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How Gavra came to head Tiriac's 500m-euro group

20.06.2008, 20:35 10

Catalin Gavra, currently in charge of Ford's imports in Romania, will take over the management of all car dealers controlled by Ion Tiriac as of July. What is his strategy for increasing the sales of previously competitive brands?
Catalin Gavra first came into contact with businessman Ion Tiriac's group when he became one of the first employees of the Romcar group, Ford's importer, right after he graduated from the transport faculty. Almost 14 years later, Gavra is about to take the helm of Ion Tiriac's entire auto division, which sells no less than 10 car brands - Mercedes-Benz, Chrysler, Jeep, Dodge, smart, Mitsubishi, Hyundai, Ford, Jaguar and Land Rover.
The auto division of the group was built on two pillars - import and retail, but the separation of the two activities has not been a priority, given the explosive growth of the market. However, amid a direct entry onto the market of the big car producers, either by building from scratch (Honda, Citro?n, Mazda and BMW), by taking over the local importer (Renault) or through a partnership with the importer (Daimler Chrysler), increasingly more large automotive players are focusing on retail.
Apart from expanding the dealership network from 67 to 80, Gavra's strategy as head of the Tiriac Auto division also includes what he calls auto malls.
"What we mean by auto malls is bringing together as many of the company's brands as we can into one space. In the mall located in Bucharest, our first such project, we will most likely gather all the group's ten brands," said Gavra. The project will be built in the Western part of Bucharest.
"The local market is no longer a simple one where people buy just a car. A car is not only a means of transport and a brand, financial services are available for its acquisition, and other services are also involved. We want to add services to the basic product, from leasing to insurance, and any other element involved in the sales process. Post-sale services are particularly important, since it is a known fact that the number of servicing centres is still below the market demand, " added Catalin Gavra.

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