#1 Cochran builds on a solid foundation

Rob Cochran has no doubt as to who was the best sales person he ever met. That was his dad, the late Bob Cochran. “He built our business and our name,” said Rob, who is president and CEO of the company his father started in the mid-1960s.

Unlike a lot of boys who grow up in a franchised new-car and truck dealership family, Rob didn’t spend a great deal of time hanging out at his father’s showroom or service center. But after graduating in 1987 from Carnegie Mellon University where he studied business and applied mathematics, Cochran joined the family business. Soon after, his father became ill, and Cochran got “a quick indoctrination” into all aspects of the dealership.

Rob's father passed away in the early 1990s, but Rob built on the solid foundation his father established. Today, #1 Cochran dealerships are found, as Rob describes it, “under 12 different rooftops in three municipalities.” The franchised new-car dealerships include the #1 Cochran GM MegaCenter, #1 Cochran Subaru, Cochran Infiniti and #1 Cochran Hyundai all located on Rt. 22 in Monroeville. There is also #1 Cochran of Robinson, located on Campbells Run Road, as well as Hyundai and Nissan dealerships in the South Hills. The new-car franchises include Pontiac, Buick, GMC, HUMMER, Cadillac, Saab, Saturn, Subaru, Infiniti, Hyundai, Nissan and Kia.

The GM MegaCenter is, in fact, not too far down the road from the location where Cochran first became seriously involved in his father’s dealership. The most significant growth of the new-car franchises, according to Cochran, came in the last seven to eight years. “We have grown 60 to 70 percent in terms of revenue,” he said. Contributing to that growth are two Collision Centers.

Cochran doesn’t for a moment forget that whatever success the dealerships have enjoyed has come with the help of others. “There’s been a fraternity of good people here,” he said, “and we’re proud of that.” As the dealerships have expanded, the focus on finding and keeping the best people has become more important than ever. Today, with 550 “team members,” recruitment, selection and training are given the highest priority. “If we want to maintain leadership in our industry,” said Cochran, “we need people who can help us get better, faster.”

Hard assets—an ample inventory and wide selection of product, convenient locations, technology, equipment and the like—bring advantages to a dealership. Cochran has invested in such assets, and they’ve contributed mightily to success. But it’s Cochran’s conviction that soft assets—relationships internally and externally among employees and with customers—are the real game breakers for dealerships. “Our focus has to be the same as that of retailers: We must do an ever-better job of satisfying and serving the customer.”

Having seen remarkable changes in the automotive business over the last 20 years, Cochran believes these are the most exciting times yet, as auto manufacturers deliver a plethora of new products. “From the standpoint of the consumer it’s a wonderful time to be looking for a new car.” Add to the introduction of new models and options the fact that auto manufacturers are competing vigorously for market share, and you’ve got a situation where the buyer is, to a great extent, in the driver’s seat.

“The primary catalyst for new car sales will be the level of incentives offered by the manufacturers,” said Cochran. These incentives, he added, are targeted primarily to larger, more economically troubled markets than Pittsburgh. By and large, these are formerly “hot” markets that have suffered the economic aftershocks of the real estate debacle. Pittsburgh’s new-car buyers, said Cochran, will benefit from the deeper discounts manufacturers devise to stimulate business in these hard-hit markets.

A great many would-be buyers worry about financing a new car. Financing, said Cochran, is not out of reach. “One of the positive things when you retail as many vehicles as we do is the number of lender contacts we have, and because of our volume, we’re able to help people acquire financing.”

What seems to be catching the public’s fancy in 2008 models? “Crossover SUVs,” said Cochran, “continue to be a high-growth segment.” As examples, he points to the Buick Enclave, GMC’s Acadia and the Saturn Outlook as having a special niche. “All three offer great utility, functionality, and better fuel economy than is typical of a large utility vehicle.” Another crossover getting its fair share of attention is the Nissan Rogue, which offers “street-smart” mileage. “For people with a couple of kids and who want to get around inexpensively, it’s fun to drive and well priced.”

Hybrids have received lots of attention as gasoline prices have skyrocketed, but they are no longer restricted to small and mid-size models. GMC’s Yukon Hybrid, a big boy in anybody’s lineup of SUVs, features a two-mode hybrid system that allows inching along on electric power during low-speed city driving.

Another 2008 model that has garnered attention is the Infiniti G35 sport sedan, acknowledged as one of the best-designed cars on the road. The Infiniti G35’s VQ-series V6 was a repeat performer in 2008 when it was again named one of Ward’s 10 Best Engines.

Consumers have of choice of either buying or leasing when it comes to any of the 2008 models. “Leasing is really a lifestyle choice,” said Cochran. “It is a simpler way of doing business.”

It should be noted, Cochran added, that not all automobile transactions revolve around new cars. “Pre-owned vehicles, especially now that manufacturers have certified programs, are a big priority with us,” he said. Put through an inspection process by manufacturers, provided with a warranty, certified pre-owned vehicles offer buyers new-car benefits at late-model prices.

If you’re thinking about trading in a vehicle, Cochran said the breadth of #1 Cochran dealerships has its advantages. “With us, you will be in your trade range, because we have so many opportunities to put a trade-in where it will create the best and highest opportunity for resale.”