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December 2012
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inside The Insider Beware leasecos promising the earth
The year that was 2012 in review
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The leading magazine for fleet decision-makers
December 2012
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RECRUITMENT For the lastest recruitment vacancies, visit fleetworld.co.uk
LINKED IN How growing connectivity will shape the way fleets operate
inside The Insider
Beware leasecos promising the earth
The year that was 2012 in review
Driven
Leon / A3 Sportback / ADAM / Auris / MG6
fleetworld.co.uk
Publisher Ross Durkin ross@eetworldgroup.co.uk Editor Steve Moody steve@fleetworldgroup.co.uk Deputy Editor Natalie Middleton natalie@eetworldgroup.co.uk Motoring Editor Alex Grant alex@eetworldgroup.co.uk Editorial Assistant Katie Beck katie@eetworldgroup.co.uk VFW Editor John Kendall john@eetworldgroup.co.uk Sales Director Anne Dopson anne@eetworldgroup.co.uk Sales Executive Darren Brett darren@eetworldgroup.co.uk Circulation Manager Tracy Howell tracy@eetworldgroup.co.uk Head of Production Luke Wikner luke@eetworldgroup.co.uk Designers Tina Ries tina@eetworldgroup.co.uk Samantha Hargreaves sam@eetworldgroup.co.uk Internet Editor Luke Durkin durks@eetworldgroup.co.uk
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Contents
So we are now out of recession (officially at least) and we can all breathe a nice big sigh of relief and get back to making lots of money. Not entirely though. There are still significant issues in the industry which, while not catastrophic, need careful management. In this issue, we’ve asked senior executives how they have found the past year, and how they expect next year to be. The same themes kept cropping up on a regular basis, some good, some bad: the increase in funding availability, strong residual values and shortening replacement cycles being three positives that underpin the market. But there are concerns still that might not be structural to the fleet industry, yet have influence. Business confidence is weak, the Eurozone is a mess and there is an oversupply of cars into the UK as a result, and the Government lacks joined-up thinking on its taxation strategy for the fleet and car market. Overall though, 2012 was not as bad as many thought, and there are signs that 2013 could be better still. Certainly it seems that strong businesses are able to do well in the current climate. But for the weaker ones, their problems seem to be amplified. Finally (and I apologise for the small plug), at Fleet World we have had a record year, publishing more pages than ever as well as launching a new event at Silverstone that will grow even bigger next year in the form of the Fleet World Fleet Show 2013 – see pg 29 for details. So thanks very much for your input, have a great Christmas and here’s to profitable and successful new year.
04 A month in fleet 12 Fleet World Barometer Making sense of the eet surveys this month
14 Comment 20 Driven SEAT Leon // Audi A3 // Vauxhall ADAM // Toyota Auris // Ford Fiesta // MG6.
30 The year that was... Viewpoints from the top of the industry of 2012 and looking ahead to 2013.
36 The connected car How the interent is transforming the way we live our in-vehicle lives.
42 Fleet Academy Have your say on the major issues affecting the eet industry.
44 Market Overview Fleet Management Software.
47 SWOT Team New Jaguar XF Sportbrake and rivals come under the spotlight of the SWOT Team.
52 Fleet update 55 VAN Fleet World Peugeot Expert // Isuzu D-Max // Social media.
66 Fleet on fleet Fleet manager Liz Hollands talks to Marie Jarrold, car eet controller for BCA.
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Certified circulation Jan – Dec 2011 19,619
Steve Moody Editor
December 2012
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A MONTH IN FLEET A skip through the key news and events since the last issue of Fleet World. Sign up to our FREE digital newsletter Fleet World Confidential... visit fleetworldsubscriptions.co.uk
04
CONFIDENTIAL
BVRLA CAMPAIGNS FOR CHANGE TO 50% VAT RECLAIM
HONDA FLEET OFFENSIVE WITH NEW CIVIC DIESEL
The BVRLA is pushing for a change on the 50% VAT reclaim on lease rentals following the publication of new data on business mileage. Since 1995, businesses have been able to reclaim 50% of the VAT incurred on the finance element of a car leasing agreement, reflecting the business use of company cars. This is done under a ”block derogation”, which removes the need for hirers or lessees to keep mileage records for individual cars. The next deadline for renewal of the derogation comes in 2014. The Treasury would like to see this reclaim reduced from 50% to 40% and has come to the BVRLA for more detailed figures. After consulting with a number of business mileage capture providers, the BVRLA has provided figures on over 200,000 vehicles, representing a cross-section of industry, and including perk, essential user and Government cars. The figures show that business mileage accounts for roughly 62% of the total, with private mileage at 38%. The BVRLA has added that this puts it in a great position where it can actually push for an increase in the VAT reclaim percentage that is more in line with the true market. Chief executive, John Lewis, said: ‘Knowing what we do now, it is difficult to see the leasing industry accepting anything less than the introduction of a new 60% block derogation for the UK. If this is not offered, we could end up in a situation where the industry asks for the VAT reclaim to be settled case by case, with fleets having to calculate on a portfolio basis. ‘This is what already happens in some other European countries. It is a major administrative burden some leasing companies and their customers, but more and more fleets are using mileage capture systems now. The bottom line is that the sums at stake are just too large to ignore.’
Honda is planning a fresh start in fleet when the 1.6 diesel version of the Civic goes on sale at the start of next year. New manager of corporate operations, Lee Wheeler, who has come back to the fleet department after a couple of years elsewhere within the firm, says the longawaited new engine will allow the carmaker to compete against the major players in the sector. The firm has struggled with the 2.2 150bhp diesel engine due to its higher price and a perception that it is not as efficient as competitors, even though it offers 110g/km. The new engine though will see the Civic rated at 94g/km, and delivering 120bhp. ‘The vast majority of the fleet market wants 130bhp or less and low emissions,’ said Wheeler. ‘The new engine in the Civic allows us to offer this. We believe that combined with Honda’s strong reputation for reliability and low running costs from its British-built cars, we can win a lot of new business.’
FORD APPOINTS NEW FLEET DIRECTOR
FLEETS WILL RUN EVS IN FIVE YEARS, SAYS ZENITH
Phil Hollins has been appointed director, fleet operations Ford of Britain, taking over from Kevin Griffin, who has held the role since 2003. Griffin has been appointed director, commercial vehicles Ford of Europe. Both appointments are effective 1 January 2013. Phil Hollins joined Ford as a graduate trainee in 1985. He held a variety of sales and marketing roles in Ford of Britain before moving to the US in 1994 and then to Ford of Canada. He has since held a number of responsibilities in Ford of Britain and Ford of Europe, including his current role as director product marketing, which he took up in 2010. Mark Ovenden, Ford of Britain managing director, commented of Phil’s appointment: ‘He will build on the excellent foundations provided by Kevin who has established a highly successful, disciplined approach to all areas of fleet sales that has matched market-leading results with solid business returns.’
In five years almost every fleet will be running electric vehicles for some part of its business, Zenith’s chief executive officer, Tim Buchan, believes. The leasing and fleet management firm has been trialling electric cars from its Leeds headquarters and Buchan says they have been impressed with the results. He said: ‘We have been using Nissan LEAFs and we’ve been extremely impressed: they get used for local runs, picking clients up from airports and train stations or for doing various errands. The range has been around 120 miles as a result and I think that in five years’ time most fleets will find a use for this type of vehicle, because they are cheap to run and also reflect well on the company.’ However, Buchan believes there are still hurdles to overcome. ‘There is a lot of caution in the leasing industry over residual values, which can only be addressed over time, and uncertainty over Government grants and manufacturer strategies. Once these are all sorted and much of the doubt removed then I think electric cars will have a viable future on business fleets.’
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Ford NEWS
inbrief Heroic victory (from l to r) Ford’s Kevin Griffin receives the Fleet Hero award from Energy Saving Trust chief executive, Philip Sellwood.
Ford declared a “Fleet Hero” FORD has been declared a Fleet Hero after scooping the prize for innovation in car and van manufacture in the Energy Saving Trust’s Fleet Hero Awards. The awards recognise companies that supply cost and fuel saving products or services to fleets. The trust’s chief executive, Philip Sellwood, said: “Ford Motor Company has set a great example to others and has shown how innovation, leadership and cost effective management in this area of the business can not only help us meet the UK’s sustainability targets but also make significant cost savings in the process.” Transport minister Norman Baker said at the awards ceremony: “I congratulate all those whose efforts have been recognised by the awards and hope that others will be inspired to follow their lead.” The competition’s judges were impressed with Ford’s new 1.0-litre threecylinder EcoBoost engine – small enough to fit on an A4 sheet of paper – which is available in the Ford B-MAX, Focus, C-MAX and new Fiesta. It is part of a Ford engine range which includes the 1.6-litre TDCi which, in a Fiesta ECOnetic, achieved 108.57mpg over 370 miles of mixed driving to win the 2012 ALD Automotive/Shell FuelSave MPG Marathon. The Fiesta 1.6 TDCi ECOnetic’s official combined fuel consumption is 85.6mpg, with CO2 emissions of just 87g/km. In fact the new Fiesta, which is on sale now, has a choice of seven powertrains – both petrol and diesel – delivering less than 100gm/km of CO2.
New head of Ford Fleet Phil Hollins has been appointed Ford of Britain director of fleet operations, from 1 January, 2013, taking over from Kevin Griffin, who has been appointed director, commercial vehicles, Ford of Europe. Phil joined Ford as a graduate trainee in 1985. He held sales and marketing roles in Ford of Britain before moving to the US in 1994 and then to Ford of Canada in 1996. He returned to the UK as Ford Credit marketing director and became Ford of Britain director of dealer operations in 1999. His Ford of Europe appointments include as director of retail management in 2002, and his current role as director of product marketing.
Triple triumph!! Ford notched a double triumph in the prestigious 2012 ACFO Awards, as fleet operators voted the Transit Connect and Transit, Small Van of the Year and Large Van of the Year respectively. Ford’s new 1.0-litre threecylinder EcoBoost engine has also notched up another accolade with the award of the Dewar Trophy 2012.
New Ranger wins International Pick-Up Award The new Ford Ranger has won the ‘International Pick-Up Award 2013’ making it the third international award for Ford this year. Every member of the judging panel made it their number one choice, praising its performance on- and off-road, engine line-up, payload and towing capability, and safety, and awarded it more than the combined points for the second- and third-placed vehicles. Ranger is offered in three cab bodystyles – double, super and regular – with two powerful and economical Duratorq TDCi engines, and with 4x2 and 4x4 drivetrains. Totally new from the ground up, it is the first such vehicle ever to achieve a five star Euro NCAP rating. This year, Ford has won awards including the ‘International Van of the Year 2013’ for Transit Custom and the 1.0-litre EcoBoost petrol engine was named the 2012 ‘International Engine of the Year’.
For further information on any vehicle in the Ford range please contact the Ford Business Centre on 08457 23 23 23, email info@fordfleet.co.uk, or visit www.ford.co.uk/fordfleet
Ford News Feature // 05
A MONTH IN FLEET A skip through the key news and events since the last issue of Fleet World. Sign up to our FREE digital newsletter Fleet World Confidential... visit fleetworldsubscriptions.co.uk
INBRIEF
NEW CONGESTION CHARGE PROPOSAL TO HIT FLEETS Transport for London is looking to drop the 100% discount for low-emission cars from the current 100g/km to 75g/km, with the result that almost no company cars will then qualify for free entry into the capital. In its consultation, TfL said: ‘From 1 July 2013, all electric vehicles and cars/vans (light goods vehicles not exceeding 3.5 tonnes gross vehicle weight) which emit 75g/km of CO2 or less and meet the Euro5 standard for air quality, would qualify for a 100% discount from the Congestion Charge if they are registered with TfL. ‘Plug-in hybrid electric cars and vans that are on the TfL approved list are currently eligible for the Electric Vehicle Discount and would qualify for the new Ultra Low Emission Discount.’ While the inclusion of vans has been welcomed, the BVRLA has said it believes the new emissions threshold has been set too low and is merely a revenue-raising exercise. TfL’s plans were outlined in a new consultation document, which is open until 8 February. In its response, the BVRLA will also re-iterate its calls for rental cars and vans to be exempted from the Congestion Charge, saying that they can play a major role in reducing car ownership and parking congestion in urban areas like London.
AAM TIES UP WITH GREAT WALL Alliance Asset Management has become the first fleet service provider to add models from Chinese motor manufacturer Great Wall to its vehicle operation.
> GROSVENOR LAUNCHES NEW BUSINESS Grosvenor Contracts has launched a new division to provide main franchise dealerships with a fast alternative source of contract hire and leasing for their fleet customers. Called Grosvenor Corporate Finance, it will be headed up by Giles Bolton.
EST FLEET HERO WINNERS REVEALED Twelve fleets have been announced as winners of this year’s Energy Saving Trust Fleet Hero Awards 2012. The winners are: • Best Public Sector Fleet: Northamptonshire Police (Northamptonshire) • Best Private Sector Fleet: Willmott Dixon (Hertfordshire) • Grey Fleet Management: Wiltshire Council (Wiltshire) • Business Mileage Management: Southern Health NHS Foundation Trust (Hampshire) • Smarter Driving: SITA UK (Berkshire) • Industry Supplier: ALD Automotive (Bristol) • Innovation in Car and Van Manufacturing: Ford Motor Company Ltd (Essex) • Innovation in Fleet Services and Systems: Alphabet (Hampshire) • Innovation in Fleet Management: Commercial Group (Gloucestershire) • Transport Solutions Innovation - Supplier of the Year: Travel de Courcey (West Midlands) • Leadership: Toyota GB PLC (Surrey) • Commercial Vehicle Management: Stobart Group (Cumbria) In addition, West Yorkshire Police Force was awarded Motorvate Member of the Year. Motorvate is an Energy Saving Trust certification scheme that provides support and recognition to help organisations reduce their carbon emissions and fleet costs.
CONFIDENTIAL
> ECO-TYRES ARE BEST WAY TO SAVE FUEL Swapping to eco-tyres is the most cost-effective way to save fuel, claims a new report by synthetic rubber manufacturer LANXESS, with a quicker ROI than an engine Stop/Start system or buying a hybrid.
ProFleet2 One day, everyone will expect to have this information
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NEWS ANALYSIS
LEGAL PRECEDENT SET FOR FLEET NIC REFUND CLAIMS? Total People won its appeal against HMRC over NI payments on motor mileage claims recently. Natalie Wallis provides an overview of the case and its significance for fleets. Most fleet decision-makers will probably not have heard of Total People (now Cheshire Employer and Skills Development Limited) before they started their epic battle against HMRC several years ago but the company could hold major significance for fleets from now on, following a tax ruling made at the Court of Appeal last month. Total People’s claim is based upon the car allowance payments made by the training firm to around 160 members of staff using private cars on business. Under the AMAP rules in place at the time, Total People could have paid 40ppm (now 45ppm) for business mileage. However about 160 members of staff were being paid 1213ppm through expenses plus an additional car allowance, which was paid by way of a fixed monthly amount in addition to their salary. This was meant to cover motoring costs, including business motoring costs, and basically cover wear and tear and depreciation, etc. Total People argued that as the payments were made to employees in recognition of the fact that their job required them to use their car for business, they must be payments of Relevant Motoring Expenditure (RME) and therefore exempt from NIC as they were in line with the AMAP rules at the time. In August 2010, the first tier tribunal judge ruled that car allowance payments were indeed RME and not earnings because they were made for business use of the cars and did not go up in line with normal pay, and so could not be called normal pay or normal earnings. He said the company could therefore go back and claim a refund of £146,000 based on the difference between the rate of mileage paid and the maximum that could have been paid. However, HMRC said that NI payments were due on the lump sum payments and subsequently appealed to the Tax Upper Tribunal. The Upper Tribunal judge said that to be a relevant motoring expense, and so benefit from the NIC saving, there had to be a linkage between the number of business miles driven and the amount of the car allowance. He inferred that the car allowance had to vary depending on business mileage and not just grade. As a result, he overturned the first case and decided the appeal in favour of HMRC. However, not content with this judgment, Total People has appealed, with the Court of Appeal having restored the finding of the first-tier tax tribunal in August 2010 in favour of Total People. The Lord Justice of Appeal, Lord Etherton, said that ‘critically, it (the FTT) found as facts that the scheme was a bona fide scheme, that the lump sum element was designed pre-
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cisely in order to prevent staff making a personal profit by maximising their travel on a 40p per mile basis’ and that the FTT was fully entitled to conclude that “the lump sum payments were not earnings’.
WHAT DOES THIS MEAN FOR FLEETS? THE EXPERTS’ VIEWS According to Grant Thornton UK LLP – which has fought the refund claim on behalf of Total People for seven years, a potential NIC refund could be due to employers and to their employees if they: • Pay a business mileage payment less than 40p per mile. • Pay a lump car sum allowance to employees for the use of their own private vehicles. • Have retained records to verify the business mileage. • There is no direct link between the lump sum car allowance and salary. Deloitte also said that the appeal could be used to benefit both fleets and fleet drivers. Mike Moore of Deloitte’s Car Consulting Team commented: ‘The case noted that a broad brush approach can be used to work out the allowance to be paid as long as regard is given to the possible expenditure. ‘We recommend that employers submit new NIC repayment claims without delay. Today’s judgment also presents a number of opportunities to structure the design of car allowances favourably for both employers and employees.’ However, Jeff Whitcombe, director at BCF Wessex Consultants, cautioned fleets not to raise their hopes too much, saying: ‘Firstly, we have yet to learn whether HMRC will appeal the decision of the Court of Appeal. Secondly, the facts of the case were quite specific and HMRC is likely to rigorously review any claims it receives and ensure that the facts are the same; I’m already aware of some claims that have been refused. Thirdly, there is a significant backlog of claims that HMRC has to deal with.’
