Buyers Would Rather Spend Thousands More At Carvana Than Suffer The Crap Dealers Put Them Through

Good morning! It's Tuesday, August 18, 2026, and this is The Morning Shift, your daily roundup of the top automotive headlines from around the world, in one place. This is where you'll find the most important stories that are shaping the way Americans drive and get around.

In this morning's edition, car buyers are shelling out thousands of dollars at Carvana just to avoid traditional dealerships, Tesla is apparently preparing a Cybercab invasion as soon as this month, McLaren — in a bit of good news — is considering adding a slew of dealerships to the U.S. because of strong sales and Stellantis is recalling nearly 1 million cars because a radio software issue is somehow messing up the rearview camera.

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It's hard to find anyone with a nice thing to say about car dealers, and that could explain why thousands of buyers are paying a premium to purchase their new cars from Carvana rather than traditional dealerships — choosing the convenience it offers rather than a lower price. 

People are willing to pay extra for the no-haggle, digital-first experience Carvana offers that traditional dealerships just don't. It has refined its customer experience over the 13 years it has been selling used vehicles mostly online and through its car vending machines. Because of the slick operation, people don't mind shelling out — in some cases — over $4,000 more for the same car. From Automotive News:

Technology-savvy car buyers want a streamlined process, making Carvana stand out, said Brian Maas, president of the California New Car Dealers Association, which counts Carvana among the nearly 1,300 franchised new car and truck dealers it represents.

[...]

Catalyst IQ, an automotive digital marketing and technology firm in Ada, Mich., analyzes the lowest advertised price that a consumer can see for a specific vehicle. The price includes automaker incentives, dealer discounts and special offers. The data provider also converts interest rate specials and lease offers to cash values in its analysis.

Carvana advertised the Ram 2500 on average $4,533 or about 6.2 percent above other Stellantis stores in the designated market areas around its new-vehicle dealerships, according to Catalyst IQ. Automakers determine a store's designated market area.

Similarly, the Jeep Compass was $1,528 or about 4.3 percent more expensive on average from May 7 to Aug. 5. Catalyst IQ gathers advertised price data by VIN from dealerships' digital listings.

"Carvana is able to command in many cases premium pricing at a time when pricing is already historically high," said Rick Wainschel, Catalyst IQ's vice president of analytics. That "says something about their practices and their processes and how consumers are reacting to them."

Carvana "has always offered transparent, no-haggle pricing that is informed by market dynamics and observed customer demand," a company spokesperson said in an email.

[...]

But Carvana's high pricing strategy comes with exceptions. The company priced some models below competitors, such as the Jeep Grand Wagoneer, which was $2,989 and 3.9 percent cheaper than competitors, and the Jeep Grand Cherokee, which was $145 or 0.3 percent below average.

The numbers show that what Carvana is doing is clearly working. Its new-vehicle stores had an average turn rate (the percentage of average vehicle inventory it sells in 90 days) of 69% in the period ending August 5. When compared with the 39% that other Chrysler-Dodge-Jeep-Ram stores in the same markets had, the difference is stark. Carvana says its new-vehicle sales business is profitable, too, but it won't say quite how profitable.

You can believe it if you want to, but Tesla has apparently told its employees that it's gearing up for the public launch of its poop-from-a-butt Cybercab, and the initial rollout could start in Austin, Texas, in the coming weeks, according to people with knowledge of the plans. The two-door, two-seat robotaxi is crucial to Tesla's autonomous ambitions, and the company's goal is to eventually deploy the vehicle for its entire autonomous ride-hailing fleet. From Reuters:

The company has been preparing for a launch with steps including test driving, offering employee rides ​on private ​roads and ⁠conducting training with local first responders in recent weeks, the report said.

[...]

The company started running tests of the production version of its Cybercab on public ⁠roads ​in June, and production of ​the vehicle is expected to ramp up later this year.

Tesla reportedly told staff that it plans to begin the Cybercab rollout by offering rides to its employees on public roads, and then it will incorporate the gold monstrosity into its robotaxi fleet — which is currently populated by modified Tesla Model Ys — a few days after that.

