THE NEW SEAT LEON X-PERIENCE WITH 4DRIVE DISCOVER NEW ROUTES FOR YOUR BUSINESS
SEAT FOR BUSINESS Average consumption: 4.8 - 6.8 l/100 km. Average CO2 mass emissions: 125 - 152 g/km.
TECHNOLOGY TO ENJOY
contents THE NEW SEAT LEON X-PERIENCE WITH 4DRIVE
DISCOVER NEW ROUTES FOR YOUR BUSINESS
SEAT FOR BUSINESS Average consumption: 4.8 - 6.8 l/100 km. Average CO2 mass emissions: 125 - 152 g/km.
TECHNOLOGY TO ENJOY
INTERNATIONAL FLEET WORLD OCT14.indd 1
12/11/14 13.11
Managing Editor Ross Durkin ross@fleetworldgroup.co.uk
16 Road safety under the spotlight.
24 Volker Mornhinweg at M-B Vans.
26 A week in Tesla’s Model S.
47 Impressive New Corsa on the road.
Publisher Jerry Ramsdale jerry@fleetworldgroup.co.uk Editor John Kendall john@fleetworldgroup.co.uk Deputy Editor Alex Grant alex@fleetworldgroup.co.uk Business Editor Natalie Middleton natalie@fleetworldgroup.co.uk Features Editor Katie Beck katie@fleetworldgroup.co.uk Sales Director Anne Dopson anne@fleetworldgroup.co.uk
04 Fleet Review Editor John Kendall looks at misleading published fuel figures.
Sales Executives Darren Brett darren@fleetworldgroup.co.uk
06 Inside Knowledge Assessing the growing popularity of French cars in China.
Claire Warman claire@fleetworldgroup.co.uk
08 News The biggest stories from a month in the international fleet world.
Circulation Tracy Howell tracy@fleetworldgroup.co.uk
16 Management Katie Beck reports from the ETSC’s road safety conference.
Dawn Mitchell dawn@fleetworldgroup.co.uk
18 Management The importance of selecting the correct telematics data package.
Head of Production Luke Wikner luke@fleetworldgroup.co.uk
22 RVs How growth in Portugul’s leasing sector reflects European optimism.
Designers Tina Ries tina@fleetworldgroup.co.uk
24 Interview Volker Mornhinweg on Mercedes-Benz Van’s global ambition.
Samantha Hargreaves sam@fleetworldgroup.co.uk
26 Feature Alex Grant finds out if the Tesla Model S works as a ‘real world’ car. 32 Fleet Focus How South Korea has expanded its new car and leasing markets. 36 International Fleet Academy Implementing DIM systems and securing data.
Published by Stag Publications Ltd, 18 Alban Park, Hatfield Road, St Albans, Herts, AL4 0JJ tel +44 (0)1727 739160 fax +44 (0)1727 739169 email ifw@fleetworldgroup.co.uk web internationalfleetworld.com
38 Profile Toyota’s new global architecture and forthcoming Fuel Cell technology. 44 Launch Report Macan S Diesel / B-Class Electric Drive / MINI One D / Opel Corsa. 48 Global Fleet Forum A round-up of activity on the popular fleet forum. 50 Fleet in figures Breaking down the global vehicle sales by region.
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fleet review
This month, editor John Kendall looks at misleading published fuel figures and how fleet can learn from the airline industry.
Customer satisfaction It’s a year since Hyundai announced that it would feature owner generated ratings and reviews of its US dealers. Over 96% of its US dealers have enrolled in the scheme and the average rating appears to be 4.6 out of a possible 5 stars. That sounds like a different experience from the one I had myself recently in the UK when buying a car from a dealer. It was certainly not all bad but it would have taken so little for me to have gone away completely satisfied. But all credit to the dealer, it took my customer satisfaction survey results very seriously and quickly fixed the problems. Overall it was an interesting contrast to the treatment I received from fast fit outlet Kwik-Fit that fitted a new set of Continental tyres to the car in question. The staff could not have done more for me and I left impressed and willing to return and recommend to others. I’m only aware of one manufacturer in the UK that has been willing to expose itself to similar public reviewing to Hyundai in the US, but perhaps that is the trigger for improvement. The knowledge that your reputation will be under public scrutiny is a powerful tool. One bad review could have far reaching consequences. Manufacturers will quietly moan to journalists about their dealers (and vice versa). Getting it out in the open could be the best way to drive up standards and encourage repeat business.
Fuel consumption fixes? In the US, Hyundai and Kia have been fined US$350 million by the US courts for overstating fuel economy data and understating greenhouse gas emissions. In
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Europe a recent report by Transport and Environment (the European Federation for Transport and Environment); 2014 Mind the Gap, points the finger at Mercedes in particular for preparing vehicles especially for fuel consumption tests, although the company is not alone. The report also suggests that the gap between real world fuel consumption results and carmakers’ claims has widened to 43% for company car drivers. Perhaps the solution would be some genuinely independent testing, in place of the current systems. This would involve a realistic driving cycle carried out by impartial and independent testers on a car that is like one you or I could buy. No tricks, no fixes. In the meantime, who can blame manufacturers for trying it on if they are given the opportunity? But it’s time for a reality check. As we say in the UK, if it looks too good to be true, it probably is.
Right price rentals? Vehicle rental giant Avis Budget is learning lessons from airline seat pricing and has introduced a “demand fleet pricing tool” in the US, according to Bloomberg Business Week. The tool adjusts rental prices based on local data, past pricing and other factors. The result? Revenues are up with the help of a 3% increase in leisure car rentals in North America over the summer. Corporate contracts have also seen prices increase. Not surprisingly, the pricing tool is now heading for Australia and New Zealand early next year and Europe later in 2015. With fuel prices still falling, it looks like an open opportunity for rental companies.
visit internationalfleetworld.com
New ADAM ROCKS
The only THING soft is its canvas top. The city car with SUV character. With a canvas top opening in only 5 seconds. Anything but cute. opel.com Fuel consumption combined 5.3–4.5 l/100 km; CO2 emissions combined 125–105 g/km (according to R (EC) No. 715/2010).
inside knowledge
China goes French Both French car manufacturers are definitely on the right track in China, says Franck Lecornu of BF Forecasts.
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espite a market share below their international This will certainly create an intensive but also challevel, French car makers (PSA Peugeot Citroën lenging relationship for the future. and the Renault-Nissan Alliance) have More recently, in October, DPCA began work on its improved their performance strongly in the Chinese fourth plant, in Chengdu, designed to support growing market in recent months, which grew by 12.3% during sales in China. This plant will have a total capacity of the first 6 months of 2014. PSA Peugeot Citroën sales 360,000 vehicles a year, once in full production. It will have increased by 28% in comparison to last year and produce Dongfeng Citroën, Dongfeng Peugeot and Renault sales have risen by 44%. Dongfeng Fengsheng-badged vehicles, mainly for the Renault signed an agreement with Dongfeng Motors SUV and MPV segments. The first cars are due to roll off in December 2013 to form the Dongfeng Renault Autothe production line in late 2016. motive Company (DRAC). The joint venture is not due This plant will be in addition to three others in to become active until 2016, when the new plant, built Wuhan, currently giving total production capacity of under the agreement, will start producing vehicles. 750,000 vehicles per year. The Chengdu plant will raise The plant will have an initial capacity of 150,000 vehithis to over 1m units per year, in line with PSA’s “Back in cles per year, with the potential to double the output the Race” Plan to sell 1m vehicles in China in 2017. in the near future. Initially, the plant will produce a new Both French makers have been successful with the range of Renault crossover vehicles. new product ranges they have brought to the market, This late development is also designed to strengthen taking into account the interest in the newest techNissan’s position in the Chinese nology that exists in the market, where 1.27 million Nissan Chinese market. Another factor “The next plants to be built that should be considered, is brand vehicles were sold in 2013. With a target of 2 million vehicles, that consumers have been for PSA and Renault are the alliance between Renault bringing forward their both encouraging and and Nissan shows how the purchases, over concerns that synergies between both car their local city government may ambitious projects.” makers can be fruitful. While cap the growth in vehicle there is competition between the ownership to address the air two in the main market, which Renault is willing to quality issues that China faces. address, its experience with electrical vehicles is very All these brand new successes have to be confirmed. valuable to Dongfeng because of the concern in China The next plants to be built for PSA and Renault are both over environmental issues, particularly air quality in encouraging and ambitious projects. In addition, the China’s large cities. used car market will become a key factor for the The story of PSA Peugeot Citroën in China is much success of Renault and PSA in the Chinese market. older. It first started in the 1980s, but really grew when In the used car market, the brands can prove if their Citroën formed its joint venture (DCAC) with desirability is strong enough to be successful in a more DongFeng in Wuhan. Since then the agreement has and more competitive future market environment. been enlarged to include a joint venture (DPCA) Moreover, the dealer network will need the used car between Peugeot and DongFeng in 2002. While creatbusiness to stay profitable in the long run and continue ing a specific direction for China in 2007 and creating to be a reliable sales partner to the French brands. And its first R&D and design centre outside Europe in 2008, of course, the increasing role of financial services will, a new step took place when DongFeng became a eventually, clearly underline the importance of shareholder of PSA last year with the same holding as competitive residual value performance as the key PSA Peugeot Citroën and the French State. factor for a sustainable success.
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DIARY DATE
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12TH MAY 2015
To find out more about Fleet Show 2015, call +44 (0) 1727 739160, email info@thefleetshow.co.uk or visit www.thefleetshow.co.uk
manufacturer news
Renault and La Poste partner on green transport a Poste and Renault have announced further coL operation in alternative fuel delivery vehicles as the French postal service deploys its 5,000th Kangoo Z.E. electric van. The two companies are to share information from real-world trials, such as the Kangoo Z.E. vans with hydrogen range extenders that La Poste is already testing, and will work together to develop urban logistics solutions and alternative fuel mail vans.
IHS comments on Ford executives’ job swap
Euro 6 engines bring Ford Kuga CO2 down has introduced a range of new petrol FTheord and diesel engines for the Kuga crossover. new Euro 6-compliant engine range includes two versions of the 2.0-litre TDCi, as fitted to the majority of European cars, offering either 150PS or 180ps and replacing the outgoing 140PS and 163PS units fitted from launch. At the most fuel-efficient end of the range, consumption figures for the 2.0 TDCi with frontwheel drive have fallen to 4.7l/100km, from 5.3l/100km, and it now emits 122g/km instead of 139g/km for the old model.
ollowing the news that Ford’s Stephen Odell, F executive vice president and president of Ford’s Europe, Middle East and Africa region, will swap jobs with Jim Farley, executive vice president, global marketing, sales and service, IHS Automotive has commented on the changes. Senior analyst Stephanie Brinley said: “These moves demonstrate that CEO Mark Fields has a deep talent bench, and that the company will continue its practice of developing its executives over time with new challenges. “Both Odell and Farley are credited with key successes in their current positions; moving them at this time enables each to take on new challenges and provide fresh insight to their new roles. Additionally, with Fields having only just taken over as CEO, lateral movements are largely all that is available to him for executives as seasoned as Farley and Odell.”
Updated EEA data confirms automakers meeting targets
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atest information from the European Environment Agency (EEA) has corroborated its preliminary findings that almost all car and van manufacturers are meeting European carbon dioxide emission limits several years ahead of their deadlines. However, the EEA added that while both car and van fleets overall are making progress in reducing emission levels, the picture is more mixed when manufacturers are considered individually. The report also lends weight to the growing concern that the New European Driving Cycle (NEDC) test is not representative of ‘real world’ driving conditions.
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‘Rescue stickers’ with QR codes standard on all new MB vans ercedes-Benz is now fitting rescue stickers M incorporating a QR code to all new vans, with the aim of assisting with the safe rescue of occupants after an accident. Scanning the QR code with a suitable code reader on a smartphone or tablet computer with camera opens up a digital rescue card. A live internet connection on the smartphone is required. The rescue card shows important information such as the location of vital vehicle components such as fuel tanks, airbags and electric cables. Such information helps to minimise the risks for occupants as well as for the emergency teams helping. The sticker is available as a retrofit option on all vans built since 1996. Retrofitting can be undertaken by all Mercedes-Benz service partners.
For the latest news, visit internationalfleetworld.com
Hyundai and Kia to pay record fines
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yundai and Kia have agreed to pay a $100m (€80.1m) fine levied for violating the Clean Air Act in the US. The complaint was filed jointly by the United States and the California Air Resources Board in the US District Court for the District of Columbia. It alleges that the car companies sold close to 1.2 million cars and SUVs from model years 2012 and 2013 whose design specifications did not conform to the specifications the companies certified to EPA, which led to the misstatements of greenhouse gas emissions. It was also found that Hyundai and Kia gave consumers “inaccurate information” about the real-world fuel economy performance of many of these vehicles.
fleetweet a few soundbites from a month in fleet
@deanslavnich Dean Slavnich, automotive journalist
Maybach is back! Repositioned as Mercedes-Maybach, M-B says the subbrand will allow it to broaden top-end offerings
@iRAPSavingLives Official Twitter account for iRAP, international road safety charity
Global NCAP urges India to adopt UN crash test standards
275,983 killed annually in road crashes China, WHO reports. #1minute silence for World Day of Remembrance
s India announces plans to launch a New Car Assessment Programme A (NCAP), Global NCAP is urging the government to also take action to apply the United Nation's minimum crash tests standards.
@TeslaMotors
The comments from the organisation, the umbrella body of consumer car safety testing bodies, come as the latest independent crash tests of Nissan's Datsun Go and Maruti-Suzuki Swift reveal life-threatening injury risks, with both cars receiving zero-star safety rating for their adult occupant protection. Global NCAP said the risks would be significantly reduced if the cars had to comply with the UN test regulation for frontal and side impact.
