Daily Herald: Volkswagen dealer sees silver lining
January 25, 2009
SCHAUMBUG, Il. — Don’t tell Emir Abinion that the automobile business in
the United States is all gloom and doom. If you look hard enough, you can fi nd
some bright spots.
In the midst of an economy where automobile sales have experienced a steady decline,
Abinion has opened a new Volkswagen dealership in West Chicago and purchased an
existing location in Schaumburg, achieving success with both. Particularly remarkable
is that in December, while most dealerships braced themselves for abysmal sales,
Fox Valley Volkswagen’s Schaumburg location (formerly Ed Murphy Volkswagen) experienced
its highest sales volume in 18 months.
Born in the Philippines, Abinion emigrated to the United States when he was 6 years
old. He grew up on Chicago’s west side and attended Lane Tech High School, then
North Park College, majoring in business. An eff ort to earn money to pay for his
college classes led him into the automobile business.
What was your first car?
“A 1974 Mazda RX4 with a rotary engine that I bought when I was in high school.”
How did you get started in the automobile business?
“After my sophomore year in college, I was looking for a way to earn more money
to pay for school, so I answered an ad from Jerry Gleason Ford in Niles. I started
there as a full-time sales associate in the summer, part-time in the winter while
I was going to school. Th ree years later, I became general manager of the dealership.
Jerry Gleason still remains a close friend and mentor today. He taught me the basics
of the car business, but he taught me to do it exceptionally well. Jerry played
a very big part in shaping my philosophy and the value of business integrity.”
What do you like about the automobile sales industry?
“In this country, we have always had a love aff air with cars. It’s not something
we use to get from Point A to Point B. If you’re honest and upfront with someone,
they’ll come back to you because people want a friend in the car business.”
How has the industry changed during the years you have been in business?
“The shift started about 20 years ago with a stronger emphasis on service. You need
to have a strong basis in service these days.
“Also the Internet plays a bigger role in how people choose their cars. It used
to be that people went from dealership to dealership to shop. Now they look on the
Internet fi rst and narrow down where they go. We have also sold and shipped cars
to people on both coasts, as well as Norway and Greenland, so it’s no longer just
local.”
What is your business philosophy?
“I like to think that in all of the stores that I’ve had, I’ve had the same values
in my business life as I have in my personal life; I’m a Christian and that’s important
to me. I have had people buy cars from me 20 years later, even though I am now selling
a diff erent brand of cars. It’s not the vehicle, but the individual they come for
because if you are comfortable, you want to stay with them.”
How did you turn around Landmark Ford?
When I purchased Landmark Ford in 1992, it was the highest complaint (Ford) store
in the country. Within three years, we had turned it around. When you go into a
situation like this, it’s easy to think that the people working there are at fault.
But after being there a few months, it wasn’t the people but the values that were
in place.
“We started some teambuilding to develop camaraderie, plus events like company picnics
and trips to Great America. When people get to know one another in events outside
of work, it breaks down barriers and becomes easier to solve problems together at
work. We went from being the highest complaint store in the country to winning the
Ford President’s Award for customer service in 2000, 2001, and 2002.”
How do you motivate your employees?
“We have a guiding principles statement that outlines how we treat our customers.
It covers quality, integrity, continuous improvement, benefi cial relationships
with suppliers and manufacturers and centers on how customers are the focus of everything
we do. If everyone is working off the same song sheet, if you give employees a vision,
they will want to follow.
“We have leadership meetings once a week where we take care of any issues that have
come up. My job is to take all the red tape away from the leaders and managers so
they can do their job. Plus, you give them some autonomy to solve problems. When
you empower them in this way, they feel good about solving a problem.”
Why did you switch from selling Fords to selling Volkswagens?
“Ford had been losing market share for fi ve years. At the time, Ford wanted us
to build a new showroom in Niles and that just wasn’t feasible.
“We started working with Volkswagen back in 2002. Th ey wanted someone to open a
dealership in the St. Charles area. It’s diffi cult to get an open point, but Volkswagen
took a look at us and what we had done and we were approved. So in July 2006, we
opened up a brand new store in West Chicago and quickly became the No. 1 Volkswagen
dealership in customer satisfaction for sales and service in the state of Illinois
and 15th in volume out of 150 dealers in the central United States. We ended up
selling Landmark back to Ford.”
What does Volkswagen have to offer to the American consumer?
“When I visited the Wolfsburg plant in Germany, I was pleasantly surprised by the
attention to detail that they put into their cars. Domestic brands give you a lot
of incentives and rebates to buy, but is the car really worth that much? Volkswagen
doesn’t give price incentives. I would rather see manufacturers bring the price
levels of cars down to what they’re worth. What this does is that in the used car
market, the value of Volkswagens doesn’t drop as fast.
“It’s also a fun brand. Th ere’s some wonderful nostalgia with Volkswagen because
everyone seems to have a story that they either learned to drive in a Beetle or
rode in one as a kid.”
How does having your longtime friend Shakeel Omar as a partner help your business?
“Shakeel runs our used car operation and he’s the best person that I know of to
run this part of the business. I’ve known him for 25 years, when we were both working
at Jerry Gleason Ford. He goes to the used car auctions and buys cars off auctions
on the Internet. This is an important part of our business as our ratio of new car
sales to pre-driven is nearly one to one.”
How can an automobile dealership survive in this economy?
“There is no silver bullet answer to that question. A good dealer doesn’t necessarily
mean having the best price. It means taking care of the customer. As an owner/dealer,
you also need to spend time with your employees.
“Obviously, you have to control expenses. Having two locations in adjacent markets
allows us to consolidate operations in the areas of purchasing, personnel and marketing
and advertising.”
Is financing difficult to obtain?
“We haven’t seen any problems. Volkswagen Credit is our major partner, and unlike
GMAC, Volkswagen Credit only fi nances vehicles purchased from Volkswagen stores.
The strength of the brand is perfected by the strength of their fi nancial arm.
We get wonderful support from them.”
How do you give back to the community?
“We have donated vans to the Riverwoods Christian Center in St. Charles, which helps
underprivileged kids. We have also helped the Bartlett Learning Center and the Lazarus
House homeless shelter. We also had a Christmas party this year where we gathered
toys for the Salvation Army. Our employees also volunteer at many of these institutions
we support.”