Navigating the New Auto Retail Landscape: A Marketer’s Roadmap

The One Big Beautiful Bill Act (OBBBA), signed into law in July 2025, has rewritten the playbook for car buyers, dealerships, and brands. While its overarching aim is to stimulate the economy by introducing approximately $1 trillion in permanent tax cuts and specific sectoral incentives, it brings along with it new complex challenges to navigate.

With a fresh tax break for new, U.S.-assembled vehicles, the phase-out of federal EV credits, and hefty tariffs on imports, everyone in the automotive industry is making sense of these rapid changes. To navigate the complexities of OBBBA and the broader automotive landscape, this guide will help you adapt quickly and pivot your strategy, ensuring you can proactively build a resilient brand and sustain consumer confidence.

We’ll break down the new incentives, see how shoppers are behaving differently, and offer straightforward approaches for transparent, effective compliance. You’ll discover how to:

• Build long-term brand loyalty and stimulate demand by prioritizing messaging that resonates with shoppers
• Make your campaigns resonate while staying compliant
• Use time-saving tools that help keep your business ahead

Let’s explore how to attract today’s discerning automotive consumers and build lasting relationships amid these changes.

Let’s face it: The automotive landscape today isn’t what it was a year ago. Dealerships leaned on stable incentives and the growing popularity of EVs, nudging buyers with attractive monthly payment deals and financing specials.  

OBBBA brings a new set of implications to the status quo. A new provision for car buyers allows them to deduct up to $10,000 a year in loan interest if they choose U.S.-assembled vehicles, but it comes with strict eligibility requirements. Tariffs are pushing prices higher across the board, and with federal EV credits expiring, urgency and uncertainty are everywhere. Car makers are pivoting to expedite their U.S. manufacturing plans, and dealers must clarify eligibility, price points, and campaign messages — without burying buyers in jargon.  

The market is also more digital than ever. Research says 95% of customers start online, and younger buyers especially make decisions through social feeds or influencer recommendations. Additionally, affordability, transparency, and customer experience are now at the heart of winning strategies. The brands and dealers who adapt fastest are the ones reaping the rewards — in sales numbers and long-term loyalty. 

OBBBA’s headline feature is the auto loan interest deduction. Shoppers who buy a qualifying new, American-assembled vehicle get to deduct up to $10,000 in loan interest annually. 

But there’s a catch: Only vehicles built in the U.S., for personal use, under 14,000 pounds, and are road legal get the deal. Many motorcycles are eligible too, including most Harley-Davidsons, Indians, and Zero electric bikes. Additionally, for the taxpayer deduction, there are income caps to keep in mind. To see all the restrictions, check out the full bill. 

OEMS and dealers should focus on clear communication about this incentive and use simple language in creative and messaging, while avoiding any promises. Examples of promises to avoid include: “Get $XX back on your taxes,” or “Your interest is deductible!”  

Instead, frame the deduction as a potential benefit and point shoppers to FAQs or educational one-pagers, keeping messaging straightforward and easy to understand. Be sure to explain qualifying criteria, provide sample scenarios, and direct buyers to professionals for advice. Examples of ad copy could read:  

• “Potential eligibility for federal tax deduction — check with your tax advisor.” 
• “You may be able to deduct interest on your new car loan — ask your tax advisor to see if you qualify.” 

Meanwhile, the popular federal credit for EVs ($7,500 for new vehicles, $4,000 for used vehicles) expires September 30, 2025. This will spark a rush for the last eligible models. OEM partners should consider upcoming deadlines as an opportunity to align messaging strategies with regulatory expectations and market timing. Supporting dealers with early engagement promotes smoother execution and ensures communications remain both effective and compliant. Use opportunity framing, with ad copy examples like: 

• “The limited-time opportunity to save up to $7,500 on a new electric vehicle is here.” 
• “Take advantage of the federal credit for potential savings up to $7,500 on your new EV.”

The consumer response to the new auto-loan interest deduction, while it offers some tax relief, is limited in its scope and unlikely to fully offset other rising costs, especially those from tariffs. The deduction of up to $10,000 per year applies only to new, U.S.-assembled light vehicles purchased for personal use, and is subject to income limitations. This narrow eligibility means that many buyers, particularly those considering used vehicles or more affordable imported cars, will not qualify. Industry experts estimate that 80% of cars priced under $30,000 are imported, thus excluding their buyers from this benefit.  

