Volvo redoes Dallas; Reorganization of stores will be a model for other markets.

Byline: Diana T. Kurylko

Volvo has spent three years rearranging its small network of dealers in the Dallas area, with results so promising that the area has become a model for other markets around the country.

All three remaining stores in the Dallas region -- down from four before the reorganization -- are now among Volvo's top 10 U.S. sellers. Four years ago Dallas had no dealers in the top 10.

The process meant shutting down what had been Volvo's best-selling store in the area and relocating two other dealerships. One store is doing so well in its new spot that it jumped from 36th place among Volvo stores four years ago to No. 1 today.

The turnaround in Dallas is part of Volvo's Network Transformation Program, which involves closing underperforming dealers in the top 40 U.S. markets.

"We went out across the country with resources and worked with retailers to consolidate the number of outlets we had in the United States," says Doug Speck, CEO of Volvo Cars North America. "Behind this was …