Artificial intelligence (AI) has taken on a conspicuous role in 2025 society, with ardent enthusiasts and casual observers alike intrigued by the possibilities it offers. There is a healthy fear and respect approach to AI on the business front as many companies are approaching with caution as they learn more and more about the opportunities available, and the pitfalls that exist.
In the initial installments of this month’s State of the Industry report on AI, we’ve primarily focused on how dealers are leveraging the various flavors of technology to benefit their own sales and marketing efforts. This week, we’re taking the interest-level temperature of dealer clients and exploring what role, if any, they are playing in advancing the use of AI.
When a company has such a large book of business, as is the case with Marco of St. Cloud, Minnesota, client adoption strategies range from nonexistent to bleeding edge, and everything in between. One of the clearest trends among them, according to Clay Ostlund, president of the IT division, is the lack of a strategy. AI and the cloud are topics that motivate clients, and it falls upon the dealer to help all levels of engagement add a touch of discipline to the approach.
“We’re helping our customers envision what their journey might look like, and how they can get started,” Ostlund noted. “Digital transformation consulting is an area that we’re wrapping up and providing to our customers more and more, because that digital transformation is what’s going to keep them competitive in the market. Since their peers are doing things with AI, if they aren’t following suit, they’re going to get passed by because their costs are going to be too high.”
Curiosity Piqued
One of the most encouraging signs is clients outright asking about how AI can benefit their operations. According to Erica Huentelman, executive assistant for Cincinnati-based Donnellon McCarthy Enterprises, they are also seeking out success stories.
“Many are curious about how we’re using AI and how it’s helping our team, which often opens the door to deeper conversations about innovation and efficiency,” she said. “Overall, there’s a strong sense of curiosity and a willingness to explore how AI can make everyday tasks easier and more effective.”
Given the swift pace of AI technology, particularly in the past two years, some clients have found it difficult to keep pace with what is available to them. Some companies have the luxury of a dedicated IT team or technology division that’s tasked with bringing possibilities to senior leadership. Chris Miller, vice president of technology for Pacific Office Automation in Beaverton, Oregon, notes the first version of many product iterations, and the lack of awareness regarding potential dangers can be problematic.
“It’s important for companies to lock down the technologies and prevent their information from being available,” he said. “Sales reps and younger individuals use AI on their phone, or take pictures of something specific and ask AI to categorize it. That all becomes public knowledge. Companies and their employees aren’t aware of the information sharing issue and knowing the difference between a free and a paid AI tool. People should be cautious and make sure that they fully understand the implications of implementing AI.”
Commitment Issues
AI may be sexy from a business standpoint, but precious few companies have committed dollars and development energy to make it a reality. Justin Drabouski, vice president of technology and security for Fraser Advanced Information Systems of West Reading, Pennsylvania, notes that despite the pervasiveness and accelerated interest and use on the consumer end, particularly through mobile phones, the business sector isn’t making it a priority.
In 2024, Drabouski attended a technology-specific conference that attracted 3,000 companies. At the end of the conference, one presenter asked the audience how many of them are actively investing. Drabouski’s raised hand was one of only three.
“Interest is off the charts, but action is still minimal outside of the low-hanging fruit,” he said. “Companies have no one on staff who is driving it. For the most part, they don’t have direction from a business standpoint on how they’re going to use it practically.”
AI represents a golden opportunity for dealers who have invested and grown technology competence to act as a strategic advisor for clients who are keen on seeing how they can leverage it but lack the resources to dedicate subject-matter experts in-house. Lauren Hanna, vice president of Blue Technologies in Cleveland, notes her dealership is filling that void for clients.
“There’s a lot of curiosity but also a lot of questions,” she said. “That’s where we step in. We’ve positioned ourselves as a resource to help clients understand where AI fits, how to apply it responsibly, and what solutions might benefit their specific goals and environments.”
Perhaps most importantly, the need for clients to have an AI evangelist on staff will help them make sense of how and where it could benefit them. Scott Anderson, senior vice president of IT for Kelley Create in Kent, Washington, believes it to be a critical step in any serious AI platform development.
“You really need that internal champion who understands the business and is helping different departments figure out how they can incorporate it into their workflow,” he said. “Organizations that have really gone to the next level of adoption have that internal champion.”
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