cargrid research · June 2026

AI plays favorites. Your dealership probably isn’t one.

35 cities. Three countries. We asked ChatGPT the questions buyers ask before they choose a dealer — and recorded every name it gave back. The results surprised us.

Model: gpt-5.5Live web search35 cities3 buyer questions
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Before we dive in · The landscape

Car buyers are already asking AI where to shop.

Before we ran a single query of our own, we reviewed the major 2025–2026 studies on how car buyers use AI — from Cox Automotive, Cars.com, CarGurus, CarEdge and Ekho. Across tens of thousands of surveyed shoppers, three things are now clear.

1 in 4

Buyers already use AI.

  • 19% of all car buyers — and 25% of new-vehicle buyers — used AI tools while shopping, the first year the study tracked it. Cox Automotive, 16th Annual Car Buyer Journey Study, Jan 2026 · n=2,300
  • 30% of active shoppers used generative AI during research — and ChatGPT accounted for 68% of that use. Ekho 2026 AI Vehicle Research Study · n=627
  • 40% of in-market buyers expect to use AI next time, up from 14% of recent buyers. CarEdge, 2025 · n=500
41%

Act on what AI says.

  • 41% of shoppers say they're most likely to visit the dealer or brand an AI recommendation names. Cars.com AI in Car Shopping Survey, Nov 2025 · n=936
  • 40% use AI to find listings; 36% use it to check dealership reviews. CarGurus 2025 Consumer Insights Report · n>3,000
  • 44% have already used AI-powered search tools on car marketplaces. Cars.com, Nov 2025
71%

Trust what AI tells them.

  • 97% of AI users say it will impact their purchase decision; 71% already place at least moderate trust in it. Cars.com, Nov 2025
  • 59% of AI users reported high satisfaction with the help they received. Cox Automotive, Jan 2026
  • 83% of consumers believe AI will reshape how cars are bought. Cox Automotive, Jan 2026

Every one of these studies agrees buyers are turning to AI to decide where to shop — and acting on what it says. But none of them asked the obvious next question: when a buyer does, which dealers does AI actually name?

Our method

So we ran the test ourselves.

We wanted to see exactly what a buyer sees when they turn to AI at the start of their search — before they visit a lot, before they fill out a lead form, before they even open Google Maps. We asked the same three questions real buyers ask, in 35 cities across three countries, and recorded every name ChatGPT gave back.

The 3 questions, asked in every city

  1. 1What are the best car dealerships in my city?
  2. 2Where can I find an SUV under $30,000 near my city?
  3. 3Where can I get the best financing or bad credit car loan near my city?
35 citiesUS · Germany · UKgpt-5.5 · high reasoningLive web searchJune 2026

The results

Here’s what we found.

AI doesn’t show a list of your local options — it names just a handful, and they’re overwhelmingly big franchise groups and national marketplaces. The local dealer is mostly absent. And which names make the cut shifts with what the buyer asks — three questions, three different sets of winners.

3–5
names in a typical AI answer

And here’s who fills them

Cars.comportalCarGurusportalAutoNationgroup1 local dealermaybe(that’s usually it)

Each dot is 1 in 10 dealers. If you’re not one of the few AI names, you’re not in the running — and about 9 in 10 aren’t.

“Not named” = absent from ChatGPT’s first answer to these 3 questions, measured against the modeled dealer count per market.

What the data shows

63%
of AI’s recommendations go to a big franchise dealer

And it crowns the incumbents.

A franchise dealer takes the #1 spot in 32 of 35 cities. A local independent led in just one — Bristol — and only on the back of standout local reviews. The single-rooftop store isn’t competing on a level field; it’s competing against brand memory.

The game changes by country.

How hard AI leans on big franchise dealers — and who fills the rest of the shelf — depends on where you operate. In the US it’s a franchise game; in Germany the marketplaces (mobile.de, AutoScout24) take roughly a third of every answer; in the UK independents have their best shot anywhere in the study.

Franchise share of AI’s recommendations, by country
United States
69%
Germany
52%
United Kingdom
46%
29%
of financing answers named a local dealer first

And your highest-intent buyer? AI sends them to a lender.