HMRC STATEMENT: ‘The decision of the Court of Appeal, ie to re-instate the First-tier Tribunal decision, does not form a legal precedent. ‘HMRC does not intend to make repayments to any other customers based on the outcome of this case. ‘HMRC considers that taking a similar case now, it would be likely to succeed.’
Making sense of the surveys
We've pulled together the pertinent points from the myriad of research done in the fleet industry this month to give you a clearer view of what's really going on...
ECO DRIVING DRIVERS NEED EDUCATING ON ECO TIPS. 90% of drivers shop around to find cheaper fuel. 71% don’t know the average price of a litre of unleaded. The Energy Saving Trust’s Fuel Your Passion campaign is highlighting how motorists – including fleet drivers – could make significant savings by driving more efficiently. An online app produced by the Energy Saving Trust for the campaign shows drivers how much they could save by following a series of simple tips, and is available on their website: http://www.energysavingtrust.org.uk/Travel/Fuel-your-passion Source: Energy Saving Trust
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in association with
ROAD MARKINGS ROAD MARKINGS ‘DECLINING AT ALARMING RATE’. The quality of markings on the UK’s roads, in particular in Scotland, have come under fire in a new report. The organisation has highlighted the following results: • 40% markings on Scotland’s motorways & dual carriageways need immediate replacement. • 40% of markings on dual carriageways in Wales need immediate replacement. • 38% of markings on motorways and 36% on dual carriageways maintained by the Highways Agency in England need immediate or scheduled repairs. • 25% of markings on HA single carriageways need replacing now, with only 19% scheduled.
Source: Road Markings Safety Association
George Lee, national director of the Road Safety Markings Association, said: ‘We strongly suspect that the layers of bureaucracy built into the system of maintaining HA roads is stifling results. Taxpayers are paying, but the funds are simply not going on the roads.’
FLEET LEASING MARKET LEASING FIRMS OFFERING NEW SOLUTIONS AS MARKET RE-INVENTS SELF. The mature fleet leasing market is re-inventing itself, building on its existing business to offer multi-modality solutions and new business models like car sharing. STRATEGIC ANALYSIS OF THE EUROPEAN FLEET LEASING MARKET: The automotive fleet leasing market is expected to grow at a compound annual growth rate of 6.2% during the period 2011-2018. Operational leasing, or contract hire, is expected to account for 62% of fleet leasing sales by 2018, which is 55% up from 2011 levels. Frost & Sullivan says that fleet leasing will move from Total Cost of Optimisation to Total Cost of Mobility, with leasing companies offering mobility solutions over simple vehicle leasing, and says that in the future fleet leasing is expected to become a one-stop shop for all mobility solutions. However, it adds that the current economic crisis in Europe has slowed fleet renewals and new purchases, with some leasing firms turning to ”Flexi Leasing” solutions to offer a solution for customers facing financial volatility. It adds that this is expected to evolve as a scalable business model. Source: Frost & Sullivan
EYECARE REGULATIONS CLEARER VISION NEEDED ON EYECARE REGULATIONS, SAYS SPECSAVERS. New research carried out by Specsavers has revealed employer confusion over eyesight regulations, leading the firm to call for the rules to be updated and clarified. More than one-third (37%) of employers believe they, as the employer, are responsible for ensuring the adequate eyesight of employees who drive in the course of their work. More than half (57%) believe this is the responsibility of the individual. The remaining 6% did not know.
Laura Butler, corporate account manager for Specsavers Corporate Eyecare, said: ‘This is a particularly confusing area of legislation. By law, each individual is responsible for ensuring they are fit to drive. However, employers have a duty of care. The Health and Safety Executive states that: ‘Health and safety law applies to on-the-road work activities as to all work activities and the risks should be effectively managed within a health and safety management system.’ Source: SpecSavers
• for the latest daily news from the fleet industry, visit www.fleetworld.co.uk December 2012
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COMMENT
Self-registrations and you Curtis Hutchinson A recent increase in dealer self-registrations is beginning to impact UK fleets, says Motor Trader editor, Curtis Hutchinson.
‘While every sale is a registration, not all registrations are a sale.’ 16
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A casual look at the new car market appears to show a sector in rude health, having been through the ravages of the recession and now in growth mode. Indeed, year-on-year sales growth has been evident for some months now with the market widely tipped to top the two million mark this year. Surely these are encouraging signs for a fragile economy battling against strong head winds to get back on track. Each month the Society of Motor Manufacturers and Traders produces a set of new car registration figures, and these form the benchmark when it comes to judging the health and wellbeing of the new car sector. However, there's an important distinction between a registration and a sale; while every sale is a registration, not all registrations are a sale. Manufacturers and dealers have long engaged in self-registering, or pre-registering cars. What tends to happen is a manufacturer with a surplus will offer cars at a discounted rate to its dealers, they buy them to hit their new car bonus targets, run them as demonstrators or rental cars and then sell them as nearly-new vehicles. While this scenario can benefit dealers and customers when the economy is strong, it can distress it when the market is weak and that is what is happening now. Indeed, some carmakers, faced with plummeting European sales, are diverting cars to the UK rather than cut production, which would result in job cuts and loss of market share. Unfortunately for fleets this is not an issue restricted to the retail sector. CAP, the car valuation specialist, recently warned that as many as 30% of new cars are self-registered and the trend will impact residual values. ‘Pre-registrations are certainly increasing this year. Research by CAP has consistently revealed that a very significant proportion of
new car sales reported by the SMMT would qualify for the term self-registered,’ said Philip Nothard, CAP's retail and consumer valuation editor. ‘Clearly if a dealer is able to offer a new car at up to 30% discount, then the value of the nearly-new car will inevitably have to slip to maintain its appeal. This then cascades down through the age bands. This is obviously an issue for those, such as large fleets, who are exposed to used car risk,’ he said. Peter Davenport, chief executive of Staffordshire fleet solutions business, Motiva Group, believes the practice is already having knock-on effects for fleet managers. ‘There’s very little stability in pricing, which makes things difficult from the fleet manager’s point of view. If the headline cost of a vehicle can go up or down by 30% from one day to the next, longer-term budgeting and investment decisions become harder.’ There's also the potential for creating an unwanted human resources issue. To illustrate the problem, Davenport says a middle manager joining a company a few months ago may have been given the option of having a mid-range brand; while someone joining the day after a one-off self-registration deal may be able to have a premium German brand. The net result? One incredibly disgruntled employee. ‘This scenario will in turn create perceptions of employee value that human resources and fleet managers will have to be aware of,’ he says. Clearly the high volumes of self-registrations are impacting the fleet sector. Whether the effects are positive or negative are dependent on how you finance your cars and who takes the RV hit. Certainly outright purchased cars, due to be de-fleeted in three years time, are looking vulnerable.
COMMENT
When fleet management isn’t fleet management The Insider Beware leasing firms bearing supposed fleet management gifts, our Insider warns.
’Companies who change tack early will prove Darwin’s theory and survive to fight another day.’
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I think it was Charles Darwin who believed that species adapt to suit their surroundings and thus survive. I think presently we are seeing a fine example of this among insurance and accident management companies. For the past few years they have promoted personal injury claims and credit hire, causing our insurance premiums to rise. Now they have decided to play the part of the good guys, and that it’s time to prevent accidents occurring in the first place by providing us with telematics and behavioural training. The cynic in me says they have been forced into a change of tactics due to the current investigations by the Competition Commission, following a review by no less a body than the Office of Fair Trading. As ever, I suppose those companies who change tack early will prove Darwin’s theory and survive to fight another day. But there’s a difference between actually changing what you do, and selling yourself as something you are not, and here I’m looking to a different area of the fleet market. I was recently invited to participate in an online survey on fleet management. The first question asked me to enter the names of any fleet management companies I was aware of – and three sprung instantly to mind - Fleet Alliance, Fleet Support Group and CLM. The next page asked me to tick which of the following list of fleet management companies I had heard of – and then listed a number of contract hire suppliers, with not one fleet management company among them. In my experience there is a world of difference between a fleet management company and a contract hire supplier. A fleet management company usually has no affinity to any finance lease provider, and indeed part of their attraction is that they will shop around
to find the best finance deal for their client. They are likely to do the same with other services on offer: maintenance, short-term hire, disposals and accident management, for instance. A contract hire supplier likes to tie you in on a sole supply arrangement for which it promises a raft of extra services which might loosely be termed ”fleet management”. Indeed, unless it has a solus deal with you it will be unable to effectively fleet manage because it will not easily have all your relevant information at its fingertips. Basically a fleet management company will carry out the same functions as a fleet manager but with economies of scale, in that it should have better buying power, as it will be acting for a number of clients. What it probably won’t have is good interaction with your individual members of staff, which is all fine and dandy when policy is upheld and everything goes to plan but less so when it doesn’t. And if you employ a contract hire company to be your fleet manager then you don’t have the luxury of an intermediary to bang heads together when required. Whichever route you go, you still need to keep your finger on the pulse by having someone in-house who has an expert knowledge of fleet in order to oversee that the package is working as it should, and that costs remain on the promised downwards trend. I would say that over the past five years, contract hire suppliers have upped their game considerably in terms of giving advice which might loosely be considered a form of fleet management and of course that’s great. In part that is due to some very high-level former fleet managers being employed by them in a consultancy role. But they have some way to go before they can call themselves fleet management companies.
whitE wheels SUPER FLY The Fiat 500 has gone all 70s! The new Colour Therapy range is available
with white alloy wheels, white aerial, white mirror covers, stylish pool ball
gear knob and a choice of five 70s
colours. Under the bonnet though, the unashamedly futuristic engine offers
best in class performance, low fuel
consumption and low emissions. The
past and present in perfect harmony.
New Fiat 500 Colour Therapy range. From just £129 a month for business users only. Visit fiat.co.uk/fleet for more info.
IN 70S COLOURS fiat.co.uk Fiat, the car brand with the lowest average CO2 emissions in Europe^. Fuel consumption for Fiat 500 range in mpg (l/100km): Urban 44.1 (6.4) – 64.2 (4.4); Extra Urban 65.7 (4.3) – 91.1 (3.1); Combined 55.4 (5.1) – 76.3 (3.7). CO2 emissions 119 – 90 g/km. Above rentals based on Fiat 500 1.2 Colour Therapy on Contract Hire payment profile of 3 rentals in advance (equivalent to £387) followed by 35 rentals of £129. All rentals exclude VAT and maintenance. Based on 10,000 miles per annum. Excess mileage charges apply. Vehicles must be registered with Fiat Contract Hire before 31st December 2012. Offer subject to status, guarantee and/or indemnity may be required. Fiat Contract Hire, 240 Bath Road, Slough, SL1 4DX. ^Source: JATO Dynamics. Based on volume-weighted average CO2 emissions (g/km) of the best selling brands in Europe, 1st half year 2012.
DRIVEN
SEAT Leon Major improvements in all areas should make the Leon a popular choice, says Steve Moody. SECTOR Family hatchback PRICE £15,670 – £22,375 FUEL 47.1 – 74.3mpg CO2 99 – 139g/km The SEAT Leon has perhaps had the unfortunate honour of being the car company drivers choose if they can’t afford a Golf, but it has nevertheless been a huge success story for the brand, particularly in the UK, with 127,000 sold to date. In 2011, the Leon accounted for one third of total SEAT sales in the country. But with this third generation model, SEAT may well have a car that steps out of the shadow of its illustrious relation. Like the recently launched Golf it uses the new MQB architecture, and shares half of its structural, mechanical and electrical components with the Volkswagen. The wheelbase has been elongated marginally despite the car being shorter overall. Thanks to its advanced construction and lightweight materials, overall weight has been reduced by 90kg compared with the previous version. From a design perspective it looks like a large Ibiza from the front, but the side and rear views are much better: taught, clean surfaces, and a whiff of Alfa around the boot. The new architecture has freed up a lot of space: there’s a significant increase in room inside, especially in the rear. Engines include petrol and diesel choices from 1.2 to 2.0-litres, all with direct injection and turbocharging. Designed for low internal friction and fast warm-up, fuel
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consumption has improved 22% compared to their predecessors. The vital engine for the fleet market, 1.6 TDI, generates 103bhp and in the Ecomotive version with Start/Stop system and brake energy recuperation, returns 74.3mpg and emits 99g/km CO2. The extensively reengineered 2.0 TDI returns 70.6mpg in the Ecomotive version, and develops 148bhp. SEAT says its will rapidly expand the engine line-up. Two versions of the 1.2 TSI will launch in early 2013 with 85 bhp and 103bhp, followed by a 120bhp 1.4TSI and 178bhp 1.8 TSI. The diesel line-up will be augmented by an 89bhp 1.6 TDI and range-topping 181bhp 2.0 TDI. Depending on the engine, transmission options range from five and six-speed manual gearboxes or the renowned six- and seven-speed DSG dual-clutch gearboxes. Higher end cars with 150bhp or more gain independent rear suspension, while those at the more parsimonious end of the spectrum have a torsion-beam at the back, keeping costs and weight down. That means the 1.4 TSI and 1.6 TDI we drove both had the cheaper system, but it doesn’t really show. It reacts with a hardish stomp over sudden bumps, but across most surfaces when given more time to absorb changes it is compliant enough, while body control is decently well-contained.
The diesel is a bit gruff at low revs and the TSI is the more characterful motor. Both are pretty sprightly though – certainly a company car driver woul not feel short changed. Inside, generally the materials are solid where it matters, and there is plenty of useful kit available: air conditioning, twin halogen headlamps with electric adjustment, an mp3 compatible six-speaker CD player, integrated hands-free phone operation with Bluetooth audio streaming, and a colour touchscreen interface. Price wise, it is significantly cheaper than a Golf, with the 1.6 TDI as much as £2,000 cheaper, and the TSI about £1,000 less, with entry level prices starting from just £15,670 and first deliveries due in March 2013. If the Leon gains the same acceptance on the used market as the first generation did, then SEAT will really have a trusted, admired and liked family hatchback.
verdict Roomier, more efficient, classier, better to drive and with likely low running costs, the new Leon is an excellent addition to the SEAT range, and should prove a popular company car with fleets. This could be the model which allows the Leon to step firmly into the limelight alongside the Golf.
Audi A3 Sportback Sportback sacrifices little of the A3’s styling in its push for practicality, says Alex Grant. SECTOR Lower medium PRICE £19,825 – £27,180 FUEL 50.4 – 74.3mpg CO2 99 – 130g/km The European C-segment is heavily weighted towards five-door cars, to the extent that some of Audi’s key rivals don’t offer multiple bodystyles at all. So it’s unusual that a high volume car like the new A3 would have been launched with the less popular three-door model. Not least of all because its predecessor is getting on a bit. The outgoing A3 Sportback was launched in 2004, and it’s had only minor facelifts and engine upgrades through its life while everything else in the sector has been replaced completely. Despite this, the A3 is the biggest selling car in the segment, and three-quarters of buyers opt for the Sportback. This is a unique proposition in its class. Audi is alone in the way it does five-door versions, fitting a longer wheelbase and less raked roofline to the Sportback. Looking a little like a stubby A3 Avant with its chrome roof rails and upright back end, it has a slightly larger boot and extra room for rear seat passengers, leaving the three door to focus on sportier styling for those who don’t need the additional space. In reality, it’s a nominal increase. There are just 35 additional millimetres between its axles, but the difference inside is marked. Sat behind a tall driver, there’s ample head, shoulder and leg room for an average-
height adult without resorting to dimples in the headlining. The larger windows also make the back feel less claustrophobic. Otherwise, the range is familiar from the standard A3, available in SE, Sport and S line guises with an S3 to follow next autumn. Demand is expected to be topheavy with S line versions accounting for 40% of sales and the rest split equally between the other two. The softer SE and Sport-spec suspension setups can be fitted to the S line, and all models cost an extra £620 compared to the three-door. At launch, engine choices will comprise 1.4 and 1.8-litre TFSI petrols with 144 and 180bhp respectively, and the 148bhp 2.0 TDI, the range’s backbone at around 40% of UK sales. The 99g/km 1.6 TDI and 1.2 TFSI will follow shortly after launch, joined by a 138bhp 1.4 TFSI with cylinder shut-off and 182bhp 2.0 TDI in the summer. Audi has also earmarked the A3 Sportback as the model to debut a plug-in hybrid drivetrain in 2014. While the engines and styling don’t sound revolutionary, the A3 uses the Volkswagen Group’s lighter new platform, and adds to the weight loss by using aluminium panels at the front end. Aside from the efficiency benefits, this feels much keener than the car it replaces, turning in quickly and with little body roll even on the SE sus-
pension, while a 10bhp boost on the 2.0 TDI equates to brisker acceleration times too. Even the entry-level units feel great to drive. The 1.6 TDI has become quieter in the new A3 and pulls cleanly from close to idle speeds without labouring, while the 1.2 TFSI’s low weight gives it agility from a class below. Audi is claiming 74.3mpg and 99g/km CO2 emissions even for Sport and S line versions of the 1.6 TDI, but whether its larger wheels hurt real world economy is another matter. So it’s a conservative update for the A3 Sportback, but one which results in a better drive, more space and increased efficiency. The only problems it faces are the plethora of new entrants in this segment, including a completely new A-Class, the highly rated Volvo V40 and Lexus’s CT 200h. Audi hasn’t put a foot wrong with the new A3, but company car drivers have never had a better selection in this sector.
verdict The A3 was the spearhead for the premium C-segment, and this new model continues to build on the qualities which made its predecessors so popular. It’s fighting from a market-leading position, but with newcomers muscling in this is a car which meets rather than vastly exceeds expectations.