Official Twitter account for Tesla Motors
We’ve opened the world’s northernmost Supercharger – in Norway. Now 237 Supercharging sites worldwide
@planamikebarry Mike Barry, sustainable business innovator
Paris' Autolib EV rental model to come to London with target of 3000 electric cars
Infiniti starts local production in China
I
nfiniti has started local production in China at the Xiangyang Plant in Hubei Province. The inaugural vehicle to roll off the line was the first Infiniti Q50L, the long-wheelbase version of the Q50 premium sports saloon, which is aimed exclusively at the local market. The carmaker said the start of local production signifies an important milestone for Infiniti to become a mainstream player in the Chinese premium automotive market.
@ETSC_EU Official Twitter account for The European Transport Safety Council
Antonio Avenoso from @ETSC_EU lists top life saving technologies: ISA, alcohol interlocks and seatbelt reminders
@agustinm2020 Agustin Martin, marketing director of @Toyota_Europe
Telogis & Isuzu sign OEM telematics deal suzu Commercial Truck of America, Inc has become the latest firm to IAnnounced sign an OEM deal with Telogis to offer telematics. at a dealer meeting celebrating Isuzu’s 30th anniversary in
the United States, the partnership will offer Isuzu drivers the Telogis SaaSbased connected intelligence platform, which brings advanced telematics, route optimisation, commercial navigation, work order management and mobile integration services for their mobile workforces.
Toyota reach an incredible milestone, manufacturing nine million cars in Europe
@georgiapowerET Georgia Power ET, electric vehicle specialist
We surveyed @GeorgiaPower customers who drive electric vehicles and found 95% are satisfied with their EVs!
internationalfleetworld.com / 09
Lower costs or higher motivation? Both! Fleet vehicles and car pool solutions from Mercedes-Benz.
A Daimler Brand
What could be more motivating for employees than a Mercedes-Benz? To facilitate this win-win situation, we provide tailored leasing, financing and insurance conditions which also have a positive impact on running costs. Meaning your days of compromise are over. www.mercedes-benz.com/fleet
The consumption figures relate to the engines (C 180/C 200/C 250/C 220 BlueTEC and C 250 BlueTEC) available for the market Provider: Daimler AG, MercedesstraĂ&#x;e 137, 70327 Stuttgart
launch (09/2014). Fuel consumption combined: 6.0–4.3 l/100 km; combined CO₂ emissions: 140–108 g/km.
environmental news Hybrids good for air quality, but not always for economy
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ybrids offer their biggest advantages for improving urban air quality compared to diesels, rather than offering best-in-class fuel economy, an Emissions Analytics report has shown. The provider of real-world emissions measurement analysed a group comprising two hybrids and eight diesels across thousands of data points. Each model used an engine ranging from 1.5 to 2.2-litres, generating up to 150hp, employing two-wheel drive, and with a hatchback, saloon or estate body style. This showed that fuel economy could be as much as 16% better for a diesel engine across an entire journey, and that hybrids suffer at higher speeds and under heavier acceleration, usually because they use downsized engines. However, hybrid fuel economy only dropped 3% in heavy congestion – half that of the diesel vehicles, and the latter has other disadvantages in urban use. A recent report by the International Council on Clean
Transportation, which analysed data from Emissions Analytics, showed that the latest Euro 6 diesel cars can exceed the NOx targets by an average of seven-fold. This contrasts with petrol-only vehicles, which generally meet the regulated NOx standards - even in real-world driving. As a result, petrol hybrids have the benefit over ICE diesels in their effect on air quality, enhanced by the fact that a proportion of urban driving will be on battery - with zero emissions. Nick Molden, CEO of Emissions Analytics, said the data confirms that hybrids, particularly petrol ones, could help to reduce many of the pollutants emitted in these conditions – most importantly NOx. “For diesel cars, we have previously found that low speed, stop-start driving dramatically increases levels of NOx emissions. Hybrids may deliver good but not best-in-class fuel economy, but they are typically the cleanest, and if you are a light-footed, congested-town driver, they are ideal,” he explained.
Electromobility to challenge diesel fleet dominance
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wider selection of vehicles and improvements to hybrid and electric technology is expected to push fleets away from the default choice of a diesel engine over the next decade, according to GE Capital Fleet Services. The company said that while diesel engines had become popular for low CO2 and high economy as well as their driving characteristics, there was an increasing mood against the fuel as the links with poor air quality became better known. With the cost and complication of meeting the European emissions regulations disincentivising diesel engines, the next decade is expected to bring wider popularity for effi-
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cient petrol and hybrid drivetrains as well as fully electric cars as these offer a longer and more fleet-suitable range. “Those of us who have been around the industry for some time can remember when petrol was the default choice. The overall switch to diesel took many years and it will take some time for the next overall change to occur,” said GE Capital Fleet Services managing director, Gary Killeen. “However, our estimates are that within another decade, we will be seeing a much wider range of drivetrain technology on fleets. Diesel will continue to be very popular but will no longer be the automatic choice.”
For the latest EV news, visit evfleetworld.com
Indianapolis to get largest plug-in fleet in U.S. by 2016 T
he City of Indianapolis is to replace 425 of its municipal fleet vehicles with plug-in hybrids or fully electric models by the end of 2015, under plans announced by Mayor Greg Ballard in October. Developed with alternative fuel fleet specialist Vision Fleet, the ‘Freedom Fleet’ is estimated to save $1,600 (€1,280) per year, per vehicle compared to the vehicles being replaced, and the first 100 will be deployed by the end of 2014. It will also downsize the municipal fleet of non-police pursuit sedans by 100, with total savings of $8.7m (€6.95m) over ten years. As well as setting whole-life costs lower than conventional vehicles, Vision Fleet will allow access to a suite of data analytics and support services aimed at reducing the running cost of the new additions. “America’s dependence on oil ties our national and economic security to a highly unpredictable, cartel-influenced global oil market,” said Ballard. “Diversifying the types of vehicles and fuels available to our drivers offers our city protection from often-volitile oil prices and better prepares us for the future.”
167 Tesla electric taxis deployed at Schiphol
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fleet of 167 Tesla Model S electric taxis is now in service at Amsterdam’s Schiphol Airport, said to be the largest service of its type in the world. The electric luxury cars will be operated by private hire companies BBF Schipholtaxi and BIOS-groep, with an expected life cycle of at least four years, possibly extended to eight, offering green onward travel for visitors to the airport. Jos Nijhuis, Schiphol group’s president and CEO, said: “This represents a crucial step in our efforts to reduce CO2 emissions and become one of the world's three most sustainable airports.” Schiphol Aiport has previously operated a battery switch station, launched with Better Place in 2012, serving a fleet of ten Renault Fluence Z.E. taxis which were based on site.
EV
Additional carpool lane access decals available for Californian plug-in hybrids, bringing the total to 70,000.
in numbers
in brief Renault and La Poste confirm alternative fuel partnership La Poste has deployed its 5,000th Renault Kangoo Z.E. delivery van, announcing an ongoing co-operation with Renault which will include sharing of information about real-world vehicle trials. With 69,000 vehicles, La Poste is the largest leet operator in France.
Tesla Model S gets five-star Euro NCAP rating The Tesla Model S has achieved a full five-star safety rating in the latest results from the European New Car Assessment Programme (Euro NCAP), in line with its luxury-class rivals. The electric vehicle now has five-star ratings in the United States and Europe, despite very different criteria.
UK’s first supermarket hydrogen station announced British supermarket chain Sainsbury’s will become the irst to offer hydrogen refuelling stations, with the irst dispenser due to be installed in Hendon, in North West London, by the end of the year. The 700-bar Air Products SmartFuel station will support local buses, taxis and forthcoming fuel cell passenger cars.
EVtweet of the month @IntentEndowment Intentional Endowments Network
14% of new vehicle sales in Norway are electric cars. #sric14 #ev
2.1 cents
Cost per kilometre for the best-performing EV in the 2014 Fleet MPG World/ALD Automomarathon 2014 tive MPG Marathon – less than half the cost of the most efficient diesel.
15,000
SOURCE: California Air Resources Board
SOURCE: MPG Marathon
internationalfleetworld.com / 13
business news
LeasePlan to acquire full ownership of LeasePlan Turkey Corporation has announced it is to take full ownership LTheeasePlan of LeasePlan Turkey. leasing giant has signed an agreement to acquire the 49% stake Dogus Group holds in LPD Holding AS, the holding company of LeasePlan Turkey. Nick Salkeld, CCO of LeasePlan Corporation, said: “The time is now right for us to take full ownership of our Turkish business in order to pursue our ambitious growth plans. We have enjoyed a fruitful partnership with Dogus and wish them well.”
in brief Volkswagen to launch new Park & Fuel services Volkswagen has built on its existing partnership with INRIX, a leading provider of traf ic and navigation services, to launch Park and Fuel services in new Passat models equipped with Discover Pro and Car-Net navigation in Europe from December 2014.
NAFA announces date for IFA
Lease accounting standard proposals come under fire urrent proposals for the new accounting standard for leasing will C put business investment at risk and so damage the growth prospects of European businesses, in direct conflict with the European Union’s agenda for growth. That’s the finding of a new Update Paper published by Leaseurope, which concludes that none of the five main objectives of the project are likely to be achieved by the current proposals. Mark Venus, chairman of Leaseurope’s Accounting Committee, said: “Particularly at a time when the European Central Bank is investing heavily in facilitating credit provision to improve the business environment for European firms, the IASB should not issue a new leases standard until it is clear that the project objectives will be achieved.”
Enterprise expands into Scandinavia & Balkan states
Rent-A-Car has expanded into Scandinavia and the EThenterprise Balkan states under new franchise partnerships. daily retail giant has appointed Greyfell Nordic in Sweden and Norway and is also now operating for the first time in the Balkan states of Romania, Albania, Serbia and Slovenia, following the appointment of local franchisees in each country in 2013. This year has also seen Enterprise open operations in markets including Poland, Turkey, Israel and Switzerland.
Ebbon-Dacs expands into German fleet market
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bbon-Dacs has continued its expansion on to the European mainland with the opening of an office in Hamburg, Germany. The leasing and fleet management e-procurement specialist has formed Ebbon-Dacs Deutschland GmbH under new country head, Hans-Christian Preymann, and intends to replicate the success of the operation it set up in the Netherlands four years ago.
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NAFA has announced the date for its 2015 International Fleet Academy after seeing strong turnout for its 2014 event. Next year’s IFA will take place 13–15 April at the Orange County Convention Center in Orlando, Florida.
TMC spearheads overseas expansion The Miles Consultancy (TMC) has responded to growing demand for international leet fuel and mileage cost management solutions with the appointment of Angus Leeson as global account director. MD Paul Jackson said: “We see very strong growth potential for the Fuel+ card and Mileage Audit in Europe and elsewhere.”
Latest Euro NCAP tests Euro NCAP has released its latest list of crash safety results, which saw the Tesla Model S, BMW 2 Series Active Tourer, Skoda Fabia and Nissan Pulsar all gain five-star results. Other figures tested included the Renault Megane Hatch, which scored four stars, and the Suzuki Celerio with three stars.
Audi launches car sharing programme Audi has launched its new car pool service in Berlin. Dubbed ‘Audi Shared Fleet’, the service can be set up to offer any models from the Audi range and is said to offer an intelligent premium mobility solution for businesses.
SIMPLY CLEVER
T N A T S I S S A . T T S E E G B N E A TH YOU C
The New ŠKODA Fabia with clever assistant systems. With the new Fabia stealing attention, it’s hard to notice anything else. Even the personal assistant, busy as a bee. Its sharp, modern design projects a confident style while the Parking Assistant, SpeedLimiter, Cruise Assistant and many more clever assistant systems, offer intelligent support. All of this, as well as the fresh, stylish interior, makes it pretty hard to concentrate elsewhere. But why not become the centre of attention yourself? Simply head down to your nearest authorised ŠKODA partner and arrange a test drive. skoda-auto.com/fleet
facebook.com/skoda
Combined fuel consumption and CO2 emissions for the Fabia model: 3.4–4.8 l/100 km, 88–110 g/km
This is the ŠKODA way of making the lives of our customers a little easier every day. Parking Assistant
Front Assistant
Light Assistant
MANAGEMENT PRAISE Conference
Fleet safety managers, EU institutions, government representatives and road safety experts gathered at the ETSC’s (European Transport Safety Council’s) annual PRAISE (Preventing Road Accidents and Injuries for the Safety of Employees) conference to discuss the latest developments and priorities in work-related road safety. Katie Beck reports.
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eld in Brussels, Belgium, the program included contributions from leading occupational health and safety experts and the awarding of the PRAISE road safety winners in recognition of work carried out in the ield of road safety.
The business case for minimising road risk According to the ETSC, there were 26,025 deaths on European roads in 2013. It is estimated that 40% of all road collisions can be attributed to people either commuting or driving on business, and six out of 10 accidents at work take place while an employee is behind the wheel. Duty of Care laws state that for an employee who drives on business, the vehicle is registered as a workplace, and there will therefore be serious implications for the employer should an accident or incident occur during business hours. Will Murray, research director at Interactive Driving Systems (left), gave examples of the staggering annual cost of leet vehicle repairs – before adjusting their road safety policy, Nestlé were spending the equivalent cost of shipping 235m Kit Kats to cover their EU leet damage, while British Telecom (BT) spent the equivalent of 600,000 broadband connection sales on
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road safety losses. In partnership with Interactive Driving Systems, BT has now halved that igure by implementing improved leet safety procedures; demonstrating the strong business case for developing road safety policies.
Management of occupational road risk
where a company was told by their local authority that they had to commit contractually to making a journey between two locations in an hour. It is possible to complete the journey in an hour, but only with clear road conditions. This is an example of how the wrong message from the top of the supply chain can force bad behaviour at the bottom.”
