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Episode #1097: In today’s episode, we dig into why the Alliance for Automotive Innovation and NADA are in disagreement on state franchise laws, Stellantis’ quiet hydrogen retreat, and why pop-up shops are punching above their weight in modern retail strategy.
- The Alliance for Automotive Innovation has called on the DOJ to review state franchise laws, sparking a fierce response from NADA and highlighting long-standing tensions between OEMs and dealers.
- The Alliance argues some franchise laws create unnecessary costs, ultimately hurting consumers and competitiveness.
- The letter targets laws restricting new dealership locations and third-party time guides for warranty work.
- NADA President Mike Stanton labeled it a “broadside attack” and called for a unified defense of the franchise model.
- Don Hall, CEO of VADA, said: “If there is such a thing as a holy war in the franchise world, it’s a holy war.”
- In response to backlash, John Bozzella, President of the Alliance clarified: “We support the dealership franchise model. Period. Full stop.”
- Stellantis is backing away from hydrogen-powered vehicles, shelving its fuel-cell van program as infrastructure and economic realities dim the tech’s near-term future.
- The automaker will no longer launch its hydrogen-powered Pro One vans originally planned for France and Poland.
- Stellantis cited poor infrastructure, high costs, and low midterm viability for light-duty hydrogen vehicles.
- R&D resources will be redirected toward electric and hybrid vehicle development.
- Staff at impacted plants will be reassigned, and the company is reassessing its stake in hydrogen joint venture Symbio.
- “The hydrogen market remains a niche segment, with no prospects of midterm economic sustainability,” said COO Jean-Philippe Imparato.
- Pop-up retail is evolving from a buzzy trend to a proven strategy, with brands large and small embracing short-term storefronts to build awareness, test products, and drive limited-time sales.
- U.S. pop-up shops generate ~$80B annually, with projections hitting $95B by 2026.
- 80% of retailers who've opened a pop-up call it a success; most spend under $5,000 to launch.
- Goals include building brand awareness (66%), deepening customer connection (63%), and launching products (46%).
- Retailers range from e-commerce-only to full brick-and-mortar operations.
- As Sarah Rudge wrote: “Pop-up shops have become more than just a retail trend — they’re now a strategic tool.”
Join Paul J Daly and Kyle Mountsier every morning for the Automotive State of the Union podcast as they connect the dots across car dealerships, retail trends, emerging tech like AI, and cultural shifts—bringing clarity, speed, and people-first insight to automotive leaders navigating a rapidly changing industry.
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