Fleet World February 2013 by Fleet World Group

fleetworld.co.uk

thefleetshow.co.u

24th April 2013

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 Executives Darren Brett darren@eetworldgroup.co.uk Luke Durkin lukedurkin@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

Published by Stag Publications Ltd, 18 Alban Park, Hateld Road, St Albans, Herts, AL4 0JJ tel +44 (0)1727 739160 fax +44 (0)1727 739169 email fw@eetworldgroup.co.uk web eetworld.co.uk

STAG Publications

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Contents

I make no apologies for going a bit fuel cost crazy in this issue. Pretty much every fleet we speak to says it is the biggest issue they face. And on the back of the Office of Fair Trading review into prices, which concluded that the fuel industry was working in a fine and dandy manner, don’t expect those costs to go down any time soon. One thing about the report struck me though: the oil companies are doing a good, honest job, the OFT says, yet there was no pricing information for motorway service stations available for the report, where prices are on average 7.5ppl higher for petrol and 8.3ppl higher for diesel. These places are vital for many fleets, but why the discrepancy? The high cost of that land? The difficulty of getting fuel to these inhospitable locations? Or the chance to fleece a captive market? There’s a couple of unusual suggestions in this issue for good ways for you to reduce fuel costs: drive cars flat-out round the full Grand Prix circuit at Silverstone and buy more expensive fuel. Our Fleet Show this year will have more than 200 cars available and you can drive the entire legendary circuit while evaluating them, fast or slow. There will also be expert speakers and demonstrations on efficient driving and the latest, most economical models. See pages 9-11 for more details. Or you could buy premium fuel. Our resident motoring techno geek Alex Grant has proved that some of the new high-tech downsized engines actually use less fuel, and cost less money to run, on the most expensive petrol and diesel. Find out more in our fuel management feature. Enjoy.

04 A month in fleet

To subscribe to Fleet World visit: www.eetworldsubscriptions.co.uk

09 Fleet World Fleet Show 2013 Register online now for the eet event of the year at Silverstone in April.

16 Spotlight OFT fuel price review.

18 Taking drivers out the equation How to counteract the increasing price of fuel.

26 Fleet World Barometer Making sense of the eet surveys this month.

28 Comment 34 Driven Volvo V40 // Skoda Octavia // Ford Kuga

44 What lies beneath Future effects of new car sales growth in 2012.

50 To buy or lease? 52 Interview James Douglas, Audi’s new head of eet.

54 Fleet Academy 56 Selling 59 SWOT Team New Mazda6 vs rivals.

64 Fleet update 68 Market Overview Telematics & Tracking.

73 VAN Fleet World Fiesta Van // LCV Contract Hire & Leasing.

82 Fleet on fleet Damian James, head of transport for Bracknell Forest Council, speaks to Liz Hollands.

09 44 52 59

Certified circulation Jan – Dec 2011 19,619

Steve Moody Editor

February 2013

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

FLEET MANAGER NUMBERS FALL The number of businesses employing a fleet manager has fallen by nearly half in the past year as other departments take over running cars and vans. According to Alphabet’s Fleet Management Report (AFMR) 2012, the percentage of fleets run by a fleet manager has fallen by nearly half, from 66% in 2011 to 37% in 2012. This trend was felt most keenly amongst private sector operators; just 27% of the organisations surveyed had an inhouse fleet management function in 2012, compared to 63% in 2011. In the public sector 67% retained an in-house fleet manager versus 77% in 2011. The fleet management role was found to have migrated to procurement, finance and, particularly, operations departments, with the HR department less involved. The move comes as Alphabet’s research shows that outsourcing is on the up. In 2012 the number of fleets saying that they worked with outside fleet management specialists more than doubled, with cost-saving being a key reason. Paul Hollick, sales and marketing director at Alphabet, commented: ‘The fact that three-quarters of private sector organisations no longer have a fleet manager title on the payroll should not be seen as a decline in the need for professional vehicle and driver management. The question is about where fleet responsibility sits within organisations (or outside them if they outsource). ‘The new modus operandi for fleet management today is to outsource the nitty-gritty of fleet operations while decision making on key elements stays in-house.’

SKODA FLEET BOSS MOVES ROLE Skoda’s Martin Burke has moved to another role within the company, after eight years as head of fleet. Burke joined the carmaker in 2005 as the company’s head of fleet sales and has built Skoda Business Sales into a significant division. Fleet registrations have soared from 8,500 in 2004 to 23,524 in 2012, and the brand now boasts a record market share of 2.3%. Alasdair Stewart, Skoda UK brand director, commented: ‘Martin has made an exceptional contribution to the development of our fleet business. He’s built a very strong team that is widely recognised and appreciated throughout the industry, and helped further establish Skoda with fleet operators as a brand that delivers great quality cars at outstanding value for money. ‘All of us at Skoda UK would like to thank Martin for many years of excellent service and wish him all the best in his new role.’ Burke’s replacement as head of fleet sales will be announced in due course.

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CONFIDENTIAL

FLEET LOGISTICS EYES UK EXPANSION Fleet management specialist, Fleet Logistics, is looking to expand its managed fleet in the UK on the back of a European reorganisation. The changes see previous commercial director, Stuart Donnelly, become chief regional officer for Northern Europe including the UK and Nordics. As the new head of the UK, Donnelly said that he wanted to grow the UK fleet in line with group growth targets by the end of 2013 and saw two main methods of doing so. ‘Our first line of attack will be to primarily target organic growth with large fleets operating more than 500 vehicles in the UK. This is where our expertise lies and where we have built our reputation for creating the optimum value over the years. ‘Our second line of attack will be in providing fleet management services to fleet managers and third- party service providers with vehicle sourcing, invoice control and web-based real time reporting to enable self service, best-in-class fleet management, resulting in optimum value creation,’ he said.

EV FLEETS COULD SAVE 75% ON FUEL COSTS Businesses that switch to electric and plug-in hybrid vehicles could cut their fuel costs by 75%, according to a new report published by the Energy Saving Trust (EST). The findings are the result of the trust’s Plugged-in Fleets initiative, which studied how plug-in vehicles could be deployed on the fleets of 20 UK companies, with participants including Boots UK, the London Fire Brigade, Network Rail and Morrisons. Each was given advice and a strategic plan to find where the technology would offer the biggest savings, and data was analysed by the EST. The results showed that for vehicles with routes of under 100 miles it would be possible to make the switch to a pure-electric alternative. Some were also able to boost the range by topping up during the day, and in some cases the results proved participants could replace their entire fleet with electric models. Analysis showed the greatest savings were available to those with the longest vehicle lifespans, while company car drivers could save up to £951 per year moving from an efficient diesel to a plug-in hybrid such as the Vauxhall Ampera.

Ford NEWS Six sub-100g/km engines for new Fiesta THE new Ford Fiesta offers six powertrains which, together with fuel-saving technologies and aerodynamic improvements, achieve sub-100g/km CO2 emissions and deliver optimised fuel efficiency. The powertrains include the 125PS version of the 1.0-litre EcoBoost petrol engine – 2012 International Engine of the Year – which combines the performance of a conventional 1.6-litre engine with the fuel efficiency of a smaller unit. This award-winning engine is also available as a 100PS version that achieves 65.7mpg combined. For fleets that prefer diesel power, the 1.6litre Duratorq TDCi ECOnetic Technology variant with five-speed transmission and revised gearing delivers 87g/km of CO2 and 85.6mpg. Ford achieved further CO2 emission reductions and improved fuel efficiency by lowering Fiesta’s drag co-efficient by redesigning the front air deflector and rear spoiler. Additionally, the economy-boosting Auto-Start-Stop has been introduced to more Fiesta variants. This feature automatically shuts down the engine when the car is at idle and restarts it when the driver wants to move off. Another innovative feature, Smart Regenerative Charging, reduces engine wear and tear by selectively engaging the alternator and charging the battery when the vehicle is coasting and braking. The Fiesta ECOnetic Technology variant further optimises fuel efficiency with a revised body and underbody aero configuration, additional gear ratio optimisation and low rolling resistance tyres.

inbrief New Kuga offers amazing value

All like-for-like models of the new all-wheel drive Ford Kuga are lower in price with significant additional standard specification including hands-free tailgate. The UK’s best-selling 2.0-litre TDCi 163PS model includes new standard equipment including foldflat seats, reclining rear seats, adjustable load floor, Ford SYNC with Audible Text Messaging and Emergency Assist, Visual AWD Monitor, Electronic Power-Assisted Steering, Hill Start Assist and enhanced Cruise Control with Active Speed Limiter.

Custom fuel savings The ECOnetic version of the new Transit Custom, named International Van of the Year 2013, achieves fuel economy of up to 46.3mpg - 8% better than its predecessor onetonne Transit model - with CO2 emissions from 162g/km. Its fuel-saving technology includes Acceleration Control, which tests show can reduce real-world consumption by four to 15 per cent, while reducing wear and tear on brakes, tyres and other components.

Mondeo claims Best Family Car and Best Estate at What Car? Awards The Ford Mondeo, which increased sales in the ﬂeet sector by 1,657 in 2012 over 2011, continues to win wide acclaim, including scooping Best Family Car and Best Estate awards for the third year running at the 2013 What Car? Awards “The Mondeo is rewarding to drive, with agile handling and a comfortable ride. It will satisfy the family man and the business user, being as assured on twisty lanes as it is on motorways,” said What Car? “The Ford Mondeo estate is spacious enough to keep even the tallest adults happy, while its boot can cope with everything from the family dog to furniture.” Mondeo’s powertrain options include the 115PS 1.6-litre TDCi ECOnetic with Auto-Start-Stop and six-speed manual transmission, with CO2 emissions of just 112g/km and fuel economy of 65.7mpg combined. They also include the 160PS 1.6-litre EcoBoost petrol engine with six-speed manual and Auto-Start-Stop which can reduce fuel consumption by as much as 5 per cent in mixed driving conditions. In an urban environment, the savings could increase to as much as 10 per cent.

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

TYRE NEGLIGENCE EPIDEMIC COSTING FLEETS Fleets are being warned about the importance of ensuring regular tyre checks by company car drivers with as many as a quarter of replacements due to damage caused by underinflation and negligence. Richard Minshull, head of operations, ARI Fleet UK, said: ‘Industry surveys keep telling us, as do our customers, that cost control is their number one priority. However, the biggest cost facing companies is drivers, and too often managers and directors are failing to implement measures to manage them effectively. This then translates into driver abuse of vehicles of which tyres is one of the most obvious examples.’ Last year saw ARI replace a total of 33,861 tyres: although more than 20,000 tyres (59.47%) were replaced as a result of ”normal wear and tear” and more than 5,200 (15.64%) were replaced due to unrepairable punctures, a total of 8,429 tyres (24.89%) were replaced due to ”damage”, including as a result of under or over-inflation and blowouts. ARI also highlighted the other side-effects of poor driver care of tyres, including the impact on fuel consumption and potential risks to driver safety.

CONFIDENTIAL

CARMAKERS TO CO-DEVELOP FUEL CELL TECHNOLOGY A number of carmakers have joined forces in two separate deals that are expected to accelerate the launch of fuel cell technology. Daimler, Ford and the Renault-Nissan Alliance have signed a deal that will see the launch of the world’s ‘first affordable, mass market fuel cell electric vehicles’ as early as 2017. All three carmakers will invest equally in the project, although exact financial details were not provided. The agreement follows the signing of a similar deal between Honda, Toyota, Nissan and Hyundai to support the introduction of fuel cell cars into Nordic countries. Meanwhile, BMW and Toyota have announced a deal to work together on the joint development of a fuel cell system due out in 2020. The tie-up will also see the two carmakers work on a new sports car as well as research into lightweight technology and a lithium-air battery.

MITSUBISHI RECALLS I-MIEV Mitsubishi is recalling some i-MiEV electric vehicles due to a problem within the brake pump. The carmaker said that in some cases a flaw within the brake pump could reduce the braking power assistance of the vehicle. It added that the braking itself is not affected, only the amount of pressure required from the driver on the pedal. Details of the numbers of models and countries affected in Europe have not been released but Mitsubishi Motors Corporation said the recall would involve i-MiEV sister models, the Peugeot iOn and Citroën C-Zero.

fleetworld.co.uk

VOLVO TO EXPAND SME BUSINESS Volvo is targeting between 10 and 18% growth in enduser fleets for 2013, with a particular focus on reaching SMEs through its dealer network, according to national corporate operations manager, Selwyn Cooper. The manufacturer’s UK registrations dropped by 1,000 units last year against 2011. Business sales were static and Motability fell slightly due to changes in the legislation, expected to recover this year. Daily rental has remained constant, having been capped to help improve residual values and total cost of ownership. The product range is being refreshed, including the recent addition of the Business Edition as well as a forthcoming all-new family of engines set to offer large improvements in economy. Meanwhile dealers are being trained and motivated to work with small fleet clients, and Volvo is launching its Freedom Test Drive campaign in March; a three-month, 13-venue tour of the UK allowing unaccompanied test drives to be booked online. Cooper explained: ‘40% of UK fleets are below 25 cars, so we’re going to continue to drive to get more of that business. It’s about using the dealer network to capture that business, using the expertise they’ve got and my guys to train and motivate them to get that opportunity.’

Your true maintenance costs shouldn’t be this hard to see.

Unlike contract hire with its hidden maintenance costs, ARI UK offers a new Pass-Through Maintenance programme, so you can actually get an accurate read on your spend—a simple, transparent, pay-as-you-go solution. Your vehicles get the maintenance they need and you pay as services and repairs are rendered. No marked-up invoices, no hidden costs and our Masterserve network of suppliers provides discount pricing, so you save even more. Pass-Through Maintenance. Just another example of how ARI drives results with savings of 20% or more. 0844 8000 700

ariﬂeet.co.uk

ARI Fleet UK Gerald Jiggins House, M Methuen Park Chippenham, Wiltshir Wiltshire SN14 0GX

£17 will service the most important equipment in your fleet The drivers’ eyes

Incredibly, 1 in 3 drivers would fail en eye test. At Specsavers we know how important the safety of your drivers is to you. So, just like their vehicles get an MOT, we can make sure their eyesight is legal and roadworthy too, and not a risk to themselves or other road users. For just £17, your employee can have a thorough professional eye test at a Specsavers store. Or for only £35, they can have an eye test plus a pair of glasses from our £45 range, or a £45 discount towards other ranges. It’s peace of mind for both you and your drivers.

To ﬁnd out more, call Specsavers Corporate Eyecare on 0115 9330800, email uk.corporateeyecare@specsavers.com or visit us at specsavers.co.uk/corporate

S HE PRESTIGIOU T T A , R A D N E L A IN THE FLEET C T N E V RD TO MISS IT ? E O T F S F E A G U O Y N THE BIG A C MOTORSPORT. H IS IT R B F O E HOM

o.uk

ow.c h s t e e l f e h t t a e d out mor

fin

FOR the second year running the Fleet World Fleet Show will take place at the impressive new Silverstone Wing and on the track at the race circuit, providing fleet decision-makers with an incredible opportunity to test the latest cars on the famous track, and to meet suppliers and listen to expert seminars.

Wednesday 24th April 2013

THE SILVERSTONE WING

Commenting on the event, organiser Ross Durkin said: ‘Our aim is to provide visitors with a number of compelling reasons for taking a day out to visit the show. The seminar programme and the debating session that followed it were really well attended last year – testament that fleet decision-makers will take time out if the quality of the presentations is high enough. ‘The track driving sessions will allow visitors to experience what is available on the market today. The seminars will give them an idea of what they might be driving tomorrow.’

t +44 (0)1727 739160 e thefleetshow@fleetworldgroup.co.uk w thefleetshow.co.uk

INTERACT

INFORM WANT TO STAY INFORMED & MEET MANY OF THE LEADING FLEET SUPPLIERS IN ONE DAY, UNDER ONE ROOF? AT THE FLEET WORLD FLEET SHOW, YOU CAN!

INTERACTIVE, INFORMATIVE SEMINARS & WORKSHOPS PLUS QUESTION TIME DEBATES MAKE THE SHOW TRULY UNMISSABLE

WHERE ELSE COULD YOU EXPERIENCE ALL THIS, AND MEET SO MANY SUPPLIERS IN ONE DAY?

EXCITE

EXPERIENCE TEST DRIVE OVER 200 OF THE LATEST CARS AND VANS ON THE CHALLENGING SILVERSTONE STOWE AND GRAND PRIX CIRCUITS

fleetworld.co.uk

FLEET DRIVER OF THE YEAR

THE SHOW WILL HOST THE PRESTIGIOUS FINAL OF FLEET DRIVER OF THE YEAR, ORGANISED BY ALD AUTOMOTIVE AND TOYOTA & LEXUS FLEET SERVICES.

COPSE CORNER NATIONAL PITS STRAIGHT

WOODCOTE CORNER

BROOKLANDS CORNER

WELLINGTON STRAIGHT LUFFIELD CORNER

THEY WILL BE THERE...

MAGGOTTS CORNER

SILVERSTONE

AINTREE CORNER

GRAND PRIX CIRCUIT

VILLAGE CORNER

EVENT PARTNERS

BECKETTS CORNER

ABBEY INTERNATIONAL PITS STRAIGHT

Correct at time of going to press, for full list visit thefleetshow.co.uk

THE LOOP FARM CURVE

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STOWE CIRCUIT HANGAR STRAIGHT CLUB CORNER

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SAVOUR THE THRILL OF THE FULL SILVERSTONE GRAND PRIX CIRCUIT ALONGSIDE PROFESSIONAL RACING DRIVERS aeromark Optimatics

...CAN YOU AFFORD NOT TO BE?

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INTELLIGENT ALL-WHEEL-DRIVE FROM BMW.

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BMW Corporate Sales

bmwcorporate.co.uk Tel: 0800 777 113

The Ultimate Driving Machine

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

LEASING RATE RISE WARNING ABOVE 130G/KM Fleet Alliance is advising fleets to set vehicle CO2 caps below 130g/km to avoid a typical £10 per month rise in leasing rates on the average company car once new capital allowance rules take effect in April. From April, the threshold for the main rate of capital allowances for business cars reduces from 160g/km to 130g/km, as does the limit to which the lease rental restriction applies. For cars with emissions below 130g/km companies can still offset 100% of the lease rental against corporation tax, but for those over 130g/km the amount is restricted by 15% to 85%. ‘The impact of the new rules will, we calculate, add around £10 per month to the lease rental for the average fleet car. But companies can avoid the impact of this rise if they introduce a new fleet policy with a sub-130g/km carbon ceiling ahead of the April deadline,’ said Fleet Alliance managing director, Martin Brown. He added: ‘By making the right vehicle choices now, fleet decision-makers can make cost savings running into several thousands of pounds over the typical three-year life of a vehicle,’ he said. Fleet operators can use the CO2 & Fuel Consumption webtool on the Fleet World Group website to find the lowest-emitting vehicles suitable for their fleet. For more details, visit the website at fleetworld.co.uk

HYUNDAI'S WILSON PROMOTED TO FLEET DIRECTOR

IRON MOUNTAIN SEES FLEET SAVINGS IT storage specialist Iron Mountain has seen driver safety initiatives save nearly £2m since 2008. In 2007 incidents cost the company £900,000. Following its introduction of a driver safety programme, with the help of GreenRoad technology, and other initiatives such as online driver risk assessments, by 2011 the cost had dropped to £500,000. Iron Mountain’s reported road incidents reduced by 71% and the cost of claims was cut by 43% in just two years. Furthermore in 2011, Zurich reduced Iron Mountain premiums by 14%. This was continued throughout 2012, with a further reduction of 8% granted this year. The company has won an array of industry awards, including the Prince Michael International Road Safety Award presented to Rory Morgan, national logistics general manager for Iron Mountain, at the end of 2012. Morgan commented: ‘Over the past four years, we have strived to attain operational excellence and minimise the possibility of incidents through best practice and training. We are immensely proud that the effort of our team has been recognised with the prestigious Prince Michael International Road Safety Award.’

