Distributor looks to confidence in the brand
Gulf States Toyota celebrated its 50th anniversary last year with an $11 million expansion and yearover-year growth in sales, bucking a national downturn in the auto industry.
Now, in the face of the coronavirus, the Houston company that sells some 300,000 new Toyota vehicles a year, may face an even bigger challenge as the pandemic batters the economy and undermines consumer spending.
Dan Friedkin, CEO of Gulf States Toyota, said he expects the confidence that car buyers have in the Toyota brand to again pull the company through tough times.
“Toyota has a broad lineup of vehicles that people rely on for quality, dependability and reliability, which has helped us retain our No. 1 spot in hybrid, passenger car, SUV and small truck retail sales in 2019,” he said. “As we move forward, we will introduce a number of new, redesigned or refreshed models to meet customer expectations.”
Gulf States Toyota ranked No. 2 on this year’s Chronicle 100 list of the top private companies for a second consecutive year. The distributor, founded in 1969, sells Toyota vehicles and parts to 158 dealers in Arkansas, Louisiana, Mississippi, Oklahoma and Texas. The company reported $9.4 billion in revenue in 2019, up from $9.2 billion the prior year.
Gulf States Toyota’s $11 million revamp of its Parts Distribution Center in Sealy expanded the facility by 40 percent to a total of 426,000 square feet.
Friedken said sales were helped by Toyota’s introduction of the Supra, a revived version of the popular sports car; new models of RAV4, the best selling SUV; and a dramatic redesign of the classic Highlander, which is a topselling vehicle in the Gulf states.
The Camry also retains its longstanding position as the nation’s best-selling passenger car.
The auto industry — both manufacturers and dealers — were hit hard by the pandemic and shutdowns aimed at slowing the spread of coronavirus. Friedkin said his company is adapting to the changing and challenging conditions.
“It’s an especially difficult time for the entire automotive industry, including Toyota and its business partners,” he said. “The organization continues to monitor the situation and make decisions that ensure a long-term benefit to the business.”
“It’s an especially difficult time for the entire automotive industry.” CEO Dan Friedkin