Lack of road safety leadership
Nicola Christie from University College London (pictured above) and Shaun Helman from the Transport Research Laboratory presented a strategic review of occupational road risk management in the UK, from both a national and European perspective. “We carried out in-depth interviews with 21 SME companies about how they manage risk. When you ask a company director or health and safety of icer if road risk is a priority for the business, they tend to answer that it isn’t that relevant for them as a small leet. Beyond the basics of risk management, such as driving licence checks, there doesn’t appear to be much in-depth assessment of driver ability,” Helman explained. “We have an example in our data set
The report also highlighted a chronic lack of a cohesive European framework for reducing leet road risk. “We need to do more as an industry to get the message out there,” UCL’s Nicola Christie declared. “There is a lack of penetration of road safety agenda at a local level. To make a road safety initiative, harmonised data is vital, and at the moment there is no such harmonised data set available across different countries. This needs to change. Businesses, insurance groups and road safety groups need to work in partnership on this issue.” “The insurance industry could do more; they have to underwrite risk and could lose money themselves,” Shaun Helman added. “What are they actually doing to mitigate risk? They could work in partnership with businesses and in government, examples of which can be seen in France where there is a ministerial committee and the insurance community fund road safety initiatives.”
Cross-border concerns Cross-border issues were shown to be an increasing problem. Drivers travelling across Europe can have issues understanding differences in speed limits and road signs, and the UK police have reported an increasing problem of European trucks stopping to rest in lay-bys, raising the issue of appropriate rest areas for employees. “The economic climate where the pound or the euro is dictating business leads to unreasonable demands on employees – tachographs can be abused or manipulated to allow staff to work for longer illegally,” said Nicola Christie. “There is also the issue of the hierarchy of professional drivers,” added Casto Lopez-Benitez of the European Commission. “Heavy vehicle drivers tend to be
highly professional and hold driving quali ications, while at the other end of the scale we have LCV drivers who may not be as professional. We are reviewing the possibility of extending CPC driver training to van drivers, and examining how we can better control working hours in the LCV sector.” Lopez-Benitez assured delegates that improving road safety, particularly in the commercial vehicle sector, is a matter of importance for the European Commission.
“The economic climate leads to unreasonable demands on employees.”
Light commerical vehicle registrations The increasing number of light commercial vehicles was also a recurring theme. Topics covered include concerns about driver’s hours, training, roadworthiness, Type Approval, risk assessment, fatigue and stress management and compliance with key traf ic safety rules. “The Department for Transport in the UK has evidence that we do have a problem with vans. There is a lack of regulation for these vehicles; they can be driven on a standard driving licence and the police are reporting that they are stopping a lot more vans travelling at high speeds and are over-laden,” said Helman. “So although company cars might not be contributing to road fatalities as much as they did, there is a greater risk emerging from other angles. This is exacerbated by the growth of internet shopping as more vans are needed to deliver to people when they purchase online. While the overall fatality rate has not altered much over the last few years, the vehicle parc has altered signi icantly.” The report found this to be a particular safety concern, as vulnerable road users are more likely to be killed in a collision with a van or heavy truck. With an increasing number of these types of vehicles on the road, exposure to risk increases.
PRAISE awards Five European private and public-sector organisations were recognised for the results of company-wide programmes put in place to improve the road safety of employees, vehicle leets and the public. The winners of the 2014 European Transport Safety Council (ETSC) PRAISE Awards for Work-Related Road Safety, were: • • • • •
Large company – Arriva, Denmark Public authority – The Hellenic Air Force, Greece Small or medium-sized enterprise – Bolk Transport, The Netherlands Highly commended – Unilever, Poland Highly commended – The Port of Antwerp, Belgium
Antonio Avenoso, executive director of the ETSC, commented: “These organisations are putting road safety at the heart of their operations and have the results to prove it. We hope these shining examples will inspire companies and public authorities across Europe to see the bene its road safety management programmes can bring. These include not only dramatically reduced numbers of collisions and injuries, but also reduced costs, improved employee wellbeing, fewer lost orders and less management time spent on dealing with the consequences of sick days, paperwork and legal issues. The business case for road safety at work is clear, but these companies are showing just how it can be done.”
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FLEET MANAGEMENT Telematics
Too many features? Too much data? Are you put off telematics by the mass of data that it might bring with it, and would you be more interested in a more basic system? Steve Banner asks the questions.
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y no means all fleet operators worldwide need an all-embracing telematics system that does everything but make the coffee. All many of them really require is the ability to track the whereabouts of their vehicles in real-time and learn something about the behaviour of their drivers on public roads. TOO COMPLEX? Now active in Spain through distributor Disvent Ingenieros, and with plans to move into France, Australia, South Africa, and the USA, UK-based Lightfoot is targeting what it has to offer at precisely that sector of the market says managing director, Mark Roberts. “We’re coming at it from a slightly different angle I believe, because we’re not primarily a telematics business,” he says. “We’re actually an automotive engineering company whose other activities include the production of hybrid vehicles.” HELPING DRIVERS The Lightfoot package consists of an in-cab display, which shows green, amber or red depending on the driving style adopted by whoever is behind the wheel. If they accelerate too harshly, for example, a red light will show and a voice will tell them to improve their driving style. Do it again, and the same thing will happen. Do it for a third time and it will be recorded as a violation in a weekly email sent to the fleet manager. Lightfoot can combine what it has to offer with tracking if required. “The point is that the system is on the side of the drivers and gives them a chance,” says Roberts. Not recording their first two examples of poor driving gives them the opportunity to mend their ways without the uncomfortable feeling that they are being spied on by the boss. So what sort of fuel savings can be achieved? “Anywhere from 9% to 20% plus, but the average is around 12%,” he replies.
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Such a simple, no-nonsense package – “less is more,” quips Roberts – could appeal to some of the near-600 European commercial vehicle fleets recently quizzed by researchers on behalf of Goodyear. Surprisingly, 27% of them revealed that they made no use whatsoever of telematics while 16% said they only made minimal use. That is despite the fact that the benefits that can be gained from telematics range from the ability to monitor on-board systems remotely, such as refrigeration equipment if a vehicle is carrying temperature-controlled loads, and take action if there is a problem, to ‘geofencing’; receiving an instant alert if a vehicle and its cargo are moved without authorisation. FLEET UTILISATION DATA If some of those who have avoided adopting it despite its potential benefits are doing so because they have taken fright at its perceived cost and complications then a simplified system might persuade them to put a tentative toe in the water. Before they do so, however, they may be tempted to explore an alternative that will give them a significant slice of the information they require without the need to sign up to a potentially-costly contract. It is being offered by Bishop Fleet Optimisation and is based on a GPS-based data logger that is locked into the vehicle’s lighter socket. It is left there for five weeks, then removed. The data it holds is downloaded to a PC and the files are then downloaded from there to a server based in New Zealand. A Bishop Fleet Optimisation software package is used to analyse it, the aim being to see if the vehicle is being utilised efficiently or if it might be surplus to requirements. By using this approach an Australian health authority was able to cut the size of its fleet by an initial 23% with no loss of efficiency, says the company. The data can also help you determine if your depots are in the wrong place.
“We offer a tier of different packages and we don’t try and push customers to take the top package if the most basic one is better suited to them.” Claire Alleaume, marketing manager at Quartix
Customers are given secure access to the data and can generate their own reports. The variety of reports that can be produced has been deliberately limited, however, says managing director, Derrick Bishop, because in his experience fleets only use a small number from the many possibilities that are typically offered. TOO MUCH DATA “One of the faults GPS companies have globally is that they keep producing large wads of tables,” he remarks. “The data that exists in the traditional leet market is rich, but largely ignored,” comments Alan Cottrill, commercial director at Trak Global, which is active in the UK, Dubai, and Kenya and is planning to launch its services in Saudi Arabia and Spain. Not all telematics businesses try to lock fleets into lengthy contracts or attempt to provide them with services and data that they do not really need, contends Claire Alleaume, marketing manager at Quartix, which had just announced plans to float on London’s AIM market at the time of writing. FINANCING “We offer a tier of different packages and we don’t try and push customers to take the top package if the most basic
one is better suited to them,” she says. “Furthermore, we offer short-term 12-month contracts on a direct rental basis so no third-party finance is involved.” The risk of using third-party finance can be that operators may still be saddled with the repayments even if their selected telematics provider has gone out of business. Quartix’s markets include France and the USA. “We went into the US early in 2014, we’ve got an office in Chicago and we're running a nationwide service,” Alleaume says. VEHICLE OR DRIVER TRACKING? A criticism of some telematics specialists is that they tend to concentrate on tracking vehicles rather than the people who drive them; a drawback from the viewpoint of a fleet whose vans may be driven by several different people during the course of a working day. That was something Fleetmatics took into account when it launched a new system platform along with three new products, all of which are available as Software as a Service web-based technologies: Fleetmatics REVEAL, Fleetmatics REVEAL+ and Fleetmatics WORK REVEAL. A GPS tracking system, REVEAL includes apps for Android and iPhone devices, REVEAL+ is designed for major fleets with complex requirements while WORK can
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FLEET MANAGEMENT Telematics
used to manage mobile workers. ¡ be“One thing we can do once a driver fobs into a vehicle is follow him through the entire fleet,” says European sales director, Derek Bryan. “If the individual's driving style is such that he burns way too much fuel no matter what he drives then this can be highlighted.” Fleetmatics is active in the USA, Canada, Australia, Mexico, the Republic of Ireland, the Netherlands and the UK. Drivers with poor fuel consumption figures, thanks to continued speeding, are likely to be at greater risk of having an accident than those who drive more frugally. However collisions do not solely occur as a consequence of careless behaviour by the fleet driver involved. It may be the fault of another driver, or a staged accident. In other words, somebody may have deliberately pulled out in front of one of your vehicles – sign-written vans are especially vulnerable – with the aim of claiming it was your driver’s fault and fraudulently claiming compensation. VIDEO DATA One way of mounting a defence against such a claim – or to deter criminals from perpetrating such a fraud to begin with – is to equip each vehicle with a camera capable of recording exactly what happened. South Africa-based MiX Telematics has one available under the MiX Vision banner and was promoting its advantages at the recent IAA Hanover Commercial Vehicle Show in Germany. The package is in fact made up of two cameras; one covers the driver and one covers the road. Videos of both are triggered when an event occurs and automatically uploaded so that the fleet manager can see what has happened alongside trip information on a map or timeline. Best known for its driver behaviour monitoring system, MiX Telematics recently saw its contract with Rio Tinto Services in Australia extended. By June 2015 it will embrace over 3,300 of the mining group’s assets.
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Even if a camera is not fitted, the presence of a tracking device can help refute a fraudulent insurance claim says Alan Cottrill, commercial director of Trak Global. “It can provide evidence that can prove that the fleet’s vehicle was not involved,” he points out. If the fraudster claims that a company van dented the side of his car and is demanding compensation, then tracking data may show that the van was on the other side of town when the alleged incident occurred; and the claim will usually evaporate. Tracking systems can alas be jammed: not something any fleet wants to have happen, especially if its vehicles are carrying valuable goods. “With jamming becoming a reality we are now able to offer customers the option of installing a non-GSM anti-jamming module with their tracking system to ensure continuous visibility, thereby helping to combat vehicle theft,” says Nick Vlok, chief executive officer of South Africa’s DigiCore, supplier of Ctrack. INSURANCE AND TELEMATICS A number of insurers and telematics providers worldwide have got together, with the former offering various types of incentive to operators to fit the latter’s products in the expectation that monitoring will cause claims levels to fall. That is not the only way in which insurance can be integrated with telematics packages, however. Returning to South Africa, DigiCore has come up with an insurance product called Ctrack Fleet Protector in conjunction with Loyalty Life, International SOS and Holland to cover the country’s fleet drivers if they are involved in an accident. It offers a variety of benefits include access to a 24-hour emergency call centre, roadside assistance and some cover for medical expenses. The number of fleets highlighted in the Goodyear report referred to earlier that make either zero or minimal use of telematics indicates that there is still room for it to expand even in developed markets. Some providers are attempting to grow by teaming up with vehicle manufacturers. OEM PARTNERSHIPS In the USA for example, Telogis has recently signed a deal with Mack Trucks that will involve providing the latter’s customers with navigation and fleet management packages that can be accessed by using a tablet or a smartphone. The Telogis platform can receive and analyse data from each Mack, including driver and vehicle performance history, and turn it into actionable data. Similar US deals have been struck with Mack’s sister company Volvo Trucks, as well as Ford and Isuzu Commercial Truck of America. Realising that such an arrangement could help it expand in a developing market, Microlise has signed a five-year deal with Tata Motors to provide telem-
atics services to fleet customers in India. TomTom has forged especially close links with car manufacturers. Last May along with AutoNavi, it announced a partnership with Audi in China, which involves installing its real-time traffic information system in the German manufacturer’s cars, initially in the A3. It cannot come a moment too soon given that the first edition of TomTom’s China Traffic Index published last July reveals that the country’s drivers are spending an average of nine working days a year stuck in traffic. Going one stage further, October’s Paris Motor Show saw TomTom sign a memorandum of understanding with Volkswagen Group Research that will involve the joint development of HAD (Highly Automated Driving) systems. CONSOLIDATION Perhaps it is the continued potential for growth and the need for a presence in all key markets in order to take advantage of it that has prompted several mergers and takeovers among telematics companies and related businesses over the past 18 months to two years or so. FleetCor Technologies and Summit Partners have joined forces in order to acquire Masternaut; Italy’s Viasat and the UK’s Enigma Telematics have merged; TomTom has taken over DAMS Tracking in France while Fleetmatics has acquired Italy’s KKT. KKT has developed Routist, a route
optimisation package designed to help fleets that have to make large numbers of deliveries daily use their available resources to maximum advantage. Lysanda has acquired Tracker and set up Tantalum Corporation. It has an annual revenue of approximately €25m and some 500,000 telematics installations throughout Europe. Businesses without an existing telematics presence may be moving into the sector because they too recognise its growth prospects. Navman Wireless for example has been bought by Danaher Corporation which has interests in everything from microscopes to dental diagnostics and disinfection technologies that help ensure safe drinking water. All businesses wherever in the world they may be have a duty of care to their employees. That is a duty a tracking device can help them to fulfil, says Cottrill. “It can help make their employees safer and better drivers,” he points out. And if things do go wrong and there is an accident, then the employer will be alerted quickly and will be able to ensure the driver is safe. “The employer can call the driver to see if they, or anyone else involved, requires emergency assistance,” he says. “Furthermore, the circumstances of the accident can be immediately captured; and that can provide protection against inflated insurance claims.”