MILEAGE LOGGING APP LAUNCHED A new smartphone-based app service has been launched to help drivers and managers deal with mileage reporting. Dubbed Company Mileage Logger, the GPS-enabled service has been developed by automotive software specialist DCML and automatically synchronises journey details into an online database hub for fleet managers, company administrators and financial controllers. As part of the launch period, DCML is offering a complimentary 30-day trial. Visit www.companymileagelogger.co.uk for more information.

fleetworld.co.uk

CONFIDENTIAL

Martin Wilson, previously national fleet sales manager at Hyundai, has been appointed to the newly created role of fleet director at the carmaker. The role, which became effective on 1 January 2013, sees Wilson assume responsibility for all of Hyundai’s fleet operations including contract hire, remarketing, government contracts and fleet sales.

TRG VEHICLE HIRE LAUNCHES “FLEETSMART” trg Vehicle Hire has launched a new business vehicle hire product to provide fleets with a flexible alternative to contract hire and leasing. “FleetSmart” offers a wide range of cars and vans in a package that can be tailored to suit business needs for all sizes of firms.

COCA-COLA NAMED LOW CARBON CHAMPION Coca-Cola Enterprises Ltd has taken the Low Carbon Vehicle Operator of the Year title at the LowCVP Low Carbon Champions Awards. John Lewis Partnership Commercial Vehicle Fleet took the runner-up slot in the awards, which coincide with the 10-year anniversary for the Low Carbon Vehicle Partnership (LowCVP).

NAVMAN WIRELESS ACQUIRED Vehicle tracking firm Navman Wireless has been acquired by Danaher Corporation for an undisclosed sum. The acquisition will see it become a standalone Danaher operating company, with Navman Wireless saying it will further expand its technology platform and retain all personnel and locations.

SPOTLIGHT OFT fuel price review

OFT rules out inquiry into soaring UK fuel prices Julian Kirk looks in depth at the OFT’s report into fuel prices.

fleetworld.co.uk

£1.36 £1.07 66p

£0.80 50p

7p 33p

8p 13p

PRICES ROUNDED TO THE NEAREST PENNY

HOW MUCH DOES IT COST TO FILL YOUR TANK WITH PETROL? from a supermarket outlet

from a oil company owned outlet

from a motorway service station

AVERAGE PETROL PRICE FOR EACH OUTLET ON 15TH AUGUST 2012 BASED ON FILLING A 50 LITRE TANK

HOW DO OUR PETROL PRICES COMPARE WITH THE REST OF EUROPE? EURO CENTS PER LITRE

While the inexorable rise in fuel prices continue to be cited as a major issue by many fleet operators, there appears little hope of any respite with news that the Government believes pump prices are fair. Evidence gathered by the Office of Fair Trading (OFT) during a four-month investigation has found that rises in pump prices for petrol and diesel over the last 10 years have been caused largely by higher crude oil prices and increases in tax and duty, and not a lack of competition. The watchdog also rejected claims of what it called ‘the widely held perception’ that pump prices rise quickly when the wholesale price goes up but fall more slowly when it drops. The news will be of little comfort to UK fleet operators, the majority of whom (84%) have cited reducing fleet fuel expenses as a key challenge this year, according to a survey by telematics supplier GreenRoad. As a result of the investigation, the OFT has decided against launching a full-scale examination of the £47 billion UK fuel industry. Indeed, it has gone in the complete opposite direction and praised the industry, saying that ‘at national level competition is working well in the UK road fuel sector’. Commenting on the issue, the OFT’s chief executive, Clive Maxwell, said: ‘We recognise that there has been widespread mistrust in how this market is operating. However, our analysis suggests that competition is working well, and rises in pump prices over the past decade or so have largely been down to increases in tax and the cost of crude oil. ‘Our call for information has not identified any evidence of anti-competitive behaviour in the fuel market at a national level, where competition appears to be strong.’ However, the OFT has stated that it does not rule out taking action in some local markets if there was ‘persuasive evidence of anti-competitive behaviour’. As a mark of this, it has recently opened an investigation into the supply of fuel in the Western Isles of Scotland. The OFT has also identified an absence of pricing information on motorways as a concern, especially as its research has found that motorway service stations charge on average 7.5ppl higher for petrol and 8.3ppl higher for diesel than at other UK forecourts.

EUROPEAN PETROL PRICE IN NOVEMBER 2012

‘The number of UK forecourts has fallen from 10,867 in 2004 to 8,677 in 2012.’ Key findings of the OFT report • Pre-tax, the UK has some of the cheapest road fuel prices in Europe. In the 10 years between 2003 and 2012 pump prices increased from 76ppl to 136ppl for petrol, and from 78ppl to 142ppl for diesel, caused largely by an increase of nearly 24ppl in tax and duty and 33ppl in the cost of crude oil. The decision not to investigate the fuel industry has been met with a chorus of disapproval, with it being labelled ‘a whitewash’, ‘a wasted opportunity’ and ‘shocking’. The Road Haulage Association, which represents many of the UK’s transport and logistics companies, says there are still unanswered questions. Chief executive, Geoff Dunning, said: ‘Why, when the barrel price drops, is that drop not reflected at the pump? What is the rationale behind fuel prices at motorway service stations being so much higher than elsewhere? ‘We asked for transparency but all we got was a whitewash.’ FairFuelUK’s Quentin Willson added: ‘I’m shocked. Every motorist and business in Britain instinctively knows that something’s not right. The OFT appears to have failed to address the key issues of why diesel is more expensive than unleaded in the UK when this is not the case in Europe, why falls in the oil price take so long to be reflected at the pump and why there are such variations in price, often from the same branded forecourts, within the same area.’ The RAC Foundation’s director, Professor Stephen Glaister, added: ‘The OFT does identify the true cause of drivers’ misery – the chancellor and crude oil prices. About 60% of the pump price is accounted for by fuel duty and VAT and we would now call on retailers to provide a breakdown on till receipts to show exactly what proportion the Exchequer is creaming off.’ AA president, Edmund Kind, said that: ‘drivers deserve a better explanation of why prices fluctuate wildly and who is driving this’.

• The big four supermarkets have increased their market share from 29% in 2004 to 39% in 2012 thanks to high throughput per forecourt and greater buying power.

• Fuel is often significantly more expensive at motorway service stations. In August 2012, prices were on average 7.5ppl higher for petrol and 8.3ppl higher for diesel than at other UK forecourts.

• The number of UK forecourts has fallen from 10,867 in 2004 to 8,677 in 2012, although the rate of decline appears to have slowed in the last three years.

The independent sector The OFT examined claims that supermarkets and major oil companies may be making it more difficult for independent retailers to compete. However, it has not received evidence of any anti-competitive practices being used. The decision not to investigate has been condemned by the RMI’s Petrol Retailers’ Association, the trade body representing independent forecourts. Its chairman, Brian Madderson, believes this was a ‘prime opportunity’ to tackle what he sees as ‘market manipulation of UK wholesale prices and retail prices by the big players’. He added: ‘How can the OFT try and tell motorists that the market is working in the consumers’ interests? As independent retailers, we are left trying to explain the unexplainable to our customers.’

Rocketing fuel prices impact on car buying decisions The impact of rising fuel costs on car use and ownership has been revealed in a new report from BCA. The auction firm’s Used Car Market Report surveyed 4,000 drivers and found that 53% will buy a more fuel efficient car or change their driving habits, or both. And if the price of fuel was to hit £1.50 a litre, 10% would change into a more fuel efficient car. The report’s editor, Tim Naylor, said: ‘70% of car owners have already taken steps to cut their motoring costs, trying different ways to combat the financial pressures such as driving more slowly to conserve fuel and opting for more fuel efficient models.’

February 2013

FEATURE Fuel Management

Taking your drivers out of the equation With the cost of fuel predicted to rise, how can you counteract it without trying to make your employees drive more economically? Steve Moody investigates.

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It’s difﬁcult to implement strategies for saving fuel unless you know how much fuel you are using Jakes de Kock, marketing director The Fuelcard Company

The problem with drivers is that they are human. No matter what you do, some of them will drive too fast, or badly, and cost your business more in fuel than necessary. So can you take the driver element out of the equation, and reduce your fuel spend using technology, better procurement and management? Buying fuel more cleverly is obviously the first port of call, and this can be done with the use of fuel cards and monitoring. Martin Franks, the business development manager responsible for fuel management services at fleet management firm Motiva, says: ‘The way you and your drivers buy fuel should be reviewed now and at regular intervals – there’s no excuse for putting it off. ‘Paying pump prices on an ad hoc basis is almost always going to be more expensive than having a fuel management system in place – as long as you read the small print and make sure excessive administration or transaction charges aren’t wiping out any savings when the invoice drops on the mat.’ Fuel cards available include those that feature commercial pricing that is fixed weekly based on Platts – an industryaccepted spot price taking into account variables including crude prices and exchange rates. Motiva believes demand will be driven by businesses wanting simultaneously to save money and reward employees with cheaper private mileage fuel. ‘There are different fuel cards available, but not all feature commercial pricing that is fixed weekly. That saves between three and eight pence a litre, which is obviously pretty significant,’ Franks added. In addition, the cards can be linked to in-

depth, web-based mileage capture software – information that reduces the internal and HMRC reporting burden and cuts costs by accurately auditing private mileage. Franks added: ‘There is evidence that companies pay on average about 25% more than they need to in fuel and mileage expenses, so mileage capture is a powerful tool to bring down costs.’ The Fuelcard Company’s marketing director, Jakes de Kock, reckons that you need to ‘monitor to minimise’, and savings should quickly become apparent. He says: ‘It’s difficult to implement strategies for saving fuel unless you know how much fuel you are using and this is where the benefits of a fuel card really come into their own. ‘Most fuel card providers offer real-time reporting showing how much fuel is being consumed and who is consuming it. MPG reporting is also often available allowing you to record and analyse mileage patterns.’ Maintenance is another area that so often gets missed, especially among the busy cut and thrust of corporate life. But just keeping an eye out and putting programmes in place could reap benefits. ‘It’s important to bear in mind areas of inefficiency are not necessarily caused by poor driving or fleet mis-management,’ The Fuelcard Company’s Jakes de Kock reckons. ‘In the first instance make sure the vehicle is thoroughly checked for any running issues which may be causing excess fuel consumption.’ A controversial area where you could reduce fuel bills through a technical and engineering approach is by altering the vehicle’s engine mapping system. Generally

manufacturers are loath to recommend this. But Austec Racing has produced mapping for vans in particular that it says produce better results in “real-life” than the maps carmakers use because they are bespoke for the type of driving your fleet might encounter. Austec Racing managing director, Paul Austin, says: ‘Our method of ECU modification differs from our competitors because every map is uniquely developed in conjunction with the client’s operational requirements; our remapping is designed not to adversely affect the vehicle’s performance. ‘With our approach, the ECU behaves in exactly the way in which the manufacturer designed it and there are no third party products to go wrong. ‘Over time we would also anticipate our technology providing added benefits including fewer accidents and less wear on components such as brakes and tyres.’ Historically, the company’s primary focus was on motorsport but in 2009, Austec began to investigate optimising ECUs for fuel efficiency. The results of ECU programming are usually very subjective and it was not until stringent tests were carried out with a given amount of fuel on a rolling road, and later at the Millbrook Test Facility that conclusive results were established. The bottom line was 31% increase in mpg on the first test case. In one typical instance, the firm claimed a fleet of 200 Vauxhall Combo 1.3 CDTIs with an average annual mileage of 16,000, achieved a 21.66% reduction in fuel usage, an annual saving of £102,500 in fuel costs and a 154-tonne reduction in CO2 emissions.

February 2013

FEATURE Fuel Management

Austec already has a number of highprofile clients, including Rentokil Initial plc, for whom it recently completed a rollout of the technology to the firm’s 2,000strong UK fleet. BT group has used remapping on 20,000 of its light commercial vehicles remapped using Viezu’s proprietary technology, in a bid to deliver better fuel consumption and reduced CO2 emissions, while also improving vehicle driveability. ‘BT is committed to being a responsible and sustainable business leader, so remapping our vehicles for economy and better environmental performance makes complete sense,’ explains Steve Watson, senior innovation and design specialist, BT Fleet. ‘But it’s not just these benefits which make it appealing. Once we saw what was technically possible, we crunched the numbers and the business case also stacked up.’ The vehicles being tuned within the upgrade programme range from small Corsa sized vans through to larger Transit chassis-cab vans, with much larger payloads and different driving cycles. However, due to their extensive understanding of their fleet’s operating cycles, BT Fleet was able to provide Viezu with detailed requirements and benchmarking figures. Viezu and BT Fleet then developed a unique blend of tuning solutions to match BT’s requirements that included throttle, rev, speed and power limiting. It is anticipated that the programme will help BT deliver savings of over £3 million. ‘Vehicle remapping offers fleets a host of opportunities and we’re being increasingly asked by companies like BT to help them achieve their own environmental and cost reduction targets,’ explains Paul Busby, CEO, Viezu Technologies. ‘With an ISO certified process and a potential payback period of just three months, any technical risks are minimised and rewards can be felt almost instantaneously.’ Motiva believes that important area fleet managers should be looking at when it comes to reducing fuel costs are fuel management and vehicle tracking. Peter Davenport, chief executive of Motiva Group, says: ‘There are three things every fleet manager in the UK can take as a given. The first is that the majority of their drivers will not spend time or effort locating cheaper fuel. The second is that the majority of their drivers believe they are

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MORE IS LESS SAVE MONEY BY BUYING MORE EXPENSIVE FUEL New downsized engines could run more efficiently on premium fuel, Alex Grant reckons. ‘Spiralling fuel costs mean most motorists are looking to spend as little as possible to fill up, which makes super unleaded fuels seem an unnecessary expense for all except the highest performance cars. But spending more per litre could pay dividends in the long run. ‘Super unleaded fuels have a higher octane rating, so are more resistant to igniting prematurely, which means a greater share of fuel is burnt only when the engine wants it to. High performance engines with turbo or superchargers usually create enough heat for low octane fuel to ignite early in the cylinders, which can reduce power and create sooty deposits inside the engine over time. ‘But manufacturers are chasing ever-higher performance from small engines, so most mainstream petrol cars now feature some sort of turbocharging. It means while the family hatchback only produces 115bhp, there could be a 1.0-litre petrol engine working hard to produce it. These present ideal conditions for fuel to ignite prematurely under load. ‘Traditionally the problem was worsened by injecting petrol before the cylinder. Modern petrol engines inject it directly into the combustion chamber as its needed, which can reduce the possibility of pinking or pre-ignition. But consider these as high performance for their size, and using super unleaded starts to make sense. ‘I’ve tested this on my long-term SEAT Ibiza 1.2 TSI. For the first 1,800 miles it ran on normal unleaded fuel, and averaged just under 40mpg on the motorway. Using V-Power with no change in driving style, it climbed to 43mpg. I’ve since tried switching back and the economy dropped again, suggesting regardless of what’s recommended the hard-working engine prefers higher octane fuel. ‘Based on prices at my local Shell station, a 20,000 mile year using V-Power would cost £3,042.73, while the same distance using 95RON unleaded would cost £3,111.79. While high octane fuels won’t benefit all cars, it could pay for any extra cost when used in a new-generation downsized unit.’ Using 98RON unleaded could work out more cost-effective

FEATURE Fuel Management

good, efficient motorists – so they don’t see the need to change their driving behaviour. ‘And the third is that many of their drivers will maximise the amount of business mileage they claim. That doesn’t make them bad people, or even bad drivers. It just makes them human beings. ‘The key is to be aware of human nature and to put in systems and controls that deliver significant savings without creating undue friction between employee and employer.’ Motiva develops its own vehicle tracking systems under the Motrak brand, and Paul Holdcroft, head of fleet monitoring at Motiva, says: ‘Fleet monitoring has a whole range of benefits, including emissions

reduction and increasing risk management. If most businesses are honest with themselves, though, the potential to save money on fuel bills and expenses claims are the principal motivations – at least at ﬁrst. ‘In every case I know of, regardless of ﬂeet size, vehicle tracking also reduces fuel consumption by improving utilisation. Fleet mangers know exactly where vehicles are, they know which is closest to a job and they can identify under-utilisation. ‘And, crucially, the knowledge that exact locations, times and mileages are being recorded and analysed keeps a real downward pressure on mileage and overtime claims. We’ve known cases where related

OK, so you can’t ignore the drivers... As much as it would be nice to leave them out of the equation, the right foot on the throttle, and the attached driver, does need to be considered. A key factor in controlling fuel costs through this technology lies with the employee in the driving seat. Mark Forrest, general manager of Trimble FSM, said: ‘Fuel utilisation can vary significantly between drivers due to driving style and also the health of the vehicle. You cannot manage what you cannot measure. It is for this reason that fuel data use per individual vehicle can be of significant value to managers, rather than the overall fuel use of a fleet. ‘Fleet management technology allows the driving style and behaviour of every single driver to be dissected, allowing fleet managers to take appropriate action if need be. By providing feedback and highlighting areas for improvement in driving performance, employees can be trained to optimise their operations, leading not just to improvements in fuel efficiency and productivity, but also driver safety.’ Whilst driving down inefficiency offers quick returns, eradicating poor driving behaviour is a longer term project but has the potential to deliver long-lasting results; many businesses are testament to this. However, there are certain factors which businesses need take on board when changing their driving culture, according to Navman european vice president, Steve Blackburn. He says: ‘Behaviour change needs to be driven from the top down with senior management support. Telematics highlights the cost of less than optimal performance, making driver behaviour a boardroom priority. ‘Businesses need to view behaviour change as a long-term strategy. One off interventions won’t have a lasting impact. To ensure that positive behaviour becomes the norm, constant monitoring and feedback is required. The use of training aids provide drivers real time performance feedback, ensuring they remain focused. ‘It is important to set targets and benchmark performance. Questions businesses should be asking themselves include what MPG should we be achieving, what are we achieving and what is the cost to our business? ‘Training should always be integrated. By using telematics data businesses can ensure that training remains targeted and is relevant to an individual’s needs. ‘Putting into place an incentive scheme will see more focus from drivers. Performance league tables are an effective method of incentivising change, which sees top performers earning a percentage of the savings achieved.’

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expenses have fallen more than 30% after a Motrak system has been installed.’ Mark Forrest, general manager of Trimble Field Service Management agreed, saying ﬂeet management technology is key to mitigating fuel costs. ‘Reducing overall fuel spend is very much possible if you have the right technology in place and drivers are educated on how to manage fuel consumption eﬀectively. ‘Fleet management technology has risen to the challenge of helping businesses to decrease fuel costs. Its capabilities include reducing unauthorised vehicle use, curbing excessive speeding as well as lowering vehicle idling times by 50-90%.’

