The COVID-19 pandemic has prompted the National Auto Auction Association to conduct yet another presidential transition remotely. As with so many facets of every sector and life in general, the pandemic has altered not only the traditional changing of the guard for the NAAA, but the wholesale business in general. Staff Reporter David Muller discussed these topics with incoming President Charles Nichols and CEO Tricia Heon, and also communicated via email with outgoing President Julie Picard. Here are edited excerpts.

Q:Do you have specific legislative priorities that are top of mind?

A: Heon: Just general advocacy. It’ll be nice to get back into Capitol Hill, have the [Congress] members’ offices open again, because we do have a new administration, and with a new administration, we have not been able to visit in person. [Political action committee] events have been put on hold. [It’s] so different in person than it is to do one of those meetings virtually.

So that’ll be our No. 1 priority, is just general education. Taxes are certainly top of mind. Compliance is top of mind. And then looking ahead at technology and how that fits into our world, in the remarketing world, the new technology that the remarketers are dealing with.

Are you surprised by the demand for physical auctions, as evidenced by all companies moving back to running cars in lanes after mostly being forced to offer all-digital sales?

Nichols: People are creatures of habit. [The coronavirus] has upset the apple cart, but there is a group of folks, no matter what — young, old, in between — who want to attend an auction. Now, they might not come every week like they used to. They may do a week or two virtually and a week or two [at physical auctions]. Or they may go six or eight weeks digitally.

But they want service, they want the touch, they want to be able to transact business, they want to be able to pick up their check, they want to be able to buy their car, floorplan their car, request services if they’re selling something, request services if they’re transporting it. There’s so many things that they’re so used to — that routine — that really got turned upside down in COVID.

On the flip side, does it seem as though there are a lot more digital buyers now and more digital transactions— And if so, does that seem like a permanent shift?

Nichols: That’s going to be a permanent shift, with this massive disruption in the supply chain. I mean, there’s just a very, very robust car market. And everybody’s sourcing cars that are much, much further distance, and then [from] many, many other locations.

Does it feel as though the wholesale market is in a bubble, given its continued rise to record heights?

Nichols: The used vehicle has been fueling this market for a long time. And there is just really a lot of demand for vehicles. People are trying to source them from all over the place, and the retail market is just really, really robust. And I don’t see anything changing it soon.

Julie, what was it like to be president at such an unprecedented time in the industry?

Picard: Despite an extraordinarily challenging year for our industry, my tenure as NAAA president has been incredibly rewarding. Every day provided an example of how partnering with various industry organizations truly strengthens all that we do together.

I also had the opportunity to work with many auto auctions across the country. It was inspiring to witness how the auction community came together during the most difficult of times. Whether competitors or association partners, the industry is full of professionals who continually strive to provide valuable industrywide solutions that serve the best interests of all auto auctions and the people who make them hum.

What is your outlook for the industry in the next year?

Picard: Inventory continues to be the story of our industry right now. The market shift we’ve all been anticipating has arrived, and auto auctions will continue to face significant inventory headwinds for the remainder of 2021 and possibly into the first half of 2022.

We’ll continue to see massive changes to our industry and markets for years to come. Through it all, though, there’s one thing that’s stood the test of time. The relentless spirit of the men and women at auto auctions who work together to drive results while fostering strong business relationships and lifelong friendships.