A conversation with Ray Bromley

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Ray Bromley is vice president of the Harrisburg Automotive Trade Association and owner of Lehman Motors Volvo and Jaguar Harrisburg Motors.

Q: How much of an effect has the economy had on the sale of cars in the midstate?

A: We are feeling the effects of the economic conditions here, but I understand that some of the major metro areas are feeling it to a much higher degree. I just finished up a term on the Volvo Retailer Advisory Board and was able to make contacts all over the country, which give me the ability to put our situation into perspective. 

Are sales going up or going down at this point?

That is a question with many answers. This downturn, for many retailers, started about a year ago, while some brands have struggled for the last few years. Many of us measure our performance year over year, and based on that, there are months where retailers are up over the same month last year. You must also factor in the mix of new and pre-owned vehicles being sold.  Many retailers have reported lower new-car sales but increased pre-owned sales, resulting in an increase in total sales. As an example, in our Mechanicsburg operation, new Volvo sales were up about 75 percent over April of 2008, while pre-owned sales were off, resulting in a similar total to last year.  

Are customers having a hard time getting car loans?

I would say they are having a harder time getting car loans. As we all know, up until about a year ago it was easy to get almost anyone financed to purchase a car, and most times it was easy to finance 100 percent of the price. People with good credit and a good down payment will always get financing. We have seen a big difference in the way the banks look at deals where the buyer has a high debt-to-income ratio. The banks are scrutinizing the deals much closer, which leads to fewer cars being financed. This is actually a very good time to purchase a vehicle.

What are keys for dealers to remember during a troubled economic period like this?

We need to remember that economic downturns are part of the risk of this business.  We need to remember to run our businesses efficiently, make adjustments and control our expenses so that we can continue to have a positive impact on the local economy in terms of jobs, tax revenue and contributions to the community going forward.

Will the car business return to what it was, say five years ago? If not, how will it look in the future?

The car business, from an industry standpoint, will probably not get back to where it was five years ago. Many factors — from the subprime financing boom to population trends — will affect overall sales going forward. From the retailers’ standpoint, there will be fewer but healthier businesses. Fewer retailers, each selling more vehicles, will have a positive overall impact on the local car business. This started locally well over a year ago, when retailers merged stores, manufacturers encouraged their retailers to combine certain brands, and some dealerships were closed down. This was all a preview in many ways as to what we are facing going forward. 
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About Ray Bromley

In 1985, Ray Bromley answered a help-wanted ad for a car salesman and started selling Chevrolets in Trenton, N.J.

Bromley, who owned a designer jeans clothing store called “The Jean Scene,” was a salesman for about nine months before he was promoted to finance and insurance manager.

He fell in love with the business and knew one day he would own a car dealership, said Bromley, a Philadelphia native who grew up in Browns Mills, N.J., where his family moved when he was 5. Bromley’s father owned a meat shop in Philadelphia and later in Browns Mills. Bromley’s brother taught him how to cut meat, and Bromley worked at the shop until he bought his clothing store.

Bromley went on to manage a dealership in Langhorne, Bucks County. Then, in 1994, he was recruited to manage a dealership in Cherry Hill, N.J., before moving to Central Pennsylvania in 1997 to operate the Lehman dealerships for Ken Lehman. He purchased Lehman Motors Volvo and Jaguar Harrisburg Motors in 2005.

In his free time, Bromley enjoys spending time with his wife, Roxanne, and his 4-year-old daughter, Emily, at home near Mechanicsburg. He said he tries to play golf as much as he can, and he raises money for the Leukemia & Lymphoma Society.