Look out for the final of Fleet Driver of the Year 2013 at The Fleet Show at Silverstone on 24th April 2013

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fiat.co.uk Fiat, the car brand with the lowest average CO2 emissions in Europeâ&#x20AC; . Fuel consumption figures for the Fiat Panda 4x4 range in mpg (l/100km): Urban 47.9 (5.9) â&#x20AC;&#x201C; 56.5 (5.0); Extra Urban 61.4 (4.6) â&#x20AC;&#x201C; 65.7 (4.3); Combined 57.6 (4.9) â&#x20AC;&#x201C; 60.1 (4.7). CO2 emissions 125 â&#x20AC;&#x201C; 114 g/km. Above rentals based on New Panda 4x4 0.9 TwinAir on Contract Hire payment profile of 3 rentals in advance (equivalent to Â£567) followed by 35 rentals of Â£189. 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 March 2013. Offer subject to status, guarantee and/or indemnity may be required. Fiat Contract Hire, 240 Bath Road, Slough, SL1 4DX. â&#x20AC; Source: JATO Dynamics. Based on volume-weighted average CO2 emissions (g/km) of the best selling brands in Europe, 1st half year 2012

Making sense of the surveys in association with

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...

WINTER TYRES A RECENT SURVEY OF UK DRIVERS FOUND MOST ARE NOT SWAPPING TO WINTER TYRES, DESPITE THE HARSH WEATHER 13% of drivers not even aware of the existence of winter tyres. 42% of those considering fitting winter tyres say price is the biggest barrier. 37% don’t see the point in changing their tyres, despite the fact that winter tyres are much safer in winter driving conditions. Michelin’s UK managing director, Eric Le Corre, said: ‘As a general rule, winter tyres should be fitted when the mercury drops below seven degrees. Perhaps the nation is overly optimistic about our weather, but in fact the average temperature between the months of November and April is lower than seven degrees. Added to that, most people drive on their daily commute in the morning and evening when temperatures are at their lowest point in the day.’ Source: Michelin

EYECARE ONE IN THREE DRIVERS DO NOT MEET THE LEGAL STANDARD OF VISION FOR DRIVING Specsavers’ screening tests on visitors to its Drive Safe roadshows found the following: One in three people tested would fail an eyesight test. Two out of five had not had an eye examination within the recommended two-year timeframe. More than four out of five people with substandard vision were unaware of their failing sight and claimed their vision was good enough to drive safely. Specsavers has highlighted that fleets too are at serious risk if they do not have a comprehensive eyecare policy in place. The company is also continuing its campaign for legislation to be introduced that makes eye examinations compulsory as part of the driving test. Source: Specsavers Corporate Eyecare

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TYRE MAINTENANCE A REPORT INTO THE LEVELS OF DAMAGE OF TYRES ON FLEET VEHICLES Of a total of 33,861 tyres replaced last year on vehicles under ARI’s management, 8,429 tyres (24.89%) were replaced due to ”damage”, including: • 1,164 tyres (3.44%) replaced because they were below the 1.6mm legal minimum. • 2,312 tyres (6.83%) replaced due to sidewall damage. • 1,856 (5.48%) due to uneven tracking. • 1,131 (3.34%) due to irregular wear. All of these are issues that may have occurred due to a failure by drivers to correctly check their vehicle’s tyres regularly. Richard Minshull, head of operations, ARI Fleet UK, said: ‘If uneven tyre wear is spotted early, then steps can be taken to “pull” the tyre back into line. If drivers fail to undertake routine tyre checks and consequently, evidence of undue wear and tear is ignored, then the life of a tyre can be reduced by half or even two-thirds in some cases and that costs businesses money.’ Source: ARI Fleet UK

DRINK-DRIVING RESEARCH INTO THE NUMBER OF DRIVERS TESTING POSITIVE FOR ALCOHOL OVER THE CHRISTMAS PERIOD FOUND A FALL IN 2012 DESPITE AN INCREASE IN THE NUMBER OF TESTS • More than 175,000 people were stopped and tested for drink driving compared to nearly 157,000 people in 2011. • A total of 7,123 drivers tested positive or refused a test, giving a positive rate of 4.05% – lower than 2011’s figure of 4.55% but higher than the 3.91% for 2010. • The number of Field Impairment Tests conducted was down from 540 in 2011 to 360 for 2012, but the percentage of these arrested after tests was still high at 21%. AA president, Edmund King, commented: ‘These results bring some good news but show that more needs to be done to stop hard-core drink-drivers.’ Source: ACPO

INSURANCE CLAIMS DATA DATA REVEALING HOW ARCTIC WEATHER ON THE FIVE WORST DAYS THIS WINTER CAUSED DAMAGE TO AROUND 8,400 CARS EACH DAY A study of the company’s claims league table showed the following: > Parked cars came off worst, accounting for just over 10% of the claims. > Tail-end shunts came in second, with 6.3% of the tally. > Hitting kerbs, which are often hidden from view under snow, took 6% of claims. > Just under 6% of claims were cars that slid into signs and lamp posts. > Head-on collisions claimed 3% of the total, along with junction manoeuvres that went wrong and a similar number of cars knocking down walls. > Accidents at home with garages, gate posts, partners’ and neighbours’ cars came in sixth. > Among the rest of the claims taken by AA claims staff are collisions with police cars, an ambulance, a snow plough, two buses and a skip.

Simon Douglas, director of AA Insurance, said that in most cases, snowy collisions don’t cause injury but can end up with costly claims. ‘Parked cars come off badly,’ he said. ‘Unfortunately, some of our claimants returned to their cars to find them dented but no note from whoever caused the damage.’

Source: AA Insurance

• for the latest daily news from the fleet industry, visit www.fleetworld.co.uk

February 2013

COMMENT

A little less complication Curtis Hutchinson Company car test drives usually require a degree of subterfuge, but that could change according to Curtis Hutchinson, editor of Motor Trader.

‘Test drives: an often vital but unsatisfactory element in the company car equation.’ 28

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Sometimes the simplest ideas are the best. Even in these straitened times car manufacturers can find themselves needlessly investing sizeable budgets into winning the hearts and minds of user-choosers, when something less prosaic and more straightforward will often do the job better. Take test drives: a vital, but often unsatisfactory, element in the company car equation. You’re a company car driver and it’s coming up to replacement time. You know exactly what your budget is and fancy something a bit different to the workhorse you’ve lived with for the past four years. You check What Car? to see what’s on the market, in your price band and then weigh up your BiK costs. You then wander into a car dealership, affecting a degree of nonchalance as you pretend to be in the market for a new car, paid for with your hard earned cash. The salesman will be attentive as he shows you around the showroom models, running through the bells, whistles and optional extras. You then take the car for a 15 minute test drive. Most of it will be spent rummaging around in the low gears as you navigate through busy town traffic, with the salesman sat beside you running through the myriad finance options, the benefits of an extended warranty package, the reasons why you should treat your purchase to a paint protection treatment and why GAP insurance is a no-brainer. Let’s be honest – this is the way many company cars are chosen and is probably the favoured course of action suggested by fleet managers. It does not have to be that way. Some car brands – notably Volvo and Citroën – have looked at how they can improve their test car provision and are now delivering some creative solutions. Volvo’s newly launched nationwide test drive programme removes the need for user-

chooser subterfuge as it is aimed at both company car drivers and private buyers. The Freedom scheme gives company car drivers a better understanding of the vehicle they are interested in and puts them in direct contact with the dealer who will probably end up supplying and servicing the vehicle. The scheme is so simple and obvious it's a wonder nothing like this has been offered before; other brands targeting user-choosers must be kicking themselves. The programme enables drivers to book the cars they’re interested in and drive them from a choice of plush country hotels dotted around the UK. User-choosers can pre-book two cars and drive them for 45 minutes apiece, having already chosen which route best suits them: town, country or motorway. Sounds good, but where Volvo has really added some creative value is that test drives are unaccompanied and cars can be filled with family members and their paraphernalia from car seats and push chairs to golf clubs and surfboards. Drivers who identify their next company cars are then put in touch with their nearest dealer to handle the business part of the transaction. Citroën has also addressed its test drive offerings. The company already offers company car drivers an online test drive booking service, facilitated by their nearest Citroën dealer, but has just gone a step further by allowing drivers to take models in its DS5 range away for up to 24 hours. By linking up with Dayinsure, the temporary car insurance provider, Citroën has been able to deliver an initiative which, like Volvo’s, allows potential customers to assess cars in what will be their natural environments. Initiatives like these from Volvo and Citroën will hopefully put company car test drives higher up the agendas of car manufacturers and their dealers.

Fuel consumption ﬁgures for the Civic 1.6 i-DTEC ES Manual in mpg (l/100km): Urban 70.6 (4.0), Extra Urban 85.6 (3.3), Combined 78.5 (3.6). CO2 emissions: 94g/km. Model shown: Civic 1.6 i-DTEC ES Manual in Alabaster silver paint at £21,095.

COMMENT

The many ways of reporting mileage The Insider This month, our tame fleet manager has been pondering ways to get accurate mileage records and fuel spend.

’The cost of fuel is a major portion of any fleet’s budget and we can tackle reduction in several ways’

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Mileage reporting is in my thoughts this month. Mindful of the fact that HMRC declared an intention to step up their checks on company business records generally, I had been keen to confirm our mileage reporting systems were in good order. If HMRC is seeing less revenue from company tax, as emissions drop, then ensuring they are getting their appropriate whack from other related areas will logically move higher up their list of priorities. A few years ago we were picked up on our reporting of mileage driven in pool cars and in particular, how we could prove all miles were indeed accumulated on business. For, of course, a pool car cannot be such if there is private use and a taxable benefit would arise. People weren’t using the pool cars socially, we just hadn’t nailed accurately reporting the journeys. That was easily remedied by redesigning our pool car use form to include date of trip, start and finish mileage, postcode destinations and reason for journey – all before HMRC’s representative had left the building. But it’s not just HMRC who needs appeasing. The cost of fuel is a major portion of any fleet’s budget and we can tackle reduction in several ways. We can coax our employees to drive more efficiently. At the time of writing, the Energy Saving Trust is still offering its Smarter Driving programme – a 50 minute one-to-one drive with an expert. They reckon most fleets will save between 5-15%, and the subsidised cost is minimal. We can stop making journeys altogether by use of video-conferencing, which we do for many internal meetings, and we can use satellite navigation or telematics to reduce mileage by efficient route-planning, with the latter often also having the ability to capture and split miles driven. Then there is the uncomfortable fact that, without good reporting systems, it’s not uncommon for less constrained drivers to

over-estimate their business mileage by anything up to 10% or more. There are any number of ways to capture mileage now, from keeping paper-based records ourselves, to smartphone apps. Some work better than others. But the beauty of using specialist programs is that mileage can be easily recorded, split as business and private, and distances verified. It cuts down intentional inaccuracies at a stroke, and usually simplifies administration. At one point I tried using our fuel card reports to work out average fuel consumption, thinking I could also use these to set up a fuel reimbursement system based on mileage driven and work out an actual cost per mile against fuel purchased. But I got some strange answers. If the mileage was entered inaccurately – by the driver or the filling station operative – or if the card was legitimately used to fill up a colleague’s car, or a temporary hire car, the end results proved startling. More startling still was the report which suggested one employee was regularly putting 85-90 litres into a 70 litre tank. We took the obvious steps and interrogated the surprised driver – who was able to produce receipts for all the refuels we queried, showing no more than 60 litres purchased at any time. It turned out the fuel card provider had a problem with their software which was adjusting figures to get the correct monetary answer. This was outside the UK, and resolved pretty quickly. I was surprised other customers hadn’t queried their bills though for it clearly wasn’t a one-off. All this satisfied me we would need a more robust reporting system for reimbursement and I’m pleased to say that after investigating and trialling a number of different systems on the market, we have now made a decision and I’m looking forward to seeing how accurate the savings predictions are. I hope I’ll be pleasantly surprised.

DRIVEN

Volvo V40 Cross Country Is the Cross Country just a jacked up V40 with some extra bumpers? Steve Moody finds out. SECTOR Lower-medium hatch PRICE £22,595-£33,875 FUEL 74.3mpg CO2 99-194g/km It does make you wonder what the world is coming to, when Volvo launches a car with Cross Country emblazoned all across it that isn’t diesel and four-wheel drive. The new V40 Cross Country comes with either a diesel engine – and very clean it is too – but only two-wheel drive, or fourwheel drive but with a stonking great fivecylinder petrol engine, which in the UK should be amazingly unpopular. So what we have here for fleets is a car that looks like all those excellent, utilitarian, but with a smattering of luxury, Volvos that are enormously popular in the shires. But it isn’t. That said, I like it a lot. The V40 purports to compete with Golfs, 1 Series’, A3s and A-Classes but while they mostly feel like cars for younger, less laden drivers, the V40 seems more of a chopped down estate for families. Expected to account for 11% of all V40 sales in the UK, the chassis of the V40 Cross Country has been hiked up by as much as 40mm, depending on engine and wheels fitted, while the front bumper has been re-designed to incorporate lower black bumper inserts, which also houses new vertical day-running lights and is fitted with a front skid plate. The front bumper is also fitted with a

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honeycomb grille while at the back there’s a silver-coloured plastic skid plate with ”Cross Country” moulded into it. The side sills have also received the Cross Country treatment and are made of the same black moulding as fitted to the front and rear bumpers. The result is a handsome, chunky-looking car. It’s also safe too, fitted as standard with Volvo's low-speed collision avoidance system, City Safety, and the world's first pedestrian airbag. The biggest seller is expected to be the 1.6-litre four-cylinder diesel D2, accounting for just over 60%, and it will appeal to company car drivers, with its 99g/km CO2 figure and 74.3mpg on the combined cycle. Maximum power is 115hp, and it drives OK. It’s no ball of fire, but is decently refined and capable. The bigger and more powerful 2.0-litre 150bhp D3 and 177bhp D4 engines also have low CO2 figures, both below 120g/km but for most drivers their improved performance over the D2 won’t outweigh the extra tax burden. Also, it just doesn’t feel like a car that is begging to be raced along – it’s a great family car, not a hot hatch. Mention must be made of the fourwheel drive version. There are engineering and space reasons why the diesels can’t be fitted with the system, so it is left to the

five-cylinder 2.5-litre 254bhp to fly the flag for all-wheel drive. As it is, it is pretty quick, but almost entirely irrelevant in the UK, and was built for other markets. Prices start from £22,595 on the road for the V40 D2 Cross Country SE, up to £33,875 for the V40 T5 AWD Geartronic Cross Country Lux Nav. That means it is about £1,000 more expensive than the standard V40, and you are effectively paying for a bit of brightwork and some modified bumpers. Also, you will need to do some comparison work between the extra kit on the Volvo and the cheaper front end price of equivalent competitors. Whether that will be enough to attract fleet buyers remains to be seen, but it is a very handsome and likeable car and should look good on the used market, where it will appear in significantly smaller numbers than the standard V40.

verdict There’s not really any reason to choose this Cross Country version over a standard V40 if you’re being entirely rational about it, but it’s a good-looking thing redolent of all those excellent, chunky Volvos that manfully contend with the great outdoors, and it’s efficient too. And that will be enough for some.

DRIVEN

Skoda Octavia The upmarket new Octavia has never had broader appeal, says Alex Grant. SECTOR Lower-medium PRICE £15,990-£23,240 FUEL 52.3-74.3mpg CO2 99-124g/km Since the first model launched in 1999, the Octavia has become a backbone of the Skoda range. Reliable, practical and understated, it’s done a large share of the legwork needed to make the brand credible again. Even in 2012, the outgoing car’s runout year, it made up 44% of Skoda’s global sales. This new version is the last of the Volkswagen Group C-segment models to get the all-new modular platform from the latest Golf, but it’s had one of the most thorough visual updates. There are hints of previous generations of Audi A4 and A6 in its front and rear lights and a little of the Rapid in its side profile, none of which are bad genes to inherit, while the interior feels considerably more upmarket than its predecessor. Both are a suggestion of what Skoda has planned for its newcomer. Since the last all-new Octavia launched in 2004, the range has altered a little. With the Rapid inserted between this and the Fabia, some buyers who may have traditionally opted for a low-spec Octavia are expected to downsize into a mid or high spec Rapid. In turn, this allows the Octavia to move upmarket, possibly catering for those who want D-segment practicality without the running costs. Under the body, Skoda has used the longest wheelbase yet derived from the new

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platform, giving lower overhangs front and rear, improved ride and high-speed stability and enormous interior space. But despite being the biggest Octavia yet, widespread use of lightweight steel in its construction means it’s actually lighter than even the 1999 model and only 50-60kg heavier than the equivalent Rapid. The range launches with a choice of two petrol and two diesel engines familiar from its Group siblings, with four wheel drive and the potent vRS models to follow. UK buyers won’t get the 1.8 TSI, though, which is the only launch model to get the more advanced MultiLink rear suspension setup. Skoda expects the 103bhp, 99g/km 1.6 TDI to be the most popular with fleets. The reduced weight means this is plenty of power for the Octavia, but sounds a little coarse at low speeds compared to higherpriced siblings using the same unit. Six gears and 148bhp mean the 2.0 TDI is a much nicer engine to live with. It’s incredibly quiet, even stood outside the car, and though it’s slightly less efficient on paper, regular longdistance drivers may find the extra gear contributes to similar real-world economy. Soon after launch, Skoda will complete the economical end of the range with the GreenLine. This shares the forthcoming Golf Bluemotion’s 108bhp 1.6 TDI engine and similar

weight saving, aerodynamic and gearing modifications to bring fuel economy down to 83mpg with CO2 emissions of 89g/km. From an economy perspective, all the range lacks is the 1.4 TSI’s cylinder shut-off system found in the Golf, Leon and A3. Otherwise, though, it feels very sophisticated. All models get the Golf’s intuitive smartphone-esque touchscreen infotainment system, which cleverly detects approaching fingers and brings up relevant tabs when needed, hiding them to maximise display space when they aren’t. Parking sensors, a DAB radio and USB connection are fitted across the range, and luxury options such as adaptive cruise control, automatic parking assistance and accident avoidance systems add a premium-brand feel to the buying experience. Drivers wanting the trimmings of luxury motoring needn’t feel deprived.

verdict In a cost-focused market, the Octavia has never made a better case for itself. It’s keenly priced, with emissions now in line with rivals and can satisfy the needs of both C and Dsegment buyers. A tangible move upmarket, but one which somehow manages not to dent its thrifty appeal.

A Daimler Brand

The C-Class Executive SE Coupé. Just 109g /km*.

Official government fuel consumption figures in mpg (litres per 100km) for the C-Class Coupé range: urban 15.5(18.2)–54.3(5.2), extra urban 33.6(8.4)–80.7(3.5), combined 23.5(12.0)–68.9(4.1). CO2 emissions: 280–109 g/km. *Based on C 220 CDI BlueEFFICIENCY Executive SE Coupé. Model featured is a C 220 CDI BlueEFFICIENCY Executive SE Coupé at £31,465.00 including optional metallic paint at £645.00 (OTR Prices Inc, VAT, delivery, 12 months’ Road Fund Licence, number plates, first registration fee and fuel). Some combinations of features/options may not be available. Please contact your Mercedes-Benz Retailer for availability. Price correct at time of going to print.

