Half Century Success Formula
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Tom Henry Chevrolet and
Tom Henry Racing have a proven formula for success. It's kept them
competitive and their customers satisfied for over 50 years.
The history of Tom Henry
Chevrolet is a classic story of a family's achievement in a
quintessential, American business: selling and servicing cars and
trucks.
During the
Second World War, Thomas B. Henry was a truck driver in
the U.S. Army Quartermaster Corps. He wheeled a 6x6, 2
1/2 ton truck–the venerable "Duce and a Half"–for the
famed "Red Ball Express" which supplied the First and
Third Armies as they fought the Nazis across Europe in
1944 and '45. In December of '44, Henry was in the final
supply convoy to reach the 101st Airborne in Bastogne
before the Germans surrounded it during the Battle of
the Bulge. |
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After the War, Henry's
Army experience led him to an automotive career. In the late-'40s,
he worked for Gulf Oil managing a service station in Glenshaw, just
north of Pittsburgh. In the early-'50s, he sold cars at Coyne and
Evans Chevrolet in nearby Etna. By 1954, he was the Pittsburgh
Zone's top salesman. |
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This hand-colored picture was on the
cover of a Gulf Oil publication in the late-1940s.
At left, in the service station uniform, is Thomas
B. Henry. |
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The original Tom
Henry Chevrolet was in central Bakerstown. This picture, taken just
after it opened its doors, shows a brand new, '58 Chevy parked at
right. |
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February 14, 1958, Tom
Henry opened his Chevrolet dealership in Bakerstown, 15 miles north
of Pittsburgh. Henry's entrepreneurial spirit, his experience in the
car business and an attitude which, today, we'd call
"customer-driven," had his business quickly thriving. in 1961,
needing more space and to be on a major highway, Henry Chevrolet
moved just west of Bakerstown to Route Eight which runs from
Pittsburgh, north, to Franklin. In 1965, Henry added a Willys Jeep
franchise. In 1972, a new Parts Department was constructed. In '74,
the Body Shop finally moved to Route Eight.
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The day in
business, founder, Tom B. Henry, sat for a executive portrait in his
new office.
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Early-on, Tom
Henry Chevrolet offered full service to its customers. To meet the
needs of people wanting road service or cars towed to the body shop,
an early capital investment was this 1960, 30-Series Chevy
cab/chassis fitted with a wrecker body. |
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In 1961, Tom
Henry Chevrolet purchased this property along Route 8 and moved the
used car lot to the new location. Shortly afterwards the State
widened the highway to four lanes. |
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By Fall-1962,
the core of the new dealership was done. |
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One of the first
major events at the new location was the debut of the all-new, 1963
Corvette. This was a major happening with those attending
dressing-up for an evening reception at the dealership. |
In the mid-1960s, a
young Tom G. Henry swept floors at Dad's Chevy/Jeep store after
school. By high-school, he worked summers in Parts and Service. With
a Chevy dealer Dad, Tom and his sister, Sue, were nuts about
Corvettes. At 16, Tom got his first Vette, a '64 Convertible his Dad
took in trade. In his senior year, Tom borrowed money from his Dad
and ordered a Targa Blue, 1972 Corvette Coupe with the
high-performance LT1 engine and a four-speed stick shift. That fall,
Tom was off to college and the Blue Vette went with him. In 1974,
Sue went to work for Tom Henry Chevrolet as a Title Clerk.
In November of '75,
fresh out of Michigan's Northwood University with degrees in
automotive marketing and business management, Tom started,
full-time, for his Dad as a Service Writer. He, also, made his first
sale, a left-over '74 Impala. In 1976, he moved to Sales, by '78 was
Truck Manager and in '80, General Manager. By then, his Sister had
moved up to Office Manager. Finally, in May 1982, with Tom B.
wanting a less-busy schedule and part-time work, young Tom G. took
over as Dealer Principal.
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From this 1963 photo you'd think Tom Henry sold a lot
of trucks and a favorite color was red but, in reality, this was a
Pittsburgh Zone dealer "driveaway" combined with a press briefing
about Chevrolet's expansion in greater Pittsburgh of which a
relocated Tom Henry Chevrolet was the showpiece.
