system.
Bullish on Franchise Model
DEALER MAGAZINE: How do you see the franchise system business model changing over the next three to five years and the following years?
Gilchrist: The franchise system is only going to be stronger. Consumers and manufacturers alike are recognizing that is provides the best consumer experience. Just recently we’ve seen two manufacturers transition from direct sales hybrid models to the franchised dealership system – Fisker and VinFast, both citing our unmatched customer relationships.
DEALER MAGAZINE: How do you see the sales and service experience or processes evolving? What are some essentials for success?
Gilchrist: Advancing technology will continue to drive new products and services, but taking care of people will always be the heart of the car business. We are measured and valued by our customers’ experience.
The way customers buy a car will continue to shift based on their preferences, whether that’s online, in-person or somewhere in between. But when it comes to service, that has not changed. It’s all about convenience and customer service. From repair of an accident to a failure of a part, there are all kinds of personal experiences that credit the franchise system because of how we treat customers. I don’t see that changing any time soon.
47 Years of Experience
DEALER MAGAZINE: What advice do you have for dealerships to build the culture and top-performing team necessary to achieve continued success?
Gilchrist: I believe creating a culture and workplace where everyone feels valued starts at the top. When you have the best people in leadership, applicants see that and want to work with you.
DEALER MAGAZINE: What excites you most about this industry and being a car dealer?
Gilchrist: The daily challenges. This business is never boring and to be successful, you have to always be willing to learn and adapt. I am so grateful for the opportunities I had to work in automotive retail for the last 47 years and provide for my employees, community and family.
DEALER MAGAZINE: What advice or experience has stood out for you in your career?
Gilchrist: It all comes back to trust and transparency. That applies to the dealer-customer relationship, but it also applies to our relationship with the manufacturers and regulators.