VIDEO DATA MiX Telematics’ cameras cover both driver and the road. In the event of an incident, recordings are instantly uploaded to be viewed by the fleet manager.
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RVs
Analysing leasing and residual value confidence in the Eurozone and beyond...
Portuguese leasing sector spearheads European optimism The Portuguese leasing sector is enjoying a period of growing optimism with a +5.7% improvement in its annual forecasted residual (RV) values.
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ust twelve months ago, the RV forecasts built into Portuguese leasing rates had slumped by -8.6%, showing a significant sea change for 2014. The renewed confidence reflects an overall better picture across Europe with a positive mood in most countries; only France suffering a fall in annual RV forecasts of -1.5%. The figures come from the Experteye European Leasing index survey, which tracks forecasted residual values (RV), servicing, maintenance and repair (SMR) costs and rental rates in six European countries using data supplied by major leasing companies. In the UK, residual value forecasts are up by +3% in the last year, whereas in Italy they have risen by +2.6%, Spain +1.9% and Germany +0.8%. During the last quarter, Portugal has seen a +2% rise, the UK +1.9%, Spain +0.4%, Italy and Germany both +0.3% with France dropping by -1%. For fleet operators across Europe, the upswing in optimism is good for pricing. Four out of six nations have seen average rentals come down, the largest saving being in Portugal where businesses leasing vehicles have seen a -6.7% drop in prices. In Spain rentals have fallen by -3.4%, Italy -2.5%, and the UK 0.6%. Where rates have gone up, the increases have been marginal with a small +0.6% rise in German rentals and +0.5% in France.
Market summaries – 3 and 12 months to October 2014
FRANCE: France is the only nation to have reported a reduction in its forecasted residual values. In the last 12 months they have come down by -1.5% with a -1% reduction in the last quarter. Servicing, maintenance and repair (SMR) budgets have risen by +3.7% since November 2013 and +2% since August this year; the biggest SMR price hike of all nations surveyed. GERMANY: Germany has remained relatively stable for some time, with forecasted RVs only shifting by +0.8% for the year and +0.3% for the quarter. SMR budgets have risen by +0.9% since November 2013, and +0.5% since August. Fleet operators in Germany will have felt little impact on average pricing with a small +0.5% quarterly increase in rentals and +0.6% for the year. ITALY: Italian rental rates have come down by -2.5% in the last 12 months, thanks to a +2.6% improvement in forecasted residual values and a -10.5% reduction in budgeted SMR costs. In the most recent quarter there has been less movement, with a +0.3% rise in RVs and -1.6% fall in SMR costs. PORTUGAL: Compared with this time last year when Portugal had seen its forecasted residual values slump by -8.6%, the picture couldn’t be more different. With a +5.7% rise in RVs, Portugal is the most upbeat of all nations in the Experteye survey, also enjoying a +2% RV improvement in the last three months. With SMR budgets down by -5.9% for the year and -1.7% for the quarter, companies leasing vehicles have enjoyed a -1.9% saving on their rentals since August 2014 and a -6.7% since last November. SPAIN: Spanish leet operators have seen a -3.4% fall in their rentals in the last 12 months, the second highest annual reduction of all nations surveyed. Since August 2014 they have come down by -1.3%. Forecasted residual values are up by +1.9% for the year and +0.4% for the quarter. UK: The UK has enjoyed a sustained period of con idence in the economy and future used vehicle market with forecasted RVs rising by +3% in the last year, and +1.9% for the quarter. SMR budgets went up by +0.2% in the last three months after a year that saw them fall by -0.6%. The impact on average rentals is negligible with a -0.6% fall since November 2013 and no change since August.
CHANGES IN RV FORECASTS, SMR COST FORECASTS AND LEASE RENTALS Forecast Service, Maintenance Current Rental Rates and Repair Costs 3-month change 12-month change 3-month change 12-month change 3-month change 12-month change -0.1% -1.5% +2.0% +3.7% +4.2% +0.5% +0.3% +0.8% +0.5% +0.9% +0.5% +0.6% +0.3% +2.6% -1.6% -10.5% +1.0% -2.5% +2.0% +5.7% -1.7% -5.9% -1.9% -6.7% +0.4% +1.9% -1.0% +1.0% -1.3% -3.4% +1.9% +3.0% +0.2% -0.6% +0.0% -0.6% Forecast Residual Values
France Germany Italy Portugal Spain UK
Notes: • The comparisons are for vehicles with a contract duration of 36 months/90,000km. • Twelve-month comparisons show change since November 2013. • Three-month comparisons show change since August 2014.
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• Rental rate changes compare the rates in effect at the time of the survey with those in effect three or twelve months ago. • RV and SMR changes show the change in participating leasing companies’ forecasts of residual values and maintenance costs over the period.
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INTERVIEW Volker Mornhinweg, Mercedes-Benz
Global LCV growth for Mercedes Mercedes-Benz Vans has global ambitions, as head of the Van division, Volker Mornhinweg, tells John Kendall.
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ercedes-Benz sells its Sprinter light CV range in 130 countries worldwide and gave the new, smaller Vito van its public debut at the recent IAA CV Show at Hanover in Germany. Speaking at the launch, head of Mercedes-Benz van division, Volker Mornhinweg, said that the company would launch the Vito in the US, where the Sprinter has been on sale for a number of years. NAFTA sales for Vito “Currently we have the Vito on sale in Europe,” Mornhinweg told IFW, “Russia was always a very good market for this kind of product, but is struggling a bit at the moment. We launched the Vito in China in 2010; it’s on sale in Australia and other markets. Some years ago we decided that our clear aim would be to launch Vito in NAFTA – the US market, Canada and Mexico and then also to Latin America. The main market there will certainly be Brazil, then Argentina, Chile and Peru.” The South American markets have not been having an easy time this year and Mornhinweg acknowledges that these markets seem to fluctuate more than those in North America or Europe. “But in the end, we have to deal with it,” he says, “That’s why we put a strategy in place which is ‘Mercedes Vans Goes Global’. In earlier times we were extremely focussed on Europe, in markets like Germany and the UK, but in the end, you cannot look only to these regions. There’s no question that they are always very good regions for us and this is our home base, but at the end of
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the day for a company like ours you have to stabilise your overall business. That means you have to be in each of the regions on the planet.” Global presence necessary “As you know, after the Lehman Brothers crisis (2008), we had more or less a kind of shut down in Europe. If you are only present in one region, you are more or less in a challenging situation and therefore you have to get it balanced all over the world, therefore it’s important for a company to be all over the world.” The Sprinter was originally launched in the US in 2001, branded Freightliner – one of Daimler’s US truck brands. It wasn’t until 2010 that it was launched as a Mercedes-Benz. North American distribution differs from Europe in that in Europe, van sales are channelled more through the Mercedes-Benz truck dealer network. “That means at the point of sale, we are also selling through passenger car dealers too, but 80% of business is through the truck network,” explains Mornhinweg, “In the US it’s the other way around, because there was already a passenger car dealer network there, so we can say that, except for Freightliner, we are more or less 100% with the passenger car network.” Three steps to fleet business When it comes to fleet business, Mornhinweg says that the company takes a threestep approach, “That means that we have an international team, based at Mercedes’ Stuttgart head office in Germany. A lot of companies, such as FedEx or UPS are also based worldwide and they would not want
to discuss their fleet business individually in every country with different MercedesBenz dealers, so that’s the task of our international team. “Then we have the national head offices, for example in the US or UK and they deal with what we describe as the national fleets and then for small and medium enterprises (SME) the business is handled by the dealers and that’s the same all over the world.” Retail or fleet? In Europe, the Sprinter has been seen as more of a fleet product because of its size and the extensive number of body options available, while the Vito is seen as more of a retail product and it looks as though there will be a similar division in the US, “In the US, Vito will be more retail business”, confirms Mornhinweg, “Because there are more smaller companies and we’ve heard that one of our competitor’s products is seen as being a bit too small, so the Vito is about the right size for these kinds of businesses and on the other hand, the Sprinter is too big for them when they have to drive downtown, so the Vito’s dimensions are better for SMEs. “Also when it comes to people movers, this business is something that is more in the hands of not-for-profit organisations and they are keen to have these kinds of products too because fuel consumption is good and when it comes to safety the market wants safe products.” Vito is due to go on sale in North America in 2015, during the second half of the year and will be rolled out across the region from the start.
“It makes a lot of sense to partner with somebody to get economy of scale.” More co-operation on product? Mercedes-Benz is one of the few light CV manufacturers currently producing vehicles on its own, excepting the Citan, a reworked Renault Kangoo. That changes with the new Vito, which will be available with a front-wheel-drive Renaultsourced power option. Will that be enough to control the cost of building light CVs or will Mercedes need to build vans in the kind of partnerships that exist between other European light CV manufacturers? “It makes a lot of sense to partner with somebody to get economy of scale,” says Mornhinweg, “Our biggest partner is Mercedes-Benz Cars. We have a very close and good relationship and we work extremely closely together when it comes to modules and powertrains. Secondly, there are sometimes parts or modules where it might be more efficient to work with an outside partner like Renault. Having said that, it must make sense in terms of product and brand identity and if that is not diluted, we will do it and where we see an impact regarding our brand, we wouldn’t do it. We would decide that module by module, or situation by situation. We don’t have a dogmatic approach to say that we would always do it this way or that way. It has to be a flexible approach.” It’s reasonable to suggest that we should not expect the next generation Sprinter to share a Renault Master body shell. Could we expect to see the smaller Citan van on sale in North America? “Our approach is to start now with the Vito and see how this product is received in the market, wait for feedback then see what we do in the future.”
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FEATURE Tesla Model S
Extraordinary in ordinary
“There’s no adjustment in driving style here, as there often is with electric cars.”
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Game changer, revolutionary, upstart. Tesla’s all-electric luxury car has caused a stir in the industry, but does it work as a day-to-day car? Alex Grant spent a week with the Model S to find out. ¥
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FEATURE Tesla Model S
Tuesday
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No range anxiety. For all the technology on board, that’s the detail which should grab businesses’ interest. There’s a large 85kWh battery pack sandwiched into the car’s loorpan, offering a range of over 500km on the NEDC test, or 400-410km according to an average over the previous fortnight. That’s good going for a press car. The acid test, though, is whether it comes anywhere near. Long range will make this attractive as a long distance car, but high speed driving tends to blunt range in EVs because there’s no opportunity to lift off the throttle and regenerate. As a luxury car, it’s important that this isn’t true of the Model S. Looping from the dealership in London to the IFW of ice, then back to Cardiff in the space of one afternoon, would mean throwing this in at the deep end. But there’s no adjustment in driving style here, as there often is with electric cars. It’s possible to track your last 50km of driving and get a predicted range via the dashboard display, and air conditioning and the novelty of the way this car accelerates don’t seem to punch a hole in its range. Press the brake pedal to start the drivetrain, slot it into drive, and use it normally. This is important. Tesla is installing its own charging network, called Superchargers, across Europe and will offer free top-ups for the lifetime of the vehicle. Spanning from the Arctic Circle to the French Riviera, this will make long-distance travel easy for Model S customers, requiring a half-hour stop to regain 80% of the range. While this network grows, the ability to easily cover the distance between them is really important. In the UK, there are only a handful of Superchargers, but the Model S uses the same Type 2 connection as most European EVs and can take a relatively fast 22kW charge at many service stations across the region. Thankfully, most also have free WiFi.
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Wednesday Rolling the garage door open to see the dew-covered Model S still charging on the drive, it’s not dif icult to see why this has generated so much hype. Looking like a stretched coupe on its optional 21-inch wheels, the digital dashboard and that explosive power delivery mean irst impressions are its forte. But that doesn’t always translate into long-term satisfaction. Complicated infotainment systems, nascent charging infrastructure and overall functionality can fall short on plug-in cars. This is up against stiff competition as a performance saloon as well as a luxury car, and the nagging feeling is that the novelty could wear off when it’s tasked with replacing established rivals. After a brief top-up on the way home, I’d arrived in Cardiff with almost a third of the range left. But, after almost 14 hours connected to my home wallbox, the Model S was still taking energy on board when I pulled the plug to run some local errands on my lunch break. That enormous range comes from a battery with almost four times the capacity of most EVs, but this also means it will take almost four times as long to ‘brim’ it using a home wallbox. With a full charge taking 30 hours on a plug socket or basic 3.6kW/16 amp home charging point, upgrading to at least a 7.2kW/32 amp unit or Tesla's own wallbox is a no-brainer for regular long-distance drivers. But, unlike most electric cars, there's enough range to do shorter commutes with a part-charged battery. The Model S connects to most AC rapid charging points - useful while its own Supercharger network grows.
Thursday Though the Model S arguably has a broader appeal than most electric vehicles, early adopters are likely to be weighted towards businesses with sustainability at the core of their mindset, as well as an eye for technology. Treglown Court, the purpose-built home for the Cardiff, Wales practice of Stride Treglown architects, has a lot of parallels with the Model S. Both are designed from the same blank-page ethos with energy ef iciency at their core. In the building’s case, this includes movement-activated low energy lighting, ef icient boilers, recycled rainwater and using the natural movement of warm air currents through the building instead of air conditioning. With a 106m2 photovoltaic array on the roof and south facade, Treglown Court produces more energy than it takes from the grid, achieving Carbon Zero status and an A+ Energy Performance Certi icate. Like the Tesla, it’s a billboard for a company wanting to demonstrate environmental credentials without sacri icing functionality. It’s forward-thinking. The rich pearlescent red paintwork didn’t take long to draw a crowd from the glass-fronted of ice. Simplicity of form came highly praised inside and, in an environment where Tesla’s key rivals have a foothold in the car park and design counts as heavily as clever engineering, the Model S stood up to close scrutiny. If Treglown Court offers a glimpse of the ESOS-era business of tomorrow, then the Model S is a hint of what might be parked outside.