December 2012
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DRIVEN
Vauxhall ADAM Cute and stylish, can Vauxhall’s new baby make the Griffin chic? Alex Grant finds out. SECTOR City car PRICE £11,255 – £14,000 FUEL 51.4 – 56.5mpg CO2 118 – 129g/km The small car segment has never been bigger. Increasingly sophisticated, with tastes moving from purely cost-driven purchase to fashion and lifestyle choices, the sector has grown 52% in the UK this year. So the ADAM is timely. It’s a new venture for Vauxhall, not replacing the Agila but offering a Griffin-badged alternative to the everpopular Fiat 500. It’s priced higher than a Corsa, and sales expectations are a modest 10,700 each year in the UK with 20% going to a mostly user-chooser fleet customer base. That’s an ambitious approach. The 500 has reinvented Fiat’s image globally, but Vauxhall doesn’t have the same fashionable heritage - its small cars are usually focused on high volume and low cost. So ADAM has to do something different, and that’s a challenge it hopes to meet with a claimed one million combinations of engine, chassis and styling options allowing customers to make each car their own. So ordering an ADAM makes Starbucks seem simple, with 12 body colours, 20 alloy wheels, 15 seat designs in four different hues, and 19 dashboard inserts to choose from. It can even be ordered with clouds printed on the roof lining, backed by LED ”stars” at night. Should your drivers wish to make your ADAM more of an Eve, then the options are there to do so. I can hear the joy emanating from fleet
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managers already as they contemplate the conversations they’ll be having with drivers. Similar in size and shape to a Fiat 500, the ADAM is cute in its proportions and looks purposeful with its wheels pushed right out to each corner. The design is such that you could order one in a conventional colour scheme and it’d still turn heads. Solid build quality and clever in-car technology are also on its side. The £275 touchscreen infotainment system upgrade is a no-brainer, giving access to internet-based navigation and audio streaming via an Apple or Android smartphone. It’s a useful feature, with only the patchy GPS coverage compared to a built-in aerial as a potential handicap. Small cars also have to drive well, so Vauxhall has developed a UK-specific suspension and steering setup which wasn’t available to drive at the press launch. The Opel setup wasn’t back-breaking, even on 18-inch wheels and Sport suspension, but despite boundless grip it doesn’t feel as direct or agile as it looks like it should. This isn’t helped by dated engines. Most of its rivals use feisty downsized units, but the ADAM launches with old-generation 1.2 and 1.4-litre petrol engines, the latter in a choice of two power outputs. Vauxhall has this car lined up to debut a new range of direct injection, turbocharged petrol engines
and six-speed gearboxes, but hasn’t said when these will be available. The big-selling 87bhp 1.4-litre engine blights the high-tech feel elsewhere. CO2 emissions of 119g/km – 129g/km without Start/Stop – don’t really set benchmarks and it has to be revved hard, feeling thrashed rather than sporty when under load. Hopefully the new engine and UK chassis settings will give it the on-road dynamics to match its playful looks. But it’s not a great start among such stiff competition. This is better built than a 500, but lacks the Fiat’s retro chic. It’s not significantly cheaper than the more practical DS3 or better driving MINI, and even a highly-specced Volkswagen up! threatens to sway buyers with its sharper drive, more spacious cabin and desirable badge. While the ADAM is a good small car, for now it falls just short of its promises.
verdict Cute looks and infinite personalisation options bode well for finding buyers, but badge snobbery could be a problem for the fashion-conscious customers Vauxhall is targeting and it’s not as much fun to drive as the looks suggest. New engines and the UK chassis might just be the missing ingredients.
DRIVEN
Toyota Auris A comprehensive update, but is it enough? Alex Grant finds out. SECTOR Lower medium PRICE £14,495 – £21,745 FUEL 47.8 – 74.3mpg CO2 87 – 138g/km Toyota is listening. It’s been gathering opinions about its model range, and is deploying much-needed upgrades across the board, with the Auris the latest to benefit. So, while there are few visual clues alluding to it, most of the platform and drivetrains are unchanged in the new Auris – running costs and reliability were already on its side. Instead, Toyota has spent time rectifying criticisms related to the aesthetics of the outgoing car. Largely skin deep, but still very important. So this new car is considerably better looking than the slightly chubby outgoing model. It’s leaner, 55mm lower in height due to a cut-down roofline and more aggressive too, thanks to the new GT86-style bumper treatment, narrower headlights and chiselled rear light clusters. It’s the same story inside. Gone is the old car’s vast, featureless plastic dashboard and floating centre console. In its place is a design much more in keeping with the new Yaris, with a large flat pad across the middle optionally trimmed in real leather. This is a vast improvement. It’s far more tactile and much better laid out, now using Toyota’s simpler new Touch and Go navigation system instead of the unintuitive unit in the outgoing car. Matching fonts and illumination for all the switchgear help to bring the car closer to segment benchmarks.
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Front seat occupants now sit slightly lower, and rear seat passengers will find there’s no significant loss of space despite the shallower roofline. Boot space is marginally larger than in the outgoing car, but it’s hybrid owners who benefit most. The battery is now relocated under the rear bench, offering more boot space and allowing for the segment’s first hybrid estate next summer. The new Auris also rides 10mm lower than its predecessor, which Toyota says reduces body roll enough to use softer springs, while the underside features new aerodynamic blades which channel air cleanly along the underside. Both reduce drag, which has been a key part of improving the efficiency of its engine line-up. These are identical to the outgoing car, comprising 1.3 and 1.6-litre petrols, a 1.4litre diesel and a petrol-electric hybrid, each with efficiency improvements. For the first time, Toyota is predicting European sales to be split equally between all three types. The hybrid – which will account for 60% of UK fleet sales – has had only a small increase in efficiency. This now returns 74.3mpg and emits 87g/km CO2, still with the tendency to rev the engine hard under load due to the CVT gearbox. However, with the interior improvements, this no longer feels a class below the slicker Prius.
But there’s now a good reason to consider the diesel. In line with efficient diesels from rivals, this now emits 99g/km CO2 rather than 128g/km, while returning 72.4mpg. It’s the least powerful 99g/km C-segment car on sale, though, at just 90bhp against the 105115bhp available in rivals. Unfortunately it wasn’t available to test at the press launch. Improvements to the petrol engines are less pronounced. The bigger-selling 1.6 emits 138g/km CO2 and has to be worked hard. Power delivery is smooth and quiet, but it feels a generation behind the downsized, turbocharged petrols used elsewhere. From an entirely aesthetic point of view, the Auris is a massive leap forward over the old car with additional rational benefits from its improved efficiency. It faces stiff competition in the form of the latest C-segment cars, though the new 90bhp diesel engine will add to its fleet credentials.
verdict Strong competition from Korea at one end, and increasingly affordable premium brands at the other mean the Auris is in a squeezed market. This is a well-executed update and Auris will have plenty of sharp-driving rivals, but whole-life cost may be the deciding factor.
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DRIVEN
Ford Fiesta New engines build on Fiesta's already segment-leading appeal, says Alex Grant. SECTOR Supermini PRICE £9,795 – £17,545 FUEL 47.9 – 85.6mpg CO2 87 – 138g/km The original Fiesta was developed to the backdrop of a global oil crisis and recession, which created a market for affordable, frugal small cars. Nearly 36 years forward we’re in a similar place, and Fiesta’s best points are just as relevant today, reflected by its status as the UK’s best seller since 2008.
Small cars have grown up considerably since 1977. Where the Mk1 Fiesta customer may have optioned a radio, the new car is awash with clever technology including Active City Stop, which helps prevent lowspeed collisions, and SYNC with its accurate voice control, both new to the options list.
MG6 1.8 DTI-Tech Can Chinese-owned MG’s first diesel engine make inroads in fleet? Alex Grant finds out. SECTOR Upper medium PRICE £16,995 – £21,995 FUEL 53.5mpg CO2 139 g/km For most fleets, MG is a brand which disappeared off the radar when MG Rover Group folded in 2005. Change is coming though. The MG3 supermini, already on sale in China, is being substantially overhauled for the European market and from the £250m technical cen-
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tre in Longbridge the carmaker is developing a next-generation platform to underpin several future models, starting from 2017. For the near future, though, MG is looking to re-establish itself in fleet and the key to doing so is a diesel engine. The carmaker’s first will launch in the MG6 early next year,
MyKey is also now standard, which allows certain keys to have speed and volume limits set to restrict misbehaving by younger drivers. It's a clever idea, but limited a little by the lack of PIN protection and the single 80mph limit for the UK market. Engine technology is also new, most notably a whole family of three-cylinder 1.0-litre engines. All feature 99g/km CO2 emissions, with power between 60 and 123bhp. The 99 and 123bhp versions are turbocharged, as in the Focus, and could be growth areas in fleet, expected to steadily shift sales away from the 1.6 TDCi by offering tax-conscious motoring for £1,500 less than the diesel. The less powerful version wasn’t available on the launch, but the 123bhp version feels made for the Fiesta. Its low weight, responsiveness and growly soundtrack suit the small Ford perfectly. Better, even, than the diesel. Diesel engines will eventually include a range of power outputs for the new 1.5-litre unit including a perfect replacement for fleet favourite, the 1.6 TDCi, which may even beat its very competitive 87g/km CO2 emissions. It’s a sign that Ford considered very little to be worth changing. True to the spirit of the original, this remains a benchmark that'll be hard to knock off the top spot.
and like the rest of the car it’s been developed from scratch under SAIC ownership with no relationship to old MG Rover powertrains. High CO2 could be a first stumbling block. The MG6 DTi-Tech returns 53.5mpg and emits 139g/km CO2, which puts it just above most of its D-segment rivals. Efficiency improvements and downsized units will follow. On the road it sounds gruff but not agricultural, and there’s a strong if not blisteringly fast surge of torque from around 1,800rpm which steadily trickles off towards the redline. Its efficiency figures aren’t ground-breaking, but it easily achieved mid40s to the gallon, suggesting it could come close to MG’s claimed economy. Three quarters of diesel-powered MG6s will go to fleets, and two thirds of those will be the range-topping TSE trim. Priced at £20,195 for the GT hatch and £21,995 for the Magnette saloon, this ticks every option box going as a way to offset the higher tax liability of its 139g/km CO2 emissions. It’s also the only trim to get Bluetooth as standard, a vital option for most business drivers. A surprisingly polished product for those used to the ”Make Do and Mend” MGs of recent years. High value at the front end will be helpful for getting noticed, but efficiency improvements and a smaller, more frugal diesel can’t come soon enough.
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FEATURE 2012 Review
That was the year that was Steve Moody talks to senior industry figures about how 2012 was for them, and their views on 2013.
Tony Gannon communications director BCA John Lewis chief executive BVRLA How was 2012 for your business? We have had some major successes on the lobbying front, where the DVLA has finally listened and is looking to deliver a range of electronic services for fleets. These services have the potential to deliver up to £10 million in annual cost savings. Elsewhere, the Treasury finally agreed to our argument for abolishing the ridiculous 3% diesel car benefit-in-kind tax supplement. Unfortunately, it also announced that it was going to deny the leasing industry access to the 100% first year allowance for ultra-green cars, and as yet has not been able to tell us why. How have you found the fleet market this year? The continued economic uncertainty has meant that many companies are reluctant to grow their fleets or engage in wholesale renewals. However, we have not seen a significant increase in contract extensions and the average length of operating leases remains at between three and four years. What has been the major challenge? As ever, the major challenge is dealing with the relentless torrent of legislation and regulation. Despite the best intentions of the Red Tape Challenge and occasional progress with agencies such as the DVLA, the Government just can’t resist tinkering – with little understanding of the impact they are having. What has been pleasantly surprising? The Government is beginning to get the message that its ultralow carbon vehicle strategy is wrong. We expect the Government to act on this in 2013. Will next year be better, or worse, than 2012 in business terms? RVs and the supply of funding look set to remain strong, but it is anyone’s guess as to what will happen with the wider economy.
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How has the fleet market fared this year? With on-going economic pressure, rising costs and a relatively weak retail environment, it might seem counter-intuitive to report that fleet and lease used car values continued to climb. However, supplies reaching the wholesale used car market are quite significantly down on the peak seen four to five years ago and there is a real shortage of good quality, ready to retail used cars. This is leading to fierce competition and generally rising values. What has been the major challenge? This stock shortage is a long-term issue and is unlikely to change until new car volumes pick up significantly and the economy improves enough to generate a bigger churn of vehicles. And while the rising average prices might suggest otherwise, demand in the wholesale arena actually remains relatively fragile. What has been pleasantly surprising? The robustness of the used car industry never ceases to surprise market-watchers, particularly when compared to other business sectors that had fared less well in these difficult economic conditions. Will next year be better, or worse, than 2012 in business terms? With the continuing fragility affecting consumer confidence on the one hand, and a restricted supply of good quality stock on the other, we should not expect to see any significant changes.
David Yates marketing director ALD AUTOMOTIVE How was 2012 for your business? The results of our multi-sales channel strategy have been excellent not only in terms of fleet growth - and financially - but also in the very positive feedback we continue to receive on the service levels delivered from both our corporate and 3rd party customers. Growth of this magnitude has placed a strain on our business but we have some dedicated staff whose commitment has been outstanding in making it work. How have you found the fleet market this year? Without doubt, cost control is the biggest issue we’re facing. There is significant pricing pressure in our customers’ core markets and, throughout every area of their business, they are looking to reduce supply chain and operating costs to maintain profitability – and competitiveness – in their own markets. What has been the major challenge? Growing at 15% per annum – on the back of two years of 20% growth - in a challenging market whilst maintaining high service levels. Managing cost of risk in uncertain economic times, and differentiating our product in a competitive and mature market. What has been pleasantly surprising? The used car market has remained very stable, resulting in consistent vehicle pricing and a healthy CAP performance. This is partly due to the relatively low levels of available stock compared to previous years but also the professional job that our wholesale partners do in retailing used cars. Will next year be better, or worse, than 2012 in business terms? The leasing industry will undoubtedly face a number of challenges in the next two to three years in what will remain a very difficult trading market, but we are confident that the economic environment we operate in and the fiscal changes anticipated will not cause any major issues for the business. Perhaps, the biggest issue facing our industry continues to be the flat-lining of the UK economy and the depressed Eurozone. Business confidence has been shaken badly in the last four years and it will take time for this to be restored. This will undoubtedly have an impact on the corporate market with inevitable moratoriums on new car orders. It’s also becoming clearer that the government sees the ”company car” as offering significant potential for tax revenue generation.
Paul Adler fleet marketing & motability manager VAUXHALL FLEET How was 2012 for your business? Really good overall, as our strategic fleet plan comes together to improve wholelife costs. Our RVs are getting stronger in our core car lines and we've started to launch new models such as Ampera, Astra GTC, Zafira Tourer, Mokka, ADAM and now Cascada, models which propel the Vauxhall brand into the future. The Tech Line range has helped improve consideration with its combination of low P11D price and high spec. How have you found the fleet market this year? It has been tough, as always, but the exchange rate with the Euro has helped us be competitive. What has been the major challenge? The tough UK economic climate has affected all businesses and some customers have deferred ordering cars and vans. What has been pleasantly surprising? We knew that Ampera was a revolutionary car, but it has simply cleaned up almost all possible awards this year and this supports us to lobby Government to provide a stable, consistent and long term taxation policy for EVs, allowing businesses and company car drivers to plan their costs. Will next year be better, or worse, than 2012 in business terms? We see the fleet market as pretty flat year-on-year, highly competitive as always, but our plan is to achieve growth in the ”true fleet” corporate market on the back of our improving whole life costs, Tech Line models and broader, new product portfolio.
December 2012
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FEATURE 2012 Review
Phil Robson director - fleet & used vehicle operations PEUGEOT How was 2012 for your business? Sales in 2012 have been good, given the current economic environment. Peugeot fleet sales will be up versus 2011 and despite the economic challenges in the whole industry we have managed to maintain our longterm strategy of residual value improvement. How have you found the fleet market this year? We have seen larger fleets continuing to buy, but on the flip-side smaller businesses are using their flexibility and pushing back change dates. What has been the major challenge? Evaluating when to take a bloody nose instead of a broken one! Our long term strategy to maximise our residual value position has meant after five years of reducing short term cycle business (rental), by more than 60% in 2012, we will see a small increase compared to 2011. What has been pleasantly surprising? Two areas: our continued progression in the LCV market in terms of market share and the appeal it gives business with our very strong LCV range choice, and our continued improvement of car sales within the independent leasing arena – led by 208 and 508. Will 2013 be better, or worse, than 2012 in business terms? I foresee it being similar, but evermore challenging. Though the business is cyclic at times, it will be even more affected by key factors (trade, currency exchange, sustainability, etc.) overseas plus the health of European markets and the potential oversupply of new vehicles into the UK market.