DRIVEN

Ford Kuga Alex Grant finds out whether Ford’s latest world car can fill the shoes of its popular predecessor. SECTOR Crossover PRICE £20,895-£29,795 FUEL 53.3-42.8mpg CO2 139-162g/km Ford may not have realised it at the time, but the Kuga was about to ride the crest of a lucrative wave when it launched in 2008. More than 48,000 have sold in the UK, 12,000 more than predicted, and it’s been a good brand-booster with high residual values and way over average take-up for top trim levels and optional extras. Its replacement launches into a much larger segment, with the added challenge of being sold worldwide. Within years it’ll be part of a family of SUVs, flanked by the B-crossover Ecosport and luxury-focused Edge for the first time in Europe. This car is already on sale in North America, branded as the new Escape. The wheelbase is identical to the old Kuga, despite the new platform, but this is larger overall than its predecessor to distance it from the Ecosport. So a little of the old car’s compact solidity has been lost, and the wheels are no longer pushed out to each corner. The silhouette is closer to a conventional SUV, which isn’t necessarily a bad thing. Ford’s potential headache is that it shares its three-piece grille with the soon-to-be facelifted Focus, rather than launching with the new family front end. This is said to be a result of launch timings, but with volume models already wearing the Aston Martin-esque grille this could leave the Kuga looking a generation behind

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the rest quite soon after launch. A refresh may not be too far away. European launch engines comprise a 1.6 EcoBoost petrol with 148bhp and 2.0 TDCi diesel with 138 or 161bhp. All except the most powerful diesel can be ordered with twowheel drive, and the latter gets the only Start/Stop system in the range to become the most efficient Kuga to date. At 139g/km and 53.3mpg it matches the equivalent version of the ageing Volkswagen Tiguan, but Mazda and Nissan’s most efficient crossovers are streets ahead, and Honda is hinting at sub-120g/km for the forthcoming 1.6 i-DTEC CR-V. Two thirds of UK Kugas will get four-wheel drive, so Ford doesn’t consider this much of a problem. A low-carbon Kuga could get the 1.6 TDCi, but as yet there are no plans to launch one, which will disappoint fleet drivers where its likely low emissions and high residuals would prove a very popular company car. Until then it is the four-wheel drive 2.0 TDCi which is expected to be the most popular drivetrain and, though not class-leading, its efficiency is on par with its closest rivals. This wasn’t available to drive at the launch, but a more powerful version bodes well. The Kuga is quiet, fitted with a slick manual or responsive automatic gearbox and has inherited the Focus’s driving manners. It’s remarkably car-like to drive, but the

trade off is a bumpier ride for the rare occasions where it ventures off the tarmac. In reality, most won’t notice. The interior is a huge step forward over its predecessor’s Germanic sobriety. Front and rear occupants are given plenty of space, while the solidly-built dashboard is in line with the latest Ford products. European buyers won’t get the Escape’s large navigation screen, though, which is a shame. Instead, the Kuga has a small display mounted close to the windscreen, as in the Focus. Despite the wider SUV range waiting in the wings, Ford doesn’t expect a shift in the customer base for its new Kuga. Sales projections are the same as the outgoing car, at between 10 and 12,000 per year with 35% going to a user-chooser fleet customer base. It’s got all the right ingredients in place to pick up exactly where its predecessor left off.

verdict The new Kuga has big shoes to fill, but with residual values up from 32 to 40%, entry prices down by over £1,000 and a betterequipped base model it should have no problems doing so. A bit more effort to bring CO2 emissions and fuel consumption down would have been welcome though.

No, not a misprint. 109g /km*. The C-Class Executive SE Coupé has it all: high speciﬁcation, performance and distinct styling. And, with just 109g/km*, it’s our most eﬃcient Coupé yet. Take another look.

A Daimler Brand

mercedes-benz.co.uk/ﬂeet

DRIVEN

Volkswagen Golf Steve Moody drives the impressive, but expensive new Golf. SECTOR Lower-medium hatch PRICE £22,015 FUEL 68.9mpg CO2 106g/km

DRIVEN IN BRIEF

It doesn’t take very long to get used to the new Golf. The weight of the controls, where everything is and the way it drives will be entirely familiar to anyone who has peddled along in any of the previous incarnations. But over time, it slowly reveals its less obvious talents. For a start, it is incredibly

refined, with this all-new 2.0-litre diesel engine operating at barely a whisper. Then, you notice the ride quality, which is much creamier than before, while the chassis feels taut through corners. The cabin is much lighter, with more shoulder room, and certainly more overall space in

the rear for passengers. I drove it hundreds of miles in some awful conditions and it easily managed 55mpg. Emissions are low for a car of this power too, at 106g/km. Impressive. The new MQB platform has resulted in the Golf being lighter, more agile and also more spacious, meaning you get the best of all available worlds. You ought to, mind, for the price, because our standard 150bhp SE is a smidge over £22,000 on the road, which is a lot of money, and pretty much up there with the premium brands. Satellite navigation, climate control and leather seats don’t even make an appearance at this price either. What will be interesting is drivers’ and fleets’ perceived value for money, because you’re struck by the omission of those more ostentatious trinkets to begin with, but like everything else with the Golf, other things slowly reveal themselves. For example, a 5.8-inch touchscreen, with DAB radio, USB and Bluetooth connectivity are standard right from entry level cars, while SE adds selectable driving modes, accident avoidance systems and automatic wipers. Residuals will retain their usual healthy glow, too. Get over the high front end price and you have a very fine fleet car.

Ford B-Max Zetec 1.0T Ecoboost

Volvo V60 D5 SE Lux Start/Stop

Volkswagen Scirocco R-Line

There is nothing better in the car world than something beautifully designed and perfectly fit for purpose, and the B-Max is it. I’ve got two children, who are two and four, I’ve heaved them into all sorts of cars and never has it been so easy as it is here. The rear doors slide backwards and the front doors open normally, with no pillar between them. You don’t bash your shoulder, they don’t whack their heads. There have been a few goes at rewriting the door rule book, but Ford has perfected it. You don’t need the next size up of MPV – this does it all. SM

From out of nowhere, Volvo’s S60 has become a tough model to beat on paper. The latest revisions to its tried-and-tested D5 five-cylinder diesel mean that while it still offers 215bhp, CO2 emissions have now dropped to an entirely palatable 119g/km, provided you’re happy to change gears yourself. It’s a handsome saloon car, fast in a relaxed way instead of being as direct to drive as BMW’s EfficientDynamics models. As the engine is barely ticking over on the motorway it’s easily capable of mid-40s to the gallon if you can keep it from running away with itself. AG

Volkswagen may be stretching the point a bit by describing the Scirocco as a coupe, but what’s not in doubt is what a cracking package it is for user-choosers. Based on the Golf, it combines kerbside appeal with unexpected practicality, space for two adults and plenty of luggage. All models now get satellite navigation and a multi-function steering wheel, while the R-Line adds leather upholstery, 19inch alloy wheels and a subtle, muscular bodykit to the list. With the familiar 138bhp 2.0 TDI under the bonnet it offers plentiful low-rev torque and relaxed cruising with an impressive 63mpg. JK

SECTOR Mini MPV PRICE £16,195 FUEL 55.0mpg CO2 119g/km

SECTOR Compact executive PRICE £31,845 FUEL 62.8mpg CO2 119g/km

SECTOR Coupe PRICE £26,205 FUEL 62.8mpg CO2 118g/km

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business.peugeot.co.uk /508hybrid4

AUTO MODE

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A PREMIUM CAR WITH FLEET PRACTICALITY Thanks to our state-of-the-art diesel hybrid technology, the New 508 Diesel HYbrid4 Saloon delivers a class-leading 95g/km of CO2 and exceptional fuel economy. Add to that four distinct driving modes and a high specification, and youâ&#x20AC;&#x2122;ve got a premium car with fleet practicality. To arrange a demo, please contact our Fleet Centre on 02476 88 4644. The official fuel consumption in mpg (l/100km) for the 508 Diesel HYbrid4 range is: urban drive cycle MPG (litres/100km) 80.7 (3.5) Extra Urban drive cycle MPG (litres/100km) 76.3 (3.7) Combined drive cycle MPG (litres/100km) 78.5 (3.6).

NEW PEUGEOT 508 DIESEL HYBRID4 SALOON

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The Audi A6:

where technology blends with Advanced lightweight materials and technology place the Audi A6 Saloon and Avant among best Equipped with the most modern technology and the latest lightweight materials, the Audi A6 is engineered for precise, nimble handling. Together with Audi’s renowned interior design, and communications and navigation technology adopted from the Audi A8 and A7 Sportback, it helps the A6 to deliver an unrivalled ownership experience.

upholstery, Bluetooth®, dual-zone climate control, Audi drive select and Audi parking system plus. The interior exudes Audi’s renowned quality, luxury and prestige, while the A6 Avant’s load-carrying capacity offers up to 1,680 litres rear seats folded.

Reduced S line premium for 2.0 TDI models Adding even greater value to the S line package, the

CO2 from 129g/km; up to 57.6mpg

premium to upgrade from SE to S line specification on A6

Light weight ensures efficiency, and intelligent use of steel

Saloon and Avant 2.0 TDI models is now just £1,850 RRP, a saving of £500 RRP over the usual cost.

and aluminium in the A6’s construction helps achieve low CO2 emissions and fuel consumption. Highly efficient TDI engines enable combined fuel consumption of up to 57.6mpg, while CO2 emissions as low as 129g/km (A6 Saloon 2.0 TDI manual) mean BIK tax starts from just £97 a month1.

Luxury specification as standard The A6’s luxurious specification includes 17” alloy wheels (18” on S line, 20” on Black Edition), a 10-speaker 180 Watt sound system, SD card satellite navigation with 6.5” retractable MMI display, leather

Above: The A6 showcases the very latest in Audi’s renowned interior design. With leather trim, SD card-based satellite navigation with a 6.5” retractable screen and a 10-speaker sound system as standard, equipment levels are truly luxurious.

Below: The commodious and stylish A6 Avant

The Audi A6 Saloon 2.0 TDI S line: comparisons Audi A6 2.0 TDI S line

BMW 520d M Sport

Mercedes-Benz E220 CDI Avantgarde

£32,605

£35,240

£33,410

129

130

133

177PS

184hp

170hp

57.6

55.4

£103/£206

£117/£234

£111/£222

P11D price CO 2 emissions (g/km) Max power Combined mpg BIK tax (20%/40%)

Cost per mile (p/mile) Upholstery

48.32

49.59

50.82

Embossed leather

Leather

18”

17”

SD card-based

Business Media Pack

Becker Map Pilot

Alloy wheels Satellite navigation

1 BIK tax quoted per month for 20%/40% tax payers in 2012/13, correct at January 2013. 2 Over 3yrs/60,000 miles. Source: CAP Monitor, January 2013. Models shown for illustration purposes only.

luxury in class for economy and emissions New Black Edition models top the range The sleek Black Edition trim level (pictured above right) brings a distinctive sporting edge to the A6 range and is now available with all engines (except hybrid and S6) for a price premium of £2,350 over S line. Equipment highlights, in addition to S line, include 20” alloy wheels in eyecatching titanium look finish, black styling package, privacy glass, a BOSE® sound system and DAB digital radio.

3.0 BiTDI quattro offers effortless performance Audi’s mighty bi-turbo 3.0 BiTDI 313PS engine enables the A6 Saloon to reach 62mph in 5.1secs (Avant 5.3secs) and a top speed of 155mph (where permitted). Yet both Saloon and Avant return combined fuel consumption of 44.1mpg and CO2 emissions of 169g/km.

Zero emission capability: the A6 Saloon hybrid A choice of virtually emission-free electric power for short distances or conventional driving with an electric motor to enhance performance is a feature of the Audi A6 hybrid. Equipped with a 2.0 TFSI 245PS petrol engine linked to an electric hybrid drivetrain offering an extra 40kW, it’s no

‘The A6 2.0 TDI S line will save a 40% tax payer over £330 a year in BIK tax compared with the BMW 520d M Spor t.’

surprise the A6 hybrid can cover 0-62mph in just 7.5secs, while returning combined fuel consumption of 45.6mpg and CO2 emissions of just 145g/km. Enhanced standard specification, based on SE, also marks out the hybrid, cossetting occupants in an even more luxurious ambience.

Lease rates from £339 a month1 The Audi A6 Saloon 2.0 TDI 177PS SE manual is now available on contract hire with Audi Finance from just £339 a month1 1 Plus VAT and initial rental. Business users only. Over three years/10,000 miles pa. Further charges may be payable when vehicle is returned. Indemnities may be required. Subject to status. Available to over 18s from participating Centres only for vehicles ordered before 31 March 2013 and delivered by 30 June 2013 (subject to availability). Oﬀer may be varied or withdrawn at any time. Speciﬁcation correct at time of publication. Prices quoted and examples shown are correct at time of publication (January 2013) and do not take into account any variation to government taxes or charges arising after the date of publication. Terms and conditions apply. Audi Finance, Freepost Audi Finance.

F O R M O R E I N F O R M AT IO N O N T H E A U D I A 6 R A N G E V I S I T A U D I . C O . U K /A 6

FEATURE Pre-registrations

WHAT LIES BENEATH The UK car market recorded impressive growth during 2012, but have pre-registrations and heavily subsidised retail deals created a timebomb that will hit ďŹ&#x201A;eet residuals values in the future? Alex Grant investigates.

fleetworld.co.uk

FEATURE Pre-registrations

s 2012 drew to a close, most car manufacturers were celebrating a strong year of retail sales growth in the UK. Against a backdrop of ongoing financial unrest and the economy contracting in the final quarter, the UK was recording a rise of 103,000 units, or 5.3%, compared to 2011 while pan-European figures showed a 7.9% decline and more than one million fewer cars sold in 2012 than the year before. For the UK, it’s the biggest year-on-year growth since 2001, the largest sales figure since 2008 and makes it the only one of the “Big Five” European markets to grow at all during 2012. From a 63,000-unit lead, France dropped to the third largest European car market last year, while the UK became the second-largest market with a 104,600-unit lead over its neighbour. While the implication is that the UK has become an island of stability, it’s caused a few raised eyebrows in the automotive industry, questioning where that extra volume has come from when the economy is struggling to come out of recession. Has this volume been forced, with preregistrations and volume redirected from a

stagnant southern Europe, meaning we are yet again going to be hit with oversupply, with vast fields of unsold cars which when they eventually hit the market will destabilise values and cause some of the funding issues the industry saw five years ago? Have we learned any lessons from the past, or will the carmakers just keep repeating their mistakes, which could cost fleets millions of pounds? But the SMMT is bullish about the growth. It says a favourable exchange rate has made it easier to be competitive in the UK, and it’s natural for manufacturers to focus on regions which are performing well. British buyers, the SMMT explains, are benefiting from attractive deals because they show a willingness to buy a new car in the first place. One fleet industry expert, who didn’t want to be named, told Fleet World there was more to it than that: ‘The growth is due to very cheap product,’ he says. ‘Like fiveyear finance with no deposit, and all the other subsidised schemes available. You’d be stupid not to buy a new car. ‘It’s meant new is a better proposition than used. Used cars up to 18 months old have taken a massive hit, and what’s hurt the most is manufacturers are shoving out what’s left

‘The growth is due to very cheap product, like ﬁve-year ﬁnance with no deposit, and all the other subsidised schemes available. You’d be stupid not to buy a new car.’

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as pre-registered stock with a sufficient discount to compete with the new cars.’ Tracking this can be difficult. Not all preregistered stock is being pushed out through auctions and dealers. One industry insider reports several manufacturers had been balancing their figures by registering cars at the end of the month, then delivering them the following month. These aren’t classed as pre-registered stock, and haven’t proved problematic for customers placing large orders, but each car becomes a depreciating asset as soon as it has been registered, with a knock-on effect for residuals. Darren Wiseman, general manager – Manheim Seller Advance, says it’s altered the shape of the used market already: ‘The supply of nearly-new stock certainly rose last year, with an increase of 10% above 2011 figures. Due to the plate change-over, this increase peaked at 64% in October. We also saw a 10% growth in residual values in 2012,’ he explains. ‘The volume of nearly new stock is likely to continue to be buoyant throughout 2013. With low stock and high demand a continued trend, we expect residual values to hold up well.’ Limited supply is easing as post-recession 2010 and 2011 stock starts to filter through. Car supermarkets have had a strong start to the year, and Manheim’s data shows shortages of premium, retail-ready stock contributed to 75% of vehicles selling at their first time through auction during 2012. Figures from BCA are also reporting limited effects on residual values so far. During December, average values for nearlynew stock climbed from £1,808 to £22,337, more than £2,000 higher than the same month in 2011. Across the whole year, average ages for nearly-new cars fell slightly while performance against CAP dropped from 101.67% to 100.46%. Overall, average values were up 4.7% over the year to a new industry high. BCA’s communications director, Tony Gannon, isn’t foreseeing any significant drops in the near future. Stock shortages

FEATURE Pre-registrations

haven’t dented the desirability of nearly new cars and, with the used car market totalling over seven million units, an influx of pre-registered cars can be absorbed into the market with limited effects on average values. As such, in the longer term these are likely to remain stable, he says. Indeed, some view heavy retail discounts as a short-term way to limit a downward spin on residual values. One insider explains: ‘It’s been a great year, but costly for manufacturers. If you look at some of the manufacturers’ results, it’s difficult to work out what this discounting has cost them but it’s interest free for five years and better for maintaining residual values. Theirs have risen because they’ve pulled out of heavily discounted markets.’ But the approach is clearly not sustainable. Discounts on new cars are likely to remain, but there’s a feeling in the industry that the growth in retail sales can only plateau. The fleet industry is watching closely: ‘We have always had a level of pre-registrations in the UK, but it looks like this was rising last year, so this is nothing new,’ says David Brennan, managing director at LeasePlan UK. ‘The impact on used values will be limited to the relative increase in pre-registrations, and at the moment there is a shortage of used car stock combined with fragile demand. This is currently in balance – any significant increase in pre-registrations could affect this.’ There’s also a possibility that fluctuations in exchange rates could have an effect on ongoing supply into the UK. This is favouring competitive imports at the moment, and helping manufacturers to offer high discounts. But Dr Paul Niewen-

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huis, director of the Centre for Automotive Industry Research at Cardiff University, says growth markets outside Europe aren’t always the solution. He comments: ‘If you can send stuﬀ to the growth markets in Asia and the BRICs, that is obviously worth a try, however, not all manufacturers can do this. Even those who manufacture there cannot easily import from the EU, or at least not competitively – for example Volkswagen in China and Fiat in Brazil. However, for the specialists, this is

clearly what is keeping them going: Jaguar Land Rover and the Germans are thriving on sales in Asia, and to a lesser extent North America, which is showing some growth.’ But even within the UK, pressure is mounting on new car sales. Peter Cooke, KPMG professor of automotive management at Buckingham University, says buyers are increasingly questioning the need to own a car at all. Rising fuel and taxation costs and less disposable income are making it an unaffordable luxury for a lot of families, and in some parts of the UK buyers are facing a choice between food or fuel. Cooke expects this to continue for at least five years. ‘We’re coming up to a subtle change in the market, where the role of cars will be challenged. The car used to be the ultimate objec-

tive, now new is nice to have, used is good to have, but they cost so much to run, and people are aware of what they’re being taxed on.’ In the longer term, there may have to be diﬃcult decisions made about coping with over-supply: ‘Ford has bitten the bullet, Renault has bitten the bullet, General Motors will as well in terms of bringing medium term production in line with the market,’ Cooke explains. ‘Ford has been very brave being the ﬁrst to jump, shutting its factory in Genk, moving Transit production from its historical site in Southampton, and we will see more of this over the next 18 months.’ Amid ongoing economic issues in the UK, there are

Shortage of used car stock combined with fragile demand is currently in balance but signiﬁcant pre-registration increases could affect this. clearly incentives encouraging buyers both in fleet and retail to replace vehicles, which has in turn contributed to last year’s market growth. But with demand still strong for good quality used vehicles, this has had little effect on average values which have now reached record highs. Provided 2013 doesn’t bring even heavier discounts, the feeling for the short term is that there’s little for fleets to worry about and some good deals to be had.

