Auto dealers across the United States and Canada are facing major disruptions to their operations following cyberattacks on a critical software provider, CDK Global. The attacks, which occurred on Wednesday, forced CDK Global to shut down its systems to prevent the loss of customer data.
CDK Global provides services to over 15,000 retail locations, storing customer records and automating paperwork involved in selling and servicing cars and trucks. The outage has slowed sales for dealers, who are now scrambling to find alternative methods to produce necessary documents like titles, contracts, and registration cards.
Despite the challenges, dealers like Brian Benstock of Paragon Honda in Queens, New York, are finding ways to continue business as usual. Benstock mentioned that while the outage is annoying, his franchise has other systems in place to retrieve customer data and produce contracts seamlessly.
The timing of the disruption couldn’t be worse for dealers, as they head into the final weekends of the month, typically a busy time for new-car sales. Many are also gearing up for Fourth of July sales and other summer promotions.
In response to the cyberattacks, some dealers are resorting to writing contracts by hand or asking customers to wait a few days for vehicle delivery. While servicing and repair work may be delayed, technicians can still perform necessary repairs without access to customer data.
CDK Global is working diligently to reinstate its services and get dealers back to business as quickly as possible. The company is providing regular updates to its customers as they navigate through this challenging situation.
