Trophy Automotive Dealer Group, a multi-brand automotive dealer, has increased its footprint across Los Angeles through the acquisition of Mercedes-Benz of Valencia and three other dealerships. Trophy’s previous portfolio included Mercedes-Benz of Encino, which it has owned since 2014.
The group, known as TADG, also bought Kia Downtown Los Angeles, Universal City Nissan and West Covina Nissan. The newly acquired dealerships “represent strong additions to the group’s portfolio, as they are located in key areas and contributes to the success of each brand within their respective areas,” the company said in a statement.
“TADG has been represented in the market with one of the top performing Mercedes-Benz dealerships in the nation and we are excited to expand our automotive footprint in the Los Angeles area with these acquisitions, making us one of the largest automotive dealer groups in the state of California in number of vehicles sold, which is expected to be greater than 30,000 units per year,” said Nasser Watar, the group’s chairman and CEO.
“With our Group’s focus to support customers throughout the car buying process from start to finish, TADG provides customers with the necessary information in a transparent manner to assist in making an informed car buying decision,” he added.
“Our key priority and a pillar of our business is to ensure that we deliver a class-leading customer ownership experience, from the first time a customer interacts with our dealerships, whether online or in person, and throughout each customer’s journey with their vehicle,” Watar said.
“Training and development of our staff will be a key area, in order to ensure every TADG employee is equipped with all the tools to provide customers the care and experience they deserve when going through the important decision of purchasing a new vehicle.”
In addition to new vehicle sales, TADG will also focus on the used cars division and after-sales service experience to ensure the highest level of customer satisfaction.
The acquisitions are part of the group’s growth plan, and Watar said he anticipates that “these dealerships also become trophy dealerships in sales and total customer experience.” He thanked the respective manufacturers, the group’s acquisition staff and employees of the purchased dealerships that are part of the acquisition for their help in the process.
“I’m confident that TADG will focus on delivering each brand’s respective brand promise and provide unparalleled customer satisfaction and total customer experience through innovative solutions and we are excited for the new opportunities to come,” said Watar, who founded TADG in 2014.
Trophy bought the dealerships from Sage Automotive Group. Last September, Sage agreed to pay more than $3.6 million to customers to settle federal charges that it used deceptive and unfair sales and financing practices.
The settlement order issued by the Federal Trade Commission will prohibit Sage Automotive Group “from making misrepresentations relating to their advertising, add-on products, financing, and endorsements or testimonials,” the FTC said in a statement. The commission enforces federal antitrust and consumer protection laws.
Sage “considered the FTC’s allegations to be without merit and overreaching,” the company said in a statement, but decided to settle the action “to avoid the overwhelming cost of protracted litigation.”
The settlement resolved the FTC’s first-ever action against an auto dealer for “yo-yo” financing tactics – using deception or other unlawful pressure tactics to coerce consumers who have signed contracts and driven off the dealership lots into accepting a different deal.