Ciocca adds three new dealerships to portfolio

Quakertown-based Ciocca Dealerships is growing again.

The company has finalized an agreement to acquire three dealerships in the State College area.

Ciocca will be acquiring the dealerships from State College Motors: Mercedes-Benz of State College, Audi State College, and Volkswagen State College.

Mercedes and Audi will operate under the same names, while Volkswagen State College will be known as Ciocca Volkswagen of State College.

The latest acquisitions bring the total number of Ciocca dealerships to 19 stores with 15 different individual brands.

Gregg Ciocca, owner of the dealerships, said the three new stores are the farthest to date from the company’s corporate offices in Quakertown, but they are less than an hour’s drive from the company’s recently added dealerships in Williamsport and are part of the company’s focused growth in that region.

In total, Ciocca has added 10 dealerships to the company’s portfolio since November 2017.

He said he feels in many ways being bigger is better for car dealerships.

“You have economies of scale on expenses and costs,” he said. He also noted there’s opportunities for cross promotion and shared inventory within the individual brands.

With more dealerships means more inventory. If a dealer in one area doesn’t have a particular make and model vehicle, another Ciocca dealership might, making it easier to service customers.

He said having more dealerships also allows the company to promote within, giving a better career path for the best employees.

Ciocca said he was attracted to the dealerships because State College is a very stable market, with Penn State University being a major employer there. He said there is also already a strong team of employees working there that he was happy to bring into his brand.

Ciocca isn’t quite done growing his footprint. He said there will likely be one more acquisition before the end of the year, bringing the total number of dealerships to 20.

He wasn’t able to provide details, yet, on those plans.