AutoCanada is Canada’s largest, and only publicly listed, multi-location automobile dealership group, currently operating 54 dealerships, comprised of 62 franchises, in British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Quebec, New Brunswick and Nova Scotia.
Our dealerships derive their revenue from the following four inter-related business operations: new vehicle sales; used vehicle sales; parts, service and collision repair; and finance and insurance. While new vehicle sales are the most important source of revenue, they generally result in lower gross profits than used vehicle sales, parts, service and collision repair operations and finance and insurance sales. Overall gross profit margins will increase as revenues from higher margin operations increase relative to revenues from lower margin operations.
Maintain strong relationships with manufacturer partners
- One of our main strategic aspects for growth is to pursue opportunities through acquisitions and integrate and improve synergies for existing dealerships. Management and the Company strive to maintain excellent relationships with our manufacturer partners to build upon our current brand portfolios and to gain the acceptance of other new manufacturers over time. Developing strong mutual relationships with Manufacturers can also assist in the allocation of a desirable mix of popular new vehicles, which can provide adequate supply and generate high profit margins.
Utilize economics of scale
- Our size and consolidated purchasing power provide both cost and revenue synergies. Cost synergies include achieving lower prices for items such as insurance, advertising, benefit plans and information systems. Revenue synergies include being a preferred provider for retail service and warranty contracts and earning higher commissions on finance and insurance activities.
- Our diversified locations throughout Canada help to mitigate the potential effect of adverse economic conditions in any one region of Canada.
Implement strategic processes & best practises
- Our organizational structure allows us to provide market specific responses to sales, service, marketing, and inventory requirements from the resources provided by our experienced and centralized Dealer Support Services team.
- Our model enables us to benchmark and leverage the success of our dealership operations against each other and rapidly implement new and innovative ideas across our dealership group. Operating a number of franchised automobile dealerships allows us to share market information amongst our dealerships selling the same brands and quickly identify any changes in consumer buying patterns.
Attract & employ talented individuals
- Our Company understands the key driving force behind the operations are our team members. We strive to ensure compensation packages are effective and competitive within the industry and continuously research new retention-related initiates to help attract and retain quality employees. Training programs, supportive peer groups, and advancement opportunities are developed for employees to prepare for future growth.