In order to better compete with German automakers, Jaguar Land Rover is urging its single-point dealers to consolidate through buy/sells and to open more stores that unite the two British luxury franchises. Andy Goss, CEO of Jaguar Land Rover North America, said that within three years, around 70% of Jaguar and Land Rover franchises in the U.S. will be combined into Jaguar Land Rover stores.
Goss is confident that the two brands will boost their competitiveness if they offer passenger cars, SUVs and crossovers from the same dealership. Currently, there are 92 stores with the two franchises under one rooftop. This makes up only 28% of the 166 Jaguar and 167 Land Rover dealerships in the country. There are 22 consolidation deals that are pending but Goss declined to prove a timetable about their completion.
He is optimistic though that these will all be done as according to him, \"There is only one future, Jaguar Land Rover.\" He clarified that this program is voluntary and Jaguar Land Rover is merely encouraging dealers. Goss said that one dealer council may be created for the two brands.
Goss was the speaker at the grand opening of the 68,000-square-foot Prestige Jaguar Land Rover Paramus, which holds individual showrooms for Jaguar and Land Rover under one roof. This store is the top U.S. Land Rover dealership. It has the highest volume, with 2011 sales of 1,456 new units in the old 13,000-square-foot store next door. Prestige Auto Group, the owner of this dealership, bought a nearby Jaguar store and merged the franchises at one location.
On the Automotive News list of the top 125 dealership groups in the nation based on 2011 new-vehicle retail sales units, Prestige is ranked No. 39. Prestige Auto Vice President Bill Berardino said that majority of the design features for the new store had come from Jaguar Land Rover.
At one end of the building is a Jaguar tower while there’s a Land Rover tower at the other. There’s also a shared service area. The combined brands have a new dealership standard, which includes the towers and a common entrance, which will be finalized this fall and will be produced before the end of the year.