In the first of a multi-part series, Canadian auto dealer takes a look at some retailing facilities across the country that are raising the bar when it comes to providing a remarkable customer experience.
An illuminated, revolving three-pointed star on the roof acts almost like a beacon at night. "Regulations didn't permit an externally mounted roof sign like this," says Szekely, so we enclosed it in glass.
Standing on a property of some six acres and boasting 28-foot high ceilings, it's hard not to be awed by the sheer scale of Mercedes-Benz Burlington.
An on-site bistro cafe provides freshly prepared food that would put most restaurants to shame.
The store boasts an on-site car concierge, giving the impression you're in more of a high-end hotel than a car dealership.
The entire main level and basement area is covered in tile, imported from Germany. The colour was specifically chosen to provide a feeling of warmth (the floor also sports a REHAU radiant heating system which not only helps optimize indoor temperatures but enables significant cost savings, particularly in the winter months.
We’ve heard a lot of talk recently about manufacturer image enhancement programs. This was a hot topic at the 2012 NADA Convention in Las Vegas, when the NADA released details on its first ever study into the subject.
Outgoing NADA Chairman Stephen Wade said that the study revealed three key focal points; namely expansion, modernization and standardization of existing stores. The study found that outmoded forecast models and lack of communication have been making it difficult for some dealers to support such programs, especially when, for the high cost required to remodel the facilities, there is little, if any certainty when it comes to recouping a positive return on investment.
Making the situation trickier still are current economic conditions, with a great deal of uncertainty about how things will fare at least in the short term. Nonetheless, as somebody once said, fortune favours the bold, thus given the entrepreneurial nature of the car business, there are dealers out there that are not only embracing controversial factory image programs lock, stock and barrel, but turning the very concept on its head; constructing flagship stores that, while in keeping with manufacturer guidelines, actually have more in common with airports and high-end shopping malls, than traditional auto retail facilities. In this multi-part series, Canadian auto dealer takes a look at some of them, starting with a renowned Mercedes-Benz retailer in Ontario.
Mercedes-Benz: Burlngton, Ont.
“We wanted to create an iconic store,” says CEO Ken Szekeley, as he greeted me at “The Runway”, a magnificent glass and steel corridor that leads to the central hub of Mercedes-Benz Burlington. To my left and right, the brand’s latest automobiles, including the S-Class sedan, SL and SLS sports variations are lined up in perfect catwalk symmetry, displaying their wares much like fashion models at one of the world’s great garment spectacles. I feel like I’m in Sindelfingen not Burlington. “That’s the idea,” says Szekely with a smile. And he’s absolutely right.
Standing on some six acres with 1,000 feet of frontage that looks directly onto Highway 403 and ceilings that are 28 feet high, it’s hard not to be awed by the size and stature of the place. On the outside, perfectly manicured lawns give way to infinity pools of water on which sit colour-coordinated Benzes of every shape and size. ‚”You should really see it on a summer’s night,” Szekely says, but it’s after spending some time inside the building and talking to him, that you really begin to understand what Mercedes-Benz Burlington is all about.
It started out as an idea. Other business ventures I have, including construction and real estate, are international in scope and during my travels I’ve had the privilege of seeing some of the most remarkable auto retail facilities on the face
of the earth. I thought that by using some of the elements from these locations we could truly create a landmark store, right here in Burlington. Halton Region is growing and I knew, even when this site was a piece of undeveloped land, that the community was ready for a store like this.
Construction of the facility began in 2008 and although re-zoning was acquired to get the LEED certified dealership built, Szekely says there was a lot of support from local council to allow the project to proceed. In terms of design, one thing that does strike you is that Mercedes-Benz Burlington seems less like a traditional auto dealership than say a modern convention centre or airport terminal and that’ss purely intentional. It also represents a core value system that emphasizes out-of-the-box thinking. “The inspiration partly came from the recently completed McLaren Automotive Technology Centre at Woking Park, UK designed by Foster + Partners, plus guidelines from Mercedes-Benz‚” says Szekely.
With its floor to ceiling glass panels, the huge showroom conveys a sense of openness but once you’re beyond the runway, it doesn’t feel cold and clinical, like some modern structures. Credit that to the extensive thought that’s gone into the interior details; from the tempered glass that lines the stairwells and office walls (carefully patterned with the signature three-pointed star), “It was done in three places, Toronto, Vancouver and the U.S.,” says Szekely, to the tiled floors (imported from Germany no less) with their carefully chosen colours that carry from the centre of the showroom to the farthest service bay. Given all the intricacies on display it’s hard to believe that the project, with assistance from renowned retail architectural firm GHA was completed by the spring of 2010.
In the showroom, cars are laid out for potential customers to get up close and personal, though the arrangement is more like you’d find in a high quality art gallery or museum, than a retail showroom, even a high end luxury one. The presence of a car concierge, in addition to a main reception area also indicates that when you come here, something rather special is going on.