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The most popular
Chevys, Monte Carlo, Camaro, El Camino, Impala and Malibu, crowding
Tom Henry Chevrolet's showroom in 1971. |
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The new Parts
Department in 1974. |
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Thirty-one years
later, in the same spot, but facing a different direction, better
organized, staffed and equipped, the Parts Department continues to
provide GM and aftermarket parts at the best prices. |
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In the early-'80s, the
showroom was remodeled. AMC owned the Jeep brand, so when Renault
bought AMC in 1986, Henry's Jeep franchise ended. In 1989, Tom Henry
Chevrolet expanded, again, leasing buildings on the other side of
Route Eight for the Used Car and New Car Prep departments. About the
same time, Service, Parts and the Body Shop became financially
self-sufficient.
In 1991, the founding
Tom Henry retired. In the early-'90s, the dealership began to
specialize in Corvettes, especially the second-generation ZR-1. In
1998, Tom formed a subsidiary, Tom Henry Racing, to sponsor Corvette
racers Scotty White and Rick Doria along with selling new and used
performance models from with emphasis on Camaros and Corvettes. In
2000, using the Tom Henry Racing brand, Tom began expanding his
Parts Department into a major resource for the Chevrolet hobby.
"THR" caters to a wide variety Chevrolet enthusiasts by offering
competitive parts prices and quick shipping. Not only does Tom Henry
Chevrolet sell GM parts locally, but Tom Henry Racing sells them
nationwide by mail, over the phone and on-line. THR is also a "speed
shop" selling Crane Cams, McLeod clutches, Edelbrock manifolds,
Stainless Works headers and exhausts, Magnuson Products, Flowmaster,
Red Line Oil, Bilstein shocks, GM's own Performance Parts line and
others.
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Not only does
Tom Henry Chevrolet stock parts for it's service department and
local sales but Tom Henry Racing sells GM Parts nationwide by phone
and on-line. |
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By 2001, Tom Henry
Racing was selling "upfitted", new Chevys on a "second-sticker"
basis. The first was a performance-enhanced Camaro, the "Tom Henry
SS". Thirty-two were built and sold in 2001 and 2002. Each had a
modified LS1 engine along with special wheels and tires and
customized interior and exterior.
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This 2004 THR
Supercharged Silverado was one of the first of Tom Henry's 500-hp, upfitted pick-up trucks.
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In this 2004
photo, technicians at Tom Henry Racing install a Magnuson Radix
supercharger on a Supercharged Silverado.
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When Camaro production
was suspended in ’02, Tom Henry Racing looked for something else to
upfit. Wanting a V8, rear-drive platform less costly than a
Corvette, in 2004, it debuted the "THR Supercharged Silverado,"
pick-up. Two years lager, when gas prices skyrocketed and truck
sales cratered, THR developed an enthusiast package for the Chevy
Cobalt.
In early 2006, believing
the Camaro Concept, which debuted at the Detroit Auto Show that
January, would go to production in the 2009-'10 period; Tom Henry
began to re-establish his dealership as the Camaro specialist for
the upper-midwest and northeast. First, he debuted Camaro enthusiast
web site that Spring, "The Camaro Homepage". Henry's decision
seemed, in part, clairvoyant because, on 10 August, 2006, Chevrolet
announced Camaro production would resume in early 2009. |
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The Camaro
Concept debuted in early 2006 and was a big hit with media and auto
show goers for a couple of years. GM built several of the concepts.
This red one was displayed at the SEMA trade show at Las Vegas in
the Fall of 2006. Image: Camaro Homepage Staff. |
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A "snapshot" of
the market in 2007. In showroom were three Vettes, two coupes and
and a Z06, along with a pair of Cobalts, a Silverado and an HHR. |
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Tom B. Henry
flanked by Tom G. Henry and Sue Scott at the Tom Henry Chevrolet
50th Anniversary party in April of 2008.
