Independent dealerships aren’t worried about a major auto group that is snapping up dealerships across Southern Ontario.
“It doesn’t really affect our business much,” said Autodome sales manager Niki Raja, regarding the country’s largest auto group, the Dilawri Group of Companies, acquiring Bolton Toyota.
“My only concern is somebody coming in, buying that many dealerships and maintaining the highest level of integrity and customer care as opposed to just monopolizing the marketplace.”
Raja said the used car dealership he works at on Dundas Street E has been in the area for about 30 years, allowing it to establish goodwill in the area and repeat business.
“Hopefully they’re able to implement that as part of their strategy as opposed to just a corporate expansion,” he said.
While Autodome has a sizable inventory of approximately 250 vehicles, Raja said some of the smaller dealerships with only 30 vehicles might find it harder to compete against Dilawri.
“I think ultimately the more dealers that come on the market if they’re acting in a conscious and ethical way, than that’s ultimately better for the customer,” Raja said.
The acquisition of Bolton Toyota follows the Dilawri’s recent purchase of two Mississauga auto dealerships in December last year, 401 Dixie Nissan and 401 Dixie Infiniti.
Under its buyout plan, Dilawri says it will rebuild the Infiniti dealership in the 401 Dixie Auto Mall, the retail auto campus at 5500 Dixie Rd. which the family owned company bought early last year from an investment division of the ING financial group.
The 401 Dixie Nissan outlet is one of Canada’s biggest dealerships for the No. 3 ranked Japanese carmaker. Infiniti is the company’a luxury brand.
With the latest acquisition, the company now owns more than 45 dealerships across Canada, mainly Toyota, Honda, Nissan and related dealerships.
Karen K. Ho 