Fleet Europe °099

FOR INTERNATIONAL FLEET & MOBILITY LEADERS

#99 09/2018

26 PAGES

Nexus Communication - Fleet Europe #99 - Periodic magazine - September 2018 - Deposit Office Liège X

POWERING YOUR LCV MANAGEMENT • New models and latest fit-out trends • Safety and Connectivity • Funding your LCV fleet • Time to go e-LCV

INTERVIEW MERCEDES The new Sprinter has arrived

ANALYSIS Why Telematics is vital for your TCO

INNOVATION Last mile delivery solutions

The opportunities of LCV sharing p. 58

Business is about maximising the opportunities.

Every day.

CONTENT 5-39

LCV HOLIDAYS As a Belgian, I look forward each summer to the so-called 'builder's holiday': three weeks in July of collective time off for the nation's construction industry. Overnight, traffic jams and other mobility issues virtually disappear.

Do I have a problem with builders, or their vans? Not at all: they're the backbone of the economy. But those vans are used inefficiently – they're empty for up to 25% of their mileage, and only 60% of the overall capacity is used.

LCVs – builders' and others – need to be used more efficiently. Not just to please me: add up the cost of urbanisation, congestion, fuel and regulations, and LCVs are a lot more expensive per km than a lot of new alternatives for last-mile delivery and urban transport.

seat.com/ateca

SEAT Ateca Make every day a great day.

Thankfully, increased efficiency through innovation and connectivity is at the centre of current LCV product development – read all about it in our LCV Management Dossier. Also, autonomous vans are not that far off.

Soon, they'll smooth out traffic in any month of the year, and I won't have to wait for those LCV holidays in July anymore.

I hope you had a great holiday and wish you pleasant reading.

Steven SCHOEFS Chief Editor, Fleet Europe

Safer, Greener, Connected and more Efficient

LCV market 2018: open to disruption..... 6 LCV models: new tricks of the trade..... 12 Growing choice in a growing fleet market............................................................................. 16 Diesel or diesel, the choice is yours.... 20 LCV equipment: The lighter the better.............................................................................. 24

Telematics are no longer an option........... 26 Legislation: electric, yes, but diesel is far from dead......................................................... 28 Keeping risks under control........................32 Finding the optimum finance solution......................................................................... 34

44

48

62

MANAGEMENT

BUSINESS

ANALYSIS

Your Zero-Emission Fleet

New e-LCV brand StreetScooter

Smart Telematics

MANAGEMENT

How to go e-LCV……………………………………………………………………………………………………………………………………………………………………… 40 Stockholm City: “We only bought 1 diesel LCV last year”…………………………………………………… 42 Case study Galère: meet Belgium’s best LCV manager……………………………………………………………… 46

BUSINESS

New Mercedes Sprinter: the sharpest tool in the box…………………………………………………………………… 51

REMARKETING

The SEAT Ateca, with its Virtual Pedal, Digital Cluster and Wireless Charger, can be a perfect addition to your fleet. Get in touch with us to learn about more SEAT FOR BUSINESS opportunities.

Average fuel consumption: 4.5 - 7.0 l/100 km.

Average CO2 mass emissions: 118 - 159 g/km.

POWERING YOUR LCV MANAGEMENT

Vehicle Remarketing: never more relevant…………………………………………………………………………………………… 53

INNOVATION

Last Mile Delivery to the Edge………………………………………………………………………………………………………………………………… 56

27 SEPTEMBER

27 - 28 NOVEMBER

IFMI DIGITAL MASTERCLASS Electrification

2018 FLEET EUROPE SUMMIT Barcelona, Spain

SMART MOBILITY

LCV sharing: a great idea, but...…………………………………………………………………………………………………………………………… 58 Focus on start-ups at 2018 Fleet Europe Summit…………………………………………………………………………… 60

ANALYSIS

The evolution of Smart Telematics……………………………………………………………………………………………………………………… 62 Telematics: integration, new rubber compounds and connectivity………………………… 64 A demonstration of where Telematics is headed……………………………………………………………………………… 66

DOSSIER

SMARTEN YOUR LCV FLEET STEVEN SCHOEFS

It’s not only an impression as you’re driving along Europe’s roads, there really are more LCVs. Or at the very least, more are being sold and registered.