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The 2007-2009 period was
the most challenging yet the most rewarding in the company's
history. In '07, although truck and SUV sales decreased, sales of
the Equinox crossover, the Chevy Cobalt and the new Chevy Malibu did
well. In '08, the worst year for the car business since the Great
Depression, Tom Henry Chevrolet passed its 50th Anniversary in
mid-February. Tom Henry waited to April, when inventory and the
weather were better, to honor that occasion with a sale and
celebration at the dealership one evening. Over 200 people attended
and a high point of the evening was his Dad and founder, Tom B.
Henry, coming to socialize with old friends and long-time customers.
Few dealers weathered
the Great Recession and the GM bankruptcy better than Tom Henry
Chevrolet. By October '08, used cars, parts, service and the body
shop all slowed, but the year ended with new unit sales actually
beating the dealership's 2007 performance–an astonishing feat,
considering the economy cratered and new car sales nationwide
tanked. "We outpaced the market. In '08 we did better than the
average dealer in the Pittsburgh area," Henry beamed.
Into 2009, with good new
unit numbers the year before and knowing the fifth-generation Camaro
would be on sale by early Summer, Tom Henry Chevrolet and Tom Henry
Racing had momentum, but downs and ups continued. April was tough
with dealership founder, Tom B. Henry, passing away at the age of
86. On the upside, in May, the dealership sold its first 2010 Camaro
and delivered 11 more in June. Starting in April business improved
over '08. In June, when Chevrolet announced which dealers would have
their franchises renewed, one was Tom Henry Chevrolet. Henry
attributes that to performing better than other Pittsburgh dealers
and Chevrolet wanting a presence in Pittsburgh's growing northern
suburbs.
During Spring of '09,
THR developed a new upfit product, the "Tom Henry Racing Camaro", a
unique interpretation of the fifth generation of America's iconic
sports coupe. The first was sold in mid-June. THR Camaro development
continued into the second half of '09 resulting in a supercharged
engine option.
"We repeated our record
new unit sales in 09," Henry said. "That put us in the top 10% of
dealers in the northeast region." When asked how, when many other
dealers have fallen on hard times, he could do that twice in a row,
Tom says, "A big part was our Sales Manager, Jeff Blough, who read
the market, made the right decisions and inspired the rest of our
Sales Team to strive for success."
For 2010, Tom Henry is
upbeat. The new Camaro has already bolstered sales. The unique Tom
Henry Racing version is succeeding with 24 sold so far and perhaps
another 15 sales before year end. "For '10, we want continued
increase in new unit sales. Another goal is to improve customer
satisfaction at the service desk–making sure we are really taking
care of people coming in for service," Henry stated. "Besides
Camaro, I think the new Traverse and redesigned Equinox crossovers
will be good sellers for us by Summer, once we can get enough of
them. Malibu is going to be stronger because availability is better.
We're going to concentrate on a low price Malibu lease or buy.
Full-size trucks are still solid for us, so we're going to work our
commercial business. We're stocking more work vans, 3/4-ton snow
plow trucks, dump trucks, that kind of thing. We're, also, doing
more business with used commercial vehicles–3/4-ton used pick-ups
are very strong."
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Tom Henry
(second from right) with his Department Heads (left-to-right, Parts,
Stan Lorance; Body Shop, Rick Ganter; Information Technology, Mark
Neeley; Office, Sue Scott; Service, Corey Holland and, far right,
Sales, Vince Bellissimo) who lead Tom Henry Chevrolet's greatest
asset, its its team of employees. Also, shown are Tom's 1972
Corvette LT1 Coupe and Sue's 2004 Corvette Convertible.
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THR Camaro #18
had a stunning orange-stripes-on-white-exterior and was the first
supercharged car. L-R are: Body Shop Manager, Rick Ganter; painter,
Bob Scott and Tom Henry. |
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Part of the Tom Henry
Chevrolet success formula is enthusiasm for America's iconic brand,
Chevrolet. For 40 years, Tom Henry and his Sister Sue Scott have
been car nuts and have a nice collection of Chevys. "Tom's Toys"
include the '72 Corvette he bought over a generation ago which he
drives regularly and keeps in original condition. He, also, has a
restored, '64 Vette and two late-model Camaros, a rare, 1998
Brickyard 400 Pace Car, one of only 11 in private hands, and one of
his own Tom Henry SSes. The '72 LT1 and the TH/SS have been featured
in national automotive magazines. Tom's sister Sue's hot rod, is a
modified, ’04 Corvette Convertible, one of 14 Vettes she’s owned.