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FEATURE To buy or to lease?

MORE ON DCT This month Professor Colin Tourick delves deeper into the world of discounted cash flow analysis and Excel. IF you’ve been reading these articles for the last two years you should now be able to calculate whether to lease or buy your vehicles. We have looked at discounted cash flow analysis, the time value of money, the discounting formula and many types of interest rate. We’ve used Excel to do complex DCF calculations, explored Goal Seek and looked at how leasing companies calculate early termination amounts. And along the way we’ve discussed all of the funding methods

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you’re ever likely to come across. This month we are going to reprise two of the most useful Excel functions, PMT and PV. The PMT function allows you to calculate the monthly payment (or lease rental) in a contract if you know at least three things: the amount that is being financed, the interest rate and the number of payments. Let’s assume we want to calculate the payments over two years on a non-maintenance contract where the amount

financed is £20,000, the balloon payment is £5,000, the interest rate is 7% pa and payments are made monthly in advance. Start by typing in the first five rows of this spreadsheet, then type “=PMT” [without the quotation marks] in cell B6. A helpful note pops up saying “Calculates the payment for a loan based on constant payments and a constant interest rate”. That’s exactly what we want to do. Now type an open bracket, so that you’ve typed “=PMT(” and the helpful note changes:

in association with

For further ways to reduce your fleet tax bill, visit business.peugeot.co.uk or call the Peugeot Fleet centre on 024 7688 4644. A 1

Amount financed

Interest rate

Number of payments

Future value

Type

Monthly payment

£20,000.00

Amount financed

0.07

Interest rate

Number of payments

-£5,000.00

Future value

Type

Monthly payment

=PMT(

PMT(rate, nper, pv, [fv], [type])

B £20,000.00

Interest rate

0.07

Number of payments

Monthly payment

Balloon

Type

=PMT(B2/12, B3,B1,B4,B5)

You now know how to use the PMT function! If you wish you can change the amount financed, interest rate, number of payments or future value in cells B1B4 and you’ll get the revised monthly payment in cell B6. Next we will look at Excel’s PV function, which allows you to calculate the present value of a series of cash flows. This is useful if you’re offered two different finance agreements – for example a lease with monthly payments in advance and an HP agreement with a small deposit and large quarterly payments – and need to work out which is cheapest. Let’s assume we want to calculate the PV of a series of payments on a two year non-maintenance agreement where the monthly payment is £696.69 in advance, the balloon payment is £5,000 and the annual interest rate is 7% pa. To start, type in rows 1-5 of this spreadsheet and then type “=PV(” [without the quotation marks] in cell B6. Excel’s helpful note offers you five expressions; rate, nper, pmt, [fv] and [type]. Cell B1 contains 0.07, which is another way of saying 7%, so click B1 and the PV function will pick up the interest rate of 7%. You need a monthly rate, so type a slash symbol and the number 12, ie “/12” and then type a comma. (If you needed a quarterly rate you’d divide by 12 instead). Next the “nper” expression becomes bold, inviting you to enter the number of periods, so click cell B2 and enter a comma. Now the “pmt” becomes bold, so click B3 and the function will pick the monthly payment. The fv is now bold, so click B4 to bring in the balloon payment and then Type becomes bold so click B5 to tell Excel the payments are in advance. Your spreadsheet now looks like this:

All of these articles have just been published as a new book called Do The Maths. If you go to www.tourick.co.uk and enter the Discount Code FWFeb2013 before 14 March 2013 you will be able to save 25% off the list price.

0.07

-£5,000.00

PMT(rate, nper, pv, [fv], [type])

You can now see five expressions; rate, nper, pv, fv and type. The first four of those expressions are Excel-speak for Amount Financed, Interest Rate, Number of Payments and Future Value, which are exactly what you’ve already typed into cells B1 to B4. “Type” allows you to tell Excel whether the payments are in advance (in which case you enter “1”) or arrears (in which case you leave it blank). FV and Type are optional, which is why they are in square brackets. Cell B2 contains 0.07, which is another way of saying 7%, so if you click on B2 the PMT function will pick up the interest rate of 7%. This is an annual interest rate and you need a monthly rate, so type a slash symbol and the number 12, ie “/12” (which is Excel-speak for “divide by 12”), and then type a comma. Note how the “nper” expression in the helpful note has changed into bold font. This is Excel’s way of telling you you’ve moved on from entering the interest rate and are now about to enter the number of periods. You do this by clicking cell B3 and entering a comma. Now the “pv” is shown in bold. PV means present value or amount financed, so you just need to click on cell B1 and the function will pick this up. Now the fv is in bold, so you click on B4 to bring this into the equation. FV is shown as a negative number because Excel needs to be told that the amount being ﬁnanced is a beneﬁt – the borrower isn’t having to pay this out, so they are saving this amount which is the equivalent of receiving it – whereas they will have to pay the balloon payment. Finally the “type” becomes bold so you click on B5 to tell Excel the payments are in advance. Now, just enter a “close brackets” sign and cell B6 will show the result, a monthly payment of £696.69.

B 24 -£696.69 -£5,000.00 1 =PMT(B1/12, B2,B3,B4,B5) PMT(rate, nper, pv, [fv], [type])

Press Enter and it will look like this:

1 2 3 4 5 6

A B Interest rate 0.07 Number of payments 24 Monthly payment -£696.69 Balloon -£5,000.00 Type 1 PV -£19,999.97

So ﬁrst we used the PMT formula to prove that the payments due on a £20,000 PV agreement (eg HP, a loan or a lease) at 7% pa over 24 months with a £5000 balloon were £696.69, and now we have proved the reverse; that the present value of 24 payments of £696.69 with a £5,000 balloon, discounted at 7% pa over 24 months is £19,999.97. There’s a 3p difference because the payment in the first example wasn’t exactly £696.69, it was actually £696.6913205. Excel rounded the result to the nearest penny, so we have a small rounding difference.

The PMT function allows you to calculate the monthly payment (or lease rental) in a contract February 2013

‘You need to work out what it means to be number one in the premium sector, and we don’t think that market share and volume numbers are it. Instead it’s about being the best.’

fleetworld.co.uk

INTERVIEW James Douglas Audi UK

Running rings Audi’s new head of fleet, James Douglas, expects more of the same in 2013, despite increased competition in the premium sector. By Steve Moody. I can’t say that James Douglas reminds me of Brian Clough in any way, but the new head of fleet at Audi thought of the artful old manager’s career when he left Nissan to join the German giant a few months ago. ‘Broadly what we do here is outstanding,’ he says, ‘so I was mindful of Brain Clough walking into Leeds United in the 1970s when he told them that despite all the titles they had won they were rubbish!’ That was always unlikely to happen at Audi with even the most irascible newcomer, but even Douglas was surprised at how some of his preconceptions were challenged. At the tail end of 2012, Audi and BMW were neck and neck in terms of fleet sales, and he walked into Audi director Martin Sander’s office expecting the red button to be pressed, and a massive effort made to secure that number one spot. ‘The first decision I had to make with Martin Sander when I got here was over the number he wanted to hit at the end of the year, and what action we needed to take to do that, and he said we don’t have one – the factory is quite content to close naturally and happy with the performance in the UK. ‘In 2012, we came in considerably ahead of budget and slightly behind BMW but it’s safe to say, if we had wanted to, we may well have pushed on to beat them, but we made the decicision to close the year organically. ‘I was quite surprised because we were ahead of BMW at that time and thought we would want to sustain that, but they were more interested to go into the next year on the right foot, while BMW closed quite hard.’ So in overall fleet and retail volume, Audi was just behind its great rival, But Douglas reckons they are happy with that. ‘The figures show that overall, the three of us (including Mercedes-Benz) all grew by about 10,000 units in the year and we were up 8.6% in a market that’s up 5%, which is pretty impressive. And we were very comfortable with that, as it pretty much doubles the growth set up at the beginning of the year. ‘In fleet we’re pleased with the type of business we’ve done in 2012: year on year fleet growth is 2.2% up to just under 50,000, in a market which is fairly level. ‘The interesting thing for me is that for true fleet we are number one in the premium sector and that’s a telling statistic because that shows you the organic demand, and shows you the customers who said: “Yes please I’d like to buy one”.’ Douglas says Audi has few direct sales, and very few direct sales clients, to the point he starts reeling them off by name, and even then they are at the premium end of corporate sales. He says: ‘The thing that surprised me when I started looking into the figures is that we only sell cars that are company cars, whereas if I went into other car firms you get all sorts of things, from accident management to rental and bodyshop vehicles, and we all know that’s the fleet industry, but Audi’s

customer type is very strongly end-user, corporate. It’s a loyal, satisfied customer base.’ Of course, having desirable product is also a vital part of that loyalty. With A3 Sportback, A3 Saloon and some niche product this year, Douglas reckons his team has the perfect balance: key fleet cars sprinkled with interesting niche cars such as RS6 that keep the brand in the limelight. But it is the A3 that will prove the most important to him. It accounts for roughly a third of the firm’s fleet business, and with five door Sportback coming on stream and the Saloon later in the year, he believes there are strong opportunities for growth. In the case of A3 Saloon, I don’t think traditional saloons have generally looked as good as the hatch equivalent, but this is a very good, beautifully-styled car so on the back of the styling and the fact its about the size of A4 from two generations back, we are quite hopeful. One thing is it is not an A3 Sportback with a boot. It might cannibalise some of A4 sales, but I don’t see it being a problem for A3.’ There will be some interesting developments on the engine front later in the year too, with clever turbocharged petrol engines coming on stream that might make quite a few fleet buyers less likely to default to diesel. And then there’s the competition. Last year, Mercedes-Benz came wading into the mix with a new team of people, many having worked at Audi, and the launch of the new A-Class. So the fight in the premium sector will be even more intense this year. Douglas however, thinks Audi are well placed. ‘Its safe to say that the expectation is we will grow, but at the end of the day you need to work out what it means to be number one in the premium sector, and we don’t think that market share and volume numbers are it. Instead it’s about being the best: best quality, best service and best people, not the biggest, most aggressive or biggest level of profit. ‘The truth is we’ve been successful for a reason. We have an incredibly engaged dealer network which delivers quality fleet business and a dedicated account management resource in the network, and here, that is outstanding in the way it works. ‘I think we’ve been limited in terms of trying to expand, in that I think we have been happy to consolidate and account manage and love our existing customer base. I certainly wouldn’t advocate changing that but it think there are opportunities to widen that, especially through the leasing companies.’ And Douglas is happy with the increasing shift to premium in the fleet sector. ‘There are more people coming into the premium segment, and once you get to that point, there’s no way you’re going back, so it is considerably bigger than it was three years ago, and that can only be good for all of us’ Spoken with fine diplomacy. Not like Brian Clough at all then.

February 2013

MANAGEMENT Fleet Academy

Join the Reassessing our transport needs 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:

www.fleetacademy.co.uk 54

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During the last week, South Wales has had its heaviest snowfall for 50 years. It’s caused chaos on the roads, but by keeping people indoors I wonder if it’s also providing an unplanned glimpse of the future. Life has changed dramatically since 1963. Mobile telephones, the increasingly portable tablet and laptop computer and widespread WiFi coverage mean while there are more vehicles than ever on our roads, we’re arguably less reliant on them than we’ve ever been. So, like a lot of others I’m sure, while the ground is covered I’ve upped my home-working quota for a few days and given the office a miss. Adverse weather is good at forcing people to give it a try. I’ve spoken to, and listened to words of wisdom from, several automotive industry experts recently who’ve said the role of the ﬂeet manager will change as mobility broadens, and that the concept of a company car is due to evolve in the near future. Is not travelling at all a part of it? The last few years have taught us to reconsider where possible. Tighter purse strings have forced fleets to downsize, and carbon tax and fuel costs have pushed people into smaller cars. Working from home appears to be a common discussion, according to several of my friends. Even when the economy eventually recovers, people must be thinking it’s worth carrying on with this frugality rather than

The trouble with tolls Ross Durkin, Managing Editor, Fleet World The thorny subject of toll roads was floated once again by the government, conveniently close enough to Christmas that most people probably had better things to think about. The government spends around one-fifth of the £50bn it receives every year from vehicle-based taxes on road building projects, so in my view asking us to pay even more is a bit of a con.

in association with

debate... The dangers of stored data going back to more wasteful old processes. So perhaps the office of the future will become smaller, essentially a place to hold meetings, store important documents and distribute calls. Maybe the time is coming to take the same approach with the company car fleet, strip it back to a few hardworking pool cars and avoid travelling as if the roads were piled high with snow. It would certainly help cut carbon, and with fuel costs so high not running a ﬂeet of cars would almost deﬁnitely cover the expense of a bulk order of laptops and tightly controlled company phones. This is not suitable for everyone, of course, but perhaps suitable for more drivers than we’ve previously realised.

J Mistry, Car Leasing Business Intelligence, XLGC replied… This deﬁnitely raises some sobering thoughts for ﬂeet managers, whether on the supply or demand side. Also, if one thinks through to the impacts of the points raised, more issues need to be considered. If remote working suddenly accelerates – at some point within the next 2-4 years this is likely – there will be a massive drop in demand, a glut and hence low resale values. I agree that smaller pools of shared company cars may become more likely than previously thought.

Road tolls are a pain at the best of times, both in the backside and the back pocket. But then the chancellor is skint and it may be that if we really do want better roads, we'll just have to pay the price. I think I could just about stomach it if a new road were to be built that saved time by avoiding congestion. But I would draw the line at being charged to use an existing road which I felt I had paid for once or twice already.

Andrew Wright, Director, Fleet Inﬂuence Ltd I went along to the VRA Conference at Oxford recently. There was a very interesting piece by David Tomes of Auto Intelligence on the subject of personal data being left in vehicles when they change hands. I know this happens because I recently drove a premium brand demonstrator – no names, no pack drill – and on the internal memory in the car were the last four drivers' entire phone books, totalling some 350 names and numbers. The gist of David’s presentation was that companies should take care to ensure that any personal data stored in vehicles they are processing is wiped. This will ensure compliance with various pieces of legislation, and frankly is good practice. Of course, this is all very laudable and every company involved in processing vehicles should ensure that they adopt this “best practice”. However, I do think there is a duty of care on the driver too. After all, it is their own data and they should recognise that we are surrounded by unscrupulous people who would just love to find out where “home” is. Does anyone have experience of this issue, or is it something that is considered an unnecessary concern?

Alex Grant, Motoring Editor, Fleet World, replied… A lot of cars won't let you access stored data unless you've got the phone they came from paired up with the car. However, the data is stored inside the car and there must be a way to hack into it. In which case, it's only a matter of time before someone manages to do so. Sat navs are a big problem, though. Previous destinations have to be cleared manually, and people tend to set up their "home" location accurately which doesn't make it too difficult to track someone down. Look at it this way - if you get your car key stolen, it’s probably attached to the key to the house labelled as "home" in your sat nav... I remember hearing of a case recently where the new owner of a car tracked down the previous owner using the satellite navigation, and turned up at his/her house to ask questions about it after it had been sold. It's definitely worth putting measures in place to ensure this data is cleared when the car changes hands.

February 2013

S E LLI N G

CAP reports strong demand for three-year-old cars The used car market was slow to gather pace in January but is now seeing increasingly brisk trading, with strong demand for the best examples of threeyear old stock, according to CAP. CAP’s senior editor, Derren Martin, says Black Book Live only began tracking prices upward around the middle of the month, with two factors appearing to having driven the eventual increase in trade appetite for cars. Number one was a growing concern among dealers that they might be caught short of stock, as it became apparent that there were fewer cars available than typical for the start of the year. This was then coupled with a determination to snap up the best cars as soon as they appeared. There is now particularly strong demand for the best examples of three-yearold stock, which is more scarce than it has been. However, CAP has warned that market price stability may suffer as the struggling economies of Europe cause manufacturers to focus on the UK as their best bet to increase new car sales. Martin said: ‘Manufacturers are having a very tough time in Europe and may well look to the UK this year as their best opportunity to keep the wolf from the door. The current relative strength of Sterling against the Euro also makes Britain a stronger prospect for maintaining profits on new cars. ‘If supply of new cars is increased signiﬁcantly, through large-scale rental deals or pre-registration, it will probably stem the increase in trade values at some point. ‘But even if that happens, many dealers will welcome the availability of more prime retail stock and consumers will also benefit from increasingly competitive deals as more cars are managed into the market.’

NAMA predicts price stability The National Association of Motor Auctions (NAMA) is predicting a stable year for values in 2013. Andrew Hulme, chairman of NAMA, added: ‘The market in January opened with respectable but not spectacular levels of activity. The market is healthily balanced between increased supply and increased demand. Whilst there have been some price spikes, the overall value of prices achieved are broadly in line with December's close. As always, the grade 1 and 2 condition stock continue to attract the highest prices with the grade 4 and 5 condition stock achieving values consistent with the level of refurbishment required.   ‘NAMA does not expect a further decline in supply in 2013 and therefore in a market supported by typical levels of retail demand expects price stability throughout the year.’ Used values for the fleet sector showed a steadily improving pattern of price gains in 2012, according to the latest market report from NAMA. This culminated in a year-on-year position in December where the fleet sector was achieving prices 11.5% higher than a year earlier, sustaining the level achieved in November, with constrained supply largely responsible. Meanwhile the average values of used cars sold at auction across the board increased from £4,969 to £5,402 between November and December, equivalent to an 8.7% increase. Total sales fell significantly in December from 74,701 to 43,444, representing a month-on-month reduction of 41.8%. However, the decrease in sales is in line with normal seasonal changes.

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HOT... Kia Optima Kia’s ﬂagship saloon achieved a strong performance in its debut sale, with BCA reporting that eight Optimas were offered and sold for 103% of CAP Clean.

New A3 VIPDATA lists this as a prime example of a premium model with a waiting list of buyers for new models. This can only bode well for RVs.

CAP Clean vehicles Retail-ready used cars continue to be in huge demand, helped by a lack of stock, according to BCA.

NOT... 4x4s Values have remained steady rather than seeing the usual seasonal uplift as buyers decide to chance it in the late snow, advises VIPDATA.

Upper-medium cars Demand for ex-ﬂeet stock is strong, but high mileage Mondeo and Laguna are bucking the trend.

Coupés and Cabriolets Experiencing the usual seasonal slow-down on top of ﬂat demand during a wet 2012.

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FLEET MANAGEMENT

Fleet Driver of the Year backed by ProFleet2 Mel Dawson Mel Dawson, managing director of ALD Automotive, looks at how the Fleet Driver of the Year competition is providing the perfect platform to showcase the company's awardwinning ProFleet2 in-vehicle telematics and its application to promote safer driving.