Compounding the issue, economists project that the new 25% tariffs on imported vehicles and auto parts will lead to significant price increases for American-assembled vehicles, potentially ranging from at least $2,000 to as high as $10,000 for some models. Analysis indicates that the auto loan deduction will only offset a small fraction of these tariff-induced price increases — ranging from 22% to 43% for eligible working-class families.  

For many consumers, especially those ineligible for the deduction, this translates to a substantial net price increase, potentially reaching over $4,500 on a $40,000 vehicle if tariffs cause a 10% price hike. This suggests that the deduction’s benefit is marginal for a large segment of the car-buying public, particularly working-class families who are expected to be most impacted by tariff-induced price increases. 

Above all, every piece of marketing referencing these incentives must include a clear disclaimer. They should be front and center and not buried in fine print. Additionally, spell out that all incentives are based on personal circumstances, not dealer discounts, and eligibility can change at any moment and should be reviewed along with IRS guidance.  

Prohibit your dealerships from guaranteeing tax deductions. Possible language like “Get $XX back on your taxes!” or “Your interest is deductible!” are highly problematic. Try instead more cautious language like: 

• “You may qualify for the federal tax credit.” 
• “You are potentially eligible for a tax deduction on loan interest.” 

Help your dealerships to focus on neutral, informative information about the OBBBA deduction, and to consult with qualified tax professionals for personalized advice. For advertisements, they can also include: 

• Clear expiration dates 
• Direct differentiation between types of incentives 
• Add “subject to change” language to reflect the shifting regulatory landscape 

Dealers must also keep all messaging current, across websites, emails, and in-store materials. Ensuring compliance can be a significant operational hurdle. Automated audits — like those offered by Ansira — clean up expired offers, update disclaimers, and ensure consistency. Additionally, brands can provide compliant and approved messaging and designed assets to dealers in advance, making compliance navigation a breeze for everyone. 

Remember, a well-trained team with clear talking points prevents confusion and builds buyer trust. But a purpose-built platform for automotive and navigating compliance risks makes standing up and turning off these time-sensitive campaigns achievable in just a few clicks. 

Short-Term Outlook: For fall 2025, EV sales will surge as buyers try to snag the last available credits. But once the expiration date passes, a projected slowdown of U.S. EV adoption will take place. Domestic models will become more attractive, and tariffs mean shoppers are looking for added value and transparency.  

Additionally, there will be intensified pressure for domestic supply chain localization, with automakers facing the imperative to strategically re-evaluate product portfolios, fortify supply chains against geopolitical risks, and importantly, refine their communication and advertising strategies to guide customers through these complex financial and technological shifts. 

Long-Term Perspective: With incentives fading and prices rising, OEMs will most likely focus more on hybrids and internal combustion engine (ICE) vehicles. Dealers may need to emphasize reliability and affordability, recalibrating marketing to fit changing buyer priorities. 

First-Time Buyers on the Rise: Nearly one-third of projected car purchases over the next three years will be first-time buys, with even higher numbers among younger shoppers. These new buyers are motivated by practical needs — commuting, family, and lifestyle shifts — and they get most of their information from online sources. They crave easy answers, digital tools, and trust-building guidance. Dealers should invest in digital channels, and utilize pre-approved content, audience-tailored messaging, and interactive guides designed for peer recommendations. 

OBBBA isn’t just a compliance hurdle — it is helping to create eight clear avenues for dealers and brands to rethink their approach to consumers during a period of fragile sentiment. 

1. Authentic Brand Representation

Promote the local and financial impact of your brand’s operations. Spotlight assembly plants, American jobs, and community ties using digital channels and branded, community-inspired experiences to highlight your company’s authentic commitment to the places where your products are made.

2. Capture the EV “Last Call”

Leverage the pending EV credit sunset with clear, compelling campaigns. Offer time-limited savings messages, nurture hesitant buyers through multi-channel outreach, and ensure transparency in disclaimers.

3. Build Trust with Compliance Transparency

Use templated, vetted messaging and conduct quarterly checks. Proactively educate both your team and your customers, building credibility while minimizing risk. (This can be easily done with Ansira Create, for example.)