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“Early adopters of the Model S are likely to be weighted towards businesses with sustainability at the core of their mindset.”
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FEATURE Tesla Model S
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Friday
Saturday
“Isn’t this a massive distraction?” a friend asked from the passenger seat, playing with the Tesla’s 17inch display screen. Almost all functions are controlled via this tablet-like display, which means new features can be added with software updates – a little like a smartphone – as the car gets older.
As a new Dad, I’ve recently become very aware of lexible in-car storage. Supposedly it’s a detail that’s not too dif icult to get right, but memories of struggling to it baby paraphernalia into other cars has proved that it frequently isn’t. Considering its coupe-like silhouette, the Model S couldn’t be much more practical. There are two ISOFIX points on the folding rear bench and boot capacity, at 744 litres, is 50% bigger than most estates, accessed via a large motorised hatch rather than a pokey saloon bootlid. This also drops into a large additional compartment ideal for storing charging cables, so there’s plenty of space for a buggy. With the motor and transmission between the rear wheels, the added string to the Tesla’s bow is there’s another large boot up front. So the back end of the car can swallow heavy or dirty items like buggies, golf trolleys and so on, while overnight bags, laptops and food can go in the front, in a useful mud-free compartment where there’s nothing to tear the bags open. It’s brilliant. There are some frustrations for long-distance drivers though. Tesla has made a feature of the car’s lat loor by itting a large storage bin under the touchscreen. There are no door pockets, no grab handles, only two cupholders and the bin isn’t textured to stop phones, coins and charging point cards sliding around. On an otherwise well thought-out car, these are surprising omissions.
Sunday
I’d stopped noticing it. Despite the technology-rich dashboard, it’s so logically laid out that it is an asset rather than a challenge. Tesla includes a three-year data package, to power the internet radio, offer remote access via the smartphone app and the Google Maps navigation. It’s so responsive to use and beautifully designed, that it makes you wonder why all manufacturers don’t do infotainment systems this well. But it is really a reminder that Tesla has come from a technology, not an automotive background, engineering the Model S from a blank sheet rather than a legacy of building cars. So it switches itself off and locks the doors as you walk away, the air suspension remembers where it needed more ground clearance, and the navigation automatically scans your commute for traffic before you set off. Next year the Model S will get sensors that will eventually allow semi-autonomous driving. Data isn’t an add-on, it’s what makes this car tick.
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The P85+, which until recently was the most powerful version, produces a supercar-worrying 420hp. It’s fun in short bursts, but what’s different here is that the range is long enough to actually go for a drive. You can get a long way from the city in the Model S, and the potential to get from Cardiff to the Brecon Beacons and back (160km) on one charge is an entirely new experience. There are few places less electric vehicle friendly. The National Park’s topography may be gorgeous to look at but steep hills have the potential to suck energy out of the battery at an alarming rate, and the most dramatic scenery strays far from the nearest slow charging points, let alone the M4’s rapid chargers. Run out of range in Brecon, and it’ll take at least three hours to get enough charge to crawl to the nearest Electric Highway point. Out in the countryside and with the large panoramic roof reclined, there’s only the faint whoosh of under-load electric motor to disturb the near silence. Each steep climb put a spike on the main display’s energy graph, in turn reducing the available range, but never enough to worry about getting home again. This left me free to enjoy the drive. The sportier front seats are a must-have but, for a large and heavy car, it’s neither unwieldy nor unnerving on winding Welsh roads, and most of the weight is in the battery, which is the lowest part of the body. This is a similar size to a 6 Series Gran Coupe and, though it’s de initely more of a 650i than an M6, the Model S is an addictive way to cover ground and enjoyable without the nagging worry of a lat battery.
Monday Bristol, England, and another meeting, beckoned. It’s an easy 150km round trip over the Severn Bridge, which meant there would be no need to seek a charging point en route, and I could treat the Model S like a normal diesel-burning motorway car, just as a business user might. It’s a great tool for the job. Undoubtedly the air suspension on the P85+ (usually a €2,200 option) helps with ride quality, but it takes rough surfaces better than many cars with wheels far smaller than the 21-inches under each corner of the test car. The lip side, with no engine noise, is it’s harder to ignore the roar of low pro ile rubber on tarmac at motorway speeds. After six days, it’s starting to dawn on me just how signi icant this car is as a moment in motoring history. This is the point at which electric vehicles become genuinely usable long-distance travellers, not through a reliance on a conventional engine as a backup, but through a structured approach to building a car and the infrastructure to go with it. The Model S doesn’t work because it’s a halfway house, it works because it’s a brilliant electric vehicle. And that’s not a given, even at this price point. A top spec Model S is competing head to head with plug-in hybrid versions of the Mercedes-Benz S-Class, Porsche Panamera and BMW’s ultra-futuristic i8 supercar. None of those can offer the same interior lexibility or charging options. Tesla may be a newcomer, but with a compact executive EV on the way and a blank sheet approach to building cars, it’s setting some high standards for the rest of the market which last long beyond irst impressions.
SPECIFICATION Tesla Model S Power: 380 – 691hp 0-62km/h: 3.4 – 6.2 seconds
Range: 345 – 460km Price (as tested): €67,900-€101,200
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FLEET FOCUS South Korea
Hyundai Equus is one of the most popular cars in South Korea.
South Korea finds its feet The South Korean car market may have slowed in 2014, but growth looks set to return, reckons John Kendall.
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SOUTH KOREA Largest companies... Samsung Electronics Hyundai POSCO Kia Motors Hyundai Mobis
Export led economy South Korea’s export led economy has seen phenomenal economic growth for this comparatively small Asian country over the past 50 years. According to the US Central Intelligence Agency (CIA), South Korea gross domestic product (GDP) per head of population was comparable with the levels in the poorest countries of Africa and Asia in 1960. Now it is reckoned to be the world’s 12th largest economy. The country’s dependence on exports – which makes up around 50% of GDP, has made it vulnerable to the economic slowdown following the 2008 global financial crisis, although the country made a more rapid recovery from the crisis than many other economies. South Korea’s largest company by market capitalisation, according to US broadcaster CNBC, is Samsung Electronics. The others making up the top five all have strong automotive connections. The second largest company is Hyundai, which produces both cars and commercial vehicles, while steel maker POSCO is in third place ahead of Kia Motors, a Hyundai subsidiary. The company’s parts manufacturer, Hyundai Mobis is the fifth largest. Kia Motors head office in Seoul, South Korea
Rapid growth Hyundai and Kia are not surprisingly the largest motor manufacturers in South Korea. There are three other volume manufacturers besides these, GM Korea, formerly Daewoo, Renault Samsung and Ssangyong. According to the international automobile manufacturers association, OICA, passenger car production in South Korea in 2014 Q2 rose by 2.5% compared with Q2 2013 to 2,138, 586. Light CV production rose 3.4% in the same period to 185,525, while heavy truck production rose 3.3% to 13,580. South Korean passenger car sales, according to OICA in the first half of 2014 rose 7.6% to 686,468, compared to 638,244,
when compared with the same period in 2014. Full year statistics show that in 2013, total sales reached 1,243,868, a -6.1% reduction compared with 2012. Data from Hyundai shows that the company sold 4.73m vehicles globally in 2013 and employed 104,731 people in December 2013. The company’s Korean plants have the greatest manufacturing capacity compared with its other global facilities, able to build 1,860,000 vehicles per year. Korea is Hyundai’s third largest market behind China and the US, with 2013 sales of 640,865. The company was only established in 1967, initially building Ford Cortina models from CKD kits under licence from Ford of Britain. It was another seven years before the company launched its own first product, the Pony. This car was developed by a team led by Sir George Turnbull, the former managing director of the Austin-Morris division of the former UK manufacturer British Leyland from the late 1960s to 1974. The Pony took the Morris Marina as a base to develop the new car and was the springboard for the company’s development to becoming the fifth largest motor manufacturer in the world. Hyundai owns a 34% holding stake in Kia and there are many synergies between the two brands, with shared powertrains and platforms as well as research and development facilities. Kia’s 2013 global sales amounted to 2,746,000. Its South Korean plants produced 1,599,000 vehicles in 2013. Like Hyundai, South Korea was the company’s third largest market after China and the US, responsible for 458,000 sales; down -4.8% year-on-year. The company described the 2013 South Korean market as, “Difficult, with stagnant demand and increasing competition from import brands.” GM Korea, as the South Korean division of US General Motors is known, has taken some knocks in recent years. This has been largely due to the decision to stop selling Chevrolet models in Europe. GM Korea was the source of most Chevrolet badged models sold there. It is South Korea’s third largest manufacturer with 2013 sales of 151,341, taking a 10% share of the market. GM Korea may gain from the closure of GM manufacturing in Australia in 2017, if manufacture is sourced from the South Korean operation instead.
Renault Samsung returns to profit Renault took an 80% share in Samsung Motors in 2000. Earlier this year, the company unveiled its new strategic plan, which was to post a turnover growth of 70% at least in 2016 compared with 2013 and rank among the top three car makers in the domestic Korean market. To achieve this, the company says it will focus on increasing competitiveness, improving the quality of its vehicles and successfully starting production of the new Nissan
internationalfleetworld.com / 33
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FLEET FOCUS South Korea
In the business car sector, 33.3% of 2013 sales were large saloon car models, such as the Kia K7 and K9.
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Rogue for the US Shipments of that car began in September when 4,000 Rogues were sent to North America. The company returned to pro it for the irst time in three years in 2013. Ssangyong can trace its roots back to 1954 and was rescued from bankruptcy by Indian manufacturer Mahindra and Mahindra in 2011. The company is focussed on producing 4x4 models and has said that it will focus not only on existing and mature markets but will also develop in emerging markets such as Central America, Eastern Europe and also target India and China. The company recently blamed the strong Won for a yearon-year drop of 18.6% in shipments because of reduced demand. But sales have recovered in recent months. October sales rose 11.3% compared with September to 11,000 units.
Strong Won hitting exports The strength of the South Korean Won certainly seems to have had an impact on the South Korean market. Data supplied by Kia suggests that the 2013 car market reached 1,491,289 for cars up to 2,500kg gross weight. Of this the business car sector was reckoned to account for 325,075, or 21.8% of the market. For this year, the car market is estimated to reach a total of 1,316,349, a -11.6% fall compared with 2013. The projected business car market is expected to reach 283,489 sales, representing 21.5% of the total market, so in percentage terms, the business car sector seems fairly stable, even though the volume is likely to fall notably. In the business car sector, 33.3% of 2013 sales were large saloon car models, such as the Kia K7 and K9 or Hyundai Grandeur and Equus, suggesting that prestige is still important in the South Korean business car sector, or that business cars are more the preserve of senior executives. Hybrid and electric vehicles are, as in most developed markets, still a relatively small interest. Kia suggests that these vehicles accounted for around 5,000 of the 325,075 business cars, or around 1.5% of business cars. Demand appears to be as limited as it is in other developed countries. Kia could find no available data for car sharing demand in South Korea. The capital Seoul has a population of around 10 million and with urbanisation, some 26m are said to live in the greater Seoul area. With this kind of population density, it is not surprising that there is growing interest in car sharing schemes. This is further helped by a highly developed communications network in the country with public WiFi and widespread mobile phone networks.
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Car sharing set to grow In October US-based global investment firm Bain Capital announced that it had made an investment of around 180m Won in South Korean car sharing company Socar, launched in 2012. The company launched with 100 Hyundai Sonatas on its fleet and has expanded to over 1,000 vehicles currently. The company claims to have a database of more than 50,000 members. The operating model is similar to Zipcar. Members are given a card key and use an app to book cars located in South Korea’s major cities. Rental times can be adjusted in 10-minute blocks. The company plans to expand its fleet to 5,000 cars. At the same time, US based ride-sharing company Uber launched in Seoul in August but the authorities have said they will ban anyone using the service, seen as unlicensed competition to conventional taxi services. Business cars are given concessionary rates of tax compared with private cars. They are liable for acquisition tax at 4% compared with 7% for private cars. Lower rates of car tax are also applied to business cars.
Leasing to rise? If Korean business vehicles have not yet reached European levels of vehicle leasing, it appears they are not far behind, according to Kia’s data. In 2013 leasing and rental was responsible for some 46.7% of business cars and despite the falling car market, the leasing and rental share of the market had risen to 48.5% in the January to October period. Otherwise companies buy vehicles outright or acquire them using finance. Major European-based leasing companies are generally not represented in South Korea, unlike the rental sector where international names such as Sixt, Avis, Budget, Europcar, National and Hertz are represented as well as local companies. The largest rental companies in the country are KT Kumho Rent-a-Car and AJ Rent-a-Car, with branches across Korea. Favoured inance sources tend to be partner inance companies such as Hyundai Capital, or using bank inance. South Korean manufacturers do not offer direct inance programmes. Despite the decline in the South Korean car market this year, average annual growth in the business vehicle sector in recent years has been around 10%, reckons Kia. That is a trend that the company expects to continue in the next few years. This is because the rental car market is expected to grow and expansion is expected in lease programmes.
NAFA International Fleet Academy
Safety first Reproduced with the kind permission of NAFA Fleet Management Association, this is the latest in a series of extracts from the International Fleet Academy Global Fleet Guide. CHAPTER 8
Managing data In last month’s article, we examined data granularity and how analysis can vary at each data level. But how do you upload this information into a Data Information Management (DIM) system, and keep this data secure?
