As we enter 2025, the automotive industry continues to face unprecedented challenges and opportunities. As we began to see last summer, the growing importance of cybersecurity is more top-of-mind and will be an even larger priority for auto dealerships in the coming year.
This shift comes as a response to the evolving threat landscape and the increasing value of data in the digital age. However, recent industry survey results reveal alarming gaps that remain in the industry’s preparedness, serving as a wake-up call for dealerships nationwide here in 2025.
The survey paints a concerning picture of the current state of cybersecurity in auto dealerships. While many have basic security measures in place, such as antivirus software (17.5 percent) and firewalls (19.4 percent), there is a notable lack of more advanced protections. This disparity leaves dealerships vulnerable to sophisticated cyber threats that can easily bypass basic security measures. Perhaps most alarmingly, only 9.7 percent of dealerships currently employ secure data in transit solutions, a critical component in safeguarding sensitive customer information as it moves between the dealership and lenders.
Gaps That Still Remain In Cyber Protections
This lack of secure data in transit solutions is particularly concerning as we move into 2025. Up until now, dealerships have primarily focused on protecting their digital infrastructure, but the coming year will see a significant shift towards protecting customer data that is in transit. This change comes as dealerships begin to recognize the critical importance of safeguarding customer information throughout its entire lifecycle, not just when it’s stored within the dealership’s systems.
The concept of secure data in transit is set to become a hot buzzword for auto dealers in 2025. This shift reflects a growing understanding of the vulnerabilities associated with data as it moves between different entities. Cyber criminals are increasingly targeting this data in motion, recognizing it as a weak point in many organizations’ security strategies. As such, implementing robust secure data in transit solutions will become a key priority for forward-thinking dealerships in the coming year.
Why So Few Remain Unprepared
However, the survey results indicate that many dealerships are ill-prepared for this shift. Only 39.8 percent of dealerships conduct cybersecurity training for employees on an annual basis, with a mere 9.7 percent doing so monthly. This lack of regular training leaves employees, often the first line of defense against cyber threats, vulnerable to social engineering tactics and phishing attempts.
As we move into 2025, increasing the frequency and quality of cybersecurity training will become crucial in building a strong security culture within dealerships.
Looking ahead to this year, several key trends are set to shape the cybersecurity landscape for auto dealerships. First and foremost is the move toward comprehensive data protection strategies that encompass both data at rest and data in transit. This holistic approach will require dealerships to implement end-to-end encryption solutions and adopt zero trust architectures that verify every transaction, regardless of its origin.
AI & Machine Learning Tools
Another significant trend is the increasing adoption of artificial intelligence (AI) and machine learning in cybersecurity. The survey indicates that 17.4 percent of dealerships are planning to invest in AI for threat detection in 2025. These advanced technologies will enable dealerships to detect and respond to threats in real-time, significantly enhancing their security posture. AI-powered systems can analyze vast amounts of data, identifying patterns and anomalies that might indicate a potential security threat, often before it can cause significant damage.
Cloud security solutions are also set to play a crucial role in the cybersecurity strategies of auto dealerships in 2025. The survey shows that 20.3 percent of dealerships are planning to invest in cloud security solutions in the coming year. This move toward cloud-based security reflects the increasing digitization of the automotive industry and the need for scalable, flexible security solutions that can adapt to the evolving threat landscape.
Compliance with regulatory standards will become increasingly important. Many dealerships have yet to be fully in compliance with the FTC Safeguards Rule, with 39.8 percent still in the process of becoming compliant. This low compliance rate exposes dealerships to potential legal and financial risks. Moving forward, ensuring full compliance with regulatory standards will be crucial not only in avoiding penalties but also in building trust with customers who are increasingly concerned about the security of their personal information.
Enhancing Cybersecurity Strategies
The role of leadership in driving cybersecurity initiatives will become more prominent in 2025. The survey indicates that 19.4 percent of dealerships have a designated Chief Information Security Officer (CISO) or equivalent role, with 39.8 percent planning to hire one in 2025. This trend towards dedicated cybersecurity leadership reflects the growing importance of security in the overall business strategy of auto dealerships. CISOs will play a crucial role in aligning security initiatives with business objectives, ensuring that cybersecurity is integrated into every aspect of the dealership’s operations.
It is clear that auto dealerships must significantly enhance their cybersecurity strategies to address the evolving threat landscape. This will require a multi-faceted approach that includes implementing advanced security technologies, increasing the frequency and quality of employee training, adopting comprehensive data protection strategies, and ensuring compliance with regulatory standards. Dealerships that fail to adapt risk not only potential data breaches and financial losses but also damage to their reputation in an increasingly security-conscious market.
As we move into 2025, cybersecurity will become a defining factor in the success of auto dealerships. The shift toward prioritizing secure data in transit solutions, coupled with the adoption of AI-powered security systems and cloud-based technologies, will reshape the security landscape. Dealerships that embrace these changes, investing in comprehensive security strategies that protect both their digital infrastructure and customer data throughout its entire lifecycle, will be well-positioned to thrive in the increasingly digital and data-driven automotive industry of 2025 and beyond.