The secrets to group-wide success according to Howards

If a group has more than one site in a region then logic should dictate that they should be performing relatively similarly to one another. However, given that some retailers struggle to get different departments to talk to one another, getting sites to share best practice might be an ask too far.

The Howards Group in the west of England clearly have their lines of communication working perfectly, though. At the most recent Guild of Gold Lion awards the group saw Weston Super Mare and Dorchester take spots one and two while Yeovil was also in the top 10 and Taunton was not far behind.

Chris Lee, group operations director for Howards explains that there is a policy of working together but still keeping a degree of separation between the sites. “If something works we do it everywhere if it doesn’t we don’t,” he says. “Once we set the direction we set sail in the same way.”

While Chris rightly credits a lot of the mid- and post-pandemic success to team morale and motivation (there has been minimal turnover of personnel – less than 10% – since the first lockdown) there are clearly several key processes in place that have had a material impact.

Digital priority

One big lesson that the team has taken from the pandemic is the importance of digital interactions.

Chris explains that the launch of ‘Howard’s Choice’ – a process that allows customers to decide how much of the buying process is done physically and how much is done at home – was something that was done swiftly in 2020.

Now deal files are electronic where they would have previously been completed physically at handover and 25% of used car transactions in 2021 were completed at customer’s homes.

These transactions were facilitated by two in-house teams, one looking after deal progression and another looking after delivery.

On the latter, Chris explains that it would be possible to outsource this but it the company has chosen to keep it under their own control.

He explains that this has increased the cost base, with drivers and trucks required (they have two at the moment and are looking at growing the fleet) but this is offset by the fact that they charge for delivery so the customer will cover the cost in most instances.

It is all about controlling the customer experience, he explains, saying: “If we only have one touchpoint we are going to make sure that is a Howards touchpoint.”

Online progression

The other decision that Chris and his team has made is to implement a team dedicated to digital nurturing – progressing online enquiries from the first click all the way to a purchase if needs be. Flexibility is key, though.

“It depends on the customer journey,” he says. “The customer might need an extra layer of detail and need to come to site and then it would be handed over.”

He explains that he doesn’t see a situation where the teams blend and become all digital in the future – there is a deliberate separation.

“I see them as separate entities. I want people who come into the business they get the best service they can possibly get,” he says. “What comes first – the customer who is on your forecourt or the digital one who wants an instant response to the question they have just asked? I want the physical team to concentrate and give the best experience they can.”

Despite their digital focus, the teams are still based at each respective site. “They are managed centrally but they are integrated within each site,” explains Chris. “They have touchpoints with the physical site to understand the product they are working with.”

Blended events

This blend of digital and physical extends to events too, with Howards having run both in-person and online-only sales events in recent months.

As well as a physical event in November 2021, the team held a group first over Christmas in the form of an online-only event.

One key factor for the timing and planning of events, says Chris, is the current stock shortage and long lead times.

The event in November was designed with the March 2022 plate change in mind.

“We went to customers and said if you want a car for March you need to get it now,” he says. Holding an event four to eight weeks before a plate change won’t cut it right now. This forward thinking, and the group’s proactive planning, should stand it in good stead this year ahead and beyond.

Continuing to learn post pandemic

While the Covid shutdown accelerated learning at good retailers, with the Howards group’s move to greater digital processes a prime example, the learning hasn’t stopped there.

Chris Lee explains that the management team is looking to take lessons from outside the industry, concentrating more on the sort of businesses with which their consumers interact on a regular basis.

“We look at the broader [retail] sector, at John Lewis, Amazon and Apple,” he says. “We are also looking at our customer relationship management routine and looking at what the expectations are. The expectations have gone from ‘I am pleased you are open’ to ‘Don’t use Covid as an excuse’. There are businesses that have been too tardy.

“What good was 18 months ago is not enough. These people are used to buying at 8am and getting something delivered at 3pm. We challenge ourselves daily by self-mystery shopping and making sure that was good is now still good.”

The impending and ongoing increase in electric vehicles in the UK’s car parc strengthens that need to learn and adapt, he says.

“With electrification our aftersales business will be under pressure. We can accept no leakage, we need to be nimble, we need to share all the opportunities.”

ABOUT THE COMPANY

• Locations: Dorchester, Taunton, Weston Super Mare, Yeovil
• Established in: Howards Group was founded in June 1962
• Staff numbers: 60 across the four Peugeot sites
• New and used cars in 2021: 2783 at all four Peugeot sites combined
• Turnover: £62,468,294 for the four Peugeot sites