Quality Collision Group Shifts Branding Strategy in Minnesota
If you’ve been keeping up with FenderBender’s daily news stories, you know about Quality Collision Group (QCG)’s recent acquisitions of 14 locations in the Minneapolis/St. Paul (Twin Cities) metro area.
What is unique about its recent growth in Minnesota is how it approaches the branding of the two regional MSO groups it has acquired in the Twin Cities metro area.
Strategic Growth in the Twin Cities
QCG first entered the Twin Cities market in about four years ago with its purchase of Master Collision.
Nov. 4, the MSO announced it had acquired LaMettry’s, a well-recognized brand in the collision repair industry in the Twin Cities that’s been doing business since 1976. LaMettry’s 14 locations, which are strictly OEM-focused, fit perfectly within QCG’s business model and bring QCG’s national shop count to 85.
Among the locations include:
- 11 LaMettry’s shops
- Accelerated Vehicle Technology in Bloomington, which specializes in ADAS calibration, module programming, and EV services
- Two EP Auto Tire & Glass Shops
- A Goodyear franchisee
“We’ve built our reputation on a foundation of trust, quality, and customer satisfaction,” said Joanne LaMettry, representing the LaMettry family, in a November press release. “Quality Collision Group allows our staff to continue our legacy while expanding our capabilities and resources, ensuring our customers continue to receive the best collision repair services.”
“We’re very bullish on the Twin Cities market,” said Jerod Guerin, CEO of QCG. “The similarities between the Twin Cities and Dallas-Fort Worth, where I grew up, are striking. It’s a commuter market with a tremendous economy, and we see a lot of potential here. “The Twin Cities is a ‘frozen DFW.’”
The acquisition comes at a unique time, as collision repairers across Minnesota struggled in the past year due to a mild winter, which meant fewer accidents and less work. However, this was not a concern for QCG.
“We have a very long-term mindset, and some of that comes from having a private equity partner with a significantly longer time horizon in their investments than a conventional private equity partner,” Guerin said. “We’re also building this company for the long term. One bad winter in a market would never dissuade us from making a phenomenal acquisition.”
Unique Rebranding Strategy
QCG, founded on October 1, 2020, has rapidly grown to become one of the nation’s largest OEM-centric collision repair providers, with 85 locations across 11 states. Guerin attributes this growth to a strategic mix of multi-shop and single-shop acquisitions, complemented by greenfield developments. However, the recent acquisition of LaMettry’s in the Twin Cities represents a unique case in QCG’s expansion history.
“The LaMettry’s name and legacy are among the strongest in the industry,” Guerin said. “This acquisition is unique because, for the first time, we’re rebranding our existing [Minnesota] locations to LaMettry’s instead of the other way around.”
One of the distinguishing features of QCG’s strategy is its commitment to maintaining the legacy brands of the businesses it acquires. Unlike other MSOs that rebrand all acquisitions under a single national name, QCG operates as a parent company to premier regional brands, Guerin said, preserving their unique identities and local reputations.
This strategy of not rebranding already-existing shops was also emphasized during FenderBender’s recent August Snap Shop for Amato’s Auto Body. However, this recent move is not completely removed from how they have grown since QCG’s creation.
From the Beginning
Quality Collision Group (QCG) was established in 2020 by Susquehanna Private Capital (SPC), part of Susquehanna International Group, a global trading and technology firm. SPC focuses on investing in middle-market companies in various industries, including aerospace, healthcare, and consumer services.
The creation of QCG was done alongside its first MSO acquisition, Brandywine Coachworks, a Philadelphia-based regional MSO. Since then, Brandywine Coachworks has grown from four to seven locations.
The same practices have also been repeated recently in Utah with Cascade Collision Repair, which started with nine locations and has since expanded. In October, a new additional location was announced, and as of December, three additional locations are underway.
Integration and Future Growth
The five existing QCG locations in the Twin Cities, previously branded as Master Collision, will now operate under the LaMettry’s name, bringing the total number of LaMettry’s-branded facilities in the area to 19.
“LaMettry’s was a special business, and they knew it,” Guerin said. “They had been courted by every major MSO for over a decade. We knew we had to be aggressive in our offer to close the deal.”
Despite the challenges, the acquisition was completed successfully. The integration of LaMettry’s into QCG’s portfolio is expected to enhance the company’s presence in the Twin Cities and provide a strong foundation for growth in the region.
Employee Reactions
The transition to the LaMettry’s brand has been met with mixed emotions among employees of the former Master Collision locations. While there is a sense of pride in being part of a well-respected brand like LaMettry’s, there is also some disappointment in seeing the Master Collision name retired. “But it’s tempered with excitement about becoming part of a bigger legacy and a stronger brand,” Guerin said.
“We put a lot of effort into paying homage to the legacy brands that we’re comprised of,” said Troy Hall, QCG’s Chief Operating Officer. “We have a YouTube channel that features our individual brands, and we do a lot to celebrate their unique histories.”
“We’re currently scoping what the rebranding process looks like,” Hall said. “My hope is that we’ll have all five locations rebranded within the next 12 months.
