How a rapidly-growing Valvoline keeps pace with recruiting and onboarding at speed

Valvoline is a well-established company, but it has been changing a lot recently. Exactly how?

Valvoline is really a 160-year-old brand, but we have gone through significant amount of change the last decade. So in 2016 we split from Ashland Oil to become our own publicly traded company through an IPO offering in late 2016. Fast forward to just a couple of years ago, and in 2023 we sold the global products segment of our business, which represented a little over half of our annual revenue, to Aramco. And so now we emerge from that sale. It gave us a cleaner story with investors, because we are now a pure play, high growth retailer.

I've been with the company for about nine years. I've been in this role for about five and a half years, as Chief People Officer. In that nine years we've doubled in size based on the numbers of stores that we had. I think when we started, we were, when I started in 2016, it was around 900 stores. We're around 2,100 stores now, and we have plans between now and the end of the decade to nearly double again, growing to around 3,500 stores. We've really built our success on this quick, easy, trusted customer service model - stay in your car and we'll service your vehicles, which is our core service. An oil change in about 15 minutes or less.

Our culture is key to that. Our customer experience is only as good as the employees delivering that service. We're really proud of that and make sure that we've got a great place for them to work and grow their career.

Can you describe the services a typical Valvoline store offers?

It really is focused on preventative maintenance, so not really repairs. In addition to our core service of an oil change, we replace wipers, bulbs, air filters, cabin air filters, and do fluid servicing, treatments, top offs, tire rotations. We really focus on that. If you take care of your vehicle, just like if we take care of our bodies, they'll take care of us for many, many years.

How are the stores operated?

We are, I think, more rare than most retailers. We're essentially a 50/50 split. There's 2,100 stores and about 1,100 are franchise operated and about 1,000 are company store operated. On the company side, we have around 12,000 employees, with around 11,000 of those being frontline in the store - Service Center manager, Assistant manager, technician. Then we have about 1,000 corporate team members.

With your expansion plans, how do you manage growth strategically?

With the sale of global products in 2023 we emerged with a clear three-pronged strategic focus. The first is to strengthen our business at the core. We've had 18 straight years of same-store sales growth year over year. The second is preparing for the future. As the car park evolves through electrification of vehicles, even heavy-duty vehicles, expanding the great service we can provide to passenger cars into these markets.

The third is accelerating network growth. We want to be adding 250 stores per year to our base by 2027. This year we're adding just over 200 stores to our footprint. It's a fairly even split between franchise and company store growth. Our plan is to reach 3,500+ stores. When we’ve done the math and look at markets we’re in, there's still infill opportunities to add stores, and expansion into new markets as well.

What is the major challenge in scaling operations at this pace?

Our focus is maintaining this family culture, which we call “Vamily” with a V for Valvoline, and ensuring consistency as we grow from 2,100 to 3,500 stores. The opportunity ahead is how to maintain consistency in hiring, onboarding, initial training, and career growth. You're only as good as the people leaders in each store, so we're really focused on investing in, developing, and empowering great people leaders across our footprint.

How does the franchise model support this growth?

Part of what we offer our franchisees is a proprietary model we call Super Pro. It's the process we use to service vehicles. Franchisees receive the ability to use that model and receive our training, which has been recognized for having one of the best training programs. They leverage the model and training to deliver the same service.

What about career progression for staff?

About 95% of our people managers started as a technician. Other than through acquisition or maybe rehiring, we rarely hire a store manager externally directly into the role. That apprenticeship model lends itself to a pay-it-forward mentality, because as a store manager I may have started in that technician role just two or three years ago or as an area manager. So we’ve got a real good story to tell candidates. It’s almost like a family, generational, where rituals, phrases, and practices are passed down from one generation to the next. The phrases that we use help to maintain and keep that culture together.

Sounds like you have great retention. How do you keep employees engaged in a retail environment?

I think compared to other retailers we’re probably in the top quartile, top third. We recently rolled out a new employer brand with taglines like “All roads lead to Valvoline,” which speaks to inclusion and belonging. No matter who you are, where you’ve come from or what your motivations are, we’ve got a place for you here. This is an inclusive environment where you can belong and thrive and also bring what drives you. People join for different reasons, and sometimes what keeps them here is career growth. Starting as a technician, in a couple of years you could be leading a store, moving to Area Manager, or even corporate roles.

We also have a pit crew mentality, like an F1 racing team, where everyone depends on each other to service every customer or guest that comes in. We attract people that love cars, enjoy working with their hands and being more hands-on and also get that satisfaction of serving our guests, giving back to the community. I think it’s a big draw for people.

What’s the typical profile of your workforce?

We have a fairly young demographic. The average age in our stores is around 25. For many, this may be their first or second job, and it can be the first role where they see a clear career path. Retail turnover is always a challenge, but consistent leadership and maintaining our culture are critical as we grow.

How long does training take for a technician?

As part of the Super Pro process, all technicians receive about 150 hours of hands-on training. You’re generally promoted to certified tech around 60 days in. Senior technician is the next level, usually attainable within the first year. The growth opportunity is significant - you can move into assistant center manager and store manager within a few years.

How does marketing support recruitment?

Marketing plays a key role. About 20% of guests we see are new customers. As we expand into new markets, educating consumers on the importance of preventative maintenance grows the top of the funnel. That supports both business growth and talent recruitment.

Can you tell us about the “Oilympics” and its importance to the company?

Oilympics is a friendly competition held annually before summer drive season. Each store fields a team of three - so somebody that's working as a customer service associate in the window; somebody that's in the pit underneath bottom side, and somebody that's under the hood top side. And they practice our Super Pro model. They compete at area, market, and national levels, including our franchise network. Out of our 20,000 technicians and store employees, about 40 teams ascend on - this year was Cinicinnati, Ohio - to compete.

Judges measure teams on speed and quality, executing the Super Pro process perfectly. And then in the evening with have a dinner and other events to recognize first, second, and third place teams, as well as individuals who achieve perfect store scores. It’s a great way to retrain staff, foster team building, and maintain culture. Our teams love and get energy from recognition and friendly competitions. And it's also a nice way, right before the busiest time of the year, for us to retrain our staff. Even if they've been there six months, eight months, it's a nice refresher for them.

Are there initiatives for corporate teams to connect with store employees?

Yes. Corporate and support teams are here to serve “Vamily” members in the stores. We put ourselves in their shoes. Over the last year, led by our CEO Lori Fleer, who was the first of our management to do it, corporate leaders became topside certified, spending time in a store to learn the Super Pro process. It helps understand challenges and builds empathy across corporate and field teams. For example, I learned that even though it's the same Super Pro process regardless of the vehicle, every vehicle is different. So that adds a tremendous level of complexity.