T
he purpose of a global Data Information Management (DIM) system is to transparently deliver a complete and comprehensive picture of all aspects of leet operations across a global leet, irrespective of the number of countries involved. A DIM system is developed to mitigate the challenges for leet operators responsible for regions with a high degree of market fragmentation, and for global data consolidation and reporting. A global DIM system will allow leet operators to gain data transparency in terms of global leet costs, leet patterns, supplier structure, leasing contracts and C02 status, and help to develop benchmarks between regions.
Online DIM systems A global DIM system consists of two passwordprotected websites. One site allows data providers to upload fleet data, typically monthly, for various client legal entities (CLEs) around the world. The second site generates reports according to a schedule and on demand. The objective of both sites is to provide international leet managers with a low cost, self-service platform that provides transparency of leet inventory and ease of TCO calculation. Clients for the DIM system are typically assigned one of four levels: the worldwide level, geographic region, country, and legal entity (LE). The worldwide level is always the highest level, and the LE level is always the lowest level.
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1
Data upload Vehicle, driver, and cost information is uploaded at the LE (lowest) level. The purpose behind creating templates is to make the monthly recurring uploads as fast and as painless as possible. Users log in and, if they have access to multiple legal entities, select one. They can then see any uploads that were successful, were completed with errors, or have not yet been performed. They can select an upload, browse a ile, and upload. If there are any validation errors detected during the upload, the system will tell them the column and value of each error, and allow the user to correct them. Alternately, the user may delete the upload, correct the data ile locally, and then re-upload. Once all uploads are successful, the user can approve the data, locking it and preventing accidental changes. This data will be immediately available in the reporting site.
Reporting Users of the reporting website can select the reports to which they wish to subscribe. After the system has run their scheduled reports, it will send the user an email telling them their reports are available. Users can log in to the secure site to view their reports, or can view reports that have been previously run. Users can be given access to run reports at different levels of their clients’ hierarchy. The users that can run reports don’t have to be the same users that are uploading the data.
DIM system report types All these reports should be available at the entity, country, regional and global levels. This allows leet operators to gain full transparency to strategically manage and optimise the leet.
Readers can review the full article – and much more – by purchasing the Global Guide through the NAFA website: www.nafa.org/
Category
Report
Cost analysis
• Total cost per period • Total cost per category • Evolution of costs over the period • Make penetration • Evolution of make
Manufacturer analysis
over the given period Lessor analysis Emissions analysis
Status report
• Delivered cars in the given period • Lessor penetration report • Lessor evolution • C02 status report • CO2 evolution report • CO2 category report • Provision of the upload status per supplier and reporting period
Quality report
• Error report detecting data irregularities
Data protection Since a DIM system contains con idential information, data security has to be taken very seriously. A reporting site must use password access and SSL encryption to protect information as it is transmitted over the web. Finalised reports should not be emailed because email is not a secure communication medium. Sending reports in an unsecure manner could be illegal in some countries, or put con idential client data at risk. Users, however, should be able to con igure the system to send an email noti ication that a scheduled report is available. When the user logs into the website, they can view the report with the protection of SSL encryption. All electronic documents must be protected by a state-of-the-art irewall and network to prevent unauthorised outside access.
Data recovery All data should be hosted on a secure network and backed up nightly to at least two devices – of which one must be offsite. Backup devices should be tested periodically and replaced at speci ied intervals. In the best-case scenario, data will be shipped to a third-party hosted site every 15 minutes, where it is used to create a replica database.
Next month... We look at fleet vehicle procurement.
internationalfleetworld.com / 37
PROFILE Toyota
Green giant Toyota was named the most valuable automotive brand in the 15th annual 100 Best Global Brands Report, continuing a decade-long unbroken run. The brand continues to be a leader in green technology development, and with plans to homogenise its extensive global range with Toyota New Global Architecture (TNGA), its dominance will be difficult to challenge.
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view
Manufacturer Toyota Total sales 2013 8,871,000 Headquarters Aichi Prefecture, Japan Global market share 11% No. of models 43
from the top
Neil Broad, UK general
Hybrid success story
S
ince the launch of its irst-generation Prius 17 years ago, Toyota has sold a total 3.2 million units of the vehicle globally. The brand has now extended its hybrid range to a total of 25 vehicles, including the Prius Plug-in Hybrid, which, as of June 2014, became the world’s third best selling plug-in electric car behind the LEAF and Volt/Ampera family. As of September 2014, a total of 65,310 Prius Plug-in Hybrids (PHEV) have been sold worldwide, with the United States as the market leader with 36,680 vehicles delivered, followed by Japan with 19,100, and Europe with 9,133. The hybrid-friendly Netherlands is the leading European market with 3,978 vehicles registered to September 2014, followed by the UK with 1,089 units registered as of March 2014. Corolla, the juggernaut of the C-segment, surpassed 40 million global sales in September 2013, and continues to be a cornerstone of Toyota’s sales success. A truly global car, the Corolla shares a platform with the Auris compact hatchback, positioned to replace the Corolla in Europe. The Auris helped propel Toyota to an 8.6 % year-on-year increase in European sales in the irst half of 2014, with Toyota sales for the period rising to 427,216 vehicles. The hatchback and Touring Sports wagon amassed 73,718 sales – 18.4% more than in the same period last year. Within that igure, hybrid proved by far the most popular powertrain option, notably for Touring Sports, with best-ever monthly igures of 18,379 units in June – accounting for one in four of all Auris sales. Taking all hybrid Toyota models in to account – Auris, Yaris, Prius and Camry versions – the irst six months saw a 17% rise in sales. Yaris Hybrid similarly posted a 17% increase in sales volume, maintaining its position as the only hybrid in the supermini segment. Its performance is set to be strengthened following the launch of the 2014 Yaris in August, with CO2 emissions brought down to 75g/km. Toyota retained a strong position in the USA on the back of soaring demand for SUV and crossover models, with the RAV4 and Highlander SUV recording growth of 43% and 22% respectively in the month of September. The Camry sedan totalled 222,540 sales in the irst half of the year, helping it retain its place as the top-selling car in the USA. The Japanese government raised consumption tax to 8% from 5% in March as part of a strategy to counter the national debt burden. Vehicle sales in the region have slowed as a result of the hike, with all manufacturers experiencing a downturn. Before the increase, Toyota was on track for a record-breaking year in its home market, recording 23,973 sales of the Prius c, or Aqua, in February alone. Operating through joint ventures with China FAW Group and Guangzhou Automobile Group, however, Toyota recorded a 13% sales uplift for the irst 10 months of the year in China. This was thanks largely to the soaring popularity of the Corolla, which accounted for 21,480 sales in October. Toyota expects to register over 1m vehicles in the region by the end of 2014.
TOYOTA Global sales, by territory Territory Japan North America Europe Middle East Other Total
2012 2,071,000 1,872,000 798,000 550,000 2,061,000 7,352,000
2013 2,279,000 2,469,000 799,000 741,000 2,583,000 8,871,000
% change +10 +32 +0.1 +34 +25 +21
manager of fleet and remarketing, explains why diesel hybrids are unlikely to be seen in Europe.
Which are your most important fleet models in Europe? The British-built Avensis and Auris together with the French-built Yaris are our top performing models. The growth in small car leet sales has been steady, but the biggest shift has been towards the new Auris which has also seen strong growth in the estate version and has been made available with hybrid as well as petrol and diesel versions. Does Toyota see a continued role for diesel engines in Europe? Diesel technology will continue to have a future in the powertrain map in Europe but we already see a significant shift away from diesels in smaller vehicles and this trend is likely to continue as petrol and other technology develops. Hybrid is our core technology for the future as it allows us improved ef iciency and supports the diversi ication of fuels. This is possible because our full hybrid systems are lexible and modular so can be applied to any power source, as they will be with hydrogen and they could be with diesel. However, although we have sold a diesel hybrid truck in Japan for many years, there are a number of reasons why we do not have a diesel hybrid vehicle in Europe yet. Technical issues mean that with diesel vibrations are much stronger during stopping and starting than for a petrol engine, which is not acceptable for a passenger car. Diesel engines also cannot achieve the same emissions as petrol engines, even with the costly Euro 6 technology. There are cost concerns because a diesel engine is more expensive than a petrol engine and with the increased cost of diesel emission control systems, diesel hybrid is not currently cost effective.
internationalfleetworld.com / 39
¡
PROFILE Toyota Car assembly plant locations
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Where are they made?
South America • Toyota Argentina S.A, Buenos Aires, Argentina • Toyota do Brasil Ltd., São Paulo, Brazil • Toyota de Baja California, Tijuana, Mexico • Toyota de Venezuela, Porlamar, Venezuela Asia-Pacific • Arab American Vehicle Co., Cairo, Egypt • Toyota Kirloskar Motor Private Ltd., Bangalore, India • Indus Motor Company Ltd., Karachi, Pakistan • Aftab Automobiles Ltd., Dhaka, Bangladesh • Tianjin FAW Toyota Motor Co., Ltd., Tianjin, China • Sichuan FAW Toyota Motor Co., Ltd., Sichuan, China • GAC Toyota Motor Co., Ltd., Guangzhou, China • Kuozui Motors, Ltd., Taoyuan County, Taiwan • Toyota Motor Manufacturing Indonesia, Karawang, Indonesia • Astra Daihatsu Motor (ADM), Jakarta, Indonesia • Assembly Services Sdn. Bhd., Selangor, Malaysia • Toyota Motor Philippines Corp., Laguna, Philippines • Toyota Motor Thailand Co. Ltd., Chachoengsao, Thailand • Toyota Auto Works Co. Ltd., Bangkok, Thailand • Toyota Motor Vietnam Co. Ltd., Hanoi, Thailand • Toyota Motor Corporation Australia Ltd., Melbourne, Australia North America & Canada • Toyota Motor Manuf’ing Canada Inc., Ontario, Canada • Toyota Motor Manuf’ing Kentucky Inc., Kentucky, USA • Toyota Motor Manuf’ing Indiana Inc., Indiana, USA • Toyota Motor Manuf’ing Texas Inc., Texas, USA • Toyota Motor Manuf’ing Mississippi Inc., Mississippi, USA Europe • Toyota Peugeot Citroën Automobile Czech, Kolin, Czech Republic • Toyota Motor Manufacturing France S.A.S., Valenciennes, France • Toyota Caetano Portugal, Oliveira do Douro, Portugal • Toyota Motor Manufacturing Turkey Inc., Sakarya, Turkey • Toyota Motor Manufacturing (UK) Ltd., Derbyshire, UK • Toyota Motor Manufacturing Russia Inc., St. Petersburg, Russia
FIN fleet in numbers
0g/km
CO2 emissions for the forthcoming Fuel Cell Mirai.
3 billion Estimated gallons of petrol Toyota hybrids have saved compared to traditionallypowered vehicles of a similar size.
75%
Of Toyota hybrids sales are recorded in the United States.
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Japan • Motomachi Plant, Toyota City, Aichi Prefecture, Japan • Takaoka Plant, Toyota City, Aichi Prefecture, Japan • Tsutsumi Plant, Toyota City, Aichi Prefecture, Japan • Tahara Plant, Tahara City, Aichi Prefecture, Japan • Toyota Auto Body Co. Ltd., Kariya City, Aichi Prefecture, Japan • Toyota Motor Kyushu Inc., Fukuoka Prefecture, Japan • Toyota Motor East Japan Inc., Kanagawa Prefecture, Japan Africa • Associated Vehicle Assemblers Ltd., Mombasa, Kenya • Toyota South Africa Motors Ltd., Johannesburg, South Africa
Fuel Cell technology...
T
oyota’s New Global Architecture (TNGA) will underpin every new car from the next-generation Prius onwards, delivering an estimated 30% saving on the cost and duration of vehicle development. Toyota is hopeful that the new program will also help to reduce the increasing number of safety recalls plaguing the brand, as well as making production cheaper due to common parts, trimmings and components being made available on a global scale. Toyota’s ever-expanding range and the impact that has had on the variety of parts involved has been a driving force behind the program - the company currently has more than 50 different designs of airbag to suit different driver seating positions, for example. Using TNGA, the number of airbag designs will fall to 10. The new shared common-platform strategy is similar to that used by Volkswagen, Renault’s Dacia brand and Volvo. TNGA will be based on a ‘common hip point driver seating position’ that can be used to standardise body pressings around the bulkheads and footwells of similar models. Toyota will therefore be able to use those common pressings over multiple cars in the same segment, such as the Corolla, Prius and Auris. The next Camry will be the irst vehicle to get Toyota's full TNGA treatment, complete with a new platform and an engine built on a TNGA-tailored line. Toyota’s engineers have also designed a new hybrid synergy powertrain for the next-generation Prius, due in 2015. Fuel ef iciency and CO2 emissions from the Euro 6 engine are a claimed 90mpg and 70g/km. “The electric motors in the new Prius will be smaller and more ef icient, and the petrol engine is expected to have a thermal ef iciency of over 40%, a world’s best,” reveals Neil Broad, UK general manager of leet and remarketing. The Fuel Cell Sedan – Mirai – will go on sale before April 2015 in Japan, and summer 2015 for Europe and North America. Toyota claims performance and a cruising range similar to that of a petrol-engined vehicle, with refuelling taking roughly three minutes. The car's only tailpipe emission is water vapour, produced by the chemical reaction between the hydrogen and oxygen. “Unlike other models, the Toyota Fuel Cell is not a prototype or modi ied vehicle but has been designed as a full production Fuel Cell Vehicle and will lay the foundations for mass deployment,” Broad explains. “We believe that alongside hybrids, plug-in hybrids and pure electric vehicles, fuel cell vehicles can play an important role in delivering more sustainable mobility.”
internationalfleetworld.com
INTERNATIONAL
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PROFILE Toyota TOYOTA fleet model range TOYOTA is working towards increased globalisation of its model range, with shared architecture due to arrive in the near future. In the meantime, the company has a diverse model range to suit world tastes, with only a handful of global models.