Nick Andrews head of fleet MERCEDES-BENZ How have you found the fleet market this year? In short, fascinating, challenging, competitive and exciting. The market is more demanding than ever but we've got the most competitive range of vehicles we've ever had. What has been the major challenge? It's been a busy year - from the implementation of our new fleet strategy to integrating a new team. We've done it and we're now in an excellent position to enter 2013 with clarity and conviction. What has been pleasantly surprising? The positive response we've received from the industry to the plans we've implemented and the approach we've taken. Likewise, our retailers have bought into our Small Business in Partnership programme, which is very exciting, and we've held our first ever CEO Business Forum with the key decisionmakers in the industry. Will next year be better, or worse, than 2012 in business terms? I have no doubt it will be better! We have the new A-Class, the new CLA and several other new models besides. We have a new sales team, new customers and more developments in our UK fleet strategy to further refine and improve the service we provide. From this we expect sales growth and customer satisfaction improvement.
What has been the major challenge? The challenge has been, and remains, disjointed Government policy. For example, for the vast majority of fleets electric vehicles remain extremely niche. Yet, the Government looks to support their uptake via its Plug-in Grant system, while removing any incentive for the utilisation of such vehicles through the benefit-in-kind tax system (such vehicles will be taxed at 13% from April 2015).
Julie Jenner chairman ACFO
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What has been pleasantly surprising? Although some marketplace sectors continue to battle tough trading conditions, funding is becoming more available, residual values are strong and replacement cycles are shrinking. Additionally, in the contract hire and leasing sector there has not been the level of acquisition and merger activity or company closures that some commentators predicted. During 2012, fleet operators have become increasingly proactive in �progressing� their fleet operations and are moving away from the retention of the status quo that they adopted during the depths of economic gloom.
Dave Parry corporate sales director MANHEIM How was 2012 for your business? As a business Manheim has made some significant business gains across all sectors – fleet, manufacturer and dealer accounts - which means we will sell more vehicles than we did in 2011. We’ve seen strong growth in online sales with up to 20% of fleet stock selling to online buyers each month compared to 12-15% in 2011. The increase in online buyers is also bringing an uplift in sales values by an average of 37% compared to 2011. How have you found the fleet market this year? Back in 2008 and 2009 new fleet registrations fell away and many introduced longer-term rental deals or contract extensions. As a consequence there are fewer fleet vehicles entering the market. However, fleet vehicles are achieving strong residual values, so those with the stock to sell are making excellent returns. What has been the major challenge? By some margin this year our biggest headache has been sourcing enough stock to meet demand. The shortage is across the whole industry, which has had an impact on the volume of vehicles available across all remarketing outlets. What has been pleasantly surprising? The overall robustness of the market in 2012 has been a pleasant surprise to us, as well as the industry’s pragmatic reaction to what are generally seen as challenging conditions. It’s been interesting to see how many dealers and traders have changed their buying patterns to buy ”different” stock to maintain retail activity on the forecourt. This shows a real ”can do” attitude in today’s climate. Will next year be better, or worse, for business? Fleet vendors have indicated there will be less stock defleeting in 2013, therefore the challenge of quality used vehicle shortages will continue and prices are likely to remain high.
Richard Schooling CEO ALPHABET How was 2012 for your business? 2012 was a year of real progress and growth. By the end of December we will have grown our risk fleet to 113,000 vehicles, from 93,000 at the time of the merger with ING. Our integration programme for the two businesses is exactly where we planned for it to be at this stage, and it's on track to complete on schedule in mid-2013. How have you found the fleet market this year? I don't think it's been a year of huge change from the fleet operators' perspective. Having said that, there were some improvements for fleets in specific areas. For instance the problem of long lead times on certain new cars has diminished greatly - partly due to manufacturers diverting allocations to the UK and away from currently weaker markets in continental Europe. What has been the major challenge? For us, the challenge has been around maintaining our very high service standards and moving forward as a business while managing a major internal change process. What has been pleasantly surprising? I'm not sure whether anything about a recession year could be called pleasant. Even so, the resilience of the UK fleet and automotive sector is encouraging. Will next year be better, or worse, than 2012 in business terms? We are forecasting a similar growth pattern for Alphabet next year as we saw in 2012. Generally, there seems to be a bit more optimism around in fleet circles at the moment, though more so among private sector operators than in the public sector due to the Government’s austerity plans. The research for the next Alphabet Fleet Management Report shows a significant rise in expectations for increased fleet sizes and budgets next year.
TV CHANGING THE WAY YOU VIEW THE WORLD OF FLEET visit fleetworld.co.uk to catch the latest
broadcast
COVER STORY Linked In
The connected car The internet has already transformed modern society, but now it’s rapidly becoming a key feature of new cars. Alex Grant looks at how growing connectivity will shape the way fleets operate, and the potential risks it poses.
Internet connectivity may be in its infancy, but a large percentage of fleet vehicles already contain stored data.
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t’s not so long ago that drivers would only be storing basic information in a car – data which extended as far as radio presets for most, perhaps seat and steering wheel settings for a few, and at the very most a few albums stored on a built-in hard drive. But cars are changing, and fast. Bluetooth is already commonplace, internet-connected navigation isn’t far behind and a few of the most recent models offer social media apps built into the dashboard. Devices connected to the internet already outnumber the human population of Earth, and cars are becoming the next frontier. So, as the car becomes an ever-more detailed storage space for dates, numbers, addresses and e-mails, what’s next for driving, and how can fleets prepare for the next generation of motoring?
SO WHERE ARE WE NOW ?
RENAULT R-LINK Renault’s R-Link infotainment system debuts on the futuristic ZOE electric supermini, but it is technology bound for the rest of the range, and will be offered as a £450 option on the fourth-generation Clio. Designed to look and operate like a tablet computer, key functions are grouped into individual icons for easy access and Renault will launch an online R-Link Store similar to the Apple, Android, Nokia and Blackberry alternatives, through which users can download apps to the car. From launch, though, the system will include four pre-installed apps – e-mail, Twitter, weather and Renault Assistance.
BMW CONNECTED DRIVE Telephone connectivity is a small part of BMW’s Connected Drive package, but the features are comprehensive. Cars with a navigation screen can read and display not only contact books and multimedia wirelessly, but also text messages, e-mails, calendar entries with a text-to-speech function. An on-board data connection boosts this further. Real-time traffic information is displayed as a simple red, amber and green overlay, drivers can display the end destination using Google Street View, and news, weather and sports can be accessed on screen. Connecting to a phone with the relevant app installed also allows Twitter and Facebook updates to be posted from the car’s infotainment system.
TOYOTA TOUCH AND GO PLUS Launched on the Avensis and rolled out to the facelifted Prius and seven-seat Prius+, Toyota’s top of the range infotainment system adds internetconnected navigation which can download 3D city modelling and traffic information over the air. The system features full calendar and e-mail integration, with the latter able to be sent and received through the car’s dashboard. Touch and Go Plus will also read text aloud so drivers can stay in touch while they’re on the move, and future upgrades will add Google Street View and for text and e-mail messages to be dictated into the system.
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COVER STORY Linked In
THE FUTURE OF CONNECTED CARS SECURITY RISKS While connected cars offer a more convenient onroad life for drivers, the data stored in the memory of most built-in infotainment systems has never offered such a detailed view of the owner’s life. Internet connectivity may be in its infancy, but a large percentage of fleet vehicles already contain Bluetooth-transferred phonebooks and, via the sat nav, details of where it’s been driven. David Tomes of fraud investigation company, Auto Intelligence, says: ‘In the main, cases I have seen relate to accessing data after the vehicle has been passed on, not particularly the case of access without the driver knowledge, because ultimately the driver gets to know about it. There are also cases where data has been stolen and used for nefarious purpose.’ Not only is this a potential headache for drivers – cases have been reported where new owners have traced cars back to their previous keeper using the sat nav – but it’s an issue for fleet managers too, potentially leaving them open to legal action if data isn’t cleared properly. Andrew Wright of Fleet Influence explains: ‘Failing to cleanse data between vehicles users is a gaping hole in procedures which leaves the company and directors exposed to legal action should a bright lawyer get hold of it. At a minimum, fleets should implement a cleansing regime at every vehicle turnround but discussions on this topic go even further. ‘The suggestion is that, when taking a car from a driver, he or she should be asked to sign to say that personal data has been removed, or to confirm that they have seen the company representative remove data from the car’s devices.’ It’s an issue the remarketing industry is also investigating. The Vehicle Remarketing Association (VRA) recently published a best practice guide, advising its members to ensure that vehicles go through a factory reset procedure when they are de-fleeted to avoid personal information being sold on. This is a potential problem which can only grow as the technology becomes more commonplace. Tomes points to recent rearch by American agency ABI, which showed 5.7 million vehicles globally are already internet connected. By 2017, this will have grown more than tenfold, to 60 million, with around 80% of new cars sold in Europe connected to the web. As the amounts of data stored on board continue to grow, the potential for a legal precedent to be set is becoming more likely, and protecting drivers’ data is an issue no fleets will be able to ignore.
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MORE COMPREHENSIVE PHONE INTEGRATION Manufacturers have tended to mimic smartphone usability through the car’s touch screen. As the technology progresses, phones will begin to stream apps through to the screen, allowing the car to use built-in functionality such as GPS, data connections and even accelerometer data. The MINI Connected app already combines smartphone accelerometer and ECU data to give live driving style information. GAINING FUNCTIONALITY OVERNIGHT Touch screens allow new functions to be added through software updates, as opposed to requiring extra switches and buttons to be fitted into the dashboard. Tesla’s electric Model S executive car replaces almost all of the traditional switchgear with a 17-inch display, and as the software develops Tesla will be able to give drivers new features via an over-the-air update. Just like putting new software on a smartphone. WIFI BECOMES MAINSTREAM To date, wireless internet access is only found in luxury models, but expect this to grow. When SYNC launches in the Ford Focus next year, it will gain on-board WiFi allowing tablets, laptops and smartphones to be connected wirelessly. The problem at the moment is relatively slow data, and sometimes patchy coverage. New ultra-fast 4G connections should take care of both, and the technology is already being rolled out in the UK’s largest cities. FACTORY-FITTED TELEMATICS Likely to be a big growth area, advanced telematics such as live vehicle information and remote climate control settings are already found in several electric vehicles. Volvo’s latest Sensus also allows remote opening via a smartphone and for expense reports to be downloaded as a spreadsheet from the car’s memory. Integrated with a mobile phone data connection, GPS and accelerometer, cars could be able to transmit driver behaviour data and journey information back to base. ROAD TRAINS Working with Volvo, the SARTRE project is developing technology which will allow a “platoon” of vehicles to follow each other automatically for long stretches of road while the occupants relax and let the car drive itself. The leading vehicle will have a professional driver behind the wheel and sets the speed for the rest of the platoon, with following vehicles using radar, camera and wireless communication to stay in convoy.
THE ULTIMATE MOBILE OFFICES BENTLEY MULSANNE EXECUTIVE CONCEPT
The one-off Mulsanne concept car is designed to show a mobile workplace which can be hidden away when the passengers want to relax. On-board WiFi provides internet access for two iPads, built into electrically-retracting picnic tables and with wireless keyboards. The rear centre console houses a phone, Bentley-branded Tibaldi fountain pen and fridge, while a Mac Mini in the boot is connected to the roof-mounted monitor in the cabin. Rear-seat functions are controlled via an iPod Touch.
BRABUS iBUSINESS 2.0 Brabus may be known for performance and styling, but the company also carries out bespoke interior conversions to turn the S-Class into a mobile office. The iBusiness system is based on a Mac Mini in the boot and pair of iPads which dock on picnic tables in the rear, offering video conferencing and internet access through a WiFi connection. The iPads also control the entire COMAND infotainment system wirelessly via an app. It’s compatible with any S-Class, but makes the 788bhp BRABUS 800 the fastest office on wheels, with a top speed of 219mph.
JAGUAR XJ ULTIMATE Rear-seat occupants in the £121,980 Jaguar XJ Ultimate each get their own third-generation iPad with a wireless keyboard, installed in leather-trimmed docks on the back of the front seats. The iPads can be used without being removed, have their own power supply and are hidden behind leather-trimmed roller doors when not in use. A champagne cooler, with glass flutes, is built into the space between the rear seats.
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COVER STORY Linked In CASE STUDY VW CARAVELLE BUSINESS
Could this £67,000 executive transporter be the first steps towards an office-free remote working environment for the future fleet? Alex Grant investigates. Priced in line with a luxury saloon, the Caravelle Business joined Volkswagen’s commercial vehicle range this summer designed to transport executives who don’t have time to stop working. The technology on board is niche at the moment, but as it becomes more common, could the office of the future be made of metal and rubber, rather than bricks and mortar? DATA ON THE MOVE A must-have for the mobile office, the Caravelle features onboard WiFi using a small router hidden in the glovebox. This allows several devices to be connected at once, enough for a meeting in the back, but the speeds available depend entirely on the available coverage. The router connects using a SIM card, and with strong 3G coverage can offer speeds equivalent to a home broadband connection. Volkswagen has also fitted a 12V socket in front of the rear seats. With an inverter, this can keep a laptop battery poweredup without relying on the battery. SPACE FOR FOUR Trimmed in supple two-tone Nappa leather, the back of the Caravelle offers comfort most boardrooms can’t match. Four occupants can sit behind the front seats, and the middle row rotates to face the back row for a conference setup around a folding, rotating and sliding central table. At the back, the traditional three-seat bench is replaced with a two-seat unit which could almost have been lifted from the luxurious Phaeton. Passengers here get heated and fully adjustable seating, operated on a wood burr console on each side, with a small but powerful fridge between them and a pair of glass tumblers stowed in a drawer close to the floor.
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COMFORT Cars, unlike offices, don’t usually have central heating. The Caravelle fills in for the British climate with a built-in space heater operated off the key fob or a panel above the driver (pictured right). This allows scheduled pre-warming of the cabin, and can run with the engine and air conditioning switched off. Storage space is more of a challenge, though. The boot is tiny with the rear rear bench reclined, but there are cubby holes throughout the cabin including A4-sized pockets either side of the table base and a hook behind the rear seats for hanging clothes. Tinted windows with privacy blinds mean it’s quite difficult to see what’s inside, and all that’s really lacking is a toilet. KEEPING IN TOUCH Volkswagen’s familiar touch screen can be found in the front of the cabin, and it’s fitted with a 60GB hard drive for additional music storage – enough for almost a 40-day soundtrack without hearing the same track twice. Bluetooth connectivity and a wired iPhone connection are included as standard, so keeping in touch while on the move is no problem. BEHIND THE WHEEL Caravelle and Transporter are renowned for driving more like a car than a van, and the Nappa leather front seats are as comfortable for long distances as you’d expect in a Passat. New models feature the same 2.0-litre twin-turbo found in the Amarok pickup last year, which offers a more-than-ample 178bhp. It’s an incredibly quiet engine with enough torque to pull the 2.45-tonne Caravelle even at low revs. Business models get a six-speed DSG transmission, which helps fuel economy up to 34.9mpg and brings CO2 to 214g/km. A 4MOTION fourwheel drive version is also available for an additional £2,213.
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© 2011 Telogis. All rights reserved.
MANAGEMENT Fleet Academy
Join the Garbage in, garbage out Alex Grant, Motoring Editor, Fleet World
Fleet World magazine’s Fleet Academy is designed to provide a forum whereby those industry consultants and professionals in possession of valuable fleet information can impart it to a select audience of fleet decision-makers. At the heart of the Fleet Academy is a network of independent fleet industry experts whose work brings them into regular contact with end-user fleet managers and other organisations playing a key role in the industry. These fleet experts provide a regular feed of information that is posted on the website forum in the form of a discussion topic. Typical areas of interest include, but are not limited to: taxation, finance and accounting, legislation, environmental issues, fleet safety, insurance, fleet management, supply issues and security. Fleet suppliers are permitted to respond to queries if it is felt that their response represents honest and impartial advice. This aspect of the service is strictly moderated in order to ensure that the quality of information provided remains of the highest standard. We have already attracted a strong network of fleet professionals, and our expert contributors have submitted a number of thought provoking discussion topics, a few of which are previewed to the right. We hope you will consider joining us in this exciting new venture into the world of fleet. To find out more about Fleet Academy and request membership, please visit:
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As a self-confessed technology lover, I’ve always believed built-in navigation would be a box I’d tick on any options list I ordered a car from. But I think, now, I’d want to road test a car’s navigation system to see how accurate it is before forking out the extra cash. The yardstick is a tough one. My iPhone has TomTom’s pricey, but brilliant, navigation app installed. Experience has taught me to trust it implicitly if it says to take another route. I don’t have the same trust for manufacturer navigation systems. Two weeks ago, I was caught in what turned out to be a 22-mile tailback on the M4. The car I was in had a built in navigation system with traffic alerts, but it insisted I stuck with the gridlock as it was the quickest route. So, sat still, I turned to my TomTom. This predicted an even longer delay, advising me to turn up towards High Wycombe and drop down to the M25 via the M40, shaving 38 minutes off my journey time. It was almost
Clive Buhagiar, Head of Public Sector, Alphabet (UK) replied… I must admit that I tend to ignore any diversionary suggestions from any sat nav, as my experience is that it is usually better to just sit in the traffic for 20 minutes and save a stressful detour where I have to completely rely on the sat nav directions. My only exception tends to be if the radio traffic news advises of road closures etc. After reading your report I’m inclined to continue in this way!