And they come in more sizes than before, ranging from small, car-derived vans to full-sized vans that are large enough to fit several of the smaller ones. Increasingly, they are being customised to fit each fleet’s needs. Fit-out suppliers have developed new ways to optimise the cargo capacity using lightweight, versatile systems.

Many fleet operators used to prefer buying their LCVs outright. That is no longer the case and leasing has now become a mainstream management option. Bearing in mind, of course, that vans require other rules to judge fair wear and tear than passenger cars.

Electric vans are starting to be feasible options for many fleet managers. More manufacturers are offering them and their range is increasing. Moreover, environmental regulations in urban areas make a strong business case for alternatives to the traditional diesel engines.

THE NEW ŠKODA FABIA.

THE RATIONAL CHOICE FOR YOUR FLEET www.skoda-auto.com

Combined fuel consumption and CO 2 emissions according to the legislation of the concerned country y

FLEET EUROPE #99

5

DOSSIER

DOSSIER

LCV market: open to disruption

LCV MARKET JANUARY-JUNE 2018 180,000 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000

Dieter Quartier & Richard Worrow, Dataforce

Interestingly, the LCV market seems very open to consider alternative suppliers.

StreetScooter is Deutsche Post DHL Group’s in-house e-van builder, Chinese giant SAIC

REGIONAL PERFORMANCE Sweden registered an impressive increase of 30.9%, with Spain and Poland posting healthy double-digit growth figures: 14.2

LCV MARKET JANUARY-JUNE 2018 VS JANUARY-JUNE 2017 35% 30.9%

30%

15%

14.2% 11.1%

4.7%

4.8%

5.1%

GERMANY

FINLAND

6.9%

8%

8.9%

SWEDEN

SPAIN

POLAND

CZECH REPUBLIC

SLOVAKIA

NORWAY

2.1%

FRANCE

BELGIUM

ITALY

DENMARK

UK

-5%

SWITZERLAND

-6.4% -5.7% -5.3% -0.9% 0.6%

4%

AUSTRIA

5%

NETHERLANDS

10%

6

FLEET EUROPE #99

FLEET EUROPE #99

SLOVAKIA

FINLAND

NORWAY

SWITZERLAND

DENMARK

AUSTRIA

POLAND

SWEDEN

BELGIUM

SPAIN

ITALY

OEM PERFORMANCE Manufacturers retain a fairly stable share of the EU16 market in comparison to 2017.

There were three brands to each gain an over a 0.4 percentage point increase to their share: VW, Citroën and Peugeot.

There was only one position change with Iveco driving its way past Nissan devouring a 0.2% bigger slice of the pie, but like last year, Peugeot once again increased its share by 0.7 percentage points, thereby being the fastest growing OEM for H1 2018.

20%

-10%

In terms of volume, the French market once again dominates and continues to swell (2.1%) but with the UK slipping for another year the gap continues to widen. Sweden’s spectacular increase (+30.9%) was fuelled by the 1 July changes to the bonus-malus taxation system, propelling it ahead of Poland. This one-off effect will likely translate to a drop in upcoming Swedish registrations for the next few months.

MANUFACTURERS’ MARKET SHARE JANUARY-JUNE 2018

Others 1.1% 1.3% 2.4%

15.4% 3.4% 13.8%

3.1% 3.2% 4.6%

12.2%

8.1%

25%

0%

and 11.1%, respectively. The UK was hit with the largest drop in both volume and growth percentage: the British market contracted by 6.4%, exacerbating the 2017 H1 contraction of 3.4%. Italy alongside Denmark also had back to back negative growth with a -5.3% for the former and -5.7% for the latter.

CZECH REPUBLIC

is launching the Maxus EV80 and others will surely follow. With the EU and Japan having concluded a free trade deal, disruption may come from a Japanese manufacturer. Given the policy changes, the aggressive emissions targets and the introduction of WLTP (Worldwide harmonised Light vehicle Test Procedure), it does seem that the market is particularly ripe for a little disruption.

