Our Business Model

Our Business Model

Creating value and leading with our vision to be the super-specialists in motoring and cycling, trusted by the nation.

Our key resources and relationships

Halfords’ model is built on a unique combination of physical assets, proprietary technology, skilled people, and deep customer relationships.

Colleagues

Over 12,000 highly trained colleagues are the bedrock of our service-led model. We continue to invest in capability through structured programmes and EV training – and support over 300 apprentices across our garages, stores, and Support Centre

Customers and loyalty

We serve c.20 million customers annually, including 5 million Motoring Club members. With 5.6 million service jobs per year and 140 million annual website visits, we hold unique insights into vehicle and customer lifecycle needs.

Physical estate

Our infrastructure spans 373 retail stores, 632 garages, 280 Mobile Expert vans, and >500 Commercial fleet vans – giving Halfords national reach and unrivalled convenience.

Digital and data platforms

Halfords.com integrates e-commerce, booking, and subscription services, powered by a Group-wide customer view and c12 million contactable vehicle records, enabling personalisation and service relevance.

Brand and partnerships

Our exclusive brands – Apollo, Carrera and Boardman in cycling, and Halfords Advanced motoring products – are complemented by deep partnerships with suppliers, manufacturers, and corporates. Tredz and Cycle2Work bolster our B2B and cycling strength.

Technology IP

Avayler, our proprietary garage management system, is licenced globally, creating scalable recurring SaaS revenue

Financial strength

Strong cash generation, a robust balance sheet and disciplined capital allocation support continued investment in growth, digital infrastructure, and capability

What we do

Motoring and Cycling Products Products are at the core of our business and have been for over 130 years, defining us as the UK’s leading retailer of motoring and cycling products. Whether in one of our stores or online, customers are able to find parts or products they want for their motoring or cycling needs from E-Bikes to socket sets, power washers to bicycle helmets.

What differentiates us

Halfords occupies a unique position within the UK market as the only national business to combine an extensive retail presence with a marketleading network of garages and mobile servicing vans. Our ability to connect the full breadth of motoring and cycling needs under one trusted brand is what sets Halfords apart, making us the only provider able to support customers throughout vehicle ownership.

Halfords is differentiated by:

1

National market leadership

Halfords is the UK’s largest integrated provider of motoring and cycling services and products. Our national footprint spans retail, autocentres, and mobile operations – delivering market-leading convenience and trust to both consumers and businesses.

2

Integrated omnichannel fulfilment and fitting

We uniquely combine online journeys with in-person fulfilment and expert fitting – offering customers the ability to research, book, and complete services across channels. In store, we provide on-demand fitting of bulbs, blades, and batteries, a distinctive and convenient proposition that sets us apart.

3

Fusion operating model

Our Fusion towns bring together retail, garages, and mobile experts into unified local ecosystems – improving referral rates, reducing acquisition costs through earlier identification of work required, and delivering a seamless customer experience. It’s a scalable blueprint for operational integration.

4

Customer insight at scale

With 5 million Halfords Motoring Club members, 5.6 million service jobs annually, and access to current owner details for more than 12 million vehicles, we have a uniquely rich data asset. Our CRM and Halfords Motoring Club allow us to personalise offers, increase visit frequency, and grow lifetime value.

5

Diversified and resilient revenue mix

Our model balances consumer retail with business services, discretionary spend with needsbased maintenance, and one-off purchases with recurring revenue streams. B2B now accounts for around one-third of Group revenue, whilst services are more than half.

6

Scalable, proprietary technology

Avayler, our in-house garage management platform, is licensed internationally. It delivers highmargin, recurring SaaS income and extends Halfords’ reach into global automotive markets.

The Value We Create

Halfords creates sustained value by leveraging our unique combination of assets to deliver differentiated customer propositions. Our integrated physical and digital presence spanning both retail and garage services – underpinned by rich data and strong brand equity – enables us to attract and retain customers across multiple touchpoints, driving increased loyalty and lifetime value.

Customers (Consumer and B2B)

Access to a market-leading services and shopping experience, meeting their motoring and cycling needs via the convenience of one Group website and our 1,750+ stores, garages and vans, with access to technical and expert advice from our 12,000+ colleagues.

Colleagues

Enjoy rewarding careers with clear pathways for professional development, training, and recognition in an inclusive and supportive workplace.

Shareholders

Benefit from a resilient, cashgenerative business model with opportunities for sustainable, profitable growth and disciplined returns on invested capital.

Suppliers and partners

Gain access to a trusted distribution network and collaborative opportunities that drive mutual growth and support shared sustainability goals.

Communities and the planet

Benefit from Halfords’ commitment to environmental stewardship, responsible supply chain practices and investment in people – including initiatives to reduce waste, lower emissions, and increase diversity in the motoring industry