Halfords targets £8bn UK vehicle servicing opportunity

Staff
By Staff
5 Min Read

Halfords is intensifying its challenge to dealer aftersales operations as it targets an £8 billion market of motorists seeking expert vehicle support.

The business estimates that almost 20 million vehicles now belong to motorists who prefer professional help with maintenance and repairs rather than completing work themselves.

This “Do It For Me” audience represents 59% of the relevant UK vehicle parc and has expanded by around 30% over the past decade, according to Halfords.

The growth presents an opportunity for franchised dealers and independent workshops, but Halfords’ investment also adds to the competitive pressure they face for servicing, maintenance, repair and fitting work.

Halfords is bringing together its Autocentres, mobile services, physical outlets and digital channels as it seeks to capture a larger share of the market.

Vehicle complexity drives demand for professional support

Halfords attributed the growth in motorists seeking expert help partly to the increasing technical complexity of vehicles.

Electronics, software, sensors, advanced driver assistance systems, hybrid powertrains and electric vehicles increasingly require specialist knowledge and equipment.

This makes it more difficult for motorists to diagnose faults or complete traditional maintenance work themselves.

The trend potentially increases the volume of work available to professional workshops, while intensifying competition between franchised dealer workshops, independents and national operators such as Halfords.

Research commissioned by Halfords found that 28% of motorists were not confident they understood the meaning of dashboard warning lights.

A further 16% had avoided asking a question about cars or driving because they feared sounding uninformed.

Karen Bellairs, chief customer officer at Halfords, said: “We are seeing a fundamental shift in the way people look after their cars.

“As vehicles become more complex, fewer motorists want to diagnose and fix problems themselves, and the ‘Do It For Me’ audience is becoming an increasingly important part of the market.”

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Halfords combines garages and mobile services

Halfords believes its mix of garage capacity, mobile technicians, digital services and consumer reach provides a competitive advantage.

The company is seeking to move customers between advice, product purchases, fitting, maintenance, servicing and repairs within the same national business.

That strategy places Halfords in direct competition with dealer aftersales departments for customers who may previously have returned to a franchised workshop or used a local independent garage.

Its mobile operations also allow some fitting and maintenance work to be completed at a customer’s home or workplace, extending the competitive challenge beyond fixed workshop locations.

Halfords is introducing a two-year guarantee across eligible products and services as part of its push for a greater share of the market.

Bellairs said: “Halfords has been evolving in the same direction.

“We are much more than a traditional retailer today, bringing together stores, garages, mobile services and digital to solve motorists’ problems wherever and however they need us.”

Brand investment supports services expansion

The strategy is being supported by a new brand platform, called “For All Wheelkind”, which aims to increase awareness of the wider services offered by Halfords.

The platform marks a shift away from the company’s traditional identity as a cycling and motoring products retailer towards a broader motoring services and repair provider.

Halfords is making a multi-million-pound investment in the brand over the coming years, including advertising, social media activity, a partnership with comedian Judi Love and changes across its customer-facing channels.

Bellairs added: “The investment in the ‘For All Wheelkind’ platform reflects Halfords’ confidence in the long-term growth opportunity and marks the beginning of a sustained programme to build greater awareness, consideration and understanding of the breadth of the Halfords business.”

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