Greenhous Group has become a significant player in automotive retail and certainly the fleet industry. Established in 1912, it now operates 28 dealerships and a sizeable fleet business responsible for delivering 90,000 units across six sites every year.
The privately-owned business puts a lot of that success down to continuously adapting to a market landscape forever in flux.
This year’s Automotive Summit organised by the Vehicle Remarketing Association heard Danny Minshall, Greenhous’ regional retail director, outline the business’ belief that staying agile and adaptable will continue to be the key to thriving amid the challenges the industry faces today.
Greenhous Group has become a significant player in automotive retail and certainly the fleet industry. Established in 1912, it now operates 28 dealerships and a sizeable fleet business responsible for delivering 90,000 units across six sites every year.
The privately-owned business puts a lot of that success down to continuously adapting to a market landscape forever in flux.
This year’s Automotive Summit organised by the Vehicle Remarketing Association heard Danny Minshall, Greenhous’ regional retail director, outline the business’ belief that staying agile and adaptable will continue to be the key to thriving amid the challenges the industry faces today.
Lessons from Disruptors
Minshall also reflected on the influence of market disruptors such as the ill-fated Cazoo. Earlier this year, Greenhous bought back the Cold Meece used car preparation and refurbishment facility from the failed business after selling it to the online car retail specialist in 2021.
This deal was the latest in a number of acquisitions which has seen Greenhous grow its UK footprint to over 200 acres following similar acquisitions in Upper Heyford and Livingston in the previous12 months.
“Cazoo’s rapid growth and subsequent struggles taught us to retail better. They weren’t failing to sell cars; they simply overspent on non-core activities. We took back those two refurbishment centres and have turned them into efficient, profit-generating operations,” said Minshall.
Agency Model: A Shifting Landscape
The automotive industry has witnessed significant shifts, particularly with the rise of the agency model where manufacturer OEMs have attempted a shift towards selling directly to consumers.
Minshall, reflecting on this transformation, said: “We’ve seen successes and failures with the agency model. Mercedes has found some footing, while others have backtracked. As retailers, we find ourselves in a state of flux. Adapting to these changes is crucial although the model’s long-term viability remains unclear.”
The Challenge of Electrification
The push toward electric vehicles (EVs) presents another significant hurdle. While fleet demand is robust, retail uptake lags due to consumer hesitancy and it’s an uphill battle that all dealerships are facing.
“It’s incredibly difficult to get customers to invest in EVs with their own money. Until retail consumers fully embrace this change, the market will remain challenging,” admitted Minshall.
Greenhous has taken active steps to educate consumers about EVs with a newly opened Shrewsbury town centre hub which serves both as an information and experience centre rather than purely as a sales site.
The hub will also offer services like vehicle valuation, test drive bookings, and service consultations and host electrification education days, aiming to build trust and overcome consumer hesitation.
“We want to create a space where consumers feel informed and empowered, not pressured to buy,” says Minshall. “We want to demystify EV ownership for customers, from charging tariffs to range expectations. It’s about building trust, not making a sale.”
Multi Brand Strategy
Central to Greenhous’ retail strategy is its bid to optimise its large showrooms with multi-brand integration. As Minshall explained, rising costs, including utility bills and increased National Insurance Contributions (NIC), coupled with shrinking used car profits, have put pressure on the industry to strive for ever greater operational efficiency.
“Utility bills have gone up 40%, and the NIC increase alone will cost us an additional substantial sum. We can’t simply pass these costs to customers, so we’ve focused on faster stock turnover and multi-brand integration within our facilities to maximise economies of scale,” he said.
Faced with such rising operational costs and market demands, Greenhous has reimagined its approach to its large showrooms that were originally designed for single brands meaning that expansive layouts will now be “chopped up” to host several manufacturers.
The benefits are obvious: reduced heating, lighting, and operational costs, maximised space use by sharing resources like workshops and staff across brands and greater customer choice by presenting diverse options under one roof.
Greenhous has already introduced additional brands, optimising its space and achieving cost efficiency at one of its Nissan franchise points.
Embracing Agility and Innovation
Minshall stressed the importance of Greenhous’ private ownership model in enabling decision-making and innovation at pace.
“Being privately owned allows us to adapt quickly. Our chairman, who started as an apprentice, understands the importance of staying flexible and this has been pivotal as we navigate headwinds and seize opportunities.”
Greenhous has also diversified its portfolio, integrating brands like Stellantis’ joint venture Leapmotor and expanding into segments like prestige and performance vehicles. Additionally, it is committed to making significant investment in business intelligence tools to drive commercial decision-making with the help of real-time data.
Greenhous recognises the critical role of data and technology in driving operational efficiency and its approach focuses on reducing the time it takes to prepare and list vehicles for sale.
“Our speed to market is now five days for cars acquired at auction and it’s this level of agility that sets us apart and allows us to meet market demands swiftly,” said Minshall.
That speed turning around auction stock has been achieved through streamlining inspection, repair, and detailing processes at fleet centres and using advanced tools for vehicle photography and automated listing processes which have allowed Greenhous to capture market opportunities ever more effectively, improving sales velocity and inventory turnover.
Revitalising the GRS Platform
Recognising the shift towards digital commerce, Greenhous is also reviving its GRS platform which sells fleet vehicles to dealerships with enhanced online sales capabilities.
Scheduled to be launched this year, the revamped digital sales platform will enable customer to browse, inquire, and purchase vehicles online with an improved user experience supported by intuitive navigation and faster loading times.
Importantly, it will integrate live data analytics to match customers with available inventory in real time and expand functionalities to include reservation options and streamlined financing applications.
The platform is being developed as a cornerstone of Greenhous’ digital strategy that will further support the business’ agility and adaptability in today’s dynamic automotive retail environment
“From embracing EV education to integrating diverse brands and leveraging business intelligence, the future belongs to those who can adapt quickly, think differently, and remain customer-focused. At Greenhous, we’re committed to thriving, not just surviving,” says Minshall.