Another reason the
Henrys have lasted over half a century in the car business is rapid
response to changing markets. "A major accomplishment was getting
every department to be more self-sufficient," Tom Henry says. "When
I took over in 1982, Service, Parts and Body were 30% of our fixed
coverage (percentage of expenses covered by those departments'
profit). That was the business model then–you could make it just on
new unit sales. Today, that doesn't work. We took fixed coverage to
about 75%. Adapting to the evolution of the dealer business model
has been a big factor in our longevity. Department profitability,
increased efficiency, great employees and customer
satisfaction–especially customer satisfaction–are keys to our
success.
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Many people
would think this technician would never see the outside of the
Service Department, but Tom Henry's successful "Shadow Program"
might have him working a week in Sales. Cross-training is just one
tool Tom Henry Chevrolet uses to keep its staff, motivated and
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"We have a very low
turnover. The Service, Parts and Body Shop Managers each have been
here over 15 years. If middle management turnover stays low, their
departments are more stable. I have three employees who started with
me when they were about 18 and they're in their 30's, now," Tom says
proudly. "You can't have customer satisfaction unless you have
employee satisfaction, first.
"I understand each
department and talk to the people in each as often as possible. We
have a 'shadow program' where an employee from one department spends
some time in another to get a different perspective on customer
satisfaction. This 'cross-training' works well and makes our team
even more customer-driven.
"To compete with the big
dealers, we had to be more efficient. We've done well there, so far.
My fixed operation is 10-15% more efficient than any of the big guys
and that allows us to serve customers better than they can. |
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The Body Shop
has the most modern equipment of any collision facility in western
Pennsylvania, including a paint booth with the latest
environmentally-friendly equipment. |
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This is about 1/4 of the Service
Department's area. That part of Tom Henry Chevrolet
is currently operating at its maximum. |
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"Another thing is good
equipment," Henry continued. "Our paint booth is the latest in
environmentally-friendly equipment. We've got microwave lights and
plasma cutters in the body shop. Our information technology is
state-of-art. |
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"We haven't done any
recent new construction because we've been able to increase business
with the space we have, however, we're considering facility upgrades
in the future to meet GM's new image specifications, to sell and
service more vehicles and to have a better customer environment.
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"One way I like to
market Tom Henry Chevrolet is to be involved in local events at
schools, youth centers, churches and so forth. I want us to be
visible and supportive to people who live in my community."Our mission," Tom
states, "is to maintain a conservative operation. I really believe
in 'a promise made is a promise kept.' If we tell a customer we're
going to do something; we do it. I'm probably too conservative for a
car dealer. I will not tolerate screwing around with deceptive sales
practices.
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In Spring 2005,
half of the new car lot was taken up by new Chevy Cobalts. |
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Amazingly, Tom
Henry, the owner of a successful, 52-year-old dealership insists
he's too conservative to be a car dealer. He still enjoys the
interaction with customers and occasionally makes a sale,
personally. |
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You hear "A
promise made is a promise kept" often at Tom Henry Chevrolet and Tom
Henry Racing. It drives the relationship with customers from their
first contact to when they drive their purchase off the lot and
continues for years afterwards. |
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"For over 50 years this
has been a family-owned business," Henry beams. "We're not absentee
owners. For that entire time, there's been at least one family
member active in the business on a daily basis. My two kids are a
bit young to be involved right now, but I'd like to structure it so
they have the opportunity in the future."
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Tom Henry's,
fair, conservative, customer-driven attitude along with great
employees has made Tom Henry Chevrolet and Tom Henry Racing two of
the unique success stories in the car business. |
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