Ross Durkin, Publisher, Fleet World Group replied… I've come across the problem Alex describes on many occasions. One of the most stupid was a built-in
in association with
debate... Demonstrations – A vital step for fleet purchasing? Andrew Wright, Director, Fleet Influence Ltd to-the-minute accurate, too, working out that the M25 jams had cleared while the built-in system insisted the freely-moving motorway was gridlocked. On the return journey to Cardiff I had almost the opposite problem. I keep the navigation on to give some idea of my ETA, and the car had a sudden panic and added an hour to the journey between St Albans and home. Zooming out, I’d gained a 60-mile detour attributed to a five-junction closure of the M4. Common sense dictates, of course, that such a major detour would be clearly marked on gantries and road signs. So I ignored it, pulled in at Reading Services to check the TomTom, and was told to expect a twominute delay near Bristol. No prizes for guessing which one was right, but I wonder how many people would have blindly followed the car’s directions and taken over an hour extra to do a simple, direct route. Traffic data can be incredibly valuable, but only if it’s accurate. Otherwise, I’d rather not have it at all.
system that once instructed me to leave the motorway at the next junction then rejoin it immediately – down one slip road and back up the other side. Needless to say I ignored it, but therein lies the problem. When systems are so manifestly unreliable it is hard to convince yourself it's worth making a massive detour when you are almost certain that it will be a waste of time. If there was an easy answer to this problem I would be the first to cheer. But I suspect that until there is a massive and co-ordinated investment in the infrastructure that provides the information in the first place, it will continue to be a case of trusting your gut instincts and hoping you've guessed right.
Manufacturers and dealers provide demonstrations in vehicles ranging from 10 minutes round the block to extended loans from three days to several months. Running a demonstrator fleet is expensive, as is the delivery and collection of vehicles throughout the UK. Are demonstrations in vehicles a prerequisite to buying / listing / ordering a vehicle? If so, what is the optimum time to have a vehicle, and would the lack of an available demonstration vehicle result in that vehicle being removed from, or not added to, a company car policy?
David Kershaw, Director, DK Business Associates Ltd replied… I think demonstration vehicles are an essential part of evaluation for an end user or a leasing company. When I was in charge of this area of the business within a leasing company, when we received a demonstrator every user had to assess the vehicle and complete a structured report. This information could then be used as part of a proper internal assessment, and provide useful feedback for the manufacturer about customer experience of the vehicle.
J Mistry, Car Leasing Business Intelligence, XLGC replied… Many years ago I worked in the rental industry, where the very large customers we had used to get fed up of manufacturer's and leasing companies' inability to provide sufficient test-drives. They used to partially solve the problem by asking the car rental firms to provide the make/model they wanted to test-drive. Could this not be adapted in some way to suit all parties in the current climate? For example, the leasing company or manufacturer could make a deal with the rental company to help provide these vehicles to target customers, say by arranging for free or heavily discounted day/weekend rental vouchers to be sent to the target company.
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Do you provide a fully hosted software service?
Is your system suitable for multiple-user networking?
Do you provide on-line P11D submissions to HMRC?
Does your system permit electronic download of data from suppliers?
Does your fleet software provide electronic supplier invoice reconciliation?
Does your system include a vehicle order tracking function?
Does your fleet software provide on-line grey fleet management?
Does your system include a fuel management module?
Does your system allow users to design their own reports?
Does your system use exception reporting?
Does your system integrate with external telematics systems?
Does your fleet software provide a driver vehicle selector based upon allowance?
MARKET OVERVIEW Fleet Management Software
Bynx
-
CFC Solutions
Chevin Fleet Solutions
Civica UK Ltd
Provided, but not online
Drive Software Solutions Limited
Jaama
KeeResources Limited
Mycompanyfleet
Sofico
White Clarke Group
in development
Key to services
Service provided
-
Service unavailable
Civica UK Ltd
White Clarke Group
Civica’s Tranman fleet software helps you to control costs, manage compliance and improve operational efficiency. With a track record of over 25 years in the sector, the Tranman software is proven to enable fleet managers to achieve cost and utilisation savings through improved management information and analysis. The resulting benefits include; reduced fleet and whole life operating costs, improved accident and risk management, better control over fuel usage, increased workshop productivity, minimised vehicle downtime and reduced stock holding. Tranman customers save money, find out how.
White Clarke Group – the largest Motor Finance Technology supplier in Europe. We help companies in the fleet and contract hire sector to streamline business practice, reduce operational cost and deliver outstanding customer service. CALMS2, our award winning software solution is adding value around the globe. CALMS2 - Fleet, leasing and contract management solution: A unique multi-channel platform, covering both fleet and retail business. The only truly 100% web-based solution available from any supplier - covering a wide range of fleet businesses, from one to two vehicle operations to large corporate fleets. • Agile end-to-end multi-channel technology platform • Greater operational efficiency and cost reduction • Multi-country platform • Instant decisioning and instant take-on in an easy-to-use seamless environment • Self-serve capabilities
Contact: Jonathan Roberts tranman@civica.co.uk
Tel: 01454 874002 www.civica.co.uk/tranman
Jaama Jaama’s market leading, multi award winning Key2 system is a totally integrated vehicle, asset and driver management solution covering everything from owning to disposing of vehicles, plant and asset related equipment. Recent enhancements include: EDS – a repository for fleet information allowing drivers (company car and grey fleet) to submit expense claims on-line and keep personal and vehicle data up to date as well as reducing administration for fleet managers and providing a fully auditable duty of care trail. Jaama continue to invest heavily to ensure the world’s only web based fleet system to use next generation .Net Microsoft ‘Smart Client’ technology – Key2 – remains visibly and functionally years ahead of the market. Designed for all fleet sizes and budgets, Jaama links users live to data providers, customers, suppliers, vehicle telematics and the DVLA. Contact: Collette Dooley enquiries@jaama.co.uk
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Tel: 0844 8484 333 www.jaama.co.uk
Contact: Brendan Gleeson Tel: +44 (0)1908 576605 bgleeson@whiteclarkegroup.com www.whiteclarkegroup.com
FLEETW RLD Bynx
CFC Solutions
Bynx is a marketleading developer of software solutions for vehicle management. bynxFLEET enables vehicle leasing, fleet management and rental operators to control the lifecycle of vehicles and manage drivers, cost-effectively. Customers are able to retain asset value, engage with stakeholders online and better utilise vehicles. bynxFLEET provides a platform and all the tools and applications required to run every aspect of a vehicle business whether the fleet is owned or managed on someone else’s behalf. The product utilises functionality to automate and streamline contract processing and enables greater productivity, efficiency and utilisation. bynxNET improves the user experience and communication between dealers, customers, suppliers and drivers.
CFC Solutions is the market leader in the supply of fleet, contract hire and workshop management solutions, delivering ground breaking vehicle management software for more than three decades. With innovations including Licence Link, free to adopt software to check employee driving licences simply & compliantly online, Contract Manager, a software-as-aservice solution for vehicle leasing companies of all kinds and Fleet Plus, our widely adopted fleet management solution. Gold Certified Microsoft Partner Network status and ISO 27001 Accredited, CFC Solutions provides leading technologies, processes and security measures designed to keep on top of rapidly changing requirements, providing simple to use software that deliver significant results.
Contact: Gary Jefferies Tel: +44 (0)1789 471600 sales@bynx.com www.bynx.com
Contact: Enquiries enquiries@cfcsolutions.co.uk
Tel: +44 (0)121 717 7444 www.cfcsolutions.co.uk
Chevin Fleet Solutions Chevin is an award winning global provider of flexible, fleet management systems. Chevin works closely with organisations, regardless of size, sector or fleet complexity, to reduce waste, streamline processes and optimise management of fleet assets. Chevin offers two comprehensive software offerings: RoadBASE – a robust desktop-based application designed enhance efficiencies for medium-scale fleet operations; and FleetWave – the world’s first web-based fleet management system, designed for larger, geographically dispersed fleets. With offices in the UK, Europe, The US and Australia – and with customers in over 100 countries – Chevin has been in business for more than two decades and is a trusted and experienced supplier to over 300 organisations. Contact: Kevin Hudson kevin.hudson@chevinfleet.com
Tel: 01773 821992 www.chevinfleet.com
Mycompanyfleet
Sofico
Mycompanyfleet specialises in delivering appropriate scalable solutions to companies operating in the fleet and automotive industry. From supply chain management to leasing, from fleet management to service delivery and CRM, in multiple languages, we have a range of solutions that can be configured to meet every conceivable corporate requirement.
Sofico is the world’s leading supplier of mission critical software solutions for automotive finance, leasing and fleet management companies and its software is used by a broad range of world renowned leasing companies. Founded in Ghent, Belgium, Sofico has 20 years’ experience and expertise in the leasing and fleet management industry. It is privately owned, independent and employs over 115 people. The company has installed systems at more than 70 sites in 15 countries managing more than 700,000 vehicles. Sofico has developed its second generation software system, Miles, to support automotive finance, leasing and fleet management companies in meeting their business challenges. It supports the entire lifecycle of a leasing contract, based on a stable and scalable open technology platform.
Contact: Jon Tandy jon.tandy@ngahr.com
Tel: 0845 077 7760 www.mycompanyfleet.co.uk
Drive Software Solutions DRIVE Software Solutions Ltd is a privately owned UK business dedicated to the delivery of Fleet Management and Leasing solutions. Drive Software Solutions Ltd have created and own the DRIVE software product, a functionally rich and mature application that represents over 150 man-years of investment and development. DRIVE is a proven product, installed and operating successfully in 16 countries worldwide. Our policy of continuous product enhancements and DRIVE’s configurability enables us to meet the individual needs of each of our clients. This is backed by comprehensive professional services to ensure clients get the true ROI from implementing DRIVE. Contact: Simon West-Oliver Tel: +44 (0)1438 317731 simon.west-oliver@drivesoftwaresolutions.com www.drivesoftwaresolutions.com
Contact: Roger Smith Tel: 07815 601622 roger.smith@sofico.be www.soficoservices.com
December 2012
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FLEET FINANCE
No time for rest Mel Dawson Now is the time to start thinking about the impact of forthcoming changes to capital allowances and how to mitigate their effects on your fleet, says Mel Dawson, sales director of ALD Automotive.
“ It’s vital to consider the effects for any cars you are ordering now.”
t 0870 0011181
With fleet decision-makers across the country looking forward to a well-earned rest over the Christmas break, it may seem very unfestive to talk about things to do in early January. Nonetheless, with significant capital allowance changes looming, it’s important for fleets to get behind those changes now and be aware of their impact on your fleet car choices. Introduced as part of Budget 2012, the changes to the allowances and threshold for low-emission cars will affect any fleets purchasing cars – whether through leasing or outright purchase. The measures form part of the Government’s continued tightening on CO2 emissions across all areas of running a car to provide an increased incentive for fleets to run cleaner and leaner cars. The new allowances see the emissions threshold for the main rate for business cars (18%) drop significantly from 160g/km to 130g/km from April 2013. Cars above this threshold will now attract writing-down allowances at the special rate (8%). In addition, the 100% first-year allowance, which is available for the cleanest cars, will now only be applied to cars with CO2 emissions of 95g/km or less, instead of the previous 110g/km, and will no longer be applied to leased cars. As such, these new measures will have strong financial ramifications for firms that do not take any actions to rethink their fleet strategy fast. With just a few months until the new capital allowances are implemented, it’s vital to consider the effects for any cars that you are ordering now – otherwise your firm could see a significant increase in your tax bill and how long you’re paying it for.
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To give an example, using a base model BMW 3 Series saloon, the increase in costs to run just one vehicle is around £500 over a 4-year period. Costs in the table below include finance rental, service rental, corporate tax relief, using detailed financial modelling tools and assume standard VAT recovery. But it’s not all doom and gloom and help is at hand; firstly in the form of the car manufacturers who are taking giant strides in the development of cleaner and greener cars in all engine derivatives. One look at the 100% WDA tool on the Fleet World website shows that there are a wealth of cars – with electric, hybrid, diesel or petrol engines – at or below the 95g/km ceiling for first-year allowances. It’s also important for those who have outsourced their fleet to bear in mind the extensive help that your provider should be able to offer to help counteract the effects of the changes. For example, at ALD Automotive, our AutoSolutions team can provide you with a conclusive picture of company and employee tax implications during vehicle selection, helping fleets to avoid making costly mistakes as a result of the latest capital allowance changes. Our specialist AutoSolutions division comprises experienced analysts, experts in the fields of vehicle funding and fleet choice lists, and the deployment of proven cost-effective and practical car policies over many years. State-of-the-art software tools at the AutoSolutions team’s disposal include a unique total cost of ownership fleet software programme that analyses in fine detail every single factor – including capital allowances – that impact on car choices and can help you identify those vehicles that are not the most tax-efficient. For more details of how the AutoSolutions team can help optimise your fleet policy, please email autosolutions@aldautomotive.com or phone 0870 00 111 81.
Car
Pre-April 2013 delivery purchase costs
Post-April 2013 delivery purchase costs
Pre-April 2013 delivery lease costs
Post-April 2013 delivery lease costs
BMW 3 Series
£14,192
£14,651
£13,651
£14,092
e ukinfo@aldautomotive.com w www.aldautomotive.co.uk
What does this mean to you?
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SWOT TEAM
JAGUAR XF SPORTBRAKE v RIVALS
THE RIVALS BMW 5 SERIES TOURING
AUDI A6 AVANT
MERCEDES-BENZ E-CLASS
THE TEAM
Martin Ward (MW) Manufacturer Relationship Manager, CAP
Alan Senior (AS) Director, Vehicle Information Publishing
Mark Jowsey (MJ) Commercial Director, KeeResources KwikCarCost
Andy Cutler (AC) UK Car Editor Forecast Values Glass’s
December 2012
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SWOT TEAM This month the SWOT Team analyses the main strengths, weaknesses, opportunities and threats for the new JAGUAR XF SPORTBRAKE against its closest rivals. Here is what they have to say...
STRENGTHS
WEAKNESSES
AC If you want a stylish and well-built load-lugger then you can’t really go wrong with any of these. For the keener driver I would recommend either the BMW or the Jaguar. The Audi is a good all-rounder and the Mercedes is the biggest when it comes to practicality, but does lack a bit of dynamism.
AC It is hard to put your finger on any specific weakness in these vehicles as they are all such good allrounders. If you wanted to be critical then you would say that all of these cars are much better with the bigger diesel engines as the extra punch and refinement makes a big difference to the overall experience. The pick of the bunch when it comes to power, economy and CO2 is still the BMW, but the other three have made big inroads and the difference is now negligible.
MJ None of this group will disappoint and with an operating cost spread on the standard cars of only 1.5% from top to bottom, the choice can be entirely emotional! XF has brought an interesting alternative to the popular and very strong, if slightly conservatively-styled, German products, and Jaguar should look to make the same inroads with Sportbrake. In this sector it is vital that a car has high levels of interior comfort, and that does apply to these, plus XF’s trademark electric opening air-vents and rising gear selector do add to that experience. AS XF is carving itself a name in the luxury car segment and this new model offers versatility into the mix. Specification is right on the money. The 520d Touring is arguably the best looker and running costs are very competitive. A6 Avant has a strong image – status and style meets practicality. The 2.0 TDI offers competitive CO2 figures, surprisingly good economy and good performance for a vehicle of this size. Solid and classy, E-Class has a touch of understatement with fine build quality and good residual values on this derivative.
MW The three German brands are tried, tested, approved and loved by the British Shooting Brake Club. The Sportbrake is all-new but it does look great from every angle, and the designers have been clever in it not looking like a saloon with a bit added on. The BMW has the edge with sub 130g/km and the best MPG figures. The XF has a lovely interior which is very classy and upmarket. The Audi A6 is probably the best all-rounder as it does offer everything an estate car buyer wants, and needs.
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MJ Probably not a true weakness, but neither Jaguar nor Audi has mainstream petrol engines in their estate line-up, and in this group only Audi currently offers all wheel drive. However, diesel remains the volume choice, not the least because the high torque. Changes to Writing Down Allowances due from April 2013, impact on cars emitting between 130 & 160g/km CO2 will hurt all except the 129g/km BMW. The BMW and Mercedes do not have sat nav as standard, although adding a Business Media pack to the BMW or Map Pilot to the Mercedes has only a very small effect on costs.
AS Sportbrake is the new kid on the block, and might find it difficult to state its case in a shrinking market sector. A6 Avant offers standard leather and sat nav etc, but many other options are regarded as expensive toys by most used buyers and the multitronic box takes some getting used to. Mercedes does not have the same status it once enjoyed, especially for the younger premium segment buyer. MW The XF will have to start finding new customers, as it does not have a base to start from, and this may be difficult. The other three have not really changed design in years, though I’m sure the companies will disagree, but they do have a winning formula, so why change it dramatically? All these estates are called different things, and does this confuse the customer, especially new, potential customers: Sportbrake, Avant, Touring, different names – same thing.