When buyers asked about financing and bad credit, AI named a real local dealer first only 29% of the time. The rest went to credit unions, lenders, and brokers. The shopper who’s ready to sign — your most valuable lead — is the one AI most often hands to someone else.

What surprised us
  • Sometimes AI names no dealer at all. In several cities the safest answer wasn't a store but an instruction — “use Cars.com and filter by price and distance.” That turns AI from a recommender into a lead funnel for the marketplaces.

  • In Germany, “bad credit” makes AI cautious. German bad-credit wording (around SCHUFA) pushed assistants toward portals and specialist “ohne Schufa” providers instead of mainstream franchise dealers.

  • In the UK, a broker usually beats the dealer to the buyer. Finance queries favored Auto Trader, CarFinance 247 and Zuto/Oodle-style brokers — leaving the dealer as inventory fulfillment after the finance relationship is captured elsewhere.

Curious where your store lands on these questions? Get your free report →

Find your market

Is your dealership on the list?

Scroll to your market — or the one nearest you — and see who AI recommends when buyers ask about the best dealership, an SUV under budget, and bad-credit financing.

Each list is a combined ranking across all three questions — who AI surfaced most often overall in that market, not a separate result for each question. The % franchise is the share of those recommendations that went to big franchise dealers.

United States

69% franchise

The US market is highly fragmented: even when AI names five or six entities, large metros often contain dozens or hundreds of rooftops, so invisibility remains above 90%. Franchise groups dominate broad discovery, while Cars.com, CarGurus, and Autotrader capture SUV-under-$30,000 intent; bad-credit prompts fragment toward lenders, credit unions, CarMax/DriveTime-type chains, and independent BHPH lots. The strongest US dealers are those with both brand authority and intent-specific content, especially used-SUV and credit-challenged financing pages.

Atlanta, GA

73% franchise

Atlanta is group-led: Nalley, Jim Ellis, Hennessy, and Ed Voyles are memorable to AI, while Hola appears only in the bad-credit lane.

Who AI names here
Nalley Automotive Group
Jim Ellis Automotive Group
Hennessy Auto
Ed Voyles Automotive Group
CarGurus
Hola Auto Sales

Boston, MA

70% franchise

Herb Chambers is the dominant entity; smaller Boston used lots surface mainly when the prompt asks about low-budget or credit-challenged buyers.

Who AI names here
Herb Chambers Companies
Honda Village
Cambridge Honda
Mirak Chevrolet
CarGurus
Motor City Boston

Charlotte, NC

65% franchise

Hendrick’s hometown authority dominates, but used-car and credit-specialist brands still capture late-funnel shoppers.

Who AI names here
Hendrick Automotive Group
Scott Clark Toyota
Town and Country Ford
EchoPark Charlotte
Ride Now Motors
Cars.com

Chicago, IL

57% franchise

Chicago’s answer set is split between reputable franchise stores and finance-specialist used dealers that match the bad-credit wording.

Who AI names here
Victory Honda Chicago Northside
Berman Nissan of Chicago
Chicago Northside Toyota
Cars.com
Wheels of Chicago
Dial Auto Group

Columbus, OH

72% franchise

Columbus is a dealer-group memory market: Germain, Ricart, Lindsay, and Byers crowd out most smaller lots.

Who AI names here
Germain Toyota / Germain Honda
Ricart Automotive
Lindsay Honda
Byers Auto
Nile King Auto
Cars.com

Dallas, TX

72% franchise

Dallas rewards premium franchise authority, but financing intent often names RoadLoans or pre-approval paths before any local rooftop.

Who AI names here
Sewell Automotive Companies
Toyota of Dallas
John Eagle Honda of Dallas
Clay Cooley Auto Group
Cars.com
RoadLoans

Denver, CO

73% franchise

Denver’s answers favor franchise authority for discovery, but Queen Auto Sales and similar independents surface when credit wording is explicit.