Szekely shows me the basement, where pre-owned Mercedes models are displayed, in much the same fashion as their fresh off the assembly line counterparts upstairs. As if signifying a cherry on top of a Black Forest Gateau, I ask if the classic 1963 190 SL in the middle is for sale. A friendly “no” is the reply. Beyond the cars, there are also other things here that you normally wouldn’t find in a dealership. How about a golf driving range simulator or a fully equipped spa and pedicure facility?
“More and more, we’re finding that customers want to come here and remain while their vehicle is being serviced, or when they’re collecting a new one. So we’ve tried to provide amenities for them,” says Szekely. So why not play a few holes and leave feeling revitalized? Add in some freshly prepared gourmet food from the main floor cafe, which looks like something you’d find in a trendy part of Stuttgart and why not make a full day of it? Besides, there’s comfortable waiting areas and even a business office to make sure important workday tasks get done, so no excuse really for not indulging.
And come to think of it, why shouldn’t your car as well? Besides, the nuts and bolts of service, Mercedes-Benz Burlington has gone to great lengths to create a one-of a kind ownership experience. “We like to refer to it as the white glove treatment,” says Service Manager Jeff Glennie. Having worked with the Mercedes-Benz brand for 14 years, he’s come to intimately know what customers expect. “Every aspect was taken into consideration with this facility. We want our customers to come back, so it’s important for us to build that level of trust ‚Äî that relationship,” he says.
The physical environment has a major impact, not only on what we call external CSI but also internal CSI, creating a great atmosphere to work in. “When you have strong internal CSI it radiates outwards,” says Glennie. He directed me to the drive through area where customers drop off their cars. Giant, fast moving Ry-Tec rolling doors open and close in seconds, allowing prompt entry and exit as well as saving energy. The drive through, like the showroom and service bays is fully tiled, while the big windows on the outside of the building provide plenty of opportunity for warm, natural light to seep through, even during an early spring day. The floor also has a dedicated Zamboni to keep it clean.
“A customer comes in and we take it from here,” says Glennie. “The next point of contact they’ll have with the vehicle is when we hold the door open for them when the work is done and it’s time for them to drive home. By that stage the vehicle has been serviced, washed and valeted.” Mercedes-Benz Burlington also offers a pick up and drop-off service and is even working on dedicated Go Station parking spots for service customers faced with busy commutes to Hamilton or Toronto. Still, according to Glennie, most like to come to the store in person.
“They really like to see it, how we do things. For them it’s a memorable experience. Sometimes they’ll even just come to have the car washed and even then, we can offer them a range of auto spa detailing treatments, after all, why shouldn’t your car be pampered too?” He has a point.
In the service area, we meet Joe Goncales, certified as the top Mercedes-Benz diagnostic technician in Canada, who also happens to be the shop foreman. The tiled floors in here, like the rest of the building, are incorporated into a REHAU underfloor radiant heating system that in view of all the glass, enables considerable energy cost savings, while ensuring that during the winter months, snow and slush melts away, promoting fast and quick clean up.
In-ground Neibaum hoists, custom-made British cabinetry with a computer and phone terminal for each workstation, ensure the technicians have the latest tools at their disposal. “Vehicles are becoming so advanced now that you need to have the latest equipment and training to be able to work on them. Our guys have access to the best expertise and technology available right from Germany,” says Glennie.
Even when it comes to replacement parts, Mercedes-Benz Burlington leaves nothing to chance. “We’ve got two floors, where we can stock many items,”says Parts Manager Dan Burnside. “Even if it isn’t here we can usually have it in stock by 24 hours.” Every morning Burnside dispatches Sprinter delivery vans to Mercedes’ warehouse in Toronto. “We always have two vans on the road, because it’s about getting the customer’s car fixed effectively in the shortest amount of time.” Mercedes-Benz Burlington also provides tire storage for customers all year around, which proves especially handy for those living in condos or driving a convertible. “It’s hard to get a set of winter tires in an SL,” remarks Glennie.
Yet while the facility has been the recipient of the Mercedes Benz Star Dealer award this year and labeled, not only as a standout M-B retailer in Canada, but also possibly the Americas, according to former M-B Canada President Marcus Breitschwerdt, it’s also become a focal point for the local community. A lot of major charity events are held here, including functions for the Joseph Brant Memorial Hospital, while Deloitte has hosted its Top 100 Companies awards ceremony at Mercedes-Benz Burlington. “We have so many people approaching us about holding functions that we do it strictly on a charity basis,” says Ken Szekely. “We don’t accept renumeration for using the facilities. From our pespective we’re glad to do it; after all, it’s about giving back to the community.
Mercedes-Benz Burlington
441 North Service Road,
Burlington, Ont.
www.mercedesbenzburlington.ca