JAGUAR XF SPORTBRAKE
BMW 5 SERIES TOURING
AUDI A6 AVANT
MERCEDES-BENZ E-CLASS
OPPORTUNITIES
THREATS
AC I see the biggest opportunity for Jaguar as they
AC The biggest risk to this segment as a whole is the growing popularity of the larger premium brand SUVs which in many cases offer similar practicality but also offer a greater visual presence and status that many drivers are now opting for. There is also the fact that the German manufacturers also offer excellent downsizing packages in the form of the 3 Series Touring, C-Class Estate and A4 Avant. All of these vehicles offer decent practicality and improved economy, so if size isn’t the biggest issue then they may well be the choice of many.
have really missed having a competitor in this segment. When they launched the XF saloon it gained lots of conquest sales for a number of reasons, but the main one being that it was a really good competitor. However, when it comes to true executive load-luggers then these four vehicles pretty much have things all to themselves. BiK costs are low for this type of vehicle but the BMW does edge in front of the others currently.
MJ There are certainly opportunities for Jaguar. Previously, if you wanted an executive estate, other than Volvo’s V70, the choice was these models from BMW, Audi or Mercedes. However good the established players are, there is always room for a quality competitor.
AS XF Sportbrake has plenty of scope in the fleet arena, and fills a big corporate hole for Jaguar. The 520d is an easy choice for many fleet buyers and users with its low running costs and reliable residuals. A6 Avant’s interior quality is a big selling point. Strong on image, this car looks good on the driveway. Excellent fit, finish, and attention to detail show quality has returned to the new EClass. This places the car in a good position for a fight with the competition here. MW The estate market is losing out to MPVs and SUVs as the public prefer their looks and practicality. But as the choice gets better, and another car joins the sector, then more advertising and awareness is done. This in itself will draw potential buyers into the showrooms, and make people more aware about what is out there. And of course as a new car appears, then deals get better on the others to keep market share, and customers, so the opportunity for all manufacturers increases, and the customer invariably gets a better deal.
MJ This could be a cut and paste of one of the biggest threats to almost all sectors – downsizing! Plus if you are familiar with BMW’s latest 3 Series Touring, Mercedes C-Class Estate and the Audi A4 Avant then you will know that running one of these isn’t exactly slumming it, and Jaguar does not currently have an upper-medium sector estate. There are many alternative vehicles but if you need the space and versatility then there is always the temptation of selecting a new low-emission two-wheel drive SUV, of which there are plenty. AS This is a declining market, due to downsizing trends and the SUV sector, which are undoubtedly the biggest threat to all four. Jaguar also has to contend with an established set of players in this sector, as well as fending off market trends. MW From a standing start, the XF Sportbrake has to find customers very quickly. Not just in the UK, but everywhere, and it’s up against some very good competitors so this will be very difficult. But, get a few on the road, and visibility will help. The low CO2 on the 5 Series Touring will be a real challenge for the other three. But the biggest threat for all estate manufacturers is the simple fact that there are some really good alternatives to the traditional estate, that offer much more, but for not much more money.
December 2012
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SWOT TEAM
JAGUAR XF SPORTBRAKE v RIVALS
JAGUAR XF SPORTBRAKE
Jaguar XF Sportbrake 2.2 Diesel SE Business OTR: £33,990 P11D: £33,815 Fuel: 55.4mpg CO2: 135g/km Residual value (3yr/60k): £12,775 (38%) BiK: 21% SMR: £2,972 Fuel costs: £7,053 Insurance: £4,575 Finance: £4,565 NI: £3,080 VED: £360 Cost per month: £1,214
BMW 520D TOURING
BMW 520d Touring SE Auto OTR: £34,040 P11D: £34,025 Fuel: 57.6mpg CO2: 129g/km Residual value (3yr/60k): £12,850 (38%) BiK: 19% SMR: £2,973 Fuel costs: £6,783 Insurance: £4,440 Finance: £4,593 NI: £2,817 VED: £200 Cost per month: £1,195
AUDI A6 AVANT
Audi A6 Avant 2.0 TDI SE Multitronic
MERCEDES-BENZ E220
THE VERDICT
Standard equipment: • Bluetooth, DAB Radio, USB/aux and single CD • Satellite navigation with seven-inch touch screen • Leather/suede upholstery • Self-levelling rear air suspension • Electrically operated tailgate Optional equipment: • Metallic paint £650 • Tow bar with electric kit £742 • Adaptive cruise control £1,275 • Front parking sensors £550 • Meridian premium sound system £590
Standard equipment: • Radio and single CD with iDrive and 7-inch screen • Bluetooth, USB and auxiliary connectivity • Full leather interior with heated front seats • Self-levelling rear air suspension • Electrically operated tailgate Optional equipment: • Metallic paint £655 • Tow bar and electric kit £805 • Adaptive cruise control £1,330 • DAB radio upgrade £315 • Satellite navigation £1,565
OTR: £33,985 P11D: £34,125 Fuel: 55.4mpg CO2: 135g/km Residual value (3yr/60k): £12,200 (35%) BiK: 21% SMR: £2,574 Fuel costs: £7,053 Insurance: £3,750 Finance: £4,607 NI: £3,108 VED: £360 Cost per month: £1,211
Standard equipment: • Radio, CD and memory card reader • Satellite navigation on 6.5-inch display • Full leather interior • Front and rear parking sensors • Adaptive suspension Optional equipment: • Metallic paint £655 • Tow bar with electrics £825 • Adaptive air suspension £2,000 • Electrically operated boot lid £430 • DAB digital radio £305
Mercedes-Benz E220 CDI BlueEFFICIENCY SE Auto OTR: £33,525 P11D: £33,375 Fuel: 53.3mpg CO2: 139g/km Residual value (3yr/60k): £12,400 (37%) BiK: 21% SMR: £2,740 Fuel costs: £7,330 Insurance: £4,440 Finance: £4,506 NI: £3,040 VED: £360 Cost per month: £1,207
Standard equipment: • Bluetooth, aux, radio and CD on 5.8-inch screen • Artico artificial leather upholstery with heated front seats • Adaptive cruise control • Self-levelling rear air suspension • Electrically operated tailgate Optional equipment: • Metallic paint £645 • Tow bar with electrics £695 • DAB digital radio £355 • Satellite navigation £795
A worthy entrant in a strong sector, the XF Sportbrake is priced and equipped to fit perfectly alongside a group of very strong rivals. Wholelife costs are so close that the decision here really rests on personal tastes and requirements rather than financial sway. Jaguar’s biggest challenge will be arriving from a standing start in a sector where its closest rivals have operated for decades. The XF Sportbrake is unlikely to steal massive volumes from German rivals, but will establish Jaguar in a previously unexplored segment.
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FLEETW RLD
SUPPLIER DIRECTORY
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BCA Tel: 0845 600 66 44 www.british-car-auctions.co.uk
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Mycompanyfleet Tel: 0845 077 7760 www.mycompanyfleet.co.uk
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VEHICLE DATA International Decision Systems Tel: 01256 302 000 www.idsdata.co.uk
Nexus Vehicle Management Ltd Tel: 0871 984 1947 www.nexusrental.co.uk
Jaama Tel: 0844 8484 333 www.jaama.co.uk
MAC GB Ltd Tel: 01745 828180 www.reduceroadrisk.com
Alliance Asset Management plc Tel: 01480 475000 www.fleetcentre.com
Leasedrive Rental Management Tel: 0844 579 8877 www.leasedrive.com
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CONTRACT HIRE, LEASING & FINANCE Volkswagen Group Leasing Tel: 0870 333 2229 www.volkswagengroupleasing.co.uk
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Civica Tranman Tel: 01454 874002 www.civica.co.uk/tranman
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Alphabet (GB) Limited Tel: 0870 50 50 100 www.alphabet.co.uk
Lex Autolease Tel: 0800 085 4128 www.lexautolease.co.uk
Enterprise Rent-A-Car Tel: 01784 221 300 www.enterprise.co.uk
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Tel: 0845 603 4590 www.acvm.co.uk
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Roadmarque Tel: 0845 053 0331 www.roadmarque.com
For more information, please contact Tracy Howell on 01727 739160 or email tracy@fleetworldgroup.co.uk TELEMATICS & TRACKING
Concept Vehicle Leasing Tel: 0800 043 2050 www.conceptvehicleleasing.co.uk
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Full listings online at fleetworld.co.uk
TomTom Business Solutions Tel: 020 7255 9774 www.tomtom.com/business
Quartix Ltd Tel: 0870 013 6663 www.quartix.net
FUEL MANAGEMENT The leading magazine for fleet decision-makers
January 2012
DIARY DATE
FLEETW RLD
18/4/2012 Visit evfleetshow.co.uk for more information and to register for the event
inside Seoul Searching
Leasing trends
Hyundai plans major fleet push
Is the contract hire industry due more change?
Stars of 2012 Featuring all the essential new cars launched this year
BP PLUS Fuel Cards Tel: 0845 603 0723 www.bpplus.co.uk
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Navman Wireless UK Ltd Tel: 0845 521 1188 www.navmanwireless.co.uk
Shell Fuelcards Tel: 0800 7 31 31 37 www.shell.co.uk/euroshell
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TRACKER Network UK Limited Tel: 0845 602 3981 www.TRACKER.co.uk
Telogis Tel: 01344 747638 www.telogis.co.uk
driving towards lower fleet emissions
December 2012
51
FLEET UPDATE
This month A perception-changing term for our DS5, but hybrid economy fails to follow suit. FINAL REPORT
Citroën DS5 2.0 HDi 160 Changing perceptions in the fleet market is no easy task, but the evidence suggests that the new DS models have done it for Citroën. Our DS5 long-termer has attracted some extremely positive feedback and while it would be untrue to say that the car isn’t without its faults, it is equally fair to say that they are outweighed by its many plus points. With prices in the high twenty thousands, DS5 is taking on the might of the German premium car manufacturers. And by all accounts they are doing quite a good job of it. What helps the Citroën argument is that its DS models are a bit quirky, but not so much so that the conservative-minded company car driver thinks that his mates will all laugh if he chooses one over a 3 Series, A4 or C-Class. This is daring to be
different without taking too great a risk. First impressions are important with a car in this class and the fact that the DS5 looks well muscled but not flabby is a good start. The oxymoron that once was French luxury cars often resulted in designs that were simply too big to be taken seriously and many’s the motor show design concept that has mercifully never made it to full-scale production. The character of the exterior manifests itself in a stylish interior that would have some ergonomists reaching for the gas and air. There are an awful lot of buttons spread all round the interior, and not always either particularly obvious or where you would expect them to be. But it doesn’t take long to find your way round and to a certain extent this adds to the DS’s appeal. Japanese cars used to be labelled as ”boringly reliable”. The DS5
will never suffer under the misnomer of being ”boringly conventional”. The suspension seems a bit harsh at first and if the winter’s frost does its usual damage to our roads then it might be an issue for some, but we found it became less marked over time as the contrast with previous, softer cars faded. It’s certainly not the ”teeth-jarring” ride that one notable Fleet Street journalist claimed it to be. The 160bhp, 2.0-litre HDi engine and six-speed automatic gearbox are definitely worthy of a special mention. The combination works seamlessly, responds quickly and provides plenty of muscle at low engine speeds. It’s not the quietest car we’ve ever had on our fleet but it won the admiration of everyone who drove it. A perception changer to be sure.
Ross Durkin
OTR PRICE £28,000 POWER 160bhp @ 3,750rpm TORQUE 251lb.ft @ 2,000rpm 0-62MPH 8.5 seconds TOP SPEED 134mph COMBINED MPG 55.4mpg CO2 133g/km (19% BiK)
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Renault Megane Sport Tourer dCi 110 As driver choices get more and more diverse and increasingly niche – compact crossover, SUV, midi-MPV and the like – it’s quite comforting to spend a bit of time behind the wheel of a traditional ”estate” model, albeit one that is geared more towards styling than absolute practicality. It’s comforting because there is no 4x4 system to add unnecessary weight here, no extra high body to adversely affect aerodynamics and shock of shocks, our Megane Sport Tourer even employs a traditional parking brake lever. The smooth profile and slippery styling of Megane no doubt help it to achieve impressive combined cycle fuel economy figures – 80.7mpg in this case – though quite how replicable this will be in our tenure remains to be seen. Our Megane Sport Tourer is the Dynamique TomTom dCi 110 Stop & Start model with the 1,461cc dCi diesel engine. This engine can also be found in non-Stop & Start Meganes and without the trick fuel-saving technology, delivers 67.3mpg on the combined cycle. This is probably a more realistic figure for us to try and achieve on a daily basis, while the fact that the Stop & Start offers lower tax bills too (2012/13: 13% vs 15%, 2013/14: 13% vs 16%, 2014/15: 14% vs 17%) makes it quite a tempting choice. The way the Megane delivers those figures is very impressive too. Sure, it’s not that powerful or torquey but it is ultra smooth and superbly refined, delivering easily enough performance and getting the balance just about right. Inside, the Megane Sport Tourer ticks most boxes, with the emphasis on functionality, rather than flashiness. The build quality seems excellent and, this being a TomTom model, you can take intuitive, accurate, traffic-friendly satellite navigation for granted. Our newest addition to the FW Fleet looks sets to have a busy few months so we’ll report back when the Megane has a few more miles under its wheels.
Luke Wikner
Peugeot 508 Hybrid4
After a couple of months and a couple of thousand miles, I feel as though I'm getting to know my way around Peugeot’s diesel hybrid. Perhaps predictably it’s a mixture of the impressive and the simply frustrating. So I shall start with the good news. Peugeot’s HYbrid4 system works seamlessly. It quickly switches between electric drive to the rear axle and diesel drive to the front, and will cut the diesel engine at every opportunity. As we have previously discussed, it also flatters Peugeot’s underperforming (when compared with VW’s DSG) EGS gearbox because the hybrid system is programmed to keep the torque flowing to the back wheels during gear shifts, making for smooth changes except under rapid acceleration, when it is more difficult to mask the delays. The 508 is also an imposing presence. It looks good and also appears to be well assembled. Fuel consumption, currently averaging 53mpg on the trip computer, though many modern diesels can match that without the cost and complexity of a hybrid. To counter that, HYbrid4 drivers have 200bhp on tap, so 53mpg viewed in that context isn't so bad. In normal fleet parlance, hybrid = impressive mpg and talk of performance, or 4x4 capability may cut little ice with more traditional fleet customers. there are some fleet managers who think that a diesel hybrid should mean 70mpg but with winter upon us, the four-wheel drive capability will come into its own and the extra cost may be outweighed by less downtime if the weather turns. Feedback through the steering wheel doesn’t match the Mondeo I was running before, which set such a high standard. There’s also too much wind noise reaching me through the driver’s door seals though this could be more noticeable due to the 508’s motorway refinement elsewhere. That said, I look forward to driving the 508 because it works well, even though better fuel consumption would be welcome given escalating fuel prices...
John Kendall OTR PRICE £20,600 POWER 110bhp @ 4,000rpm
OTR PRICE £31,450 POWER 163bhp @ 3,850rpm
TORQUE 177lb.ft @ 1,750rpm 0-62MPH 12.4 seconds
TORQUE 221lb.ft @ 1,700rpm 0-62MPH 9.0 seconds
TOP SPEED 118mph COMBINED MPG 80.7mpg
TOP SPEED 130mph COMBINED MPG 78.5mpg
CO2 90g/km (13% BiK)
CO2 95g/km (13% BiK)
December 2012
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FLEET UPDATE
Audi Q5 With winter taking a firm hold, it seemed a sensible time to try out a four-wheel drive SUV for a few months, and our new Audi Q5 fits the bill. It’s a model that was refreshed earlier in the year, but you would be hard-pressed to notice the changes. Fortunately it was a handsome car before anyway, but now the headlights are slightly changed with LED running lights and the bumpers have been reprofiled. Inside, some of the buttons have been altered slightly, but I’ll be honest, I really can’t be sure which. Trying to be parsimonious in these times of austerity, our car doesn’t have a lot of kit on it, with adaptive headlights (which cost £1,130) the only notable option. The SE versions still comes with leather seats as standard though, but not satellite navigation, the omission of which seems a bit odd in an SUV of this price. For the first few miles, the now-higher rated 177bhp engine has taken some bedding in, so I wouldn’t expect it to be delivering any amazing fuel economy figures, and it’s been managing MPG in the early 30s. Permanent fourwheel drive means it will never scale any heady heights, but as I said for winter it should prove ideal. What does impress with the Q5 is comfort: it rides really nicely, the engine is quiet, the S Tronic gearbox is incredibly smooth and as a result it munches up miles with no trouble at all. As I write this, we’ve got snow forecast in the next few days, so hopefully, the Q5 will come into its own.