“ Drivers have their driving skills analysed over a month – not just for one day.”

t 0870 0011181 e ukinfo@aldautomotive.com w www.aldautomotive.co.uk

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Whether it’s used for basic business mileage capture or to monitor how efficiently the fleet is being run with the aim of reducing fuel and other operating costs, telematics technology has proven benefits in terms of optimising business productivity and cost control. But of course one of the key benefits of telematics – and one that both the company and the driver in particular gain from – is its application to monitor and promote safer driving. And it’s this aspect of telematics that will come under the spotlight in the Fleet Driver of the Year 2013 competition, with the help of ALD Automotive’s award-winning ProFleet2 telematics service. The competition is a unique driving event to promote safer, greener, smarter driving. Essentially, it involves car fleet operators promoting their best fleet drivers to enter a fourstage driving competition that comprises the following elements:

1. Online driving knowledge quiz 2. Psychometric analysis using DriverMetrics (FDRI) 3. In-vehicle journey monitoring via ProFleet2 4. Skills testing at the Fleet World Fleet Show What particularly makes this event unique is the fact that drivers undergo a psychometric analysis beforehand and then have their driving skills analysed using ProFleet2 over a month – not just for one day. The intention is to provide an in-depth picture of their driving skills, not just a fleeting snapshot, as part of a push for better driving across the fleet industry. And this is the fundamental benefit of our ProFleet2; with driver consent, Profleet2 offers the ability for fleets to manage driver performance “remotely” on an everyday basis, not just for driver risk management but to monitor and accurately measure business mileage and carbon emissions, benchmark driver performance, offer timely service reminders to drivers and assist with vehicle recovery, etc. With over 30,000 units installed and integrated seamlessly within ALD Automotive’s contract hire offer as standard, the ProFleet2 service is unique within the marketplace and is, arguably,

the one “stand-out” differentiator within a very competitive and mature market. Originally developed to provide accurate odometer readings for ALD to remind drivers to service their vehicles on time, and improve the service booking process, it has since evolved into a proven and all-encompassing fleet management solution delivered through the www.profleet2.com portal. Driver risk management is a particular focus of ProFleet2, which provides fleet managers – with full driver consent – with a complete overview of their vehicles and dashboard reporting to highlight areas of potential risk, such as high risk driving hours, and the necessary interventions to manage this risk. Such auditable management records of all business journey data thereby reduce the very real risk of any corporate manslaughter prosecution and safeguard against potential driver fatigue. ProFleet2’s extensive dashboard reporting can also be used to drive business efficiency, highlighting areas of potential risk to budgetary control, for example harsh acceleration and braking, excessive speeds, idling or engine revs, which can then be addressed, with attendant benefits to the fleet’s CO2 footprint. In addition, remote mileage capture and detailed journey reporting mean that companies using ProFleet2 gain an unprecedented level of visibility and control over their fleet, enabling them to take control of journey planning as well as gain from a raft of additional benefits such as business mileage capture and comprehensive journey and driver profiling. That’s not to mention the many cost, reliability and efficiency benefits conferred by other numerous ProFleet2 features such as automatic service reminders, and optional GPS “track and trace” functionality to improve vehicle security. ProFleet2 gives drivers and companies an unparalleled insight into the “inner workings” of the fleet, helping ensure vehicles are safer, greener and more cost effective to run. One thing is for sure; with all the analysis carried out over 4 rounds, the 2013 Fleet Driver of the Year will have earned it! For more details on the Fleet Driver of the Year competition and ALD Automotive’s ProFleet2 technology, visit www.fdoty.com.

SWOT TEAM

MAZDA6 v RIVALS

THE RIVALS VAUXHALL INSIGNIA

FORD MONDEO

VOLKSWAGEN PASSAT

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 Glassâ&#x20AC;&#x2122;s

February 2013

SWOT TEAM This month the SWOT Team analyses the main strengths, weaknesses, opportunities and threats for the new MAZDA6 against its closest rivals. Here is what they have to say...

STRENGTHS

WEAKNESSES

AC The Mazda is the winner when it comes to BiK costs. It’s good to drive, with the highest power output in the group and class-leading fuel economy figures. If the CX-5 is anything to go on it should deliver very good real world mpg figures as well. All of the cars are decent to drive with each one having strengths over the other, whether it be the dynamics of the drive or the build quality inside and out. As a general, spacious, everyday vehicle that is relatively affordable when it comes to company car tax, all four choices can hold their own.

AC When it comes to practicality, a hatchback is always the car to have, so the fact that not all four choices have a hatchback version may be an issue to some. However, when you think how many premium upper-medium saloons are now sold it makes a bit of a mockery of this. In the UK the badge on the bonnet or rear of the car stands for a lot, and unfortunately these don’t stack up compared to premium German marques. The latest versions of each of these models are also very large cars, and in many cases people have chosen to downsize as there is so much room now in the vehicles from the segment.

MJ Mazda’s SKYACTIV technology combines lightweight construction with high efficiency engines producing 67.3mpg and 108g/km. Add stylish looks and good handling for a highly competitive package. The Passat maintains its Whole Life Cost at the head of this group, with an impressive all-round performance. Ford’s Mondeo is a fiercely competitive offer – particularly in Zetec Business Edition form – and continues to collect awards, and has many happy drivers! In this group Insignia looks a little costly although transaction prices could improve its position and volumes are impressive. AS The Mazda’s modern styling and strong reliability record stand out from the crowd. Vauxhall and Ford have a strong fleet following, with competitive deals on the Insignia and the Mondeo benefitting from reliable residuals and a strong dealer network. Volkswagen is almost a premium brand, so the Passat has a solid reputation and good residuals.

MJ Mazda fights a lack of awareness but also perhaps less production for the UK than it might have been able to supply this year anyway. The Passat does not yet have the latest 148bhp 2.0 TDI as in the new A3 and Octavia which should compete head-on with the Mazda6 economy and emissions when it arrives. Ongoing improvements to the Mondeo make it hard to criticise – perhaps a touch big for some people. The Insignia fights on with an extremely complex range of trim levels and engines which seems to hinder rather than help driver choice.

AS The Mazda and Volkswagen are both offered with no hatchback version, which is a big mistake, while the Ford and Vauxhall suffer from a workaday image and high list prices. The Mondeo’s CO2 emissions are not competitive now.

MW As good as it looks, the Insignia has a repuMW Lighter and with all the latest technology, the new Mazda6 will make potential buyers think twice, and it offers the lowest CO2 in its class. The Mondeo is well specced and a proven fleet favourite, while the Insignia is probably the best looking car in the D-sector, and still looks as fresh today as it did when we first saw it. The Passat is a Volkswagen, well tried and tested and the recent facelift that almost went unnoticed is a real eye-catcher.

fleetworld.co.uk

tation, rightly or wrongly, for being highly discounted. Buyers fear they are going to lose too much money compared to the rest. The Mondeo has the highest CO2, and is now too high to compete effectively. The Passat, to many people, looks too much like the previous car despite its many changes and improvements. Sales in this sector are mainly hatchbacks, which could cost Mazda sales with only a four-door saloon available.

MAZDA6

VAUXHALL INSIGNIA

FORD MONDEO

VOLKSWAGEN PASSAT

OPPORTUNITIES

THREATS

AC It is quite hard to find many opportunities for

AC The threats to these vehicles come from a number of premium-marque competitors which are now selling in huge numbers, especially in the fleet market. Also as stated previously, the cars from the segment below are now so big and practical that they make good family cars while offering better BiK costs and more equipment for your money. There is also the influx of more and more ”Lifestyle” vehicles in the market, which are eating into a number of segments but this one especially. These cars are just too big for some poeple now.

the models listed. The manufacturers will in many cases continue to pursue the single or dual badge fleets so as to make a deal with the customer and ensure volumes of fleet business. It isn’t as easy to attract so many user-chooser customers as it used to be, because the segment is so competitive and the premium marques are making such an impact in fleet. But the new Mazda6 offers a strong BiK position, saving 40% of tax payers between £246 and £774 over the other three choices in company car tax over the next three years.

MJ The premium brands have tremendous presMJ This sector is in slow decline but there is still volume to fight over. The new Mazda6 saloon is very different to the previous hatchback model, and with this highly efficient package they will pick up new clients. The Mondeo is affordable and competitive and a great car for high mileage drivers just as Passat has a great reputation for all-round competence. The Insignia used to lead this sector and continues to be a major player.

AS Mazda’s SKYACTIV Technology is getting a lot of fleet attention, with the lowest CO2 output here, and will appeal more now. Low CO2 is a big plus for the Insignia, which is a very convincing fleet package. Competitive deals and a strong fleet following will help the Mondeo last until replacement, while the Passat’s image is hard for any manufacturer to acquire.

ence and strength in this sector, making the task ever greater for the traditional volume brands, but equally so for those aspirational brands such as Mazda and Volkswagen. However, Volkswagen’s Passat should see the new Skoda Octavia as a true competitor, and clearly Mazda6 has the qualities to compete, although seducing the German brand’s customers with a Japanese product could prove a challenge. Early information and pictures of New Mondeo could make buyers question the wisdom of buying the current car.

AS The entire upper-medium sector is being dimin-

MW The Passat is a lifelong friend to many. It will

ished towards extinction, with mid-size SUVs and MPVs eating away at volume and premium brands now within reach, which is especially bad news for the sector’s traditional big-selling models. Downsizing is also popular as running costs continue to rise, so arguably one of the Passat’s biggest threats is the very capable, efficient, practical new Golf.

continue to be bought by existing owners, and there’s still plenty of conquest business to be sought by the old girl yet. The Ford is well established and many out there still want a Mondeo on their drive, the Blue oval badge in this sector is still King. Mazda’s new 6 will appeal to those wanting the best of everything green, with good MPG and low CO2.

MW This sector generally is under threat from other more versatile and practical vehicles such as MPVs and SUVs. All four manufacturers and plenty of others have, or will soon have, vehicles in these sectors. Customers want cars with the same footprint but a larger interior, more luggage space and more usability than these can offer.

February 2013

SWOT TEAM

MAZDA6 v RIVALS

MAZDA6

Mazda6 2.2 SKYACTIV D SE-L Nav OTR: £23,195 P11D: £23,140 Fuel: 67.3mpg CO2: 108g/km Residual value (3yr/60k): £7,475 (32%) BiK: 15% SMR: £2,613 Fuel costs: £5,534 Insurance: £3,000 Finance: £3,124 NI: £1,533 VED: £40 Cost per month: £877

VAUXHALL INSIGNIA

Vauxhall Insignia 2.0 CDTi Eco Exclusiv Nav OTR: £23,040 P11D: £22,985 Fuel: 65.7mpg CO2: 114g/km Residual value (3yr/60k): £5,375 (23%) BiK: 16% SMR: £1,832 Fuel costs: £5,803 Insurance: £3,000 Finance: £3,103 NI: £1,618 VED: £260 Cost per month: £919

FORD MONDEO

Ford Mondeo Zetec Business Edition 2.0 TDCi OTR: £21,795 P11D: £21,740 Fuel: 53.3mpg CO2: 129g/km Residual value (3yr/60k): £6,260 (29%) BiK: 19% SMR: £2,106 Fuel costs: £6,608 Insurance: £3,210 Finance: £2,935 NI: £1,800 VED: £200 Cost per month: £900

VOLKSWAGEN PASSAT

Volkswagen Passat Highline 2.0 TDI 140PS BMT OTR: £23,010 P11D: £22,955 Fuel: 61.4mpg CO2: 119g/km Residual value (3yr/60k): £7,675 (33%) BiK: 17% SMR: £1,781 Fuel costs: £6,210 Insurance: £3,210 Finance: £3,099 NI: £1,711 VED: £60 Cost per month: £872

THE VERDICT

Standard equipment: • CD/Radio with Bluetooth, USB and aux inputs • TomTom satellite navigation with 5.8-inch touchscreen • Dual zone climate control • Cruise control • Front and rear parking sensors • Front and rear electric windows • Smart City Brake Support • Automatic headlights and wipers Optional equipment: • Metallic or pearlescent paint £520 • Detachable tow bar £468.04

Standard equipment: • CD/Radio with Bluetooth, USB and aux inputs • Satellite navigation • Cruise control • Climate control • Front fog lights Optional equipment: • Parking sensors £395 • DAB digital radio £160 • Metallic paint £525 • Retractable tow bar £545 • Dual-zone climate control, auto lights/wipers and anti-dazzle mirror £415

Standard equipment: • Radio/CD Bluetooth and auxiliary inputs • Touch screen satellite navigation • Cruise control • Dual zone climate control • Front and rear parking sensors • Front and rear electric windows Optional equipment: • Metallic paint £545 • DAB radio and USB connectivity £100 • Detachable tow bar £600 • Reversible boot floor and cargo net £200

Standard equipment: • DAB Radio/CD and SD with Bluetooth, USB and aux inputs • Touch screen satellite navigation • Cruise control • Dual zone climate control • Front and rear electric windows • Front and rear parking sensors Optional equipment: • Metallic paint £500 • Retractable tow bar £840 • Park assist £195 • Luggage net £70

LOW on cost and high on enjoyment, Mazda’s new flagship should renew its presence in the D-segment against well-established high volume sellers even without the most popular five-door body style. The difficulty it faces, as all others do, is a mass of other choices. Both large Korean brands have good models in this sector, premium-brand offerings are more affordable than ever and rugged SUVs and versatile MPVs are all steadily eroding the traditional core of the fleet market.

fleetworld.co.uk

WORLD-CLASS EXPERTS.

A properly ﬁtted windscreen accounts for as much as 30% of a vehicle’s structural strength and, in the event of an accident, can literally save lives. To protect your drivers, it’s vital you ensure that your vehicle glass repairs and replacements are carried out by experts. Our continued investment in quality and training ensures all our technicians are ATA accredited. Our systems and processes are compliant with ISO standards and, with 1100 technicians operating from 100 UK branches, you can be conﬁdent we’ll get to you fast. So don’t compromise this winter. Choose Autoglass® for world-class expert service and complete peace of mind - guaranteed.*

To ﬁnd out more or to set up an account with Autoglass® call us on 01663 308 530 or visit autoglassbusiness.co.uk *Lifetime Guarantee on parts and workmanship for as long as you own or operate the vehicle.

For vehicle glass, demand...

FLEET UPDATE

This month This month, our Optima goes back to Kia after 13 months, while the 508 proves itself on snow.

Lexus RX 450h F Sport

Peugeot 508 Hybrid4

There is something of a pecking order where Fleet World’s long-termers are concerned and to my occasional chagrin I’m not at the top of it. I should be above all this by now, but cars are an emotive subject and I can’t deny the odd pang of envy when I see some of the metal the others are driving. So when the word went around that Lexus were providing an RX 450h for six months I decided it was time to pull rank and grab the keys. We’ve had a number of Lexus long-termers in the past. The LS distinguished itself as the car in which my wife and kids fell asleep faster than any other – supremely smooth and comfortable. But for me, all the RXs I have driven previously have left an imprint as being the ideal car for a long journey, as if I’d added wheels to my favourite armchair. It’s a car packed with technology that you can even follow on screen if you wish. Or you can just get in and drive it like any other vehicle, and that’s the secret of its success. The model we’ve got is the F Sport – the most dynamic looking trim level featuring a specially designed spindle grille with recessed fog lamps in the lower bumper. At nearly £52,000 on the road it’s a big investment for any driver, and a big vehicle to boot. Not unlike my own midriff, it seems to have grown a little since our last acquaintance and while the level of comfort within has not diminished one bit, it feels like a larger package all round, which has consequences for manoeuvrability. Size notwithstanding, I can think of far worse jobs than reporting on life with the RX. As luck would have it we’ve missed most of the snow in the south-west, but I’m sure we’ll get a chance to test the car’s four-wheel drive capability before long. Until then it’s the most comfortable motorway mile-muncher on our fleet.

Ross Durkin

Because the 508 Hybrid4’s electric drive is to the rear wheels, it adds a useful dimension to the car’s winter capabilities. I had a long drive on ”White Friday” – January 18th when the south of England had disappeared under a blanket of snow. The Highways Agency and local authorities had done an excellent job of ploughing and gritting the motorways and main roads, but where snow was falling, it was starting to settle on the carriageway. A twist of the drive selector and the Peugeot was in four-wheel-drive. Add the reassurance of ESC electronic stability control (and gentle use of right foot) if the going started to get difficult and skidding was easily avoided. ESC also means that if you have to hit the brakes in these conditions, you can do so, with a few provisos; make sure the car is moving in a straight line with the steering wheel dead ahead, press the pedal hard, but remember that the stopping distance will be at least three times longer than in the dry. It is to be avoided of course, but it’s possible if you have to. The following week I was attending the Range Rover launch in the Cotswolds and since the snow had staged a return, had to face the irony of possibly not getting there because of the weather. But back to four-wheel-drive and despite more persistent snow than the previous Friday, the Peugeot got us through in fine style. ‘It’s not bad is it?’ commented one of the Range Rover crew who had taken the Pug off on untreated roads to the equally untreated hotel car park, as he handed back the keys. No it isn’t. In fact, it’s quite impressive and allowed an easy departure from the snow and ice covered car park the next morning. It might be the last thing anyone choosing a hybrid might think of, but I was glad to have the option of added traction in the circumstances and at less than half the £71,000 starting price of the latest Range Rover.

John Kendall OTR PRICE £51,995 POWER 245bhp @ 6,000rpm

OTR PRICE £31,450 POWER 163bhp @ 3,850rpm

TORQUE 234lb.ft @ 4,800rpm 0-62MPH 9.0 seconds

TORQUE 221lb.ft @ 1,700rpm 0-62MPH 9.0 seconds

TOP SPEED 124mph COMBINED MPG 44.8mpg

TOP SPEED 130mph COMBINED MPG 78.5mpg

CO2 145g/km (20% BiK)

CO2 95g/km (13% BiK)

fleetworld.co.uk

Kia Optima 2 Tech 1.7 CRDi

FINAL REPORT

Darren Brett > Sales Executive

Anne Dopson > Sales Director

Alex Grant > Motoring Editor

For me, the Optima satisfies on lots of fronts – great looks, loads of space and incredibly comfortable seats even for a tall driver. All that really lets it down is the one-engine range, it’s a little short on performance compared to some rivals and the engine is noisy, especially from cold. Some of that you could live with, as it’s also very efficient for a large car, and at the very worst at least it has a good audio system to drown it out around town. At this price, and with a seven-year warranty, it’s almost a no-brainer. With a little more polishing for the European market, the next Optima could be a real headache for the mainstream manufacturers.

In a 13-month stint with the Fleet World team there have been few bad words to say about the Optima, and I’ll be genuinely sorry to see it go. High fuel economy means it’s rarely found at fuel stations, and the mid-spec 2 Tech trim has all the right options ticked. Satellite navigation, Bluetooth and heated partleather seats are all here, and AM radio is a welcome (if rapidly disappearing) feature if, like me, you’re partial to Irish stations. All it really needs to be complete is a full postcode search, as that would’ve avoided an unnecessary tour of rural Northamptonshire in April. Overall it’s a fantastic family car, which deserves to be noticed.

Car park appeal still speaks volumes, and in a range with ascending desirability the Optima still turns heads. Ours has been parked up next to a plethora of shortterm test vehicles this year, and it’s stood up to even the best looking, most upmarket models too. It impressed quickly, and after a few months apart I came back to the Optima to find it reminded me of its capabilities just as quickly as it had shown them in the first place. Fit and finish still has a little catching up to do, NVH could be improved and an Optima Sport Tourer wouldn’t go amiss in Europe, but from a standing start Kia has shown the world it’s just as capable in the Dsegment as it is elsewhere.