GERMANY

FRANCE

THE CONTEXT In the EU16 region the ‘true fleet’ LCV market posted a healthy 2.1% increase during the first half of this year. There is a trend towards lower CO2 emission vehicles, not only to avoid higher taxation but also to future-proof against the restrictions currently being discussed. Electric vans are becoming a reality – and with them, new players are popping up.

NETHERLANDS

The LCV market is thriving, but the pawns on the EU16 chessboard have been moving quite vigorously in the first half of 2018. What is pushing them and who is under siege? Dataforce explains.

UK

0

@DieterQuartier

9.3% 12.0% 10.2%

7

DOSSIER

DOSSIER

2018 H1 sees one new entry into the LCV top 10: the Ford Transit comes in at number 9. The Mercedes Sprinter had to cede the sales crown to the VW Transporter. Renault’s Master in 3rd was

a little over 800 registrations shy of also overtaking the former leader. The new Peugeot Partner increased its sales by 14.7%, contributing considerably to the brand’s market share. His twin brother,

the Citroën Berlingo, is just 120 registrations behind. The previously mentioned Ford Transit scored a healthy 10.8% increase, helping to cushion the drop from the Transit Custom.

TOP 10 MODELS RANKING The VW Crafter has taken the sales crown from the Mercedes Sprinter. Both will be available with an electric powertrain soon.

JANUARY-JUNE 2017 40,000 35,000

-11% +1.8%

JANUARY-JUNE 2018 +11.5%

-5.2% +2.9%

30,000

+14.7%

+8%

100%

-9.2% +10.8%

25,000

-9.4% 98%

20,000 15,000

96% SPAIN

10,000

FRANCE

94%

5,000

DENMARK SLOVAKIA NORWAY

DIESEL SHARE LCVs make up 10.8% of all light vehicle registrations (i.e. cars and vans up to 3.5t). Diesel is losing terrain, though this only equates to a 1 percentage point drop

for the EU16 region combined, while the amount of registrations has increased by 0.8% 2018 YTD. The downward trend is most clear in Belgium and Slovakia, while total True Fleet LCV registrations

VW CADDY

FORD TRANSIT

RENAULT TRAFIC

CITROEN BERLINGO

PEUGEOT PARTNER

RENAULT KANGOO

FORD TRANSIT CUSTOM

RENAULT MASTER

MERCEDES SPRINTER

VW TRANSPORTER

0

BELGIUM

92%

GERMANY

90% 2013

have increased by 8.0 and 0.6%, respectively. Sweden’s change to the taxation of LCVs seems not to affect the powertrain mix presently.

2014

2015

2016

2017

2018

100% FINLAND

98%

UK

96%

NETHERLANDS SWEDEN

94%

DIESEL SHARE 2013-2018 (1ST HALF) 92% 100% 90% 96%

92%

SWITZERLAND

88%

AUSTRIA

2013

2014

2015

2016

2017

2018

ITALY CZECH REPUBLIC POLAND

88%

ALTERNATIVE FUEL: IT’S COMING Alternative fuel engine LCVs continue to build momentum even though the selection of models available is restrictive. In the electric sub-channel Renault’s Kangoo has more than doubled it registrations from last year (+112.7%). Strangely, the Nissan e-NV200 is down by 40.3%. In total, e-LCVs have

84%

80% 2013

8

2014

2015

2016

2017

2018

FLEET EUROPE #99

FLEET EUROPE #99

progressed by 44.1%. Other traditional OEMs, like Mercedes (eSprinter, eVito) and VW (eCrafter) are finally ready to get some piece of the action, too.

Hybrid vehicles in the LCV segment are all passenger cars registered as LCVs. Apart from Ford, no OEM seems to investigate the feasibility of PHEVs.

Even though mild hybrids are likely to come to market soon, no van manufacturer has announced concrete plans. As to bi-fuel (gas + petrol) vans: they could help reduce emissions, too. An increase of 11.7% for this fuel type is perhaps not spectacular, but indicative of an upward trend nonetheless.

