Fletcher Jones, Longo, Norm Reeves. The three come to Cheril Hendry’s mind when she thinks of dealers that have created brands.
Branding usually isn’t done at the dealer level, Hendry said. When consumers think of auto brands, they think Toyota, Chrysler, Mercedes-Benz.
Hendry is chief executive of HLF Brand-
tailers, an Irvine marketing and advertising agency that focuses on the auto industry.
Fletcher Jones Motor-cars in Newport Beach is known for luxury and customer service. Longo Toyota in El Monte is the biggest U.S. dealership.
Norm Reeves dealerships are known for price and selection.
“At a car dealer you sell Ford, so you’re a Ford dealer,” she said. “But you really have an opportunity to do something more.”
The key for dealers looking to develop a brand is to pick a point of distinction, market it and keep the promise, Hendry said.
A dealer might want more women customers, so it decides to give women the best experience.
Then it comes up with a plan to do so, which may include more female sales and service people and a warm environment that might include more plants and fresh coffee in the middle of the showroom.
If a dealer isn’t branding, it’s a commodity,a location and a price, Hendry said.
If a dealer is branding, the focus isn’t on price and profits usually go up.
“What Toyota is to brand, Ford is to commodity,” she said.
Hendry thinks incentives and rebates are big mistakes.
“What does that tell a consumer?” she said.
Newport Lexus is an example of a dealership brand in the making, she said.
“It’s so OC,” Hendry said.
Newport Lexus is a brand first, going after the pampered Fletcher Jones set, and a Lexus dealership second.
Fletcher Jones has been consistent in its marketing.
“They’ve done simple things right,” Hendry said.
Much of Fletcher Jones’ success is word of mouth, she said.
If there’s recognizable customer service, then the buyer doesn’t have to feel bad paying $500 more for an auto, Hendry said.
Here’s another thing: License plate holders matter.
“They’re powerful,” she said.
They can say: “I just bought from the coolest dealer in OC.”
They also direct consumers to dealerships, she said.
If drivers see a lot of Norm Reeves license plate holders around their neighborhood, they’re likely to buy from Norm Reeves.
Jag, Rover Makeover
Jaguar Land Rover Mission Viejo recently opened its new $12 million, 42,000-square-foot dealership.
Mayor Gail Reavis showed up for the grand opening, which included a screening of the James Bond movie “Casino Royale” and vintage Jags.
Newport Beach Land Rover also is in the midst of a makeover.
Toyota Tune-ups
Other local dealerships under renovation include Toyota of Orange and Toyota of Huntington Beach, both owned by the David Wilson Automotive Group.
Toyota of Orange is building 40 service bays and parts storage on nearby space in Orange, a former bowling alley it bought several years back.
The expansion should alleviate traffic jams at the showroom.
The dealer also keeps a Curves-style women’s gym there for employees.
Toyota of Huntington Beach is modernizing and expanding from 50,000 square feet to 220,000 square feet.
More on that in a future column.
Market Place Newcomers
The Market Place in Irvine and Tustin is set to see new tenants this year.
Danny’s Family Hand Wash opens mid-month next to Home Depot. It’s the first California wash for the Scottsdale-based chain, which also sells gifts.
Opening in March: Taco Rosa, a local Mexican restaurant. Taco Rosa’s original restaurant is in Newport Beach. Active Ride opens in March.
A 20,000 square-foot PetSmart is set to open in summer.
Loehmann’s Nexxt, which sells clothing and accessories for young women, is the sister store to Loehmann’s on the Irvine side of the mall.
Retail Lawyer
Louis Raymond is the new legal counsel for the Irvine Company Retail Properties, The Irvine Company unit that oversees its shopping centers.
Raymond replaces David Fields, who left to become executive vice president of Bayer Properties in Alabama. Raymond has been in real estate law for 20 years, most recently as executive counsel for the Walt Disney Co.
He was the real estate general counsel for Downtown Disney in Anaheim and represented the Disney Store in national and international leases.
He reports to Keith Eyrich, president of the retail properties division, which includes Fashion Island, Irvine Spectrum Center, The Market Place and community shopping centers.