OTR PRICE £21,695 POWER 134bhp @ 4,000rpm TORQUE 239lb.ft @ 2,000-2,500rpm 0-62MPH 10.2 seconds TOP SPEED 125mph COMBINED MPG 57.6mpg CO2 128g/km (19% BiK)

February 2013

FLEET UPDATE

SEAT Ibiza FR ST 1.2 TSI

At the end of 2012, Volkswagen rolled out an R-Line trim in the Polo. Pricing and aesthetics aside, it’s the closest equivalent to our Ibiza ST’s in the Volkswagen line-up. Obviously there’s no Polo Estate, but the two cars share a platform, sports styling and the peppy 1.2-litre TSI petrol engine. The big difference between the two is the Polo’s additional gear, which Ibiza owners can’t even add as an option. This, I think, is a frustrating omission. The Ibiza is a real surprise for those obsessed with on-paper figures. Its menial-sounding 103bhp is delivered with surprising urgency, and it’s just as eager to hustle the Ibiza along at motorway speeds. Having tried both, I’d have the 1.2 over the larger 1.4 TSI, especially as the latter is only sold with a DSG transmission. While the Ibiza is unlikely to be bought by high mileage fleet drivers, it’s a good long-distance car with only one drawback. With only five gears, the engine revs at 2,700rpm at 70mph, which is right in the middle of its peak torque band. It’s great for instant throttle response on the motorway, but a thorn in the side of high speed economy which has settled at 40mpg, or 43mpg with super unleaded. At a guess, the Polo’s extra gear brings the engine down to around 2,000rpm at 70mph, just below where the turbocharger kicks in. Despite the Ibiza being more frugal on paper, I’d put money on drivers getting closer to 50mpg out of the Volkswagen in real life – a 25% improvement over the SEAT. Of course, higher up-front costs are an issue for adding a six-speed gearbox, but that’s something drivers could easily claw back in saved fuel. Offered as an option, it would be a useful added talent for an otherwise brilliant small petrol engine.

Nissan Qashqai 1.6 dCi n-tec+ I’ve always thought Christmas, with the need to transport family members, presents, overnight bags, etc, is the perfect time to put a car’s cargo-carrying skills to the test. However, I’m increasingly finding that January is proving a better test, with a combination of January sales and the sudden need to clear out the house to make some space. And so this month has seen the Qashqai’s capaciousness put to the test to transport a complete baby travel system including two buggies with two kids in situ too. And it managed it too, albeit with a bit of head-scratching and rearranging. With 410 litres of space (rising to a maximum of 860), the Qashqai is not short of space, although compact crossovers such as the ix35 and Sportage do offer more room. But its high-up stance combined with a high load sill means there’s some hefting involved and although the rear seats fold flat easily, with just a bit of a step up from the boot floor, they don’t slide forwards or jack-knife up. However, upgrade to the Qashqai+2 and you get not only extra seats but also extra boot space and more flexibility for the middle row seats too. I’m still a fan of the optional panoramic glass roof, complete with electronic cover. It’s definitely a mood-brightener – but also has the handy effect of keeping my toddler entertained too. The sat nav included as part of our n-tec+ is also working out well and I’m finding the speed camera warnings useful. Even though the vast majority of times I’ve been under the speed limit already, it’s handy to have a reminder. It’s also good that the sat nav has full postcode functionality although it would also be a help to be able to add in the exact house number too. I’ve also found that some of the routes it uses are not always the most obvious ones, but have since discovered it was on the ”eco” route setting, rather than ”shortest” or ”fastest”, so I’ve now changed it to the latter. After all, if you’re travelling with a full car load and a couple of kids too, you don’t want to be spending any longer onboard than you have to.

Natalie Middleton

Alex Grant OTR PRICE £14,845 POWER 103bhp @ 5,000rpm

OTR PRICE £23,145 POWER 128bhp @ 4,000rpm

TORQUE 129lb.ft @ 1,550rpm 0-62MPH 10.2 seconds

TORQUE 236lb.ft @ 1,750rpm 0-62MPH 10.3 seconds

TOP SPEED 118mph COMBINED MPG 55.4mpg

TOP SPEED 118mph COMBINED MPG 62.8mpg

CO2 119g/km (14% BiK)

CO2 119g/km (17% BiK)

fleetworld.co.uk

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0870 013 6663 enquiries@quartix.net www.quartix.net

MARKET OVERVIEW Telematics and Tracking

CMS Supatrak

Ctrack

CMS SupaTrak provides real time vehicle tracking, mobile working and fuel saving solutions to help organisations reduce their operating costs, lower their carbon emissions and promote safer driving. All our solutions are web based, allowing our customers to log into their account from anywhere and at any time and the reporting suite enables our customers to access their fleet information on demand or schedule reports to be run automatically. Established in 1993, CMS SupaTrak has developed and delivered solutions across all sectors,including Transport and Logistics, Service, Local Authority, Waste Management and Passenger Transport. We have considerable fleet expertise with sector specific solutions deployed across many blue chip companies including Veolia, Yusen Logistics, Biffa, Kier and SITA UK.

Ctrack provides advanced vehicle tracking and telematics solutions that deliver immediate benefits and financial returns resulting from the ability to better manage a fleet operation. These tools provide added visibility and control that comes from knowing the exact locations and status of vehicles in real-time. Suitable for fleets of all sizes, Ctrack delivers real advantage by reducing fuel consumption; validating overtime claims; eliminating unauthorised out-of-hours vehicle use; monitoring driver behaviour; achieving more jobs per employee; enhancing service levels; supporting environmental compliance; and increasing protection against vehicle theft. Ctrack is part of DigiCore Holdings, a global company listed on the Johannesburg Stock Exchange with more than 650,000 tracking systems fitted in 56 countries across five continents.

Contact: Alex Harper sales@supatrak.com

Tel: 01793 487488 www.supatrak.com

Motiva Group Motrak provides a comprehensive fleet monitoring solution that helps you to reduce costs, mitigate risk and improve regulatory compliance. Tracking driver behaviour and verifying vehicle location increases accountability, visibility and safety throughout your fleet whilst making a contribution to increased profitability. Excessive fuel prices are an on-going challenge for all businesses with fleets on the road. However, by taking advantage of Motrak, companies can reduce fuel outlay and deliver significant savings. With flexible pricing plans, free installation and exceptional levels of service, Motrak can truly deliver these increased operating efficiencies for your company.

Contact: Paul Holdcroft Paul.holdcroft@motivagroup.co.uk

Tel: 07836 228050 www.motrak.co.uk

Contact: Steve Thomas, Sales Director steve.thomas@ctrack.co.uk

Tel: 0845 055 8555 www.ctrack.co.uk

Navman Wireless Navman Wireless, the UK’s most chosen vehicle tracking and telematics specialist, ignited the industry by making real time fleet monitoring accessible to all and reinvented the industry with the game changing M-Nav, the first combined fleet tracking, messaging and satellite navigation system. Its products are designed to give managers instant access to vehicle location and driver behaviour information and are proven to reduce fleet running costs, increase business productivity, enhance customer service and improve driver safety. Navman Wireless continues to lead the vehicle tracking evolution with its Online AVL technology and has recently reinvented driver performance monitoring with its Smart Telematics system.

Contact: Sales Team info@navmanwireless.co.uk

Tel: 0845 521 1133 www.navmanwireless.co.uk

TRACKER Network UK Limited

Telogis

Established in 1993, TRACKER is the UK’s number one supplier of vehicle tracking services, with over a million systems installed to date. Award wining TRACKER Fleet uses groundbreaking patented technology to allow businesses to operate at maximum efficiency. Cost savings are provided as TRACKER Fleet highlights fuel inefficiencies and reduces overtime claims. Customer service levels are improved as fleets are routed effectively, ensuring deliveries and collections are made on time. Additionally, driving styles can be monitored to ensure best practices and compliance with duty of care. Operating across a wide range of industries, TRACKER provides the knowledge and experience you would expect, coupled with support you can rely on for a smooth running and efficient fleet.

Telogis® is the premium provider of LocationBased-Services to enterprises across the globe. Telogis’ scalable, Software as a Service (“SaaS”) platform helps enterprises, business owners and fleet managers optimise business operations and manage their global workforce effectively through GPS location technology. Telogis solutions enable companies to maximise the efficiency of their mobile assets through industry-leading tracking and scheduling applications, allowing both mobile and office-based staff to streamline operations, maximise productivity and minimise fuel and staffing costs. Telogis’ products and services are used and distributed in over 60 countries worldwide. To learn more visit www.telogis.com.

Contact: TRACKER Sales enquiries@TRACKER.co.uk

Contact: Sergio Barata Sergio.Barata@Telogis.com

fleetworldgroup.co.uk

Tel: 0500 090909 www.TRACKER.co.uk

Tel: +44 (0) 1344 747638 www.Telogis.co.uk

Is your system internet based?

Is there any software or mapping required on the customers PC?

Does your system allow the geographical “ring fencing” of particular locations?

Does your system have the facility to send alerts by text message in the event of a security alert?

Does the system accept inputs from ancillary equipment such as panic alarms?

Can the system recognise and report on different drivers of the vehicle?

Does your system have a stolen vehicle location facility?

Can the police locate the stolen vehicle using your system?

Is it possible to export data from your system to other back office systems?

Can the device installed in the vehicle be updated ‘over the air’?

Do you provide web services for third party integration?

What is the minimum lease/contract period for the device installed in the vehicle? (in months)

What is the minimum airtime/communications period? (in months)

FLEETW RLD

Aeromark Ltd

CMS Supatrak

Crystal Ball Ltd

–

Server & internet options

Yes

Flexible

Enigma Vehicle Systems

Motiva Group

Yes

Non contract terms available

Navman Wireless

Yes

Quartix Limited

Seven Telematics

Flexible

Telogis

TRACKER Network UK Limited

Trakm8

Yes

VeriLocation

Flexible

Key to services

Service provided

Service unavailable

Ctrack

Trakm8

Quartix

Trakm8 designs and manufactures complete fleet management hardware and software solutions and pride themselves on their ability to tailor products precisely to a customer’s fleet management, reporting or informational requirement. They have a complete service that takes customers from installation to on-going customer support as and when needed. Customers can be ‘live’ for a small upfront cost followed by an easy to manage direct debit plan. One of Trakm8’s key features is their ability to connect to the vehicle CANbus. This enables a wide range of information to be monitored to optimise utilisation and cost effectiveness of their fleet by measuring everything from fuel usage, CO2 emissions to driver behaviour.

Founded in 2001, Quartix has grown to become one of the UK’s most respected vehicle tracking providers. Today, more than 4,000 customers across a wide range of sectors use the online service, with the company’s unique, own-design tracking unit. Quartix also underpins the offering of 6 major UK insurance companies and is fast becoming a leading supplier of telematics to the insurance industry. Quartix currently install over 3,000 systems per month in the UK and Mainland Europe. The comprehensive system is available through simple rental and outright purchase options. With over 50% of sales coming from repeat business and customer referrals the Quartix name is synonymous with quality, reliability and service.

Contact: Nathan Piper info@trakm8.com

Contact: Sales Team enquiries@quartix.net

Tel: 01747 858444 www.trakm8.com

Tel: 0870 013 6663 www.quartix.co.uk

February 2013

FLEETW RLD

SUPPLIER DIRECTORY

AUCTIONS & REMARKETING

ACCIDENT MANAGEMENT

DAILY RENTAL

BCA Tel: 0845 600 66 44 www.british-car-auctions.co.uk

Total Accident Management Tel: 0845 078 4157 www.totalaccman.co.uk

Nexus Vehicle Management Ltd Tel: 0871 984 1947 www.nexusrental.co.uk

FAST-FITS & TYRES

DRIVER LICENCE CHECKING

Leasedrive Rental Management Tel: 0844 579 8877 www.leasedrive.com

Jaama Tel: 0844 8484 333 www.jaama.co.uk

MAC GB Ltd Tel: 01745 828180 www.reduceroadrisk.com

ATS Euromaster Tel: 0870 066 3624 www.atseuromaster.co.uk

Jaama Tel: 0844 8484 333 www.jaama.co.uk Europcar Tel: 01923 811250 www.europcar.co.uk

Bynx Tel: 01789 471600 www.bynx.com

AA DriveTech Tel: 01256 495732

Full listings online at fleetworld.co.uk

FLEET MANAGEMENT SOFTWARE White Clarke Group Tel: 01908 576 605 www.whiteclarkegroup.com

RISK MANAGEMENT DriveSense Tel: 01628 581930 www.drivesense.co.uk

www.AAdrivetech.com/fleetsafe DriveTech

VEHICLE DATA International Decision Systems Tel: 01256 302 000 www.idsdata.co.uk

Enterprise Rent-A-Car Tel: 01784 221 300 www.enterprise.co.uk

Civica Tranman Tel: 01454 874002 www.civica.co.uk/tranman

IAM Drive & Survive Tel: 0870 120 2910 www.iamdriveandsurvive.co.uk

Alphabet (GB) Limited Tel: 0870 50 50 100 www.alphabet.co.uk

Lex Autolease Tel: 0800 085 4128 www.lexautolease.co.uk

Budget Rent-a-Car Tel: 0844 5338 08701544 56 56 56 www.budget.co.uk

Enterprise Software Tel: 0161 925 2400 www.essl.co.uk

RAC Risk Management Tel: 0870 606 2606

Fleet Alliance Tel: 0845 601 8407 www.fleetalliance.co.uk

Total Fleet Services Ltd Tel: 01543 431080 www.lease-hire.co.uk

Alliance Asset Management plc Tel: 01480 475000 www.fleetcentre.com

Drive Software Solutions Tel: 01438 317731

Leasedrive Tel: 01344 466 466 www.leasedrive.com

Arnold Clark Vehicle Management

Arnold Clark Car and Van Rental Tel: 0845 702 3946

Concept Vehicle Leasing Tel: 0800 043 2050 www.conceptvehicleleasing.co.uk

Zenith Tel: 0844 848 8091 www.zenith.co.uk

CONTRACT HIRE, LEASING & FINANCE

Tel: 0845 603 4590 www.acvm.co.uk

www.arnoldclarkrental.com

www.racfleetriskmanagement.co.uk

www.drivesoftwaresolutions.com

Roadmarque Tel: 0845 053 0331 www.roadmarque.com

Mycompanyfleet Tel: 0845 077 7760 www.mycompanyfleet.co.uk

Peak Performance Tel: 01246 244200 www.peakperformance.net

Sofico Tel: 07815 601622 www.soficoservices.com

Cardinus Risk Management Tel: 01733 426015

For more information, please contact Tracy Howell on 01727 739160 or email tracy@fleetworldgroup.co.uk

ARI Fleet UK Tel: 0844 8000 700 www.arifleet.co.uk

www.cardinusfleet.com

RENTAL SYSTEMS & PROGRAMMES Volkswagen Group Leasing Tel: 0870 333 2229 www.volkswagengroupleasing.co.uk

Alliance Asset Management plc Tel: 01480 475000 www.fleetcentre.com

White Clarke Automotive Solutions Tel: 0870 787 2211 www.whiteclarkeauto.com

Days Contract Hire Tel: 0845 296 4423 www.dayscontracthire.co.uk

Venson Automotive Solutions Tel: 08444 99 1402 www.venson.com

Full listings online at fleetworld.co.uk

TELEMATICS & TRACKING

Telogis Tel: 01344 747638 www.telogis.co.uk

FUEL MANAGEMENT The leading magazine for fleet decision-makers

December 2012

FLEETW RLD

LINKED IN How growing connectivity will shape the way fleets operate

fleetworld.co.uk

BP PLUS Fuel Cards Tel: 0845 603 0723 www.bpplus.co.uk

Esso Fuel Cards Tel: 0800 626 672 www.essocard.com

Trakm8 Tel: 01747 858 444 www.trakm8.com

TRACKER Network UK Limited Tel: 0845 602 3981 www.TRACKER.co.uk

Shell Fuelcards Tel: 0800 7 31 31 37 www.shell.co.uk/euroshell

The Fuelcard Company Tel: 0845 073 0873 www.fuelcards.co.uk

Quartix Ltd Tel: 0870 013 6663 www.quartix.net

Navman Wireless UK Ltd Tel: 0845 521 1188 www.navmanwireless.co.uk

Fleet World Group

International Fleet World

Fleet Academy

EV Fleet World

fleetworld.co.uk

THE online resource for fleet decision-makers

Find us on facebook Fleet World

Join us on Linkedin Fleet World Group

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MPG Marathon

VAN

fleetworld.co.uk

FLEETW RLD February 2013

‘The Fiesta Van is at home in the cut and thrust of urban driving, but is equally capable of tackling motorway work when required.’

February 2013

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

CONFIDENTIAL

FIAT EXTENDS TECNICO RANGE

TNT TESTS HEAVY CRAFTER

Fiat Professional is extending its Tecnico line to cover both Ducato and Doblo Cargo models. The firm will offer a Ducato 30 van, with the 130hp Multijet II engine in L1H1 configuration alongside the existing Ducato Tecnico 35 van in L3H2 form. Both vans offer a host of extra kit, including air conditioning, front fog lights, Blue&Me with steering wheel controls, TomTom ready mounting in the dashboard, the Blue&Me TomTom Live navigator and cradle, Start/Stop, reverse parking sensors and ecoDrive Professional software. The Ducato 30 Tecnico is priced at £13,995 excluding VAT, while the larger Ducato 35 Tecnico comes at £16,995. That’s an on paper saving of up to £10,900. Metallic paint is a £100 option on either van. There will also be two versions of the Doblo Cargo in Tecnico spec. These are a 1.3 Multijet II with 90hp, and a Doblo Cargo Maxi with the 105hp 1.6-litre engine. Based on SX trim vans, the Tecnico models get a similarly generous upgrade to their specifications, yet start at just £10,495 for the Doblo Cargo Tecnico 1.3, and at £11,995 for the Doblo Cargo Maxi Tecnico 1.6. That’s a saving of up to £6,300 over the standard SX vans with the extra options. Metallic paint is again a £100 extra. ‘The addition of these new Tecnico versions provides further testimony to Fiat Professional’s commitment to provide customers with new technological features, environmentally-friendly solutions and great value for money products with which they can conﬁdently conduct their business,’ says Fiat Professional director, Sebastiano Fedrigo.

Parcel delivery company TNT Express is testing Volkswagen’s 5.0tonne GVW Crafter chassis against its standard 7.5-tonne trucks. The Crafter chassis cabs will be fitted with Cartwright box van conversions and will operate from TNT’s Bristol depot. It is believed that the 5.0-tonne van chassis will offer greater operational flexibility and save on running costs.

FORD BOSS CONFIRMS LCV RANGE OVERHAUL Ford of Britain managing director, Mark Ovenden, has confirmed that the company will completely overhaul its entire light commercial vehicle range in the next two years. Speaking at the first drive of Transit Custom, he said: ‘This is my number one priority. We will not launch anything more important over the next two years.’

FOUR STARS FOR ISUZU Isuzu’s D-Max pick-up has been awarded a four-star safety rating by Euro NCAP, making it one of the safest pick-ups in the sector. The D-Max received an 83% mark in adult occupancy, scoring maximum points for side impact protection. Front and rear head restraints were also praised for their protection against whiplash. ESP is standard across the range and that, with a front seatbelt reminder system, contributed to a 71% score for safety assist, while in the child occupancy category the pick-up scored 67%.

CITROËN EXTENDS UPGRADE Citroën is extending the Upgrade To Business Class scheme that was launched earlier this year. The scheme includes a four-year/60,000 mile service package, four years of Citroën Assistance and a warranty extended to four years/120,000 miles. Upgrade To Business Class had originally been available on vans registered before July 31. However, it will now be available for the foreseeable future on all Euro5 Nemo, Berlingo, Dispatch and Relay vans supplied by participating dealers and Business Centres.

Fiat Doblo Cargo Tecnico

RHA LAUNCHES LEGAL ADVICE SERVICE Fiat Ducato Tecnico

fleetworld.co.uk

The Road Haulage Association has launched a comprehensive legal advice, assistance and representation service to members. RHA Legal Services will be administered by solicitors Backhouse Jones and is available to any member subject to a subscription fee. Once signed up the member company will be able to access legal advice and representation from suitably qualified industry specific lawyers on employment and regulatory matters, plus defence of prosecutions. Members will also be eligible for reduced charges for commercial, corporate and property legal assistance.

