AutoNation, Inc. operates as America’s largest automotive retailer, offering comprehensive products and services including new vehicles, used vehicles, parts, automotive repair, and finance and insurance products. Founded in 1991 by Steven Richard Berrard and H. Wayne Huizenga, the company evolved from Republic Industries’ waste disposal origins into a nationwide automotive retail powerhouse.
Headquartered in Fort Lauderdale, Florida, AutoNation operates through three segments: Domestic, Import, and Premium Luxury, representing franchises for manufacturers including General Motors, Ford, Chrysler, Toyota, Honda, Nissan, Mercedes-Benz, BMW, and Lexus. The company serves customers across the United States through hundreds of franchised dealerships.
Through aggressive consolidation strategies during the 1990s and 2000s, AutoNation transformed fragmented automotive retail by acquiring dealerships nationwide, implementing standardized operations, and eventually rebranding under a unified AutoNation identity. The company pioneered customer protection programs and reached historic milestones including selling 8 million vehicles by 2011.
Key Stats
AutoNation, Inc. History
AutoNation, Inc. Founders
AutoNation, Inc. Acquisitions
AutoNation, Inc. built America’s largest automotive retail operation through aggressive acquisition strategies during the 1990s, consolidating fragmented dealership markets under unified management and eventually cohesive branding. The company’s acquisition philosophy emphasized geographic expansion, brand diversification, and operational scale advantages through dealership consolidation.
The 1996 acquisition of Alamo Rent A Car marked Republic Industries’ entry into automotive services beyond retail sales. This purchase initiated a car rental expansion campaign that continued through 1997 with acquisitions of National Car Rental, Spirit Rent-A-Car, Value Rent-A-Car, Snappy Car Rental, and EuroDollar Rent A Car, creating integrated automotive operations spanning rental and retail segments.
Republic’s 1997 purchase of Maroone Automotive Group for $200 million in Republic stock represented significant expansion into established dealership networks operating in Buffalo, New York, and Florida. The Maroone brand persisted until 2013 when AutoNation implemented unified branding across all operations, demonstrating long-term value from this strategic acquisition.
The company’s 1997 acquisition of Auto Nation USA brought Republic into used auto sales, complemented by the Car Choice Inc. purchase. Republic began opening AutoNation used-car megastores, though this strategy faced legal challenges from CarMax regarding copyright and trademark infringement. The jury initially awarded CarMax $50 million, but this decision was overturned on appeal in 1998.
AutoNation acquired six Saturn dealerships in Arizona and Florida in 1997 but sold them back to Saturn the same year when they failed generating sufficient sales volumes despite Saturn’s successful brand reputation. This quick reversal demonstrated management’s willingness to exit underperforming acquisitions rather than maintaining unprofitable operations.
The 1998 purchase of competitor Drivers’ Mart expanded AutoNation’s used vehicle market presence. However, CEO Mike Jackson’s 1999 decision to close all AutoNation USA used-car megastores, which lost $25 million in the preceding quarter, marked strategic retreat from standalone used-car superstores toward integrated dealership operations combining new and used vehicle sales under manufacturer franchise agreements.
AutoNation, Inc. Market Capitalization
As a publicly traded company, AutoNation, Inc. maintains market capitalization reflecting its position as America’s largest automotive retailer. The company’s valuation fluctuates with automotive industry cycles, new vehicle demand patterns, consumer financing availability, and strategic execution of omnichannel retail initiatives.
AutoNation, Inc. Revenue
AutoNation, Inc. generates substantial annual revenue through new and used vehicle sales, automotive parts, service operations, and finance and insurance products across hundreds of franchised dealerships nationwide. The company’s financial performance reflects consumer automotive spending, manufacturer incentive programs, and operational efficiency improvements.
AutoNation, Inc. Competitors
AutoNation, Inc. competes in automotive retail against large dealership groups, regional operators, and direct manufacturer sales initiatives. The company faces competition in new vehicle sales, used car markets, automotive finance, and service operations from traditional dealers, online platforms, and evolving direct-to-consumer models.
Competitor | Type | Market Focus |
---|---|---|
Lithia Motors | Dealership Group | Multi-Brand Franchises |
Penske Automotive | Dealership Group | Premium & Import |
Group 1 Automotive | Dealership Group | New & Used Vehicles |
Sonic Automotive | Dealership Group | Multi-Brand Retail |
CarMax | Used Car Retailer | Used Vehicle Superstore |
Carvana | Online Retailer | Digital Used Cars |
Vroom | Online Retailer | E-commerce Platform |
Tesla | Manufacturer Direct | Electric Vehicles |
DriveTime | Used Car Retailer | Subprime Finance |
Asbury Automotive | Dealership Group | Luxury & Import |