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by Teresa M. McAleavy The constant buzz of cars zipping in and out of the warehouse next door is enough to bug any neighbor.But Dan Galves embraces it. As he mulls piles of data each day to determine the most accurate trade-in value of used cars, the screech of automobiles rolling in and out to be scrutinized by dealers actually helps him stay focused. "It's a big plus," Galves says of being in the environment of the businesses he serves. "When I walk out that door, I get feedback, and that holds you accountable." Galves runs his auto-reference guide business from Teterboro, a major hub for the wholesale automobile trade. Throughout the industry, the Galves name is well-known. Plenty of car dealers, especially those in the Northeast, use the Galves Auto Price List every day to conduct business. "Galves is the first reference guide we reach for," says Christopher Turner, vice president of operations for Prestige Motors in Paramus. "It's just a great resource for evaluating the current market value of pre-owned cars. Others just aren't as reliable." Galves Auto Price List is essentially a subscription-driven business with a customer base made up primarily of car dealers. It ships more than 1 million copies of the frequently updated guides each year. This spring, the company plans to introduce an offering that will allow customers to download their lists to hand-held electronic devices. The Internet is also helping change the nature of the business. The company now reaches more consumers than before through www.galves.com, which provides trade-in values for a fee to those who want to either buy or sell a used car or truck. "With the advent of the Internet, more consumers are becoming familiar with us," says Paul Radziszewski, managing editor of the guides. "It has taken a while, but people are interested in what we're all about." The company grew out of a well-known wholesale car operation that Dan's father, Murray Galves, and a partner launched in the late 1920s on Jerome Avenue in the Bronx. "They found out that buying and selling used cars was a lot easier than running a taxi business, with all the repairs and other aggravation," Galves says. He joined his father's business in 1971 and today co-owns Galves Auto Price List with two partners. In 1957, his dad's company, M.C. Galves Inc., expanded beyond wholesaling - the buying and selling of used cars among dealers - and entered the "blue-book" auto-guide business (a generic term for the current value of a specific make and model that was made popular by competitor Kelley Blue Books on the West Coast). The Galves family left the Bronx for Teterboro in 1991, and left the wholesale auto business three years later. "Wholesale is a hard business, with all the title transfers and other details," Galves says. "We decided to concentrate on the books, on putting out the best appraisal guides possible." Galves publishes four editions of its guides, including a weekly offering of American-made used cars. Every two weeks, separate guides on foreign used cars and light-duty trucks are published, and once a month, a guide on older used cars and trucks comes out. Subscription packages range from $65 to $199 annually. "The market can change so quickly, based on supply and demand, that they need to be updated frequently," Galves says. If Honda, for example, were to mark down the prices of new Civics to clear out inventory, then the price of older models in the used-car universe would also have to come down. "The market is constantly changing and we rely on Galves to adjust for that market change," says Kevin Holdorf, general manager of Bellavia Chevrolet Buick in East Rutherford. "They really do put out the most accurate book out there." The company has seven full-time employees, who maintain subscriptions, produce and proofread copy for the books, and market the business. Galves also uses 10 consultants who help accurately appraise used automobiles in an ever-changing market. "We take in a lot of different information from a lot of different places and distill it to make sense," Galves says. Unlike others in the industry, the company focuses solely on pricing used autos from a trade-in perspective. It gives estimates for cars dubbed "clean" by industry standards, so that any problems, like body damage, or extras, like leather seats, can easily be identified by dealers as price-drivers. "People need to have some standard; they can't know what everything out there is worth," Galves says. "We try to keep it as simple and as accurate as we can." Whether dealers sell the cars at auction, to other wholesalers, or directly to consumers, they rely on the lists to make money while remaining competitive in the marketplace. If a price is too low, they'll lose money on a sale, and if it's too high, they won't make the sale. "If it's not right, the dealer loses business or loses money, and they're not happy with either," Radziszewski says. "It's a fine line we walk." Galves Auto Price List, Inc.
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