In late 2008, as Chrysler Corp. headed into bankruptcy and the U.S. into recession, Charlie Brown was the used-car manager for Lithia Motors' Chrysler-Dodge-Jeep of Eugene, Ore. "Used cars had no value," he recalls.
But Brown believes there is opportunity in any market. He found it the day before Thanksgiving that year at a Seattle used-car auction.
"Dealerships were selling their inventory just to cover payroll. It was that brutal," Brown said. "Manheim might have had 4,000 cars running through the lane that day and there was only 10 of us buying. Everyone else was selling."
He bought 40 cars. "My general manager was going to kill me," said Brown. "But I said, 'You gotta see what I paid for these cars.' "
He bought a 1-year-old minivan for $7,000. He later sold it for $9,900.
"We found the market," said Brown, who started flying to auctions each week to buy "truckloads" of used vehicles. "We got through the recession that way. We were working at a Chrysler store, all while Chrysler was in bankruptcy," said Brown.
He has applied that find-the-market lesson to his current job as general manager of Lithia's Beaverton Buick-GMC and Portland Cadillac, both in Portland, Ore.
"This was one of the worst performing Buick-GMC markets in the country," said Brown. "I put together a plan: Order your cars the way that 95 percent of people want them and put together a value proposition for each model. Always scheme the business for the most compelling retail offer and you'll find the market."
Indeed, the store's new- and used-vehicle sales have soared. Net profit is up.
Brown found his calling by chance. In 2001, he graduated from the University of Oregon with a bachelor's degree in economics but could not find a job. In 2002, he spotted a newspaper ad to sell cars at Lithia Nissan of Eugene. It intrigued him.
"I like talking to people and it was a natural fit for my personality," Brown said.
The store hired him as a salesman, and he was hooked after a week. In 2005, he became a finance and insurance manager there. In 2006, he was sent across the street to the Chrysler-Dodge-Jeep store as floor manager, moving into the used-vehicle manager job in 2007 and the general sales manager role in 2010.
In June 2014, Lithia bought Beaverton Buick-GMC and tapped Brown to run it in November. He uprooted his wife, 2-year-old son and 4-year-old daughter to move to Portland. He was nervous.
"I knew nothing about Buick-GMC. It was trial by fire," said Brown. "I worked from 5 in the morning until 10 at night for 100 days."
But he found the market. In 2016, Lithia made Brown a partner, one of just a handful of Lithia's general managers so designated. At the end of last year, Lithia tapped him to also run its Portland Cadillac store.
