Halfords CEO exits as group ramps up new workshop strategy

Halfords has thanked its departing chief executive for leading the business to become "an omnichannel motoring services super-specialist" as it announced his extremely experienced successor.

Graham Stapleton (pictured below) is leaving the business after seven years, and is handing over to incoming chief executive Henry Birch, a veteran retailer.

Birch will use his experience, gained while chief executive of online retailer Very Group, gambling firm Rank Group and William Hill, of leading consumer and retail strategies both online and multi-site to drive the next stage in Halfords development, including expansion of its 'Fusion' programme which optimises the motoring services Halfords offers, no matter which site in a town the customer is at.

Keith Williams, Halfords chair, said: “Graham has transformed the Halfords business to make it fit for the future, leading it through a challenging period including the COVID pandemic and a global macroeconomic slowdown. On behalf of the board I would like to thank him for his dedication and commitment to the business throughout his tenure.

"The board is also very pleased to be welcoming Henry to Halfords. We are very confident that he has the skills and experience to take the business forward in the next phase of its long history."

Under Stapleton's leadership Halfords undertook a strategic change from a cycling and motoring product retailer to an omnichannel retail and services business, with a Halfords Motoring Club of more than five million members and revenue growth from £1.1 billion to £1.7bn, of which more than half are now generated from its motoring services operations.

Initially trialled in Colchester and Halifax, the Fusion initiative has led to investment in the in-store and in-garage experience, improving the layout and design of the stores and enhanced the ways in which Halfords' business operates in a town, such as fulfilling service jobs at the most cost-effective location for the company.

Last year AM reported that the group's 639 garages trade as Halfords Autocentres, McConechy’s, Universal, National Tyres and Lodge Tyre, plus it has 273 mobile service vans operating under the Halfords Mobile Expert, Tyres on the Drive and National brands.

In a trading update, Halfords said Fusion's rollout is on track, bringing together its motoring services offer to local stores and garages to deliver a significant uplift in sales and profitability.

About 150 garages have been identified as suitable for conversion to Fusion sites, and at least half of those will be done by spring 2026.

Its motoring club members now account for almost half of the MOTs done in its garages, it said, and its Autocentres division is achieving growth in service, maintenance and repair work which more than compensates for continued weakness in the tyres market.

Halfords partnered with Payment Assist to enable motorists using its repair services to spread their costs.

Halfords expects to announce in June its full year financial results with underlying group profit before tax at the upper end of the £32m to £37m range it had previously guided.

Controlling costs has been successful, the company reports, although going forward it expects the changes to the Minimum Wage and National Insurance thresholds will increase the company's direct labour cost by about £23m in the 2026 financial year.

In recent years Halfords has been on a marketing offensive to win customers away from franchised dealerships, first claiming motorists were paying over the odds for servicing at manufacturer-approved workshops and then highlighting to new car drivers that their warranty does not demand they use franchised dealerships for scheduled services.