IQ
Passo
Porte / Spade
Variants: 3dr hatchback Markets: Europe, Asia. Fuel: 4.8-5.2l/100km CO2: 110-120g/km
Variants: 5dr hatchback Markets: Asia. Fuel: 3.6-5.3l/100km* CO2: 84-122g/km*
Variants: 3dr hatchback Markets: Asia. Fuel: 5.3-6.3l/100km* CO2: 122-145g/km*
Sienta
Aygo
Vitz / Yaris
Variants: 5dr hatchback Markets: Asia. Fuel: 5.8l/100km* CO2: 135g/km*
Variants: 3/5dr hatchback Markets: Europe, Africa. Fuel: 3.8-4.2l/100km CO2: 88-97g/km
Variants: 5dr hatchback Markets: Europe, Asia, North America, Africa, Oceania. Fuel: 3.3-5.8l/100km CO2: 75-137g/km
Vios / Yaris
Yaris Sedan
Prius c / Aqua
Variants: 5dr hatchback, 4dr saloon Markets: Asia, Africa. Fuel: 6.3l/100km CO2: 147g/km
Variants: 4dr saloon Markets: North America, Oceania. Fuel: 6.1-6.7l/100km CO2: 145-160g/km
Variants: 5dr hatchback Markets: Asia, North America, South America, Africa, Oceania. Fuel: 3.9l/100km CO2: 90g/km
Etios
Verso-S / Ractis
Avanza
Variants: 4dr sedan, 5dr hatchback, crossover Markets: Asia, South America, Africa. Fuel: 5.9-6.0l/100km CO2: 136-138g/km
Variants: MPV Markets: Europe, Asia. Fuel: 4.3-5.5l/100km CO2: 113-127g/km
Variants: MPV Markets: Asia, North America, South America, Africa. Fuel: 7.2-7.7l/100km CO2: 172-183g/km
Auris / Corolla
Corolla
Sai
Variants: 5dr hatchback wagon. Markets: Europe, North America, South America, Africa, Oceania. Fuel: 3.6-7.1l/100km CO2: 84-166g/km
Variants: 4dr sedan Markets: Europe, Asia, South America, Africa, Oceania. Fuel: 4.5-6.6l/100km CO2: 119-153g/km
Variants: 4dr sedan Markets: Asia. Fuel: 4.5l/100km* CO2: 104g/km*
Prius
Prius+ / Prius V
Verso / EZ
Variants: 5dr hatchback. Markets: Global. Fuel: 2.1-3.9l/100km CO2: 49-89g/km
Variants: 5/7 seat MPV Markets: Europe, Asia, North America, Oceania. Fuel: 4.1l/100km CO2: 96g/km
Variants: 5/7 seat MPV Markets: Europe, Asia, Africa. Fuel: 4.5-6.6l/100km CO2: 119-169g/km
GT86
Avensis
Camry
Variants: Coupe Markets: Europe, Asia, South America, Africa, Oceania. Fuel: 7.1-7.8l/100km CO2: 164-180g/km
Variants: 4dr sedan, wagon Markets: Europe, Asia, South America, Africa. Fuel: 4.5-6.3l/100km CO2: 119-167g/km
Variants: 4dr sedan Markets: Global. Fuel: 5.2-9.3l/100km CO2: 121-215g/km
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Allio / Premio
Aurion
Avalon
Variants: 4dr sedan Markets: Asia. Fuel: 6.1-6.8l/100km CO2: 141-157g/km
Variants: 4dr sedan Markets: Asia, Oceania. Fuel: 9.3l/100km CO2: 215g/km
Variants: 4dr sedan Markets: Asia, North America. Fuel: 5.9-9.8l/100km* CO2: 137-227g/km*
Mark X / Reiz
Crown
Century
Variants: 4dr sedan Markets: Asia. Fuel: 8.5-10.0l/100km* CO2: 196-232g/km*
Variants: Limousine Markets: Asia. Fuel: 4.3-5.5l/100km* CO2: 100-127g/km*
Variants: Limousine Markets: Asia. Fuel: 10.2-13.2l/100km* CO2: 237-305g/km*
Sienna
Alphard
Variants: 7/8-seat MPV Markets: North America. Fuel: 9.4l/100km CO2: 218g/km
Variants: 7/8-seat MPV Markets: Europe, Asia. Fuel: 9.4l/100km CO2: 218g/km
Previa / Estima / Tarago
Innova
Wish
Noah
Variants: 7-seat MPV Markets: Asia, Africa. Fuel: 11.2l/100km CO2: 265g/km
Variants: 6/7-seat MPV Markets: Asia. Fuel: 6.6l/100km CO2: 158g/km
Variants: 5/7-seat MPV Markets: Asia. Fuel: 4.2-6.3l/100km* CO2: 97-145g/km*
RAV4
Venza
FJ Cruiser
Variants: Crossover Markets: Global. Fuel: 44.9-8.5l/100km CO2: 127-198g/km
Variants: Crossover Markets: Europe, Asia, North America. Fuel: 9.1-10l/100km CO2: 211-232g/km
Variants: SUV Markets: Asia, North America, South America, Africa, Oceania. Fuel: 11.4l/100km CO2: 268g/km
Harrier
Fortuner / SW4
Variants: SUV Markets: Asia. Fuel: 4.6-6.7l/100km* CO2: 106-157g/km*
Variants: SUV Markets: Asia, South America, Africa. Fuel: 8.0-12.7l/100km CO2: 211-303g/km
New Land Cruiser / LC Prado
Land Cruiser V8 / 200
Highlander / Kluger
Variants: SUV Markets: Global. Fuel: 9.5-13.9l/100km CO2: 250-273g/km
Variants: SUV Markets: Global. Fuel: 9.9-10.6l/100km CO2: 230-246g/km
Sequoia Variants: SUV Markets: Asia, North America, South America. Fuel: 15.7-16.8l/100km* CO2: 364-390g/km*
* Figures converted from economy tests other than NEDC
Variants: 7-seat MPV Markets: Asia, Oceania. Fuel: 8.9-10.3l/100km CO2: 207-243g/km
Variants: SUV Markets: Europe, Asia, South America, Africa, Oceania. Fuel: 7.9-12.5l/100km CO2: 209-292g/km
4Runner Variants: SUV Markets: North America, South America. Fuel: 12.4-13.1l/100km* CO2: 288-304g/km*
COMING SOON... Mirai (Fuel Cell Sedan) Variants: 4dr sedan Markets: Europe, North America, Asia. Range: 830km (hydrogen) CO2: 0g/km
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Porsche Macan S Diesel Porsche’s sports SUV sets lofty benchmarks for the rest of the segment, reckons Alex Grant. SECTOR SUV PRICE €58,442 FUEL 6.1–6.3l/100km CO2 159–164g/km
I
t would be entirely appropriate to be a little sceptical of ical power steering system as the latest 911. claims that an SUV can match up to the sports car DNA Without condemning the Q5, this transforms the drivmentioned in the Porsche Macan’s marketing literature. ing experience. Undoubtedly the adaptive dampers fitted This is a difficult combination to get right, and one which to the test car (a €1,154 option) help, but the Macan can result losing both the style, performance and agility of manages to offer the stability and steering feedback of a a sports car and the supple ride, practicality and light offwell set-up four-wheel drive hot-hatch, but with the roading ability of an SUV. But if anyone was going to crack ride comfort of a compact executive saloon with wheels the formula, Porsche seemed like a likely candidate. The considerably smaller than the 20-inch items fitted here. Macan completely resets the goalposts in this segment. The drivetrain is also familiar from Audi, using the 258hp It also resets Porsche’s own goalposts. While it isn’t 3.0-litre turbodiesel engine found across the Volkswagen targeting the volumes of other premium brands, the Group portfolio and in the Cayenne. It’s a quiet engine while carmaker is formalising its presence in cruising and offers a muscular shove of fleet and the Macan is the jewel in its torque from 1,750rpm, reaching 100kph company car crown. A combination of in 6.3 seconds from rest, yet the sevenPorsche desirability and dynamics, but speed dual-clutch gearbox defaults to the with realistic running costs for the senhighest possible gear to return palatable ior-level employees likely to be able to fuel economy on longer trips. pick it on the options list. Plus the business case gets stronger It’s strong even from an aesthetic the more you look into the Macan. It’s point of view. While the Cayennes can up against the new BMW X4, which is look slightly awkward and bulky from closely matched on performance, econsome angles, the Macan’s tapered roof, omy and pricing, and it isn’t significantly muscular shoulder lines and sculpted more expensive than the sportiest three-dimensional rear lamps give it a diesels in the Mercedes-Benz GLK or convincing sports car presence. ConsidAudi Q5 ranges. Considering the growering how little the Cayenne’s controing waiting list and the Cayenne’s record, While Porsche is a versial styling did to blunt its popularity, residual values are likely to be excellent, newcomer in fleet, the this bodes well for the Macan. which will benefit leasing rates. Macan does everyLike the Cayenne, the platform is So not only is the Macan able to satderived from an Audi, but heavily modisfy as a performance car and an SUV, thing needed to be ified. Porsche has dropped the centre but it manages to be a luxurious and an excellent company of gravity compared to the Q5, equipdesirable option which is relevant to the car, without comproping it with low-weight suspension fleet sector too. Those who are lucky mising on its heritage. components, staggered tyre sizes front enough to be able to choose one will and rear, and the same electro-mechanfind it’s worth waiting for.
what we think
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Mercedes-Benz B-Class Electric Drive A likely niche seller, but the first electric Mercedes is a clever green option, says Alex Grant. SECTOR Compact MPV PRICE €39,151 ELECTRIC RANGE 200–230km CO2 0g/km
I
Fully charged, the lithium-ion battery promises a 200km t’s just over two decades since Mercedes-Benz first range, largely dependent on which of the three driving showed the potential of its sandwich floor design modes are used. While Sport unlocks full performance, with the Vision A Concept car, hinting that the space Economy and Economy Plus modes progressively soften between its two layers would be ideal for batteries the throttle sensitivity, restrict top speed and cut power or hydrogen fuel cells. In the B-Class Electric Drive, that output, though both are overridden by the kickdown concept has finally come to life. switch. There’s also an optional Range Plus function, an The first Mercedes-Benz with an electric drivetrain overcharge mode which adds another 30 kilometres, but isn’t entirely new, though. This is essentially the same car which can shorten battery life if used regularly. which has been available to North American customers Regenerative braking is completely adjustable and since May. It joins the European B-Class range as part of the car defaults to an automatic option, which uses the a mid-life refresh, swapping petrol or diesel power for a collision avoidance systems to monitor 180hp electric drivetrain developed as speed limits and other traffic then sets part of an ongoing partnership with the strength to suit. Drivers can also Tesla Motors. manually select between three modes, That’s enough to make the Electric allowing the car to coast freely or to Drive the second most powerful B-Class, brake aggressively when the throttle is after the 184bhp B200 petrol. Yet with lifted. Otherwise, it drives just like a that familiar silent surge of off-the-mark very quiet, automatic B-Class. torque, it feels even quicker than the There is a downside, though. With a claimed 7.9-second sprint to 62mph maximum charging speed of 11 kilosuggests. So not only is it ideal for pickwatts, it takes a minimum of three hours ing through urban traffic, but it’s got to fill the relatively large 28kWh battery. plenty of power for motorway use too. Although this has a long enough range Although the sandwich floor has for mainly urban drivers, the inability to been abandoned, some of the thinking reach an 80% charge in half an hour has been carried forward. Natural Volumes in Europe are means this really is confined to shorter gas and electric versions of the B-Class likely to be small, but routes than many of its direct rivals. feature a partial double floorpan under this is a very versatile, However, that’s still where most the rear bench to accommodate tanks electric vehicles are deployed and the or batteries. In turn it means there’s no very comfortable B-Class has a lot going for it. Compact, loss of boot space, and the rear bench option for drivers who flexible and very refined, it may have still slides fore and aft as in a convendon’t need to cover taken 20 years to come to market, but tionally powered car. It also means that longer distances. it’s an interesting option in the growing this drivetrain won’t slot straight into battery-electric sector. an A-Class.
what we think
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MINI One D A proper premium car with a fun side, the MINI makes a great downsizing option, says Alex Grant. SECTOR Supermini PRICE €18,950–€19,850 FUEL 3.4–3.5l/100km CO2 89–92g/km
O
f all the myriad trim levels and option packs availthis does get a ring of colour-changing LEDs which match able for the new MINI, it’s the basic One version the cabin’s ambient lighting, or show climate control setthat’s perhaps closest to the design brief set out tings as you adjust them. As much as it sounds like a novby the British Motor Corporation in the 1950s. elty, it’s very useful while driving. While the original Mini offered a sophisticated alterAlso useful, and a result of the larger bodyshell and native to the bubble cars of the time, this latest version is longer wheelbase, is easier access to more generous rear targeting a very capable, competitive supermini class. seats and a larger boot with a split floor. Although it has got larger, in three-door form it’s still Like the Cooper D, the One D uses the BMW Group’s smaller than most of its rivals. new 1.5-litre, three-cylinder diesel engine, detuned here The first to be developed entirely under the BMW Group, to 95hp – a figure that’s closer to C-segment norms for and up against the Audi A1, there’s a sense that no corners an entry-level car. It’s a delight to use, with smooth power have been cut here. Its doors shut with delivery, class-above refinement and a solid thunk, cabin materials and fuel economy which easily settles in at switchgear wouldn’t feel out of place in around 4.3l/100km on motorway runs. an executive saloon and even the monoRide quality and steering weight are chrome displays in the One are high deftowards the sportier end of this segment, inition. The MINI exudes quality that which is to be expected, but there are few nothing else in this sector can match. cars in this class which are as much fun Although changes to the design are to drive on minor roads, yet feel this predictably conservative, as it’s a proven refined and relaxed at higher speeds. formula for big sales, a few MINI hallPerhaps that’s to be expected at this marks have been abandoned to make price level, though. Even up against this feel more user-friendly. The electric superminis with equivalent power outwindow switches are now on the doors, puts and factoring in the whole-life while the speedometer, rev counter and cost advantages of its bulletproof residfuel gauge are on the steering column ual values and tiny thirst for diesel, this Beautifully built, effortlike a normal car. There’s also a large is a premium choice even before conlessly efficient and as toggle switch, with a pulsing red heartsidering the extensive options list. suited to fun drives as beat glow, to turn the engine on. However, with the option of five MINI has retained the central instrudoors, the One D makes not only a it is to longer journeys, ment cluster but, as a sign of the techvery convincing alternative to a the bigthis might just make nology creeping into this class, it’s set selling Cooper D trim, but C-segment you question opting aside for navigation and media screens. downsizers too, provided they don’t up to a Cooper. That’s not something fitted to the One, need the boot space. Just like the origiwhich has a simple media display, but nal, this has broad appeal.
