[News] Former Euro Car Parts founder Sukhpal Ahluwalia returns to UK aftermarket with investment in GSF Car Parts
Never count Sukhpal Ahluwalia out
GSF Car Parts, a leading UK distributor of automotive parts, tools and equipment, has announced1 the appointment of former Euro Car Parts founder Sukhpal Ahluwalia as executive chairman. Ahluwalia has also co-invested in GSF Car Parts alongside private equity firm Epiris, marking his major return to the British car afterparts market following huge success growing Euro Car Parts over four decades.
GSF Car Parts currently operates 180 branches across the UK and Ireland and supplies thousands of independent garages, national chains and retail customers. The company distributes a vast catalog of parts, specialist tools and equipment for automotive repair and maintenance.
Ahluwalia's career spans over 40 years in the automotive aftermarket. He founded Euro Car Parts in 1978, originally starting as a single shop in Willesden, London supplying accessories and parts. Through rapid organic growth and strategic acquisitions, Ahluwalia built Euro Car Parts into the leading distributor of car parts in the UK. By the time he sold the business to LKQ Corporation in 2011, Euro Car Parts had amassed over 260 nationwide branches and employed over 8,000 people, with annual revenues exceeding £1.2 billion.
Clearly, Ahluwalia brings unparalleled experience, strategic vision and an extensive industry network to drive growth and innovation at GSF. His co-investment also provides strong financial backing and confidence in the brand's future prospects.
Ahluwalia will be joined by Steve Horne, former Managing Director of Euro Car Parts, who has been appointed as Chief Executive of GSF. Horne spent 15 years in senior management roles at ECP, playing a major part in the company's expansion. Together, Ahluwalia and Horne formed the leadership team that propelled Euro Car Parts to become the market-leading distributor in the UK aftermarket.
In a statement announcing the appointments, Ahluwalia expressed his enthusiasm for this new opportunity2: “This is a hugely exciting time for GSF Car Parts, and I look forward to working with all of our valued team members, customers, and global suppliers as we start on this new journey together."
He further added, "I have a huge respect for the GSF team, including the business' hard-working branch team members and head office colleagues. Relationships have always been at the centre of GSF's success, and that’s something that we’re going to double down on.”
Horne echoed a similar sentiment in his statement, saying3 "We will turn the business into a fast-growth, sales-focused company with our customers, suppliers, and team members at its heart. This growth plan will deliver opportunities across the industry: new sales channels for our valued global suppliers, added convenience for our important customers, and new roles for our knowledgeable team members.”
GSF Car Parts is known to have lagged behind competitors in recent years, with more modest growth compared to powerhouses like Euro Car Parts. However, under the new leadership of Ahluwalia and Horne, the company is clearly positioning itself for a new era of rapid expansion.
The two executives have outlined ambitious plans to aggressively grow GSF's UK network by adding a significant number of new branches over the next few years. This will bolster GSF's presence, making it more convenient for customers to access parts, tools and expertise.
Part of the growth strategy will also involve strengthening GSF's e-commerce capabilities to satisfy rising demand for online parts ordering. While the company's branch network remains critical, improving its digital retail channels will attract more independent garages, national accounts and DIY consumers.
GSF already maintains an advantage in the breadth and depth of its parts catalogue, but the new leadership aims to further capitalize on this by investing heavily to expand inventory and product ranges for customers.
Behind the scenes, upgrading logistics infrastructure and delivery fleet capabilities will be crucial in ensuring GSF can fulfill orders efficiently as its volumes grow. Megastores like Euro Car Parts have demonstrated the power of 1-hour delivery services in major metro areas. GSF will need to enhance supply chain resources to achieve this level of responsiveness.
While driving commercial expansion, Ahluwalia and Horne have emphasized that relationships will remain at the heart of GSF's culture. They recognize GSF's community of employees, customers and partners has been core to the brand's identity as an independent, full-service distributor for over 40 years.
Maintaining strong rapport with the trusted independent garages GSF supplies will be a priority. However, the new leadership also sees an opportunity to capture more business from national accounts and retail consumers through superior service.
According to Steve Horne4, “the team plans to add a significant number of new branches to the business over the coming years, improve the branch experience, strengthen its e-commerce offering, invest in its catalog and IT, and rejuvenate its delivery fleet."
Beyond aggressive network growth and improved digital capabilities, GSF's new direction will also emphasize sustainable and ethical practices. As environmental awareness grows, the company will showcase its expanding range of parts for electric and hybrid vehicles. GSF also intends to reduce its own carbon footprint by installing energy efficient technology across branches.
The appointments of sector veterans Ahluwalia and Horne signal a bold new era for GSF Car Parts. Their unrivaled experience scaling Euro Car Parts provides a blueprint to transform GSF into a major national player through rapid branch expansion, e-commerce investment and strengthened customer service. While ambitious, GSF now has the leadership and financial resources to compete for the top spot in UK vehicle parts distribution. We wish them luck in the new endeavor!