Steve Moody
Nissan Qashqai 1.6 dCi n-tec+
It’s not that long since opting for a small family car really just meant a hatchback or MPV. Now, helped in no small part by the Qashqai, drivers with family needs to consider have a fast-growing selection of crossovers at their disposal. Over the last few weeks we’ve been putting the practicality of the Qashqai to the test, transporting both family (and in one case a load of baby paraphernalia, including a cot bed) around. And we have to report that it’s been performing mighty fine on all counts, with plenty of boot space and cabin space, although the sharp design means it’s less well sized on rear headroom for taller passengers. It’s also proving really comfortable on the move and great for long-distance motorway cruising, although this does come with some added body roll – a fair trade-off in my book for being able to hop out of the car still feeling spritely a couple of hours later. I’m also loving the Qashqai’s crossover status for ensuring it’s small enough to feel decidedly at home round town yet looks beefed up and feels robust too – even though its high ground clearance is mainly being put to use in my case for kerbside parking on the school run. Where it’s dividing some opinions though is the subject of the colour reversing camera with bird’s eye view. The first time my husband saw it, he was pretty impressed, announcing emphatically within seconds that he loved it and thought it was really useful. I’m certainly pleased to have it but do find that it’s onerous to have one more place to look while reversing and I’d also like to throw in a parking sensor with audible beeps too – though I’m suspecting that’s a crossover too far for most.
Natalie Middleton OTR PRICE £36,595 POWER 177bhp @ 4,200rpm
OTR PRICE £23,145 POWER 128bhp @ 4,000rpm
TORQUE 280lb.ft @ 1,750-2,500rpm 0-62MPH 9.0 seconds
TORQUE 236lb.ft @ 1,750rpm 0-62MPH 10.3 seconds
TOP SPEED 124mph COMBINED MPG 47.1mpg
TOP SPEED 118mph COMBINED MPG 62.8mpg
CO2 159g/km (25% BiK)
CO2 119g/km (17% BiK)
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VAN
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FLEETW RLD December 2012
‘The 4x2 and 4x4 single cabs and an extended cab 4x4, provide Isuzu with one of the widest ranges in the pick-up market.’
December 2012
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A MONTH IN FLEET A skip through the key news and events since the last issue of VAN Fleet World. Edited by John Kendall. Sign up to our FREE digital newsletter Fleet World Confidential... visit fleetworldsubscriptions.co.uk
SSANGYONG ADDS KORANDO CSX TO LCV RANGE SsangYong has launched a light CV model based on the Korando SX 4x4 SUV. The Korando CSX goes on sale with prices starting from £15,995 on-the road (ex-VAT). Based on the Korando SX, the CSX retains the rear passenger doors, but fitted with dark panels in place of windows. Replacing the rear seats is a flat load floor, providing a load length of 1,525mm, with 965mm between the wheel arches. It can carry a maximum payload of 433kg, with a maximum towing capacity of 2,000kg. The CSX is powered by a 149hp version of SsangYong’s two-litre diesel. Carbon dioxide emissions are rated at 157g/km, with combined fuel consumption of 45.6mpg. SsangYong’s Torque-On-Demand traction system drives the front wheels in most circumstances, but if they lose grip, the system automatically feeds torque to the rear wheels. An all-wheel-drive lock mode that splits drive 50/50 front/rear at speeds up to 25mph can be selected. Traction control is provided by the standard ESP system, incorporating hill start assist. Standard equipment includes mud and snow tyres, cruise control, and iPod and Bluetooth connectivity. The vehicle is covered by SsangYong’s comprehensive five-year unlimited mileage warranty. SsangYong currently has 52 dealers nationwide, with three more expected to join shortly.
NORTHAMPTON WIN FOR SFS Specialist Fleet Services has won the contract to supply and maintain the property services vehicles for Northampton Borough Council. 80 new vehicles will be phased in from early 2013 including Citroen vans and Isuzu Trucks tippers and hook lifts. The vans will be fitted with Edstrom racking and all vehicles will use Fleetmatics telematics systems.
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CONFIDENTIAL
RENAULT TRUCKS INTRODUCES MASTER ECO Volvo Trucks subsidiary Renault Trucks has launched the Renault Master ECO through its dealer network. The company claims that the Master ECO uses 7% less fuel that the previous model. The launch is supported by a range of finance deals from Renault Trucks Financial Services, offering interest rates of between 0.99% on a three-year deal, 1.49% over four years and 1.99% over five years. The finance options are available until 31 December through all Renault Trucks UK authorised distributors. The Master ECO is available across the Master front and rear-drive ranges from 2,800kg to 4,800kg GVW and with all body options. This includes panel van, chassis and crew cab, minibus and platform cab variants. The ECO option is available with all power ratings of the 2.3-litre common diesel engine. 100hp and 125hp versions are already on sale and the 150hp engine will follow. Renault Trucks has stopped selling the Nissan Cabstar-based Maxity light truck, first introduced through Renault Trucks dealers five years ago. The Renault Trucks light CV range is now based on the Master, supplied to the company by the Renault Group.
ECO TRANSIT CUSTOM CUTS MPG Ford is now taking orders for the new Transit Custom ECOnetic. Ford claims combined fuel consumption from 46.3mpg, with carbon dioxide emissions starting from 162g/km, 8% lower than the outgoing Transit ECOnetic. Ford has introduced a range of technologies to achieve this, including Acceleration Control, which limits acceleration to that of a fully laden van, reducing fuel consumption when the vehicle is unladen or part-laden. Ford claims that test results suggest this can cut fuel consumption by 4–15%, while reducing brake and tyre wear. ECOnetic Transit Custom models also benefit from a 70mph speed limiter that can be switched off, a dedicated calibration for the engine management system, a coolant bypass valve to quicken engine warm-up, revised gear ratios with a 6% higher final drive ratio, as well as low rolling resistance tyres and aerodynamic wheel trims. A fixed speed limiter is also available as an option, set at 56mph, 62mph or 70mph as required. Ford will offer the Transit Custom ECOnetic in short or long wheelbase and a choice of three gross weights. Customer deliveries are expected from early 2013.
EAST RIDING CHOOSES CTRACK
NAMA LAUNCHES LCV PRICE REPORTS
East Riding of Yorkshire council will fit 600 vehicles used for waste management, street cleaning and highway maintenance with Ctrack telematics systems. The system will monitor the use of on-board equipment and driver behaviour.
The National Association of Motor Auctions has launched a monthly price report for used vehicles passing through auction. The report shows a continuing upward trend in prices, attributed to the limited availability of clean used light CVs.
DRIVEN
Peugeot Expert
Words Dan Gilkes
specification MODEL BASIC PRICE ENGINE
Expert auto 163hp L1H1 £19,850 4-cyl/1,997cc
FUEL INJECTION POWER
Common-rail 163hp @ 3,750rpm
TORQUE 340Nm @ 2,000rpm Weights (kg) GVW 2,920 KERB WEIGHT 1,713 PAYLOAD 1,204 MAX TRAILER WEIGHT 1,800 Dimensions (mm) LOAD SPACE LENGTH 2,254 LOAD SPACE WIDTH 1,602 LOAD SPACE HEIGHT 1,449 WIDTH between wheel arches 500/540 LOAD HEIGHT (unladen) 1,250 LOAD VOLUME 5.0m3 Cost considerations FUEL TANK CAPACITY 80 litres COMBINED MPG 39.2mpg CO2 emissions 189g/km OIL CHANGE 2 yr/12,500 miles WARRANTY 3 yr/100,000 miles
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Automatic transmissions and automated manual gearboxes have become increasingly popular in the car market and we are now seeing a similar, if slightly slower, move to self-shifting boxes in vans. There are a number of automated manuals available – VW’s excellent DSG, the Renault/Vauxhall Quickshift/Tecshift, Fiat’s Comfort-Matic, while Mercedes has continued to market full auto transmissions, the latest being the 7G-Tronic that is now available in Sprinter. Peugeot’s Expert van might not be the obvious next name in that list, but the French company is now offering a full auto six-speed box in its mid-size load hauler. It’s available as an option with the range-topping 163hp version of Peugeot’s 2.0-litre diesel engine, and will set you back around £1,000 on top of the van’s price. You can order the engine and transmission combination in an L1H1 van like we have here, or in the longer L2H1 body. It’s not available with the higher roof for some reason. Rather oddly the auto doesn’t come in the Professional high specification versions either, so you will have to tick option boxes if you want the air-con and Bluetooth that comes as part of the Professional pack. ESP is standard on all vans with the 163hp engine though. The 163hp Expert claims the same acceleration and top speed figures whether you opt for the manual or the auto transmission. To be honest though the auto feels instantly quicker, partly because its gear-changing is so smooth and swift. Traditionally the big downside of an automatic box has been fuel related, though the modern six-speed auto doesn’t give away too much to its manual cousin. Peugeot claims a combined figure of 44.1mpg for the 163hp manual, while the auto offers an entirely believable 39.2mpg. The manual pumps out 168g/km of CO2 and the auto a still respectable 189g/km. Perhaps unusually, the automatic will carry slightly more, offering a payload of 1,204kg versus
1,186kg in the manual van. But few buyers will be looking closely at the final few kg of load weight. The big difference, particularly in congested urban conditions, will be the driving experience, which is excellent. I would go so far as to say that this is the best Peugeot van that I have driven in quite some time. The Expert pulls away from the lights rapidly and will happily hold its own on all types of road. The transmission is smooth and very well matched to the van, shifting up and down rapidly and without fuss. There is no denying that it is operating in a crowded market sector though, many of its competitors being much younger and in many ways more advanced. Our van came with a single passenger seat, making it feel roomy inside. You can carry three with the standard twin passenger seat though. Our van also boasted a host of optional extras, including manual air-con (£800), Peugeot Connect Navigation including Bluetooth (£650), cruise control/speed limiter (£160), rear parking sensors (£190), Visibility Pack (auto lights and wipers plus front fog lights (£180)) and colour coded bodywork (£300). Perhaps if you are happy to spend the extra on the auto box then some of these options will appeal too. Which brings us to the auto’s biggest challenge: cost. Few customers will worry about the additional fuel consumption, but finding the extra money at purchase time might be another matter. However, if the buyer is also the driver, and they work in a predominantly urban environment, the auto really does make driving much easier.
verdict The automatic transmission remains a niche option in Peugeot vans. However, if it was extended across the engine range and the price was a little lower, it could prove more popular.
DRIVEN
Isuzu D-Max
Words Dan Gilkes
specification MODEL Isuzu D-Max Extended cab 4x4 BASIC PRICE £16,749 ENGINE 4-cyl/2,499cc FUEL INJECTION Common-rail POWER 163hp @ 3,600rpm TORQUE 400Nm @ 1,400-2,000rpm Weights (kg) GVW 3,050 KERB WEIGHT 1,965 PAYLOAD 1,085 MAX TRAILER WEIGHT 3,000 Dimensions (mm) LOAD SPACE LENGTH 1,795 LOAD SPACE WIDTH 1,530 LOAD SPACE HEIGHT 465 LOAD HEIGHT (unladen) 1,225 LOAD VOLUME 2.75m3 Cost considerations FUEL TANK CAPACITY 69 litres COMBINED MPG CO2 emissions OIL CHANGE WARRANTY
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38.2mpg 194g/km 2 yr/12,000 miles 5 yr/125,000 miles
Isuzu has always built a rugged workhorse pickup that proved popular with farmers and construction workers. However, its Rodeo range was perhaps less successful in the higher specification retail market. With the introduction earlier this year of the D-Max line-up, including three levels of double-cab 4x4, things have certainly changed. Since the launch in June, Isuzu UK says that it has grabbed 14% of the UK pick-up market, but an even stronger 30% of the non-fleet retail sector. Isuzu has not forgotten its core buyer though, and is now introducing single cab and, for the first time in the UK, an extended cab model with a new utility specification. The single cab model is available in both 4x2 and 4x4 layouts, while all extended cab and double-cab models are four-wheel drive only. The utility specification, which has been arrived at after consultation with customers, can be had on single, extended and double-cab models, while the double-cab can also be had in the increasingly well specified Eiger, Yukon and Utah trims. The utility line comes with steel wheels and black plastic bumpers, door mirror housings and door handles. You also get tough cloth trim and an easy to clean vinyl floor covering. You do still get front, side and curtain airbags, manual airconditioning and three-point rear seat belts in both extended and double-cab models. As with a number of extended cabs on the market these days, the rear doors of the D-Max are hinged at the back edge, providing a wide opening to place tools and luggage behind the driver and passenger seats. On the road it is hard to tell the single cab and extended cab 4x4 models from the established double-cab, apart from the lower level of trim in the cab. All models use the same 163hp, 400Nm twin-turbo 2.5-litre engine. Even the single cab model provides enough storage behind the seats for coats and small bags, but the extended cab offers a really usable space,
including hidden storage below the rear seat pads. Of course the big benefit of the single and extended cab format is longer load beds, offering increased carrying capacity. The single cab models have a load bed that is 2,305mm long, while the extended cab manages 1,795mm, compared to the double-cab’s 1,552mm. The 4x2 single cab model has a payload capacity of 1,128kg and can pull a 2.5 tonne trailer. Opt for the 4x4 single cab and the payload rises to 1,136kg and towing capacity goes up to 3.0 tonnes. The extended cab model has a payload of 1,085kg and can also pull a 3.0 tonne trailer. The one option that was missing at the doublecab launch – some form of integrated sat-nav – has now been made available in a Vision Pack. This includes an upgraded Pioneer stereo incorporating satellite navigation, a reversing camera feed, iPod connectivity and Bluetooth connection. It is available on both the Yukon and Utah 4x4 models and will set you back £900 plus the VAT. There will be further specification additions in future too, with Isuzu looking to develop tradespecific trim options, such as the Huntsman model aimed at gamekeepers and anyone interested in hunting and shooting. The Huntsman specification includes load bed drawers, a winch and ramp on the loadbed, a Truckman Grand hard top with ventilation, allterrain tyres, a tow bar, the Vision Pack, black bonnet trim and black alloy wheels. Isuzu UK hopes to sell around 2,800 pick-ups this year – 400 more than in 2011. With the additional models the target for next year will be 3,500 pick-ups.
verdict The 4x2 and 4x4 single cabs and an extended cab 4x4 provides Isuzu with one of the widest ranges in the pick-up market. The utility specification also broadens its ”workhorse” appeal.
NV200 4.2m3 load volume 739kg payload 55.4mpg/135g/km CO2
PUMP UP THE
VOLUME 4.2m3 OF LOADSPACE IN A COMPACT VAN. THE NV200. PRACTICALLY GENIUS.
Sound impossible? Just wait till you open the back doors and see for yourself. 4.2m3 of load capacity means bigger loads, fewer pick-ups and even quicker finishes. And because it’s all in the footprint of a compact van, it’s even easier to park and get about town too. Now that’s more than practical, it’s practically genius.
Nissan. Innovation that excites.
NV200 SE 1.5 dCi
£155
FROM + VAT per month contract hire*
nissan.co.uk/nv200
*BUSINESS USERS ONLY. Contract Hire is available subject to status and conditions on eligible vehicles registered between 01/10/2012 and 31/12/2012. Guarantees and Indemnities may be required. Example based on 12+35 profile, 10,000 miles per annum on a non-maintained contract. Further charges may be made subject to mileage and condition. Excess mileage will be charged at 6.4 pence per mile (excluding VAT). RAC cover, vehicle excise duty and 3 year/100,000 mile warranty included. Contract Hire Finance provided by Nissan Business Finance, a trading style of Arval UK Limited, Windmill Hill, Swindon SN5 6PE. Model shown is NV200 SE 1.5 dCi priced £13,970 exc. VAT and optional metallic paint at £350. Models subject to availability. Prices correct at the time of going to print. Nissan Motor (GB) Limited, The Rivers Office Park, Denham Way, Rickmansworth, Hertfordshire WD3 9YS.
VAN OPERATIONS Risk Management
Social media, libel and you The recent BBC Newsnight case could see some users of social media facing libel proceedings. Learn from their mistakes, says John Kendall. Until a few years ago, the people who needed to worry most about libel proceedings were journalists and writers. But as the recent case concerning the BBC2 Newsnight programme demonstrates, others could now face court proceedings for having posted comments on Twitter, or other social media sites. While the majority of fleet managers and drivers don’t seem to be likely targets for libel proceedings, the fact is that many of us use social media such as Twitter, Facebook and LinkedIn, where comments can be read by a worldwide audience. Britain has some of the most draconian libel laws in the world. They are currently undergoing reform, with the Defamation Bill having passed its third reading in the House of Commons in September, but it is not yet clear how much difference this will make to users of social media sites. This feature is not a comprehensive guide to the law, but we will try to explain why anyone using social media needs to be cautious about comments they post. Our libel laws were drafted long before electronic communications were even possible and were designed to allow individuals to defend their reputation. So from the start, libel has been concerned with defending the rights of individuals who believe their reputation has been damaged, not protecting the rights of individuals who wish to write stories which they believe could be helpful to others. Clearly it would be wrong if anyone could write anything they liked about anyone else, without consideration for the harm that this may cause. Our libel laws cover many areas, which most people do not realise. For something to
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be considered published, for instance, it need only be a letter written to one person from another. So a letter containing material about someone else that results in damage to their reputation could be considered libellous. With publishing defined in such a simple way for libel purposes, it is hardly surprising that text messages, email, Twitter messages, material posted on blogs and websites, on Facebook, or LinkedIn could all fall within the scope of the legislation. The law even covers drawings. Electronic communication means that something you sent to someone else, intended for their eyes only could, at the touch of a button or click of a mouse, be sent to someone else, or posted on a website, where it could be viewed by millions of people. It makes no difference if the defamatory comment was written by someone else either. If you choose to quote it, or retweet it, in the eyes of the law you are perpetuating the libel and may be just as liable to legal proceedings as the originator of the comment. If an individual can be identified from the comment, they don’t need to be named in it for it to be considered libellous. Historically, claimants seeking libel damages can pursue the author, editor, publisher, distributor or seller of the publication. Where social media is concerned this could mean the originator of the comment, those who have repeated it, the owners of the website or blog that has permitted it and Internet service providers. This may change under the proposed new legislation, but if so, greater emphasis could be placed on the originator of the material. There are defences in libel law, known as Justification, Fair Comment, Absolute
Privilege, Qualified Privilege and The Reynolds Defence. Justification is simply a question of whether the material was factual, but the supporting evidence must be beyond dispute. For a defence of Fair Comment, the writer must show that the opinion was based on fact and made without malice or disregard for the truth. Absolute Privilege covers comments made by MPs and members of the House of Lords in Parliament and those speaking in a court of law. Qualified Privilege covers comments made in circumstances such as employment references, confessions to a priest, or bank enquiries. The Reynolds Defence relates specifically to journalism and we shall not concern ourselves with it here. None of these defences are easy to make, because libel laws have developed differently from other areas of the law, which makes it difficult for lawyers to predict the outcome of a case. Few cases reach court these days because of the high costs involved – usually far more in costs and legal fees than in damages. In short, think before you Tweet, retweet or post online.
