Empire Automotive Group has grown into a leading dealership network in the Northeast through disciplined execution and strategic acquisitions. On today’s episode of Inside Automotive, Michael Brown, owner-operator of Empire Automotive Group, shares how operational excellence, workforce development, and strategic brand management drive sustained growth and profitability.
Brown began his career in automotive retail working alongside his father, a mechanic who managed challenging franchises including British Leyland, Peugeot, and Lotus. Early exposure to underperforming brands shaped Brown’s understanding of resilience and business fundamentals. He later gained experience with major auto groups under mentors Roger Penske and John Stalupi, learning large-scale operational and management practices before launching his own business six years ago. Brown acquired six stores initially, including Toyota, Subaru, Audi, and Chevrolet franchises, setting the foundation for Empire Automotive Group’s growth.
Brown highlights the importance of dealer relationships with manufacturers, particularly in light of industry disruptions. Volkswagen has introduced Scout Motors, a direct-to-consumer brand. Brown observes that dealer concerns are valid, noting the potential for broader industry shifts if automakers pursue direct sales beyond niche initiatives. He emphasizes that maintaining strong partnerships, marketing support, and alignment with manufacturer goals remains critical to dealer success.
Affordability and market dynamics also influence dealership strategy. He anticipates interest rates and inflation stabilizing in 2026, which should support renewed consumer confidence. He also foresees a resurgence in leasing, especially in the Northeast, with penetration rates exceeding 60–70% for mainstream brands and 75–85% for luxury models. He attributes leasing’s popularity to longer commuting distances, remote work arrangements, and customers seeking high-mileage options.
Brown assesses brand-specific performance across Empire’s portfolio. Nissan has restructured incentives and programs, increasing dealer profitability after a challenging period. Stalantis, with new leadership and product planning, is poised to recover, supported by investments in fixed operations. Empire Automotive Group has invested $15 million in a new 55-bay service facility, more than doubling capacity, improving customer experience, and strengthening revenue potential. Brown emphasizes the development of technician talent, balancing flat-rate and apprentice teams to ensure future workforce readiness. Mobile service vans extend service reach and convenience, enhancing customer loyalty.
"There are performers, and there are leaders. We want people who are going to develop more performers."
Human capital and culture are central to Empire’s growth. Brown implements quarterly “stay interviews” to monitor employee engagement, identify potential issues, and establish career paths. The dealership’s Blue Chip program develops top-performing employees into future leaders through mentorship, financial education, and collaborative strategy sessions. He notes that high-performing salespeople do not always make effective managers, underscoring the need for structured leadership development and peer networks.
Used vehicle operations remain a strategic focus. Brown prioritizes acquiring pre-owned inventory through both sales and service channels, maximizing opportunities for new vehicle sales while maintaining control over pricing and quality. The approach emphasizes proactive appraisal and customer engagement to generate new sales opportunities.
Looking forward, Brown identifies expansion along the Eastern Seaboard and diversification into additional luxury brands as key strategic initiatives. He stresses disciplined acquisition decisions, ensuring alignment with Empire’s operational standards and leadership pipeline.
His approach demonstrates that successful dealership management requires integration of culture, operational discipline, workforce development, and strategic market positioning. Empire Automotive Group’s investments in people, facilities, and technology provide a blueprint for sustainable growth.
