Galpin Ford Ranks as No. 1 U.S. Dealership in Revenue
DETROIT — Galpin Ford, the North Hills car dealership that caters to Hollywood stars and the San Fernando Valley masses, grabbed the No. 1 ranking among the nation’s dealerships in 1997.
The dealership reported total revenue of $380.5 million, up 10% from the previous year, according to the annual listing of the nation’s top 500 dealers in the June issue of Ward’s Dealer Business. The ranking includes revenues from new and used vehicle sales, service and parts, financing and insurance.
The dealership, long one of Southern California’s largest, was ranked No. 2 in 1996, but jumped over Ricart Ford in Columbus, Ohio.
Galpin was by far the nation’s largest retailer of new vehicles, selling 12,121 cars and trucks last year, up 4% from 1996. Galpin sold more light trucks--sport-utility vehicles, minivans and pickups--than any other dealer.
H.F. “Bert†Boeckmann, owner of Galpin, could not be reach Tuesday but in a recent interview with Ward’s he attributed the strong showing to growth in short-term leases, increased sales training and weakened local competition.
“We do a lot of two- and three-year leases and these customers are coming back,†he said.
Galpin benefited from problems at nearby Magic Ford. The dealership went bankrupt in 1996 and was purchased last year by Republic Industries, now the nation’s largest megadealer. Republic recently contracted with Boeckmann to manage Magic and he may eventually take over the operation as part of a larger plan by Ford to consolidate its dealerships in the San Fernando Valley.
Seventy-nine California dealerships are among the nation’s top 500. The only other state with more was Florida with 80. Among the ranked Southern California dealerships were Norm Reeves Honda in Cerritos (13), House of Imports in Buena Park (19), Fletcher Jones Motorcars in Newport Beach (20) Magic Ford in Valencia (32), Don Knott Ford in Carson (33) and Toyota of Cerritos (48). Ward bases its rankings on a survey in which dealers voluntarily participate.
Longo Toyota in El Monte, which several years ago was the nation’s top-ranked dealership, is not listed because it does not participate in the survey.
A dealership had to have revenues of more than $58 million to make this year’s list, up from $49.2 million a year ago. The higher revenue threshold reflects increased consolidation of dealerships.
There are about 22,000 car dealerships nationwide. The top 500 accounted for nearly 8% of new vehicle sales last year, according to Ward’s.
The average Ford dealership sold 876 vehicles in 1997, and reported an average gross profit of $1 million, according to J.D. Power & Associates.
Galpin, a privately owned business, does not report earnings but Ward’s said it has been Ford’s most profitable dealership in 26 of the last 30 years. It is a perennial Ford sales leader.
Boeckmann, a member of the Los Angeles Police Commission, also operates Lincoln, Mercury, Jaguar and Saturn franchises. His Hollywood customers have included Raquel Welch, Ed Begley Jr. and Jonathan Winters.