4. Target Conquest and Non-Eligible Segments

Identify shoppers who are considering imported or used vehicles who don’t qualify for OBBBA. Present trade-up opportunities and illustrate annual savings with eligible models.

5. Turn Policy Education into Lead Generation

Deploy interactive quizzes, explainers, and guides to clarify the deduction and capture new leads. Make education the gateway to your sales funnel.

6. Win with First-Time Buyer Campaigns

Tap into digital media more. From social-first marketing, like leveraging TikTok, YouTube, and Instagram for audience-specific outreach, to growing your digital market share with organic search and digital ads. Using clean, informative, and engaging content that demystifies the process and empowers undecided shoppers will be key here.

7. Communicate End Dates Clearly

For the auto loan interest deduction, highlight the 2025-2028 timeframe. Build your campaigns that cover eligibility criteria and possible savings language with this in mind. Don’t forget to include “subject to change” guidance. If communicating about the EV credit expiration date, make sure to have a plan for after the deadline passes, like shifting messaging around fuel savings, reduced emissions, and the driving experience. 

8. Activate Experiential Marketing

Bring showrooms to life with themed events, influencer partnerships, and community activations. Whether it’s themed test drives or local concerts, premium and thoughtful experiences create emotional connections that drive conversions.

Navigate each of these challenges easily with the following steps to get started. 

• Develop a set of compliant advertising templates and sales word tracks that dealers can use immediately. (Create) 
• Provide clear guidance on how to frame the tax deduction and EV credit expiration in consumer-facing materials. (Create) 
• Coordinate with agency partners to enforce messaging standards and monitor dealer execution. (Create) 
• Set up your digital presence to find, engage, and convert younger, digital-savvy customers. (Attract) 
• For incentive and offer management on the fly, make it frictionless so dealer participation is high. (Incent) 

Recent client successes say it all.  

The OBBBA, while complex, gives OEMS a valuable chance to simplify vehicle information for customers. This allows the buying process to become more approachable and transparent, strengthening the bond between brand and consumers. Dealers and OEMs who embrace transparency, compliance, and innovation can turn regulatory change into profit. By leveraging Ansira’s expertise, tools, and best practices, you can deliver campaigns that educate, inspire, and convert — whether your audience is a first-time buyer on TikTok or a future EV owner navigating incentive deadlines. 

Ready to take the lead in the OBBBA era? Connect with Ansira for award-winning marketing, compliance, and strategy that truly works for your business. 

1. https://www.ainvest.com/news/1-trillion-shift-tax-reforms-reshaping-corporate-investment-priorities-2507/  
2. https://www.cbsnews.com/news/auto-loan-interest-deduction-big-beautiful-bill-how-it-works-cbs-news-explains/  
3. https://www.alston.com/en/insights/publications/2025/07/tax-provisions-one-big-beautiful-bill-act  
4. https://pdmautomotive.com/2025-laws-and-regulation-changes-that-affect-the-automotive-aftermarket/  
5. https://itep.org/house-bill-deduction-auto-loan-interest-would-not-offset-tariffs-auto-price-increases/ 
6. https://theharrispoll.com/briefs/2025-harris-poll-autotechcast-navigating-the-rollback-of-the-federal-ev-tax-credit/  
7. https://www.edmunds.com/car-loan/car-loan-tax-deduction.html  
8. https://environmentalenergybrief.sidley.com/2025/07/08/congress-eliminates-corporate-average-fuel-economy-cafe-penalties-for-passenger-cars-and-light-trucks/#:~:text=Adam%20M.,July%208%2C%202025 
9. CBS News: Auto Loan Interest Deduction Explained 
10. ITEP: Tariff Impact Study 
11. Harris Poll: EV Credit Trends 

Heather Dale

Senior Director, Client Strategy

Heather is a dynamic marketing strategist with nearly a decade of expertise in localized strategy. Based in Metro Detroit, she seamlessly blends data-driven insights and creative thinking to craft effective, strategic solutions. Heather excels in building integrated channel strategies and leveraging fund utilization insights to optimize performance across both brand and retail tiers. Driven by a passion for cultivating strong client partnerships, she is dedicated to enhancing the end-user experience through innovation and meaningful engagement.