Lithia Honda in Medford, Oregon, has found a successful strategy for expanding their business by creating a Used Truck Mega Center. General Manager Travis Hawes developed this approach to address new-vehicle inventory constraints during the pandemic while capitalizing on consumer demand for trucks.

To implement the Used Truck Mega Center, Hawes invested $3 to $4 million in purchasing trucks from auctions and created a dedicated website, UsedTruckMegaCenter.com, to redirect shoppers to the Honda store website. This innovative approach resulted in increased sales of used trucks, growing the dealership’s market share in this segment.

Hawes, a longtime employee of Lithia Motors Inc., credits the company’s decentralized business model for allowing him the autonomy to pursue this strategy without seeking approval from multiple layers of management. He buys used trucks from various states and ships them to the dealership, where they are sold with extended warranties that further contribute to the dealership’s profitability.

Despite improvements in new inventory levels, Hawes continues to prioritize the Used Truck Mega Center strategy, with rows of used trucks prominently displayed on the dealership lot. On average, Lithia Honda sells around 50 new vehicles and 100 to 150 used vehicles per month, 20 to 25 of which are trucks.

Lithia Motors Inc. recognizes the achievements of exceptional store operators through its Lithia Partners Group award program. This program provides additional autonomy and stock grants to high-achieving general managers, helping to retain top talent. Lithia’s partners group represents the “best of the best” within the company and is measured through a performance scorecard that evaluates various aspects of dealership operations.

Travis Hawes, the general manager of Lithia Honda, has been a consistent winner of the Lithia Partners Group award. With over 25 years of experience within Lithia Motors, Hawes spearheads the success of the dealership, contributing to Lithia’s overall growth and profitability.