Who AI names here
Schomp Automotive Group
Mike Shaw Subaru
AutoNation Denver-area dealers
Tynan's Nissan / Volkswagen
Cars.com
Queen Auto Sales

Detroit, MI

45% franchise

Detroit’s bad-credit prompt strongly pulls in independent used lots, lowering franchise share despite the city’s OEM heritage.

Who AI names here
Les Stanford Chevrolet Cadillac
Matick Toyota
James Martin Chevrolet
MTA Auto
Gravity Auto Sales
Cars.com

Houston, TX

72% franchise

Large franchise groups win discovery, but bad-credit financing introduces independent operators such as Fleet Nation and EZ Keys into the answer.

Who AI names here
Team Gillman
Sterling McCall Toyota/Honda/Nissan
Russell & Smith Honda
Tom Peacock Nissan
Cars.com
Fleet Nation Group

Indianapolis, IN

74% franchise

Indianapolis has lower invisibility than major metros, but most AI recall still concentrates in four large groups plus one BHPH operator.

Who AI names here
Tom Wood Automotive Group
Ray Skillman Auto Group
Andy Mohr Automotive
Hubler Automotive Group
Joe's Auto Sales
CarGurus

Kansas City, MO

70% franchise

AI bridges both sides of the state line and tends to name recognizable brand stores plus Auto Bank for bad-credit intent.

Who AI names here
Hendrick Lexus Kansas City North
Legends Toyota
Rob Sight Ford
Van Chevrolet
Auto Bank of Kansas City
Cars.com

Los Angeles, CA

71% franchise

Galpin and LAcarGUY have strong entity authority, but the SUV-under-budget prompt quickly shifts attention to Autotrader and car supermarkets.

Who AI names here
Galpin Motors
LAcarGUY Family of Dealerships
Downtown LA Toyota
Car Pros Kia Glendale
Autotrader
CarMax Los Angeles/Inglewood

Miami, FL

68% franchise

Miami’s AI answers favor Toyota/Honda franchise anchors for trust, then hand price-constrained SUV discovery to CarGurus or HGreg-style inventory aggregators.

Who AI names here
Toyota of Hollywood
Toyota of North Miami
Braman Honda of Miami
AutoNation Chevrolet Doral
CarGurus
HGreg.com Miami

Minneapolis, MN

73% franchise

Dealer groups with broad Twin Cities footprints are easy for AI to remember, while CarHop appears as the explicit bad-credit alternative.

Who AI names here
Luther Automotive Group
Morrie's Auto Group
Walser Automotive Group
Burnsville Toyota
CarGurus
CarHop

Nashville, TN

68% franchise

Nashville’s AI set spans in-city franchise dealers and Franklin-area rooftops; Stars Auto Finance appears only for credit-challenged queries.

Who AI names here
Beaman Toyota
Darrell Waltrip Honda
Downtown Nashville Nissan
Carlock Motorcars Nashville
Stars Auto Finance
CarGurus

New York, NY

56% franchise

AI compresses the huge NYC dealer universe into a few high-authority Queens/Bronx/Manhattan names plus portals; most borough independents never appear.

Who AI names here
Paragon Honda
City World Toyota
Manhattan Motorcars
Cars.com
Major World
Auto Credit Express

Orlando, FL

71% franchise

Orlando’s price-sensitive SUV prompt is highly portalized, while Credit Cars has a clear niche in bad-credit answers.

Who AI names here
Toyota of Orlando
AutoNation Chevrolet West Colonial
Holler Honda
Greenway Ford
Credit Cars
Autotrader

Philadelphia, PA

55% franchise

Franchise visibility is diluted by strong used-car and portal answers; Naryan appears because it matches used-car and financing intent closely.

Who AI names here
Sloane Honda
Pacifico Ford
Chapman Nissan
Naryan Auto Group
Cars.com
CarGurus

Phoenix, AZ

70% franchise

Camelback’s multi-brand footprint gives it repeated AI recall across discovery and SUV searches, while DriveTime absorbs subprime finance attention.