what we think
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Opel Corsa Can the latest Opel Corsa really rival the B-segment leaders? John Kendall thinks it can. SECTOR Supermini PRICE TBA FUEL 3.2–6.0l/100km CO2 85–140g/km
3
CO2), as well as the new 1.4-litre 100hp turbocharged engine 2 years on and almost 12 million sold means that the delivering 200Nm of torque (119–123g/km CO2). A five-speed new Opel Corsa has quite a reputation to live up to. manual transmission is standard apart from the 1.4-litre The current model is the fourth best selling small car 100hp engine, which gets a six-speed transmission. in Western Europe, reaching second place in both Germany Diesel power comes from two versions of the Opel 1.3-litre and the UK. Despite the similar appearance to the current common-rail diesel producing 75hp and 95hp (85–100g/km model, the fifth generation car does not share a single body CO2). Both are fitted with five-speed gearboxes. There’s also panel with the outgoing model. At the same time, the new a choice of revised automated Easytronic transmission or a 1.0-litre three-cylinder turbocharged petrol engine that fully automatic six-speed transmission with the 90hp 1.4made its debut in the ADAM not long ago will now also litre petrol engine (139–140g/km CO2). Both diesels are arrive under a Corsa bonnet. equipped with ecoFLEX emissions reducing technologies New buyers can expect a completely revised chassis, feaincluding engine stop and start, as are the turing new suspension, a new steering 1.4-litre 90hp and 100hp petrol engines. system and revised electric power steerThe interior finish is better than anying. City mode power steering makes thing you will have seen on a Corsa parking far easier by increasing power before – it all feels very well assembled assistance at low speeds. with no apparent squeaks or rattles. Inside, the Intellilink infotainment sysOnce on the road, the car offers ride comtem first seen in the ADAM will be an fort and handling that is also measurably option. It features a seven-inch colour better than any previous Corsa. It all touchscreen and the system is compatihelps to raise the Corsa up to compete ble with both Apple and Android devices, with the B-segment class leaders – Ford using apps for navigation, radio and podFiesta and the VW Polo. casts. Apple iOS devices offer Siri Eyes If you haven’t experienced the threeFree voice control, which can read SMS cylinder petrol engines before, you will be text messages aloud or accept dictation in for a treat. The smoothness, performfor SMS and email messages. Without a doubt the ance and low noise levels mask the fact The complete engine range has been best Corsa yet, able to that there are only three pistons pumping updated to be Euro 6 compatible. Both compete with the best in up and down, until higher in the rev range. 90hp and 115hp variants of the threeAgain it is easily the equal of the Ford 1.0cylinder petrol engines (100–117g/km class. New three-cylinder litre EcoBoost and Renault three-cylinder CO2) drive through a new six-speed gearpetrol engine is impresengines. The 1.4-litre engine available at box, using a low-friction design for slicker sive, while build quality launch didn’t seem as smooth by compargear changes. Other petrol options include is what it needs to be. ison and we have yet to drive the diesels, 1.2-litre 70hp (124–126g/km CO2) and likely to have strong fleet appeal. 1.4-litre 90hp engines (114–122g/km
what we think
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MANAGEMENT Global Fleet Forum
global connecting the international fleet community
Join the New vehicle safety standards are an opportunity for the EU to show it can have a positive impact on all our lives
Global Fleet Forum is International Fleet World’s new international network and digital forum, launched in March 2014. At the heart of the Global Fleet Forum is a team of fleet professionals who play a key role in the industry, either as fleet managers, consultants or fleet suppliers. These fleet experts provide a regular feed of information that is posted on the website forum in the form of discussion topics. 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 international 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 the Global Fleet Forum and request membership, please visit:
theglobalfleetforum.com
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Antonio Avenoso, Executive Director, European Transport Safety Council Every week in Europe, on average, 500 people die on our roads. Since 2001, more than half a million have lost their lives. And yet, the political response to the daily tragedy of those killed by speeding or drunk drivers is very often lacklustre, to put it mildly. The recent hearings in the European Parliament of Violeta Bulc, the new commissioner for transport, and Elżbieta Bieńkowska, who is responsible for industry, were a case in point. Road safety barely got a mention. But Ms Bulc and Ms Bieńkowska now have an opportunity to put this crucial issue back at the top of the political agenda and show an increasingly sceptical public that the EU is capable of doing things that have a positive impact on all our lives. Right now, the European Commission is reviewing the rules which govern the safety requirements of new cars, vans, lorries and busses. Last time these rules were updated, in 2009, several very important technologies were made compulsory including Electronic Stability Control (ESC) and seat-belt reminders (for driver seats). Over time they will save thousands of lives. But most people in Europe don’t realise that these features are no longer expensive optional extras thanks to EU law. So there is now a huge opportunity to improve safety further and, at the same time, show that the EU is capable of doing things that have a positive impact on the lives of everyone in Europe. In the view of our experts, the most important new technology to be included now concerns speed which is still the single biggest contributory factor in fatal road crashes. Intelligent Speed Assistance (ISA) uses a GPS-linked database of speed limits, which can be combined with cameras that read road signs, to inform drivers about
debate...
in association with
Meet the experts... Dr Will Murray, Research Director, Interactive Driving Systems
speed limits and help them to stick to them with tactile feedback (added resistance on the accelerator pedal). This system should be fitted as standard. It would not just limit the top speed on motorways (buses and lorries already have mandatory devices that do this), but would also help keep drivers within the speed limits in urban areas, where they come into contact, and kill and injure, many pedestrians and cyclists. A recent YouGov survey in the UK found that two-thirds of British adults support this system being mandatory for professional vehicles, including vans. We would also like to see Automated Emergency Braking (AEB) systems on all new cars and vans – it is already mandatory on lorries and buses. The latest systems are able to detect not just cars, but also pedestrians and cyclists and apply the brakes automatically and safely. Seatbelt reminders, currently only mandatory for drivers, should also be extended to cover all passenger seats in the front or back. Finally, the EU needs to do more to stop drink driving, particularly amongst repeat offenders and by professional drivers. We would like the EU to develop a standardised technology for connecting alcohol interlocks, which prevent a drink driver from starting his/her engine. And we also believe that there is a strong economic and social case for fitting the devices as standard on certain categories of professional vehicles such as school buses. This is already the case in France and Finland. We hope that the new industry and transport commissioners will see the potential not just for saving lives, but also for showing the public that the EU can have a positive impact on an issue that affects every single one of us, every single day.
Interactive Driving Systems helps clients and channel partners with compliance and CSR as well as cutting collisions and costs. 1,000,000+ drivers are registered on its Virtual Risk Manager program for driver risk assessment, monitoring and management across all types of organisations in 70+ countries and 35 languages globally. As well as working with some of the world’s best known brands, and government agencies on several continents, Will is also a visiting fellow at Loughborough University and a trustee of the road safety charity Brake.
Thomas Strachan, Insurance Manager, Northgate PLC As UK insurance manager for Northgate PLC, Thomas is responsible for placing the company insurance program both for the UK and Eire operations, ensuring they meet the continual requirements of the evolving and growing business. Thomas deals with operations, depots, insurers, solicitors, police and other official bodies on a daily basis. He is also responsible for undertaking audits of service providers, insurance claim files, claim reserves and ULR providers as well as internal driver licence review both for the UK and Eire.
Natalie Middleton, Business Editor, International Fleet World Natalie has worked as a fleet journalist for 12 years, previously as assistant editor on the former Company Car magazine before joining International Fleet World in 2006. Prior to this, she worked on a range of titles, including Insurance Age and Insurance Day.
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fleet in figures
European CV sector buoyant, while China continues cooling European CV market continues to grow, while in China, CV sales are declining with cars propping up growth, says John Kendall.
CVs on the charge This is the 13th successive month of growth for CV registrations in Europe.
T
he global forecasts of economic doom are not fading away this month, with warnings about slow growth in the Eurozone still in the headlines. Commercial vehicles are usually a good reflection of the state of economic progress and if there are economic woes ahead, it is not being reflected in the registration figures for CVs in Europe.
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European CV registrations growing Data from the European Automobile Manufacturers Association (ACEA) for the year to the end of September (Q1, Q2 and Q3) shows that in total, registrations for all commercial vehicles across the European Union and European Free Trade Area (EFTA) rose by 9.6% to 1,352,410 in the January to September period, compared with
2013. ACEA points out that this is the 13th successive month of growth for CV registrations in the region. If the economy was cooling off, that might be reflected in the September data, but this shows that for the month, registrations were up 13.2% to 181,436 compared with September 2013. Recovery in the Eurozone is still slow and vulnerable to global trends, but looking at the year to date (YTD) fig-
ures, only Finland and Lithuania have suffered an overall decline in CV registrations in 2014. Finland was down 0.3% to 10,453 while Lithuania was down 9.0% to 3,394.
Light CVs drive Europe growth Looking at the individual sectors, Light CV registrations have, not surprisingly made up the greatest volume. In the EU, registrations rose by 11.7% to 1,126,310. This was offset by a 2.3% decline in the EFTA countries to 43,981, but even so, overall growth in the EU28 and EFTA reached 11.1% YTD to 1,170,291. Growth for September was higher still, with registrations increasing by 15.6% compared with September 2013 to 156,772. Many heavy truck manufacturers were forecasting that the heavy truck market in Europe would recover in the second half of the year, after the rapid decline in demand following the introduction of Euro 6 emissions restrictions in January, bringing a sharp rise in heavy CV prices.
Heavy CV registrations recovering in EU? That appears to be happening. ACEA data for truck registrations of vehicles over 16tonnes gross vehicle weight (GVW) rose by 3.0% in the January to September period to 156,604 and by 16.8% in EFTA countries to 5,644, leading to an overall increase of 3.4% YTD in the EU28 with EFTA to 162,248. Growth is far from universal across the major European markets with the UK notably, showing registrations down 22.0% YTD to 17,289. The UK market was affected more than others because of the way that manufacturers chose to carry the derogation for Euro 5 vehicles. At first glance, September data does suggest an improving picture with registrations
down -10.1% compared with September 2013. Since September is a registration plate change month in the UK, registration data is usually artificially inflated for the month and the position may not be as good as the data suggests. Continuing uncertainty in the French economy is reflected in the heavy truck data, with YTD registrations down 8.3% to 23,740, but other economies that have struggled with recovery, such as Italy and Spain, both recorded double digit growth over the period. Adding medium commercial vehicles to the picture, including all vehicles from 3.5t GVW and above possibly shows the effects of Euro 6 more deeply. Overall registrations over the January to September period across the EU fell by 0.4% to 201,716, while September also showed a 0.1% decline to 26,129, compared with 2014. The picture across the EFTA countries was quite different, with YTD data showing a 9.8% increase to 7,574 while September registrations rose 22.6% to 830. Overall the EU28 and EFTA data showed a marginal decline from 209,346 in 2013 to 209,290 YTD in 2014.
China market dynamics Declining sales is not generally a characteristic we associate with the Chinese vehicle market, but looking at the commercial vehicle sector there, decline is the current trend. According to IHS Automotive, production of CVs in China declined by 11.7% year on year in October with production at 286,400 units, while sales slipped 14.9% y/y. In the January to October period, CV production in China has fallen 6.3% compared with 2013 to 3.126m. Over the same period, CV sales have fallen 7.1% to 3.123m. Chinese vehicle exports are also following a downward trend, with CV exports from January to October down 4.1% compared with 2013, while pas-
senger vehicle exports fell by 11.6% over the same period to 435,500. That reflects the continuing strong growth in the Chinese light vehicle sector, with a growing taste for imported models. IHS data suggests that overall imported vehicles accounted for 17% of total sales in the January to October period. For the passenger vehicle sector total production reached 16.14m units according to IHS, up 11.2% in the January to October period, while sales have reached 15.86m up 9.8% YTD. IHS breaks the data down further with SUV sales growth up 33.7%, MPVs up 49.6%, saloon car sales up 3.5%, while minibus and van sales were down 14.9%. Commenting on the outlook in China and possible implications, IHS notes: “The Chinese vehicle market is seeing more moderate growth with the core passenger vehicle segment propping up the positive growth. IHS differs from The China Association of Automobile Manufacturers (CAAM) in terms of segmentation definitions, as we do not include minibuses as passenger vehicles. Without the depreciating minibus segment, the PV segment continues to provide the momentum of growth in China. “However, with a lack of infrastructure projects as well as new regulations coming into effect on diesel fuel standards, demand for CVs is overall seeing a decline. The market is trying to push exports with a number of CV makers announcing alliances in markets within Africa, but overall CV sales are pulling down growth in China. Meanwhile the growth rates witnessed by the PV sector are far lower than seen in previous years indicating an overall moderation in the market. “In September, vehicle sales rose just 2.5% y/y, marking the slowest rise in nine months with a total 1.98 million vehicles sold.”
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