Automotive DMS Providers: Franchise vs Independent Systems

Search for automotive DMS software and the results mix two different products. One is built for a franchised new-car store with a service drive, a parts counter and a factory to report to. The other is built for an independent lot that buys at auction and sells used cars. Both are called a dealer management system, and they have very little else in common.

Picking from the wrong group is expensive in both directions. An independent dealer on a franchise system pays for departments the store doesn't have. A franchise store on an independent system can't do work its manufacturer requires.

This guide explains the difference, names the dealer management system providers on each side, and covers what each kind of dealer should look for.

The two kinds of automotive DMS

The two groups of dealers are very different in size and shape.

• Franchised dealers. NADA counts 16,990 franchised light-vehicle dealers for 2025. Together they wrote more than 276 million repair orders, and their service and parts sales passed $164 billion.
• Independent dealers. NIADA's 2025 report, as summarized by the accounting firm Blue & Co., counts nearly 117,000 licensed independent dealer locations, about 53,000 of them active. Active means selling at least 50 vehicles a year.

So there are several times more independent dealers than franchised ones, and most of them are small. A franchise store is closer to four businesses under one roof: new cars, used cars, service and parts. The software follows that shape.

What a franchise dealership DMS has to do

A franchise DMS does everything an independent system does, plus the work that comes from holding a manufacturer's franchise. CDK Global's own DMS guide lists the departments a system supports as sales, service, parts, accounting and F&I. It also says that independent and franchise dealerships can use the same DMS, but that franchise stores may need extra manufacturer-specific functions and reporting.

Those extra functions are the heart of it:

• Service department. Repair orders, technician dispatch, labor times, appointment scheduling and warranty claims submitted to the manufacturer.
• Parts department. A parts inventory that can run to thousands of part numbers, plus ordering from the manufacturer and returns.
• Factory connections. Vehicle ordering, incentives and rebates, warranty processing, and the financial statement the manufacturer expects each month in its own format.
• Full dealership accounting. A general ledger across every department, payroll, and often many stores rolled up into one group.
• A certified integration network. Dozens of other tools, from the CRM to the service scheduler, connect to the DMS through programs the DMS company controls.

A store can't skip this list. The manufacturer's systems expect the dealer's DMS to talk to them, which is why franchise dealers choose from vendors that hold certifications for their brands.

Who the franchise DMS providers are

The franchise market is concentrated. In a 2018 complaint, filed when it challenged CDK's plan to buy a smaller rival, the Federal Trade Commission said CDK Global and Reynolds and Reynolds together controlled about 70% of the U.S. franchise DMS market. It named Dealertrack, Auto/Mate and Autosoft as the rest of the top five at the time.

That figure is from 2018, and the market has moved since. The names a franchise dealer will hear today:

• CDK Global, the largest provider.
• Reynolds and Reynolds, the other long-time leader.
• Dealertrack DMS, part of Cox Automotive.
• Tekion, a newer cloud-based system that has been winning franchise stores.
• Smaller franchise systems such as Autosoft, DealerBuilt and PBS, aimed at single stores and small groups.

Some of these sell downmarket too. CDK describes its Fundamentals Suite as built for franchise dealers with one or two sites and for independent dealers.

What a franchise DMS costs

None of the large franchise providers publish a price. They quote each store, and the quote depends on the number of users and rooftops, the modules included, the integrations and the support level. Those are the factors CDK's guide lists.

Two things are well documented:

• Contracts are long. The FTC's complaint said CDK and Reynolds regularly required long-term contracts, and that CDK typically offered a 60-month term.
• Integrations cost extra. The same complaint said both companies charged relatively high fees to connect third-party applications.

On the dollar amount, the best public figures are estimates. Buyer's guides such as VendorMotive's 2026 DMS guide put the enterprise systems at several thousand dollars per store per month, with smaller franchise systems well below that. Treat any number you read as an estimate until a vendor puts one in writing.

Switching is the other cost. The FTC noted that changing DMS means many hours of staff retraining and lost productivity during the move, because the system touches nearly every part of the store.

What an independent dealer DMS has to do

An independent lot has no factory to report to, no warranty claims and usually no parts counter. It has a different list of jobs:

• Inventory from purchase to sale. VIN decoding, auction imports, photos, cost tracking, reconditioning and pricing.
• Deals and paperwork. Desking, state forms, e-signature and title tracking.
• Buy here pay here. Many independents carry their own paper, so loan servicing, payment schedules and late fees matter. A franchise system rarely centers on this.
• Leads and follow-up. A CRM that fits a team of two to ten people.
• A website and listings. The dealer's own site, plus feeds to the marketplaces where used cars are sold.
• Books a small office can keep. Either built-in accounting or a clean handoff to QuickBooks.
• Compliance basics. OFAC checks, Red Flags and the data security duties that apply to any dealer who arranges financing.

The system also has to be usable without an IT department. Our guide to what a dealer management system is walks through each module.

