Sunday, June 22, 2008
Car dealers to benefit from fleet demand
Traditional company car schemes could boost local business
Car dealers have been urged to capitalise on increased demand for company cars as fleet and business sales continue to dominate the new car market.
The rise in fleet sales has been widely attributed to employers moving away from cash for car packages – which have grown in popularity since the beginning of the decade – and reintroducing more traditional company car schemes to comply with recent duty of care legislation and cover their environmental responsibilities.
“Many employers are meeting current fleet operational concerns by pushing anyone who needs a vehicle for their job back towards a traditional company car,” said Colin Bruder, managing director of Network Automotive, the automotive consultancy.
Bruder pointed out that employers are also restricting company car choice to favour lower emission vehicles and this could benefit dealers, especially those who can offer local businesses a range of vehicles suitable for different job levels.
“Employers are limiting the choice of car offered and taking more control over how the vehicle is used. We are seeing the partial return of the company car schemes of the 70s and 80s,” said Bruder.
“This is a shift that dealers should aim to capitalise upon. New car sales teams may find that employers who previously offered a wide choice of vehicles may now be more open to the idea of solus manufacturer schemes covering a relatively limited range of vehicles.”
Bruder also said dealers would need to prove to businesses that they can help them construct risk management audit trails to prove to legal standards that vehicles are being properly maintained.
DATED: 22.06.08
FEED: MT
Car dealers have been urged to capitalise on increased demand for company cars as fleet and business sales continue to dominate the new car market.
The rise in fleet sales has been widely attributed to employers moving away from cash for car packages – which have grown in popularity since the beginning of the decade – and reintroducing more traditional company car schemes to comply with recent duty of care legislation and cover their environmental responsibilities.
“Many employers are meeting current fleet operational concerns by pushing anyone who needs a vehicle for their job back towards a traditional company car,” said Colin Bruder, managing director of Network Automotive, the automotive consultancy.
Bruder pointed out that employers are also restricting company car choice to favour lower emission vehicles and this could benefit dealers, especially those who can offer local businesses a range of vehicles suitable for different job levels.
“Employers are limiting the choice of car offered and taking more control over how the vehicle is used. We are seeing the partial return of the company car schemes of the 70s and 80s,” said Bruder.
“This is a shift that dealers should aim to capitalise upon. New car sales teams may find that employers who previously offered a wide choice of vehicles may now be more open to the idea of solus manufacturer schemes covering a relatively limited range of vehicles.”
Bruder also said dealers would need to prove to businesses that they can help them construct risk management audit trails to prove to legal standards that vehicles are being properly maintained.
DATED: 22.06.08
FEED: MT