McLaren hasn't been in the best financial situation for a few years now, but strong sales in the U.S. mean the British automaker is considering adding a slew of new dealerships here over the next couple of years. It would make sense considering the fact that the U.S. now accounts for over half of its global sales.

CEO Nick Collins says there could be room for five to 10 more dealers stateside, and that would increase the automaker's current network of 27 dealerships by up to 40% — not an insignificant number by any means. There are apparently prospective franchisees regularly approaching the company about setting up shop, which is "a great problem to have." From Automotive News:

Collins wants the brand's U.S. share to hold steady even as overall volumes accelerate, driven by a growing base of ultrahigh-net-worth buyers and rising brand awareness fueled by Formula One's surging popularity in America.

After years of financial and sales challenges, McLaren is shifting into high gear. Several new models are scheduled to arrive in showrooms by 2028, including the brand's first four-door offering.

The retail expansion will be deliberate and measured.

"We will be higher volume than we are today, but we operate in a territory that is based around exclusivity, rather than pushing volume," Collins said. "We want to work with our existing partners to strengthen their footprint and presence, and we want to expand in a few places as well."

Executives declined to name specific markets. Industry observers expect fast-growing Sun Belt states such as Florida, Texas, Tennessee and Nevada to capture most of the new points.

McLaren Americas President Nicolas Brown emphasized that retailers' mission will not change as the brand diversifies into new segments. New models can draw customers into showrooms, but retaining them depends on the post-sale experience.

[...]

Last year, McLaren cut global production by a third to about 2,000 vehicles — one of many "difficult decisions," Collins said, made to better manage retail inventory.

McLaren is also mulling over the idea of establishing "experience centers" in top luxury markets like New York, Los Angeles and Miami, and they would be more focused on promoting brand culture and racing heritage, rather than selling cars. They'd also be owned by the company itself, rather than dealer franchises.

No matter how you slice it, interesting things are on the horizon for McLaren.

Stellantis is recalling 955,000 vehicles across the globe because the ghatdamn radio software can somehow prevent the backup camera from working correctly. Don't ask me how that works. New cars are fickle beasts. From Reuters:

The recall includes 848,000 vehicles in the United States including ​various 2026 and 2027 model year ​Chrysler Pacifica, Pacifica Plug-in Hybrid and Voyager, ⁠Dodge Charger, Jeep Cherokee, Compass, Gladiator, Grand ​Cherokee, Grand Wagoneer, Wrangler and Ram 1500, 2500 ​and ProMaster vehicles. About 107,000 vehicles are being recalled in Canada, Mexico and other markets.

Owners will receive an ​over-the-air radio software update via a prompt ​on the vehicle's media screen when the update is available.

‌Stellantis ⁠said it is unaware of any accidents or injuries related to the recall.

Stellantis says that if the rear-view camera image doesn't appear, drivers should use their mirrors while reversing, which is a brilliant piece of advice if you ask me. I'm not sure how it came up with that solution.

It's Chewsday Innit?

It's never going to stop, is it? With news that Trump is threatening to bomb Oman, a U.S. ally, if it gets in the way of a deal to reopen the Strait of Hormuz, it shouldn't be a surprise that gas prices continue to rise. Elevated WTI Crude Oil futures and Brent Crude prices, which were sitting at $85 and $91, respectively, at the time of publication, aren't helping matters either.

Here's where national average prices stand right now, according to AAA:

AAA

All of this is to say that the average price of a gallon of gas increased another cent overnight to $4.07, according to AAA. While it has been a slow climb, we are inching our way back up toward the 2026 high of $4.56 per gallon we saw back in May.

Just finished the "S-Town" podcast, and, while it might have come out nearly 10 years ago at this point, I still found it deeply moving. It certainly wasn't what I expected it to be when I first started listening — especially after the first episode- but it was both deeply beautiful and deeply tragic. If you've got seven hours to spare, I suggest checking it out.