Who AI names here
Camelback Cars / Camelback Toyota
Bell Honda
AutoNation Toyota Tempe
Avondale Toyota
Cars.com
DriveTime Phoenix

Portland, OR

74% franchise

Portland franchise stores retain discovery authority, but the financing prompt pulls in Seaport Auto, Atlas-style finance pages, and Autotrader filters.

Who AI names here
Ron Tonkin Toyota
Toyota of Portland
Subaru of Portland
Lithia Subaru of Oregon City
Seaport Auto
Autotrader

Salt Lake City, UT

75% franchise

Salt Lake City has unusually strong local dealer-group recall, especially Mark Miller, Ken Garff, and Larry H. Miller.

Who AI names here
Mark Miller Toyota
Mark Miller Subaru
Ken Garff Automotive Group
Larry H. Miller Toyota Murray
Low Book Sales
Cars.com

San Antonio, TX

73% franchise

Gunn, North Park, Jordan, and Ancira are memorable franchise names, but Chacon wins direct subprime relevance.

Who AI names here
North Park Toyota
Gunn Honda
Jordan Ford
Ancira Nissan
Chacon Autos
Cars.com

San Francisco, CA

75% franchise

AI tends to expand from San Francisco proper into Daly City and Serramonte because the city has fewer large in-city rooftops than the Bay Area overall.

Who AI names here
San Francisco Toyota
San Francisco Honda
City Toyota Daly City
Lexus Serramonte
CarGurus
Ever Cars Company

Seattle, WA

76% franchise

Seattle’s dealer answers cluster around a few recognizable in-city rooftops; Pierre Money Mart wins unusual visibility on bad-credit wording.

Who AI names here
Toyota of Seattle
Honda of Seattle
Carter Subaru Ballard
Pierre Money Mart
Cars.com
Prudent Autodeals

Tampa, FL

75% franchise

Tampa’s franchise share is high because several local stores publish explicit financing pages, but Autotrader remains the SUV filter default.

Who AI names here
Crown Honda
Bill Currie Ford
Brandon Ford
Toyota of Tampa Bay
Crown Auto Finance
Autotrader

Germany

52% franchise

Germany is portal-dense: mobile.de and AutoScout24 are default answers for SUV-under-30.000-€ searches, and dealer visibility depends heavily on whether a local Autohaus has strong marketplace profiles and finance content. Franchise groups and long-established Autohaus brands surface for ‘best dealership’ prompts, but ‘schlechte Schufa’ wording often causes AI to recommend caution, comparison, or specialist finance rather than mainstream OEM dealers. The result is high invisibility even in cities with well-known dealer networks.

Berlin, Germany

55% franchise

Berlin’s scale produces severe invisibility; Autohaus König and Dinnebier are memorable, but mobile.de and AutoScout24 dominate SUV discovery.

Who AI names here
Autohaus König
Dinnebier Gruppe
Koch Automobile
Autohaus Royal
mobile.de
AutoScout24

Cologne, Germany

51% franchise

Cologne has better mid-market dealer visibility than Berlin, but AutoScout24 and mobile.de still siphon the high-intent SUV prompt.

Who AI names here
Autohaus Jacob Fleischhauer
Autohaus Westkamp
Odendahl & Heise
Autohaus Elegance
AutoScout24
mobile.de

Frankfurt, Germany

55% franchise

Frankfurt combines strong regional franchise groups with finance-oriented used dealers; SCHUFA wording shifts visibility away from OEM rooftops.

Who AI names here
Autohaus NIX Frankfurt
Brass Gruppe
Euler Group
Hessen Auto Center
mobile.de
AutoScout24

Hamburg, Germany

54% franchise

Hamburg’s established Autohaus brands show up for trust, but portals remain the assistant’s safest answer for 30.000-€ SUV inventory.

Who AI names here
Dello
Krüll Motor Company
Auto Wichert
Kreutziger Automobile
mobile.de
AutoScout24

Munich, Germany

45% franchise

Munich AI answers over-index on MAHAG for franchise trust, but independent used dealers and portals capture budget-SUV and financing intent.

