Why boss of region's biggest auto seller has never bought a car

In the car dealership business, the long Memorial Day weekend is golden - manufacturers' incentives draw shoppers and lead to big sales.

Yet Melinda "Mindy" Holman, 55, chairman of the region's largest dealership group, Holman Automotive Group Inc., has never purchased a car.

That's how it is for the third-generation leader of a family business that began in 1924. Holman has always driven demos - trying out a new car every few weeks.

"I have thought about it," she said. "It would be a smart experiment to understand what our customers go through. I feel like I'm in touch with people. When I hear their frustrations, I can understand them."

In April, her company said it would be acquiring Kuni Automotive and its 14 dealerships in five Western states, almost doubling the size of Holman's car sales business and adding 1,450 employees.

To get an idea of the scope, Holman's sold 37,632 vehicles in 2015, while Kuni's sold 32,788. Estimated revenues from the combined companies should be $5 billion when the deal closes this summer.

Are you worried about combining the two companies' cultures?

The reason Kuni worked is because of the culture they have built. In their corporate headquarters, there's a quote by their founder: "If you take care of your people, they'll take care of the customers and the bottom line will take care of itself." I like that. We had been saying the same thing.

Just on paper, without understanding the people behind it, I'd be a lot more leery about this acquisition.

How's business?

Dealership sales have been strong and they continue to be strong this year. It's cyclical. Things were really bad in 2008, 2009. So we're still climbing out of that. The average age of a car on the road is seven or eight years right now. So there's going to be a need for people to buy vehicles. Interest rates being low has been good for car loans. Gas prices being low, people have more disposable income. The truck business is good right now.

With a cyclical business, how do you handle hiring and keeping people employed? If 2015 and 2016 were good, what about 2017?

You can't let yourself get too fat during the good years, because you know that the down years are going to follow.

Any advice for women hoping to rise through the ranks in a male-dominated business?

To the women I would say, "You need to be who you are." Sometimes women get the message they have to be men. They have to be tough. If that's your personality and that's who you want to be, be that way, as long as it's effective. I think Oscar Wilde said, "Be yourself. Everybody else is already taken." Most women, not all, are more collaborative. That's my leadership style. If that's what you're comfortable with, then that's what you ought to lead with.

Did you always plan to join the business?

I wanted to be a child psychologist. I applied for a doctoral degree and got deferred. My dad said, "If you have this year where you're not sure what you want to do, come home and work." That was 30 years ago.

What changed?

I thought the business was going to be all about numbers and very dry. It turned out our business is all about people, and it was a much better fit for me than I ever anticipated.

What about the psychology of negotiations?

Unfortunately, car dealers get a bad rap. Some of that is deserved. It's shifting because the customer is now armed with knowledge. Before, I think they always wondered if they were being taken advantage of, which is a terrible way to enter into a relationship. The fact that the customer is armed with knowledge is a good thing for us, because we want to [build] that relationship.

Are you a good negotiator?

No. I've got people that can do that very skillfully.

Interview questions and answers have been edited for space.

jvonbergen@phillynews.com

215-854-2769@JaneVonBergen