General Motors aims to bring in more revenue from commercial and fleet buyers with a new unit designed to simplify the sales process and create a “one-stop” experience.
The initiative, called GM Envolve, will give businesses a dedicated sales account executive who can reach across multiple divisions, whether the customers are buying vehicles or in need of help with energy management. The unit will handle sales of internal combustion products as well as electric vehicles such as GM’s BrightDrop delivery vans and the upcoming Chevrolet Silverado EV.
The automaker planned to unveil GM Envolve on Wednesday at its annual Fleet Solutions Summit in San Diego.
GM said its commercial business is on the upswing, with sales rising for five consecutive quarters. In recent years, the company said it has attracted more than 300 fleet customers that buy at least 300 GM vehicles each year.
One goal of GM Envolve, officials said, is to help commercial customers identify the products, technology or services that can meet their needs.
“We know our business customers intimately. We’ve listened. We’ve worked with many of them over the years to understand their biggest challenges, their toughest pain points,” said Ed Peper, U.S. vice president of GM Fleet. Peper will be GM Envolve’s U.S. vice president and manage the unit’s daily operations, along with all sales of fleet vehicles.
A GM spokesperson told Automotive News that GM Fleet will be absorbed into GM Envolve.
“GM Envolve is about working with our customers to create tailored solutions to help meet their unique challenges,” Peper said. “GM Envolve will draw from the entire GM enterprise portfolio of business-to-business products and services for ICE and EV.”
Other automakers also have heightened their focus on fleet business in recent years.
Ford Motor Co. in 2021 formed its Ford Pro commercial unit, which is targeting $45 billion in revenue by 2025. The company said Ford Pro, which nearly tripled its first-quarter earnings to $1.4 billion before interest and taxes, aims to increase recurring subscription revenue and commercial vehicle market share, as well as to lower the cost of ownership for fleet customers.
Through GM Envolve, sales account executives will be able to help business customers obtain vehicles and parts, purchase software or delivery vans from BrightDrop, acquire tools such as energy storage or integrated charging through its GM Energy division, or access intelligence software such as OnStar Business Solutions, GM said.
GM Envolve also will offer consulting services to help business customers achieve growth.
Account executives will have access to experts who specialize in GM’s different business units, said Steve Hill, vice president of GM’s commercial growth strategies and operations. GM Envolve will be part of Hill’s organization.
“We really want them to become part of the customer’s team, bringing us new ideas and new solutions,” he told reporters on a briefing call last week. “They’ll be our eyes and ears in the field and bringing back what we need to do better to help meet their needs.”
GM developed the initiative after communications with close to 1,000 fleet and commercial customers, Hill said.
The automaker said GM Envolve will help it operate more efficiently and generate more revenue from existing and future customers, though Hill declined to share specific financial targets.
AutoZone, one of the largest U.S. retailers of aftermarket parts, has worked with the automaker for more than 40 years and is the largest buyer of Chevrolet Colorado midsize pickups, GM said.
The company uses GM’s OnStar product suite for telematics information, including driver behavior and vehicle diagnostics, R. Scott Taylor, AutoZone’s fleet and commercial analytics leader, told reporters last week. AutoZone also recently purchased its first order of Chevrolet Bolt EVs, Taylor said.
“We’re very enthusiastic about GM Envolve. We like what we hear,” AutoZone CFO Jamere Jackson said. “Having a single point of contact will certainly help us run our business more efficiently and more effectively.”