A COMMENT COULD BE LIBELLOUS EVEN IF: • It was made on a social media site such as Twitter, Facebook, LinkedIn, or on a blog, in a text or email. • You retweet or quote it, even though you did not originally write it. • It is true, but that cannot be proved beyond doubt. • It does not name an individual, but they could be identified from it. • It is in the form of a drawing.
Discover specialist solutions delivered by experts.
At Alphabet, we appreciate your business may need a variety of commercial vehicles and understand the importance of flexibility when offering you solutions for your fleet mix. From the complexity of ply lining, cranes, racking and tail lifts, to corporate livery, we can offer a flexible solution, whether it’s a car-derived van or a specialist modified vehicle. Our dedicated expert commercial vehicle team can assist in delivering the right solution for you today and for the future. Find out more: Tel: 0870 50 50 100 Email: alphabet@alphabet.co.uk www.alphabet.co.uk
MARKET OVERVIEW Short-term Rental
Arnold Clark Car & Van Rental
Alliance Asset Management
Arnold Clark Car & Van Rental is one of the UK’s largest, independently owned rental companies with over 40 years experience in the provision of long and short term tailor-made economical fleet solutions for corporate and retail clients. With access to a nationwide, multi-franchise fleet of over 55,000 vehicles in branches throughout the UK and close links with vehicle manufacturers, Arnold Clark Car & Van Rental offers extremely competitive rental rates on a range of the most up to date cars and vans. An on-line booking facility for both retail and corporate clientele is available and business users can also benefit from a dedicated on-line management reporting facility.
As one of the UK’s leading rental management companies, Alliance provide rental solutions for companies of any size including cars and light commercial vehicles, Lutons, tippers, crew cab vehicles, 4x4’s, 7.5-ton vehicles and larger. Alliance can meet more bespoke requirements including liveried vehicles, towbars, complex racking systems, refrigerated vehicles and more. Alliance operates a carefully chosen network of suppliers, ensuring UK-wide coverage, exceptional service, extensive vehicle fleet and commercial expertise, with simple invoicing at competitive prices.
Contact: Business Centre central.reservations@arnoldclark.co.uk www.arnoldclarkrental.com
Tel: 0845 702 3946
Contact: Riane Cooke rcooke@fleetcentre.com
Tel: 01480 475000 www.fleetcentre.com
Europcar UK Group Enterprise Rent-A-Car Enterprise Rent-A-Car is the world’s largest international car and light commercial rental company. Specialising in providing daily and weekend rental for private or business use, we also provide replacement vehicles, courtesy cars and vans that are relied upon in the event of an accident. In addition, Enterprise Flex-E-Rent offers a new flexible solution, providing fleet operators with access to long-term light commercial rentals that can be tailored to meet your requirements. Founded in 1957, Enterprise is headquartered in St. Louis and has more than 7,700 offices in the UK, Germany, Ireland, the United States and Canada. Enterprise, which started in the UK in 1994, has rapidly expanded and currently has over 360 locations across the UK & Ireland, with more than 3,000 staff. Three quarters of the UK population are within five miles of an Enterprise location. For more information about Enterprise, visit www.enterprise.co.uk
Contact: Tony Francis anthony.b.francis@erac.com
Tel: 01784 221 300 www.enterprise.co.uk
Ford Rental Ford Rental is the UK’s largest Dealer Rental operator, celebrating 40 years of keeping customers on the road. With one of the youngest fleets including the full range of latest car and commercial vehicles, our flexible approach to daily rental and flexible long-term rental means we are ideally placed to manage organisations’ short and-long term rental requirements. We offer innovative approaches, understanding that fleet is a high cost to any business and continuously deliver high levels of customer satisfaction. Need volumes of vehicles on a flexible rental basis? Call Ford Rental who can access stock with ease.
Contact: Heidi Sayer info@fordrental.co.uk
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Tel: 0844 826 1353 www.fordrental.co.uk
Europcar UK Group, comprising the Europcar and National brands, provides access to the UK’s leading vehicle hire fleet of over 45,000 cars plus over 6,000 vans (at peak) through its comprehensive network of 200 locations across the UK. The business offers a range of flexible products to suit all business requirements – from 1 day to 1 year, with delivery and collection, corporate loyalty programmes, one way rentals and a range of payment options. These services are supported by innovative online solutions to help businesses monitor and manage vehicle use to support cost efficiencies, duty of care responsibilities and address environmental concerns.
Tel: 01923 811250 businesssupport@europcar.com europcar.co.uk
Motiva Group Motiva Group offers commercial vehicle daily rental through its M-Way Vehicle Rentals division. We have 2,500 high-quality vehicles available, from vans to tractor units and from refrigerated units to cranes. Our network is spread across more than 400 locations across the country, which means the vehicle you need will usually be with you within three hours. Running a rental fleet can be complex and time-consuming. M-Way has the expertise to help you keep control of both vehicles and costs, with 24/7 online booking, dedicated account management, nationally consistent rates, breakdown cover and electronic invoicing.
Contact: Paul Dawson paul.dawson@motivagroup.co.uk www.motivagroup.co.uk
Tel: 01782 281000
VAN How many commercial vehicles does your company operate?
How many rental locations does your company have?
Do you offer a one-way rental facility for vans?
Do you offer a delivery/ collection service for vans?
Do you offer an on-line booking facility for vans?
Do you offer an on-line management reporting facility?
Do you offer vans fitted with satellite navigation systems?
Do you offer vans fitted with tail-lifts?
Do you offer refrigerated vehicles?
Do you offer a guaranteed no turn down policy?
How many vehicle groups do you offer?
Do you provide electronic invoicing and statements?
Do you provide online damage management?
FLEETW RLD
Arnold Clark Car & Van Rental
2.5k
34
-
-
7
-
Alliance Asset Management
80k
1.2k+
100+
-
8.75k 360+
-
-
16
-
Key to services
Service provided
-
Service unavailable
Enterprise Rent-A-Car
Europcar UK Group
6k
200
4
Ford Rental
4k
150+
-
-
20+
-
Leasedrive
25k
1.2k
12
Motiva Group
2.5k
400
-
-
65
-
Nexus Vehicle Management Ltd.
80k
1.7k+
All
Sixt rent a car
23k
117
-
All
-
Nexus Vehicle Management Ltd.
Sixt rent a car
Nexus is the UK's leading provider of vehicle rental supply, management and software to end users and intermediaries across the fleet, corporate and public sector. We provide a fully managed rental service covering over 1,700 locations with access to approx. 80,000 commercial vehicles. Nexus, through our unique IRIS software platform, provides customers with a revolutionary rental management solution, ensuring seamless delivery, advanced reporting, swift billing and exceptional customer service at competitive terms, each and every time. We are adept at sourcing precise specifications and bulk orders on standard, specialist and adapted vehicles.
Founded in 1912, Sixt has grown into Germany's largest and best rated car and van hire company. With a vast fleet of vehicles Sixt can address any potential business needs. Delivery to your office, try before you buy, Sixt trade card - Sixt provides your business with the specialist products it needs. Sixt's fleet focusses on high quality vehicles that provide the kind of reliability your business can count on.
Contact: Geoff Wells geoff.wells@nexusrental.co.uk
Tel: 07808 764002 www.nexusrental.co.uk
Contact: Daniel Price, Sales Manager UK Tel: +44 7971 690662 daniel.price@sixt.com www.sixt.co.uk/business
December 2012
65
FLEET ON FLEET
The second-hand fleet Fleet manager Liz Hollands talks to Marie Jarrold, car fleet controller at British Car Auctions.
face disciplinary action if any damage is deemed as neglect or wilful damage.
LH Tell me a little bit about the composition of BCA’s fleet. MJ Our UK fleet comprises of nearly 450 outright purchased used vehicles – 380 fleet cars comprising both company cars, and cars provided via an employee car ownership scheme. Other vehicles making up the fleet are minibuses, refuse disposal trucks, a JCB digger, tractors, fire engines, mopeds and vans – quite a mix. LH Do you place restrictions on what vehicles drivers can have? MJ Reflecting BCA’s position within the motor industry the fleet operates a multi supplier (user chooser) policy with restrictions on 4x4 vehicles and convertibles. Many of the vehicles on fleet are acquired through the wholesale sector, but we also use dealerships to purchase vehicles. By selecting used vehicles up to one year old and a maximum of 10,000 miles we save a significant amount of cost in vehicle depreciation, but still keep some of the warranty. Our driver has the opportunity to choose a vehicle within the band applicable to their job role. The car is then purchased by our fleet procurement general manager, Nigel Everett. Nigel has a huge amount of experience in the remarketing sector and is an expert on vehicle acquisition and disposal. Policy is to keep vehicle choices affordable for the driver in terms of taxation. This means low emissions, high mpg and a sensible list price, while maximising future residual values by choosing popular makes and models with a good specification and colour. LH Are you qualification or experience based (or perhaps both)? MJ Both. I have worked within the vehicle remarketing industry for the past 18 years, in roles varying from logistics management, customer account management, vehicle pricing for disposal, and a managerial role in customer services. Having all this operational experience brought the offer and opportunity to move forward into my current role as car fleet controller at BCA. I have also trained in fleet management and completed all three levels – Introduc-
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LH What would be your best piece of advice to someone just starting their first fleet manager job? MJ Polish up your people skills – you are not only managing a fleet of cars, but the aspirations and expectations of your work colleagues. Work to get your colleagues on side and always remember they are your customers. Network as much as possible within the fleet sector and ensure that you have the backing of the company board. Always be supportive and sympathetic if drivers have issues or problems, but equally don’t shy away from getting tough with drivers who flout the rules. Keep your drivers informed, be patient and do not take things personally. tory, Certificate and Diploma in Fleet Management with the Institute of Car Fleet Management. LH How do you communicate information to your drivers? MJ The majority of drivers are set up on the BCA Cars group email, with a minority of about 20 who are remote or do not have email, so they are reached by post. On a daily need-to-know basis, information is either emailed to drivers, or contact is made by phone. Car fleet policy information, our driver handbook and standard driving information is also posted on the company intranet. LH What is your biggest fleet rant? MJ There will always be a minority of fleet drivers who think they know everything they need to know without ever reading a policy document, a driver pack or set of guidelines. This is not only a cause of frustration, the implications are costly and time consuming, and potentially dangerous. LH How do you deal with damage on cars? MJ Cars are appraised at disposal and are graded. Any damage considered more than ”fair wear and tear” for the car’s age is charged to the driver. The driver can also
LH Your proudest moments in fleet? MJ It has got to be as BCA’s car fleet controller – attaining the Diploma qualification with the ICFM and subsequently winning Fleet Manager of the Year accolades from Fleet World. Walking back into the office and receiving a round of applause from all my colleagues was a very proud moment – it proves the hard work and study does pay off. LH Do you have a hobby outside of work? MJ What with keeping home (DIY and gardening, etc), socialising with friends, doing keep fit, being in demand as a grandmother to two small grandsons who I adore and love spending time with at weekends, hobby time is at a premium. I do enjoy swimming, and even though I was not very good at it I set myself the challenge to improve. For the future, I am developing an interest in bee-keeping, something that has always intrigued me. I am thinking a lot about the environment at the moment and bee-keeping seems a good fit! LH If you weren’t a fleet manager, what would you do? MJ Perhaps something completely diverse, but using some of my fleet management skills – maybe serving the local community as a councillor?
VAN
SUPPLIER DIRECTORY
FLEETW RLD AUCTIONS & REMARKETING
CONTRACT HIRE, LEASING & FINANCE
RACKING SYSTEMS
TAIL LIFTS
FLEET MANAGEMENT SOFTWARE
BCA Tel: 0845 600 66 44 www.british-car-auctions.co.uk
Lex Autolease
Tel: 0800 085 4128 www.lexautolease.co.uk
Tevo Limited Tel: 01628 528034 www.tevo.eu.com
Ratcliff Palfinger Ltd Tel: 01707 382880 www.ratcliffpalfinger.co.uk
Civica Tranman Tel: 01454 874002 www.civica.co.uk/tranman
Full listings online at
Volkswagen Group Leasing Tel: 0870 333 2229 www.volkswagengroupleasing.co.uk
Bott Ltd Tel: 01530 410600 www.bott-group.com
DEL Equipment (UK) Ltd Tel: 01993 708811 www.del-uk.com
Mycompanyfleet Tel: 0845 077 7760 www.mycompanyfleet.co.uk
Budget Rent-a-Car Tel: 0844 5338 08701544 56 56 56 www.budget.co.uk
Venson Automotive Solutions Tel: 08444 99 1402 www.venson.com
Sortimo Central Tel: 0121 511 2303 www.sortimo-central.com
Penny Hydraulics Tel: 01246 811475 www.pennyhydraulics.com
Bynx Tel: 01789 471600 www.bynx.com
Nexus Vehicle Management Ltd Tel: 0871 984 1947 www.nexusrental.co.uk
Fleet Alliance Tel: 0845 601 8407 www.fleetalliance.co.uk
fleetworld.co.uk DAILY RENTAL
Full listings online at fleetworld.co.uk TELEMATICS & TRACKING
FUEL MANAGEMENT
VEHICLE VENTILATION
Avis Rent A Car Tel: 0844 544 5000 www.avis.co.uk
Alphabet (GB) Limited Tel: 0870 50 50 100 www.alphabet.co.uk
TomTom Business Solutions Tel: 020 7255 9774 www.tomtom.com/business
Shell Fuelcards Tel: 0800 7 31 31 37 www.shell.co.uk/euroshell
Flettner Ventilator Ltd Tel: 020 8200 2321 www.flettner.co.uk
VEHICLE DATA
LeasePlan UK Ltd Tel: 0844 493 5810 www.leaseplan.co.uk
Trakm8 Tel: 01747 858 444 www.trakm8.com
Esso Fuel Cards Tel: 0800 626 672 www.essocard.com
Full listings online at
International Decision Systems Tel: 01256 302 000 www.idsdata.co.uk
RISK MANAGEMENT Total Fleet Services Ltd Tel: 01543 431080 www.lease-hire.co.uk
TRACKER Network UK Limited Tel: 0845 602 3981 www.TRACKER.co.uk
Arnold Clark Vehicle Management
Quartix Ltd Tel: 0870 013 6663 www.quartix.net
FAST-FITS & TYRES
BP PLUS Fuel Cards Tel: 0845 603 0723 www.bpplus.co.uk
ATS Euromaster Tel: 0121 325 8842 www.atseuromaster.co.uk Tel: 0141 332 2626 www.acvm.co.uk
ACCIDENT MANAGEMENT Total Accident Management Tel: 0845 078 4157 www.totalaccman.co.uk
VAN
fleetworld.co.uk
Full listings online at
fleetworld.co.uk
fleetworldgroup.co.uk
FLEETW RLD January 2010
‘Doblo has always shown promise, now it looks as though it can deliver’ p46
Tel: 0845 055 8555 Ctrack www.ctrack.co.uk
VAN FLEETW RLD SUPPLIER DIRECTORY
January 2010
43
For more information, please contact Tracy Howell on 01727 739160 or email tracy@fleetworldgroup.co.uk
Full listings online at
fleetworld.co.uk EV FLEET WORLD Tel: 01727 739160 www.evfleetworld.co.uk
DriveSense Tel: 01628 581930 www.drivesense.co.uk
IAM Drive & Survive Tel: 0870 120 2910 www.iamdriveandsurvive.co.uk
Roadmarque Tel: 0845 053 0331 www.roadmarque.com
Incorporated into every issue of VAN Fleet World and interactive online at www.fleetworld.co.uk £400 flat rate for the year. Cost includes a rotating monthly listing in SUPPLIER DIRECTORY in VAN Fleet World. PLUS... • Full listing on fleetworldgroup.co.uk • Email link to sales contact • Website link to homepage • Full-colour company logo December 2012
67
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