Who AI names here
MAHAG
Autohaus Häusler
Automobile Strauss
Auto Max München
mobile.de
AutoScout24

United Kingdom

46% franchise

The UK market is dominated by Auto Trader for discovery and high-intent used-car filtering, with national dealer groups and car supermarkets acting as the main dealer-side winners. Franchise dealers surface for ‘best dealership’ only when the local brand is very strong, while bad-credit finance wording often routes shoppers to brokers and national finance specialists rather than local rooftops. London and Manchester are the most portal-captured; Bristol and Glasgow show slightly lower invisibility because the named dealer set maps more closely to the smaller local market.

Birmingham, UK

54% franchise

Birmingham’s local reputation concerns make AI more cautious, so franchise and Auto Trader recommendations are framed as safer than small-lot shopping.

Who AI names here
TrustFord Birmingham
Bristol Street Motors Birmingham
Sytner Birmingham BMW
ASU Cars
Auto Trader UK
Midland Automobiles

Bristol, UK

36% franchise

Bristol’s answer set is used-car-heavy; Autochoice and Carbase appear more often than franchise stores, while Compass-style brokers capture bad-credit finance.

Who AI names here
Carbase Bristol
Autochoice Bristol
Bristol Street Motors / Vertu Bristol
drivedirect Bristol North
Auto Trader UK
Compass Vehicle Services

Glasgow, UK

50% franchise

Glasgow is one of the few cities where a local-origin dealer group, Arnold Clark, can compete with Auto Trader for top AI recall.

Who AI names here
Arnold Clark
Park's Motor Group
Peter Vardy CARZ Glasgow
Belmont Autos
Auto Trader UK
iFinance Cars

London, UK

42% franchise

London is the most portalized UK market: Auto Trader and car supermarkets often appear before individual franchise rooftops.

Who AI names here
Auto Trader UK
Big Motoring World Enfield
Jemca Toyota
Sytner Chiswick BMW / MINI
NCS Car Finance
Wilsons Epsom

Manchester, UK

48% franchise

Manchester AI answers lean national: Auto Trader, CarShop, and finance brokers compete directly with Arnold Clark, Lookers, and Williams.

Who AI names here
Auto Trader UK
Arnold Clark Manchester Motorstore
Lookers Manchester
Williams BMW Manchester
CarShop Manchester
CarFinance 247

Don’t see your store on your city’s list? Find out exactly where you stand — on the questions real buyers ask, in your market.

Get your free report

Why this is happening

It isn’t one race. It’s three.

Across the study, each of the three questions surfaces a different set of winners — which is why a dealer can own one and never appear in the others. AI isn’t running a single race for “best dealer.” It’s running three.

Discovery

What are the best car dealerships in my city?

Big franchise groups win.

Franchise dealers win the broad ‘best dealership’ prompt because they have stronger entity authority, OEM directories, review volume, local press, and brand trust. They also win a meaningful share of SUV-under-budget answers when their used inventory is crawlable, but they lose visibility when inventory pages are blocked, thin, or not organized around price/body-style searches. Independents and used-car lots over-index in the bad-credit prompt because many have exact-match copy such as ‘bad credit no problem,’ ‘buy here pay here,’ or ‘guaranteed approval’; however, AI often treats those claims cautiously and balances them with consumer warnings. The best-positioned operators are hybrid winners: franchise groups with transparent subprime pages and independent-style inventory depth, or independents with strong reviews, warranty proof, and non-predatory finance language.

Inventory

Where's an SUV under $30,000 near me?

The marketplaces win.

The portal threat is structural, not incidental. For price-constrained inventory questions, AI systems prefer portals because they can filter by SUV, price cap, radius, mileage, accident history, dealer rating, and availability in one answer; that makes Cars.com, CarGurus, Autotrader, AutoScout24, mobile.de, and Auto Trader UK default answers even when strong dealers exist nearby. Portals also appear safer for AI because they aggregate options and avoid over-recommending one dealer. The commercial consequence is that dealers become interchangeable listings under a portal brand, paying for leads from shoppers who could have been directed to dealer-owned pages. Dealers can reduce portal capture only by making their own inventory and financing content equally structured, current, and answer-ready.

