"Our objective is to reshape our dealer network so it provides more value to customers," says Chris Patterson, executive vice president, sales and marketing. "We also expect the Volvo franchise to provide our dealers with excellent return-on-sales and profit opportunity."
The industry trend toward consolidation is a major factor in Volvo's efforts to build and strengthen its dealer network. As customers streamline their operations to improve profitability, they are challenging manufacturers and dealers to help.
McDevitt Truck Sales, with locations in Manchester, NH, and Boston, is one of those new dealers. Jack McDevitt Jr., president and CEO, says truck buyers are becoming increasingly sophisticated business people. "They expect us to do more than just sell them a truck," he says. "We must be expert in every aspect of parts, maintenance, servicing, leasing and financing in order to meet their needs."
Paul Horn, president and COO of RDO Equipment Co., recently purchased two Volvo dealerships in Dallas and Fort Worth. RDO also operates two full-service Volvo dealerships in North Dakota and one in Minnesota. In the not-too-distant future, he says, "truck operators will be less concerned about trucks as assets and more concerned about what it costs to get the job done on a per-mile basis."
McDevitt's and Horn's comments mirror ones made recently by Volvo chief Marc Gustafson.