Independent dealer DMS providers and what they charge

The independent side has more vendors and far more public pricing. A few examples, from each vendor's own pricing page as of September 2026:

• DealerCenter sells its DMS at $99 a month and adds modules such as CRM, BHPH and accounting on top. Our comparison has the details.
• Frazer charges about $129 a month for its desktop program and from $199 a month hosted. See the Frazer comparison.
• AutoManager prices its DeskManager DMS, its websites and its CRM as separate products.
• Wayne Reaves and DealerClick sell all-in-one systems and quote their prices.

Check each vendor's current page before you budget. Then add up everything the store will use, not just the base product. A low DMS price with a separate website, CRM and accounting module can cost more than a bundle. Our post on cloud DMS and desktop software works through that math.

For a ranked list with strengths and watch-outs, see our guide to the best dealer management software.

Franchise DMS vs independent DMS at a glance

Individual products vary, so use the table to see the pattern and check each vendor's details yourself.

Which DMS should your dealership choose?

Start with what the store is, not with a vendor's feature list.

A franchised new-car store needs a franchise DMS. Confirm the vendor is certified for every brand you sell before anything else. Then press on three things: the contract length, the fee for each integration you depend on, and how you get your data out if you leave.

A single-point franchise or a small group has more choices than it did a decade ago. Smaller franchise systems exist for stores that need factory connections without an enterprise contract. The FTC's complaint records franchise dealers naming the price difference as their main reason for moving to a smaller certified system.

An independent used-car dealer should not buy a franchise system. You would pay for service, parts and factory modules you will never open. Choose among independent systems on the things that change your day: how fast you can add a car, how the deal paperwork works in your state, whether the website and CRM are included, and what the total costs each month.

A BHPH dealer should put loan servicing first. Collections, payment schedules and late fees are where a BHPH store makes or loses money, so test that part of any system with a real deal.

A franchise group with a separate used-car lot has a real choice. A standalone lot with no service drive and no factory reporting works like an independent, and it can run on an independent system while the franchise stores stay on theirs.

Where AutoDealer.io fits

AutoDealer.io was built for the independent used-car dealer. The idea behind it is simple: a ten-car lot should have the same kind of tools a large group has, at a price a ten-car lot can pay.

What a large store usually assembles from several vendors is included here:

• Inventory with VIN decoding, auction imports and photo tools
• A CRM for leads, appointments and email
• Desking, e-signature and title tracking
• A dealer website and marketplace feeds
• AI assistants for shoppers on the website and for staff in the dashboard
• Books, BHPH loan servicing and floor-plan tracking
• Staff roles, two-factor sign-in and an audit log

Plans are month to month with a free trial, and the prices are public.

Can it work for a franchise dealer? For part of the business, yes, and it's better to be exact about which part.

• It can run a franchise group's standalone used-car lot, or any operation that sells used cars without a service drive or factory reporting. Several locations can sit under one account.
• It can't replace a franchise store's DMS. It doesn't run parts or service departments, and it has no manufacturer connections for vehicle ordering, warranty claims or factory financial statements.
• Other limits apply to everyone. It doesn't submit credit applications to lenders, file titles electronically, or text customers from the app.

If you run a franchised new-car store, you need one of the certified systems above. If you run an independent lot, this is the dealer it was made for.

Frequently asked questions

Can independent and franchise dealerships use the same DMS?

Sometimes. Some franchise providers also sell to independents. The reverse rarely works: a franchise store needs manufacturer connections, service and parts that independent systems don't include.

Who are the largest automotive DMS providers?

In the franchise market, CDK Global and Reynolds and Reynolds have long been the two largest, with Dealertrack and Tekion as the other major options. The FTC said in 2018 that CDK and Reynolds held about 70% of the franchise market.

What is the best DMS for independent dealers?

It depends on the store. BHPH dealers should weigh loan servicing first, and dealers who want one login should compare bundles against per-module pricing. Our best dealer management software guide compares the main options.

How much does a dealer management system cost?

Independent systems often publish prices, commonly around $100 to a few hundred dollars a month before add-ons. Franchise systems are quoted per store, and public estimates put the large ones at several thousand dollars a month.

What DMS do most car dealerships use?

Most franchised dealers use one of a handful of providers, led by CDK Global and Reynolds and Reynolds. Independent dealers are spread across many more vendors, including DealerCenter, Frazer and AutoManager, with no comparable public market-share figure.

Does an independent dealer need a franchise DMS?

No. A franchise DMS is built around service, parts and manufacturer reporting. An independent lot needs inventory, deals, a website, a CRM, simple books and, for many, BHPH servicing.

Is AutoDealer.io a franchise DMS?

No. It is built for independent used-car dealers. It can run a franchise group's standalone used-car lot, but it has no parts, service or manufacturer connections, so it can't replace a franchise store's DMS.

Bottom line: Decide which kind of dealership you are before you compare vendors. Franchise stores need certified factory connections and should negotiate hard on contract terms. Independent dealers need speed, a fair monthly total and tools that fit a small team.

Product names belong to their owners. AutoDealer.io is not affiliated with any vendor named here. Prices and features change, so confirm them with each vendor before you buy.