About HGreg.com
- Entered U.S.: 2010 Stores: Doral, West Park and Pompano Beach, in Florida
- Expansion: Stores opening summer or early fall in North Miami and Orlando
- Employees: About 250 U.S. employees, increasing to estimated 400 after new stores open
- Parent: HGregoire, a Quebec new- and used-vehicle retailer
Florida is the third-largest used-car market in the U.S., according to Edmunds. The HGregoire brand was well-known by Canadians in Quebec — including some who flocked to the Sunshine State for the winter, John Hairabedian said. Internal studies also indicated South Florida was a strong market.
"We really figured it would give us enough push to do great," Hairabedian said.
If HGreg could be successful in Florida, the thinking was, it could be successful elsewhere in the U.S., Hairabedian said. Expansion is not imminent — HGreg.com plans to complete growth in Florida before it pursues other states. Its next step would be to enter Georgia, Hairabedian said. Growth would come from opening its own stores vs. acquiring others, he said.
The Florida expansion has attracted acquisition overtures from other auto retailers, Hairabedian said, but HGreg.com has rebuffed buyout attempts.
HGreg positions itself as an atypical car retailer. Its approach includes noncommissioned sales staff,no-haggle pricing, large inventory and expanded hours, seven days a week. It offers home delivery through HGreg Direct.
An unusual feature is an air-conditioned warehouse of vehicles that shoppers can visit to peruse choices. The Doral store has an off-site location with more than 1,100 vehicles, while the Orlando dealership will combine a store and warehouse on one property, Hairabedian said.
More warehouses may be needed as buying increasingly goes online, he said.
HGreg.com offers a seven-day exchange policy in the U.S.vs. a 30-day policy in Canada, where it also has a three-day money-back offer.
The company started in used cars in Canada but expanded into new-car dealerships in 2014 and now has eight such stores in Quebec selling Nissan, Infiniti, Chrysler, Jeep, Dodge, Ram, Mitsubishi and Hyundai brands.
HGregoire would consider opening new-vehicle dealerships in the U.S., though it's not actively pursuing that, Hairabedian said.
"If we find the right opportunity with the right OEM partner, we'll definitely do it," he said. "It has to fit the markets we want to be in."