Financing

Where can I get a bad-credit car loan?

Lenders & specialists win.

The financing prompt behaves very differently from the discovery and SUV prompts. In the US, AI often advises shoppers to get pre-approved through a credit union, Capital One Auto Navigator-style prequalification, Auto Credit Express, RoadLoans, CarMax/DriveTime, or a buy-here-pay-here specialist before naming a franchise dealer; franchise stores surface only when they have explicit ‘bad credit auto loan’ pages or strong finance-center SEO. In Germany, wording around ‘schlechte Schufa’ pushes the assistant toward caution, comparison portals, mobile.de/AutoScout24 listings with financing filters, Santander-style dealer finance, and niche ‘ohne Schufa’ providers; mainstream OEM dealers are rarely presented as the first solution. In the UK, bad-credit car finance is dominated by broker language, including Auto Trader finance journeys, Zuto/Oodle/CarFinance 247-style entities, and national car supermarkets, so a local dealer must publish strong FCA-compliant finance content to be named directly. The bottom-funnel risk is clear: the buyer is ready to act, but AI frequently hands the relationship to a lender, broker, or portal rather than the dealer.

The financing lane is the one place independents and specialists routinely beat the big groups — proof the shelf is earnable, one question at a time.

The opportunity

You don’t have to win every race — just yours.

Because the market is intent-segmented, you don’t need to outrank a national group on everything. You need to be the clearest, best-documented answer to the questions you already specialize in — used SUVs, bad-credit financing, a specific brand. That’s a race you can win, and the dealers AI names all do three things to win it.

Structured, crawlable inventory

AI can only recommend stock it can read — VIN-level pages, prices, body styles, distance, no blocked crawlers.

Real financing content

A genuine bad-credit / first-time-buyer page beats a generic finance center — and it's where independents actually win a spot.

Review authority

Consistent ratings across Google, the marketplaces and OEM directories is what AI leans on to trust a name enough to say it.

Want to roll up your sleeves? Our 5-minute AI visibility audit walks through how to check what AI says about your store and start fixing it yourself. But the first move is the same either way — knowing exactly where you stand today, on every question that matters.

This study asked 3 questions. Your free report asks dozens — about your store.

We go deep on one dealership: testing the real questions your buyers ask across every category you compete in — discovery, used inventory, financing, service, your brands — and showing you which races you’re already winning, which you’re losing to a marketplace or a bigger group, and exactly what it takes to climb.

See where your store can win

Free · personalized to your dealership · delivered within 24 hours

How we did this
The questions
  • What are the best car dealerships in my city?
  • Where can I find an SUV under $30,000 near my city?
  • Where can I get the best financing or bad credit car loan near my city?
The setup
  • 35 cities across the US, Germany and the UK
  • Model: gpt-5.5 with live web search
  • Run June 2026
  • Each city’s ranking is combined across all three questions, weighted by how often AI named each business
Full summary

Across 35 cities, AI assistants name only a very small slice of the real dealer market: the modeled average invisibility rate is 91%, meaning roughly nine out of ten local dealerships are never surfaced in the first AI answer set. The strongest AI visibility goes to large franchise groups, high-authority local review winners, and third-party inventory portals with crawlable stock pages; smaller independents are mostly absent unless they publish explicit bad-credit or buy-here-pay-here content. The high-intent SUV-under-budget prompt is the most portal-heavy: AI systems prefer Cars.com, CarGurus, Autotrader, AutoScout24, mobile.de, and Auto Trader UK because they can satisfy inventory, price, distance, and body-style constraints faster than individual dealer sites. Financing is the biggest bottom-funnel leakage point: instead of naming local dealers, AI often routes shoppers toward lenders, credit unions, brokers, or finance marketplaces, especially for bad-credit wording. For dealer principals, the implication is direct: AI visibility is becoming a new local search shelf, and dealers without structured inventory, finance pages, review authority, and answer-ready content are losing discovery before the shopper reaches Google Maps or a marketplace lead form.