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HOFFMAN ESTATES, IL – ADP Dealer Services, Inc., a division of ADP ® and a leading global technology solutions provider dedicated to helping dealerships and manufacturers drive measurable results, is pleased to announce that Dealer Services’ new company name will be CDK Global, Inc., once the spinoff from ADP is completed. CDK Global will be listed on the NASDAQ exchange under the “CDK” symbol.
The letters of the new name represent three of Dealer Services’ historically largest businesses and most strategic brands.
The “C” stands for Cobalt Digital Marketing, a leader in the fast-growing digital marketing space. Acquiring Cobalt several years ago represented a whole new dimension of Dealer Services’ business that the company wasn’t fully addressing.
For the critical centerpiece of the name, Dealer Services chose “D” to represent Dealer Services and its 40 years of experience. This is the foundation of the business, which offers integrated management and technology solutions primarily to automotive dealers and manufacturers, and also to heavy truck, motorcycle, RV, marine and heavy equipment clients.
The “K” represents Kerridge Computer Company, which was a UK-based company acquired in 2005. The Kerridge acquisition was a strategic decision to greatly expand Dealer Services’ geographic footprint and demonstrates its commitment to becoming a global provider.
Steve Anenen, who will serve as CDK Global’s CEO, noted,
“We have decades of success as ADP Dealer Services, and we wanted that rich legacy to live on. Plus, the additions of Cobalt and Kerridge to our business solidified our position as a global market leader, so we wanted our new company’s name to represent the heritage of our strongest assets – assets we are combining into one unified solution to help support the evolution of our industry worldwide.”
The new identity for CDK Global incorporates the universally recognized traffic light with the green light illuminated. This simple, smart and powerful symbol represents a commitment to progress and always moving forward, as well as optimism and opportunity. While the new name of the company honors CDK Global’s history, the logo and branding represent an entirely new look and feel for the company.
“We feel that now is the time to create a bolder identity. The name preserves our heritage and the new look and feel embodies our commitment to be fresh and transformational. It is a nod to where we came from, and to where we’re going,” continued Anenen. “We are building a brand and company that will last for generations – one that empowers our associates and conveys our brand promise. CDK Global does just that.”
Upon the spinoff’s completion, the new company’s website will be CDKGlobal.com .
EDITOR'S NOTE: I am just about speechless over the decision to make this name change... One must ask the question: "Why?"
Since every member of the ADP Board of Directors has a vested interest in the success of the new ADP Dealer Services spinoff, it is difficult for me to imagine that they would force a name change, or forbid the new entity from using it's original name or a variation of it... How much confusion will this name change create in the marketplace? Which brings me back to my initial reaction... Why?
Regardless of the name change, ADP Dealer Services is a first class operation with thousands of dedicated automotive technology professionals delivering (with very few exceptions), high quality products and services to thousands of car dealers throughout North America. There is no doubt in my mind that the new "CDK Global" will continue to lead the auto industry with innovation and quality, while evolving into an even better provider of technology solutions for car dealers and OEM's.
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With more than $12 billion in revenues and 65 years of experience, ADP® (Nasdaq: ADP) serves approximately 637,000 clients in more than 125 countries. As one of the world's largest providers of business outsourcing and Human Capital Management solutions, ADP offers a wide range of human resource, payroll, talent management, tax and benefits administration solutions from a single source, and helps clients comply with regulatory and legislative changes, such as the Affordable Care Act (ACA). ADP's easy-to-use solutions for employers provide superior value to companies of all types and sizes. ADP is also a leading provider of integrated computing solutions to auto, truck, motorcycle, marine, recreational vehicle, and heavy equipment dealers throughout the world. For more information about ADP, visit the company's Web site at www.ADP.com.
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