CORPORATE VEHICLE OBSERVATORY 2017: CONSTRUCTION FLEETS MISSING SIGNIFICANT OPPORTUNITIES FOR LCV “RIGHTSIZING”

CORPORATE VEHICLE OBSERVATORY 2017: CONSTRUCTION FLEETS MISSING SIGNIFICANT OPPORTUNITIES FOR LCV “RIGHTSIZING”

Construction businesses running light commercial vehicle fleets are potentially missing significant opportunities for “rightsizing” their vehicles, says Arval.

Rightsizing refers to adopting a strategy designed to match the payload needs of a fleet to the specification of a specific model of van as closely as possible, delivering benefits in a wide range of areas from fuel efficiency to reduced environmental impact.

In new research from its from the 2017 Corporate Vehicle Observatory Barometer, Arval found that 83% of fleets who acquired a van in the last 12 months simply replaced it with one of the same size.

Eight per cent of those surveyed opted for a van that was bigger while 7% went for smaller – well below the level of change that would be expected from a typical fleet optimisation consultancy exercise. The figures were largely the same for all sizes of fleet.

Shaun Sadlier, Head of Arval’s Corporate Vehicle Observatory in the UK, said: “While this research has been carried out across all kinds of fleet, we have every reason to believe that it applies to the construction sector.

“Model selection is probably the most important van-related decision a business can make. Having a vehicle that closely meets your needs can make a huge difference to fleet costs and efficiency, and the rapid proliferation of different van designs and payloads that are now available means it is possible to identify models to fit almost any fleet profile.

“However, this research indicates that the vast majority of fleets are adopting a ‘same again’ policy to van selection, almost irrespective of fleet size, and foregoing the potential whole life cost savings in areas such as fuel and tyres that “rightsizing” can deliver.

“For construction fleets, the benefits are obvious. Imagine that you have an LCV fleet for estates and building maintenance operating across the UK. They are using long wheelbase Transit panel vans – a vehicle they buy habitually – and carrying tools and materials that will cover a wide range of needs. However, a large proportion of these are hardly ever needed.

“The solution could be to switch the drivers into smaller Transit Connects, which are easier to drive and use every day because of their compact dimensions, while minimising the amount of material and equipment carried.

“Anything else needed could be supplied on an “as-needed” basis by post or courier. This significantly reduces costs because these vans use less fuel and are cheaper to maintain.”

About the Corporate Vehicle Observatory Barometer 2017

Arval’s Corporate Vehicle Observatory Barometer has become widely recognised as one of the most authoritative pieces of research carried out in the fleet sector. Each year, a wide ranging series of questions provide a comprehensive examination of fleet trends in the UK and across Europe. For 2017, 3,847 separate and detailed interviews were carried out with managers who were responsible for fleets ranging in size from one to thousands of cars and vans. arval.co.uk/about-arval/cvo

 

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