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

VAUXHALL VIVARO

BUILT IN BRITAIN. FOR BRITAIN. For more information call 0845 7400 777 or visit www.vauxhall.co.uk/vans

COMMERCIAL VEHICLES The Wheels of Business

DRIVEN

Ford Fiesta Van

Words Dan Gilkes

specification MODEL BASIC PRICE ENGINE FUEL INJECTION POWER TORQUE Weights (kg)

Ford Fiesta Van 1.5 Duratorq Trend £11,870 4-cyl/1,498cc Common-rail 75hp @ 3,750rpm 185Nm @ 1,750rpm

GVW KERB WEIGHT

1,570 1,062

PAYLOAD MAX TRAILER WEIGHT Cost considerations FUEL TANK CAPACITY COMBINED MPG CO2 emissions OIL CHANGE WARRANTY

fleetworld.co.uk

508 750 45 litres 76.4mpg

98g/km 1 yr/12,500 miles 3 yr/60,000 miles

The introduction of a revised Ford Fiesta car has led inevitably to the launch of an updated Fiesta Van range. That said, the move wasn’t perhaps as inevitable as in the past, as Ford has announced that it will build a second small commercial, the Courier, which we should see early next year. The company continues to sell around 4,000 Fiesta Vans in the UK each year, so it is certainly a worthwhile exercise and the new vans offer updated looks inside and out, a range of new engines, improved technology and the promise of lower running costs. True, you can only carry 1.0m3 of load, but even with the half mesh steel bulkhead in place you still get a 1.3m long load area, with sturdy tie-down rings providing security for the load and driver. Payloads are around the 500kg mark, depending on engine and specification, but again, that will probably be more than sufficient for the target customer. There are two diesel engines on offer, along with one petrol motor. The most popular engine is expected to be a new 1.5-litre Duratorq TDCi, taking up to 55% of sales and producing 75hp and 185Nm of torque. This engine has a claimed consumption of 76.4mpg and CO2 levels of 98g/km. The second diesel is a 1.6-litre TDCi delivering 95hp and 205Nm. In standard trim it delivers 78.5mpg and 95g/km and Ford expects this option to take up to 25% of sales. The 1.6-litre can also be had in ECOnetic trim, with standard Auto-Start-Stop, lowered suspension, an aerodynamic rear undertray and wheel trims, plus low rolling resistance tyres. The ECOnetic model offers identical power and torque, but claims a combined fuel figure of 85.6mpg with emissions of just 87g/km. Ford expects the ECOnetic to account for 15% of UK sales. The 1.25-litre Duratec petrol engine delivers 82hp and 114Nm of torque and offers up to 54.3mpg and 120g/km, but is expected to

appeal to just 5% of customers. All models drive through a light and easy to use five-speed manual gearbox and both the diesel models have sprightly performance and sure-footed handling. The Fiesta Van is at home in the cut and thrust of urban driving, but is equally capable of tackling motorway work when required. The Fiesta Van benefits from much of the technology that is appearing in the car, including the option of Active City Stop, which is designed to prevent low-speed collisions. You can also opt for Hill Start Assist, Easy Fuel and a rear view camera. Ford’s MyKey technology is available too, allowing fleet managers to programme individual keys for specific drivers, restricting top speed, disabling the audio system if seatbelts are not used and preventing the deactivation of safety technologies such as the Electronic Stability Programme (ESP) that is standard on 1.6-litre vans. The MyKey system recognises different keys for the same vehicle, allowing the vehicle settings to be adjusted for different drivers to suit fleet requirements. The vans can also be had with Ford SYNC, an in-van connectivity system first seen in the new Transit Custom. SYNC features an Emergency Assistance function that directly connects the vehicle occupants to local emergency services in the event of an accident. The Fiesta Van is available in Base, ECOnetic II, Trend and Sport specifications, with prices starting at £10,980 plus the VAT for a Base petrol model, rising to £13,470 for the 1.6-litre diesel Sport van.

verdict The Fiesta Van once again benefits from the majority of the car range upgrades, and continues to offer easy entry to the light commercial vehicle market for small businesses.

VAN OPERATIONS Contract Hire

Contract hire still favourite for many fleets Restricted cash flow seems to have ensured contract hire remains a popular option for many fleets. Will that change in 2013?

Jon Lawes, managing director, Hitachi Capital Commercial Vehicle Services

The market for light CVs below 3,500kg gross vehicle weight (GVW) was a tough one in 2012, finishing the year down 7.9% compared with 2011 at 239,641 registrations. Yet more contraction in the economy, even if by a small amount does little to raise business confidence. The virtues of contract hire – notably avoiding capital expenditure, so conserving cash for core business activities can help an organisation with a definite need to operate vehicles to obtain them, even if the market is weak. In those market conditions, does that mean companies will opt for contract hire rather than outright purchase? According to data from the Finance and Leasing Association (FLA), the answer appears to be ”yes”. Figures for the year to the end of November 2012 show that overall FLA members asset finance had risen 3% to

£21,886m. Geraldine Kilkelly, head of research and chief economist at the FLA, said: ‘The figures show solid growth in finance for key asset sectors as companies invest in the tools they need to grow their businesses.’ Figures for the commercial vehicle sector show a sharper rise of 9% over the same period to £4,732m and for the three months to November 2012, an increase of 7% to £1,282m compared with the same period in 2011. We asked Jon Lawes, managing director of Hitachi Capital Commercial Vehicle Services, how he thought the 2012 light CV market had affected demand for contract hire. ‘Contract hire demand normally rises in a recession and when the economy is tough, as it gets vehicles off the balance sheet and frees up working capital for companies who might otherwise be strapped for cash’, begins Jon. ‘Our large corporate clients in particular like contract hire as it enables them to budget quite accurately for monthly vehicle costs – other than with insurance and fuel. Overall we are offering a blended funding approach, so out of a fleet of 50 vehicles we may decide on three different funding options depending on the vehicles that are required – that may even mean outright purchase on vehicles, if that is the best option for the operator.’ One effect of reduced demand could be that operators are conservative and stay with the vehicles they know when it comes to replacement time, or with vehicles that they believe to be better value. We asked Jon if that seems to have been the case. ‘Vehicle choice is very wide and there are

attractive offers out there to buy new LCVs, but we continue to focus on providing the right vehicle for the job in hand, which drives the van or base chassis we buy and run for our clients. Our buying power and relationships with the van manufacturers are very good, so we can achieve a good value deal for our fleet clients.’ The continuing high level of Class 7 MOT failures suggest that maintenance may not always be a priority for all fleet managers. We asked Jon how demand for maintenance contracts has been affected by the tight economy: ‘Other than for operators with their own workshops, we see the majority of contract hire contracts are underwritten inclusive of maintenance and this has not changed over the past few months.’ So what of 2013? How does Jon expect the light CV market to develop this year? ‘Demand will be steady’, he reckons, ‘We are seeing some of the larger fleets beginning to buy vehicles again after a year or two of extending the life of their current contracts. However, until credit deals are more readily available for SMEs, who are the life-blood of our economy, they will be looking to buy used vehicles. This is in turn keeping the used vehicle market buoyant but not helping the new market.’ And what about the market for contract hire? ‘We still see it as the most popular purchasing route for the majority of fleets’, says John. ‘If companies are cash rich they may want to buy vehicles, but these are more than balanced by the likes of public utilities, which have increasingly switched to contract hire on the back of the financial challenges they have been up against for the past two to three years.’

February 2013

VAN

MARKET OVERVIEW Fuel Management

Is your card single branded or multi-branded?

Do you provide management reporting?

Do you offer account and database management via the Internet

Does your card offer pan-European coverage?

Do you offer a card to pay for non-fuel items?

Do you offer rebates to major fleet customers?

What types of vehicles does your cards cover?

Do you offer a chip and pin security system?

Do you offer a non-pump price agreement?

Can your system accept data from own-pump transactions?

Do you offer a fuel bunkering facility?

Can customers pay for alternative fuels, such as natural gas or electric using your cards?

2.6k

Both

All

Both

All

The Fuelcard Company

4.5k

Multi

All

The Fuelcard People

7k+

Both

All

Key to services

Service provided

Service unavailable

BP PLUS Fuel Card Esso Petroleum Company Ltd

Do you charge a card fee?

What is the number of filling stations at which the card is accepted?

FLEETW RLD

* Card fee may be payable for smaller organisations

BP PLUS Fuel Card

Esso Petroleum Company Ltd

The BP PLUS Fuel Card offers the UK’s best combination of price, network, security, online fleet administration and fleet management information. Customers benefit from competitive pricing on the largest single branded network in the UK whilst also being able to refuel at Texaco and Total forecourts. Fleet Managers can save time and money on routine fleet administration and monitor and control fuel spend through use of BP PLUS Online Services. Furthermore, our cards are PIN enabled so help to prevent unauthorised use. Please get in touch with us to find out how we can help you to manage your fleet more efficiently and ultimately reduce costs.

Esso offers a range of cards and pricing options that can be specifically tailored to meet the needs of your business. This includes accessing your fuel card account online 24/7. Esso Card can be used at 1800 stations nationwide and 15000 sites across Europe. Esso Cards enhanced card security and the availability of your latest online transactions provides peace of mind. Esso’s Energy Fuels help your vehicles run at optimal engine efficiency so if you are looking for value for money, quality fuel and a secure easy to use platform, make your life easier by choosing Esso.

Contact: BP Fuel Cards Sales Team Tel: 0845 603 0723 bpcardsadmin@bp.com

Tel: 0800 626 672 essocardsales.uk@exxonmobil.com

www.essocard.com

www.bpplus.co.uk

The Fuelcard People The Fuelcard Company As one of the largest commercial fuel card resellers in the UK, The Fuelcard Company enjoys partnerships with most of the large fuelling networks including Shell, Esso, Texaco and Keyfuels and this means we have over 4,500 UK sites where our cards are accepted. As experts in our field, we have a wealth of experience in delivering tailored and competitive solutions to better manage business fleets of all sizes. In addition to our first class customer service, our online account management allows access to all account transactions 24 hours a day, 7 days a week. Tel: 0845 270 6214 info@fuelcards.co.uk

fleetworld.co.uk

www.fuelcards.co.uk

Nothing beats dealing with real people: The Fuelcard People, here to bring you great savings. Major fuel cost savings, massive paperwork and admin savings, always saving you from fraud worries. Plus: CO2Count, for help to count, control and cut your carbon footprint. And: MileageCount, from helping you to report HMRC mileages, without fear of fines, to total fleet management. All built on real personal service from your named account manager, who ensures the best possible fuel card deal for your specific needs – right fuels, networks, locations – chosen from EVERY major brand: BP, Esso, Shell, Texaco, Gulf, Pace, Emo, Jet, Murco, Morrisons, Tesco, Co-Op, Diesel Direct, UK Fuels and more. That’s simply unbeatable. Contact: Steve Gale info@thefuelcardpeople.co.uk www.thefuelcardpeople.co.uk

Tel: 0844 870 9856

NV200 SE

1.5 dCi

NV200

Â£149

FROM + VAT per month contract hire*

4400mm overall length 739kg payload 55.4mpg/135g/km CO2

LARGE NOW AVAILABLE IN SMALL 4.2MÆ© OF LOADSPACE IN A COMPACT VAN. THE NV200. PRACTICALLY GENIUS. Sound impossible? Just wait till you open the back doors and see for yourself. 4.2mÆ© of load capacity means bigger loads, fewer pick-ups and HYHQ TXLFNHU Ã&#x17E; QLVKHV $QG EHFDXVH LWpV DOO LQ WKH IRRWSULQW RI D FRPSDFW YDQ LWpV HYHQ HDVLHU WR SDUN DQG JHW DERXW WRZQ WRR 1RZ WKDWpV PRUH WKDQ SUDFWLFDO LWpV SUDFWLFDOO\ JHQLXV

Nissan. Innovation that excites.

nissan.co.uk/nv200

*BUSINESS USERS ONLY. Contract Hire is available subject to status and conditions on eligible vehicles registered between 02/01/2013 and 26/03/2013. Guarantees and Indemnities may be required. Example based on 12+35 proÃ&#x17E;le, 10,000 miles per annum on a non maintained contract. )urther charges may be made subject to mileage and condition. Excess mileage will be charged at 6. pence per mile excluding 9AT . RAC cover, vehicle excise duty and 3 year/100,000 mile warranty included. Contract Hire )inance provided by Nissan Business )inance, a trading style oI Arval U. Limited, :indmill Hill, Swindon SN5 6PE. 0odel shown is N9200 SE 1.5 dCi priced Â&#x20AC;13, 0 exc. 9AT and optional metallic paint at Â&#x20AC;350. 0odels subject to availability. Prices correct at the time oI going to print. Nissan 0otor GB Limited, The Rivers OIÃ&#x17E;ce Park, 'enham :ay, Rickmansworth, HertIordshire :'3 YS.

FLEET ON FLEET

Trials and errors Damian James talks to Liz Hollands about spiders causing crashes and the problems of end-of-life charges. LH Tell me about the Bracknell Forest Council fleet. DJ The fleet is currently just over fifty vehicles which are mostly commercial and passenger carrying vehicles along with a few pool cars. The majority of the fleet are contract hire which are sourced through a national framework agreement so I deal with a number of leasing companies. LH I know you have other functions to manage as well as fleet. Plus of course you are heavily involved in ACFO as a director. How do you find the time to keep a firm handle on everything? DJ I have had a colleague tell me that mine is the cleanest desk they have ever seen. I do like to be organised so I can get everything done. In my day job I’m responsible for transport (which includes fleet), facilities management, postal and courier services and the print room but I do have a great team around me. With my ACFO hat on I have been a director for a couple of years, and am also deputy chairman which is really a supporting role to help share Julie’s (Julie Jenner, ACFO’s chairman) workload. I’m really proud to be associated with such a great association which helps promote good working practices in fleet throughout the UK. LH What’s the worst fleet-related issue you’ve had to deal with? DJ I remember in a previous role that a driver’s son wrote off his dad’s company car and then proceeded to write off the hire car the following night. Luckily there were no serious injuries but it prompted a quick change of policy and a grovelling call to the hire company.

fleetworld.co.uk

LH And the strangest? DJ A driver was distracted by a spider which appeared from behind the sun visor as they were travelling in the outside lane of the motorway. The car ended up with scrapes all down one side as the driver ”parked” it in the central reservation. Worst of all it was a well-known Italian brand and it took over six months to get the appropriate parts in from Italy. LH What’s your main bugbear regarding lease companies/manufacturers? DJ Don’t get me started. It has to be the end of life process. This appears to be an

excuse for leasing companies to make some more money. LH Sole or multi-supply? And why? DJ Because I use frameworks I have to use multiple leasing companies. This does have its issues as inevitably some are better at it than others. LH You were an early adopter of vehicle tracking – what is your view now? DJ Currently I don’t track although I have in the past. I invested in tracking when the industry was very young and I remember standing in a room trying to explain to 30 burly engineers why they had nothing to worry about when their vehicles were tracked. I think the technology is fantastic and will soon become mandatory (e-Call), but it needs to be used for the right reasons. LH Do you run alternatively fuelled vehicles on your fleet - what’s your take on electric vehicles? DJ I trialled LPG in the early 90’s with disastrous results and inherited 75 LPG vehicles here which weren’t successful. This time I want other people to make the mistakes so I can learn from them and jump in when all the problems have been fixed. LH Do you have time for a hobby outside of work? DJ I’m a runner and belong to a local club. Last year I ran five half marathons. I really want to do some more but am currently injured and undergoing some physiotherapy. LH What are the two main fleet issues for you presently? DJ The end of life process as mentioned earlier, and the intricacies of passenger transport. It’s a tricky area to manage and there are plenty of grey areas that cause confusion and uncertainty.

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

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

Full listings online at

Fleet Alliance Tel: 0845 601 8407 www.fleetalliance.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

Avis Rent A Car Tel: 0844 544 5000 www.avis.co.uk

Alphabet (GB) Limited Tel: 0870 50 50 100 www.alphabet.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

LeasePlan UK Ltd Tel: 0844 493 5810 www.leaseplan.co.uk

fleetworld.co.uk DAILY RENTAL

Full listings online at fleetworld.co.uk TELEMATICS & TRACKING

FUEL MANAGEMENT

VEHICLE VENTILATION

Nexus Vehicle Management Ltd Tel: 0871 984 1947 www.nexusrental.co.uk

Total Fleet Services Ltd Tel: 01543 431080 www.lease-hire.co.uk

TRACKER Network UK Limited Tel: 0845 602 3981 www.TRACKER.co.uk

BP PLUS Fuel Cards Tel: 0845 603 0723 www.bpplus.co.uk

Flettner Ventilator Ltd Tel: 020 8200 2321 www.flettner.co.uk

VEHICLE DATA

Arnold Clark Vehicle Management

Quartix Ltd Tel: 0870 013 6663 www.quartix.net

Shell Fuelcards Tel: 0800 7 31 31 37 www.shell.co.uk/euroshell

Full listings online at

Tel: 0141 332 2626 www.acvm.co.uk

International Decision Systems Tel: 01256 302 000 www.idsdata.co.uk

RISK MANAGEMENT Lex Autolease

Tel: 0800 085 4128 www.lexautolease.co.uk

FAST-FITS & TYRES ATS Euromaster Tel: 0121 325 8842 www.atseuromaster.co.uk

Volkswagen Group Leasing Tel: 0870 333 2229 www.volkswagengroupleasing.co.uk

Esso Fuel Cards Tel: 0800 626 672 www.essocard.com

Roadmarque Tel: 0845 053 0331 www.roadmarque.com

TomTom Business Solutions Tel: 020 7255 9774 www.tomtom.com/business

Full listings online at

DriveSense Tel: 01628 581930

Trakm8 Tel: 01747 858 444 www.trakm8.com

EV FLEET WORLD Tel: 01727 739160 www.evfleetworld.co.uk

Tel: 0845 055 8555 Ctrack www.ctrack.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

VAN FLEETW RLD SUPPLIER DIRECTORY

January 2010

For more information, please contact Tracy Howell on 01727 739160 or email tracy@fleetworldgroup.co.uk

fleetworld.co.uk

www.drivesense.co.uk

IAM Drive & Survive Tel: 0870 120 2910 www.iamdriveandsurvive.co.uk

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 February 2013

LIF F E.

BALANCED.

ADD LIFE TO YOUR CORPORATE FLEET The flowing beauty of the new XF Sportbrake is just part of the story. With 1,675 litres of flexible load space it’s also beautifully versatile. The new XF Sportbrake features Intelligent Stop/Start technology which reduces CO2 emissions to just 135 g/km, meaning it incurs a BIK rate of just 21% and is capable of up to 55.4 mpg (combined). Coupled with improved whole-life costs* and a class leading specification adjusted price, the XF Sportbrake makes perfect business sense. The new XF Sportbrake is available from £31,940 OTR. Contact us today to be one of the first to test drive it.

WWW.JAGUAR.CO.UK/CORPORATESALES 0845 366 0342 Model shown is an XF Sportbrake 3.0 litre V6 Diesel S Luxury 275PS, priced at £44,355. Official fuel economy ﬁgures for the XF Sportbrake range in MPG (l/100km): Urban 37.7–46.3 (7.5–6.1). Extra Urban 54.3–62.8 (5.2–4.5). Combined 46.3–55.4 (6.1–5.1). CO2 Emissions 163–135 g/km On the road price is the manufacturers Recommended Retail Price plus Car Tax, First Registration Fee and Delivery Pack.