There is an old saying that “Marriage is the leading cause of divorce” and this statement, though not very poetic, is representative of reality.
The surreal effect comes with sweeping changes, heightened emotion, myriads of compromise and let us not forget the influence of in-laws. Plus, there are the endless and often pointless arguments about which party is responsible for which chores, where to spend the holidays, and who “wears the pants” in the family. All of that needs to be resolved in due time, and hopefully before children are spawned, adopted or put up for adoption. Let’s face it, some kids are the seed of Satan.
Enough about my life, let’s talk of mergers, acquisitions and leveraged buyouts that make headlines within our own industry, such as the merger of the Federated and Pronto buying groups. Often, hasty unions, much like life, make us wonder if one or the other was in a “delicate way” or vulnerable. Both groups are long-term, much touted programs in their own right, so what’s the reason?
In “the ye olde times” this merger could be likened to that of a royal arranged marriage where the King of England married off his daughter to the son of the King of Spain to ease tensions between the two countries, or to share titles of land and wealth. By combining the royal houses, their combined power and influence yields new respect recognized by friend and foe. Many reasons for such unions make sense for all involved, but the inner workings and fine-tuning required for longevity are what I find to be the most curious, and quite secretive.
Someone is likely to be dominant in this relationship and someone is likely to lose their identity by way of a name change. Or, possibly a whole new name as the Auto Value/Bumper-to-Bumper pairing gave us. And there’s always the hyphenated option, so who knows.
Both Federated and Pronto are very traditional in market approach, yet are somewhat dominant in different parts of the country, so one must ascertain this merger will lead to geographical growth first and foremost.
Secondly, their name brands line up pretty well, as do the manufacturers of their “short lines.” Still there will be some shuffling and realignment that likely will drive the manufacturers crazy and a lot of distressed or reboxed merchandise likely will be abundant.
When my wife and I got married, my favorite recliner didn’t match the drapes, was stinky, covered in stains, and although comfortable, only made it to the garage and no further when we were moving in together. Whenever my new bride (now wife of 30 years) got upset with me during the first few years of marriage, I would retreat to the garage with a cigar and a bottle of whatever adult beverage I could find, and that old recliner comforted me, welcoming me into the folds of it’s broken arms, wobbly foot rest, and I was reminded by countless stains, rips and tears of simpler times when my loneliness had its rewards too.
Plus, I used to love greeting my mother-in-law when she arrived, sitting in that chair with a smelly cigar and wearing a Burger King Kids Meal Crown, waving around a homemade scepter that was really an old curtain rod. I’m not sure what my real goal was in doing that, but I did get some sort of sadistic pleasure by acting like the ass she already thought I was. I sure miss that chair. My wife burned it one day while I was playing golf.
Undoubtedly, Federated and Pronto will suffer from some “out-with-the-old, in-with-the-new” rank-and-file dissension. It's inevitable. Even though I lost my old second-hand recliner, it was replaced quickly because my wife wanted all new furniture shortly after the burning, so I got her old recliner. I think she felt guilty about making me cry.
I have a hunch that some of the largest members of Federated and Pronto will be like opinionated, over protective mother-in-laws, blaming any failure or misstep of the merger on a perceived inadequacy of the partner that’s not their “baby.” My mother thinks I’m a saintly child, and is always telling my wife how to do things. My wife’s mother keeps bringing up my wife’s old boyfriend who is now a “world famous brain surgeon.”
Squabbling will ensue, but both examples of union (Federated/Pronto and my personal relationship) offer advantages that far outweigh life without each other. Both mother-in-laws, however, can’t get enough of the grandkids, and much to my chagrin, generally like what our union has produced.
The Federated/Pronto merger should be no different. The relationships governing married people and merged companies really require one thing, and that’s mutual respect. When combined with good communication and sound decision making that benefits the short and long term well being of all, it’s a win-win.
Naysayers and detractors abound and gossip is always rampant, so to Federated and Pronto I say “kudos and Godspeed.” I hope you make something wonderful that changes all of our automotive aftermarket lives.
The singular success of each group, while historical and comforting, will no longer be the measuring stick by which you are collectively gauged, but is a reasonable expectation of what you can accomplish. Now, go forth and multiply.
For the record, I wear the pants in my family, but they happen to be the ones that Kim lays out for me while complaining about the grease stains that won’t come out and the holes in them from battery acid.
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