9

The new C-Class with

Instincts you can trust.

The new C-Class. With the latest generation of Intelligent Drive, safety and assistance are in abundance. It ensures less stress with every ride by always being on the lookout for possible hazards.

Never stop improving. www.mercedes-benz.com

DOSSIER

DOSSIER PEUGEOT PARTNER

New tricks of the trade Dieter Quartier

BODY TYPE

Panel van, choice of 2 lengths, 2 cabins

ENGINES

Petrol: 1.2 110 PS or 130 PS; Diesel: 1.5 HDi 130, 1.6 HDi 75 or 100 PS

TRANSMISSIONS

6-speed manual or 8-speed auto, front wheel drive

CARGO BAY

Volume 3.3-4.4 m³; loading length 1.81-2.16 m, payload: 950-1,000 kg

CONNECTIVITY

Apple CarPlay, Android Auto, WiFi, Bluetooth

AVAILABILITY

Autumn 2018

HIGHLIGHT

The Partner comes with Peugeot’s eye-catching i-Cockpit, including an 8" touch screen in the centre of the dashboard to command the radio, navigation, vehicle settings and telephone.

@DieterQuartier

Just like passenger cars, light commercial vehicles are taking big steps towards assisted driving, non-stop communication and driver comfort. In fact, the driver has become just as important as his cargo.

SMALL VANS FORD FIESTA BODY TYPE

3-door hatchback panel van

ENGINES

Petrol: 1.1 85 PS, 1.0 125 PS; Diesel: 1.5 TDCI 85 or 120 PS

TRANSMISSIONS

5 or 6-speed manual, front wheel drive

CARGO BAY

Volume 1 m³; loading length 1.3 m, loading capacity: 500 kg

CONNECTIVITY

Apple CarPlay, Android Auto, AppLink, WiFi (on-board modem), Bluetooth

AVAILABILITY

Autumn 2018

HIGHLIGHT

Because it is based on the regular Fiesta, this city-sized van benefits from the latter’s advanced technology in terms of safety (ADAS), comfort, powertrains, chassis and connectivity.

MIDSIZED VANS FORD TRANSIT CUSTOM

HYUNDAI H-1/I800/H300

TOYOTA PROACE

BODY TYPE

Panel van, 1 length, 2 cabins, 1 roof height

BODY TYPE

Panel van, 3 lengths, 1 roof height, 1 cabin

ENGINES

2.0 Diesel with outputs ranging from 105 PS to 170 PS

ENGINES

2.5 Diesel with outputs ranging from 116 PS to 170 PS

ENGINES

1.5 Diesel or 2.0 Diesel with outputs ranging from 102 PS to 177 PS

TRANSMISSIONS

6-speed manual or 6-speed auto, front wheel drive

TRANSMISSIONS

6-speed manual or 5-speed auto, rear-wheel drive

TRANSMISSIONS

6-speed manual or 8-speed auto, front-wheel drive

CARGO BAY

Volume 3.1-8.2 m³; loading length 2.56-2.97 m, payload: 637-1,508 kg

CARGO BAY

Volume 2.5-4.4 m³; loading length 1.59-2.38 m, payload: 1,096-1,113 kg

CARGO BAY

Volume 4.6-6.6 m³; loading length 2.16-2.86 m, payload: 1,000-1,400 kg

CONNECTIVITY

Apple CarPlay, Android Auto, App Link, Bluetooth

CONNECTIVITY

Apple CarPlay, Android Auto, Bluetooth

CONNECTIVITY

Apple CarPlay, Android Auto, Bluetooth

AVAILABILITY

Now

AVAILABILITY

Winter 2018

AVAILABILITY

Winter 2018

HIGHLIGHT

The MY2018 Transit Custom introduced a show-stopping Sync3 infotainment system with advanced voice control, packaged in a new dashboard. Also new are a series of collisionavoidance systems.

HIGHLIGHT

Hyundai has revamped its successful H-1 aka i800 or H300, giving it a much-needed facelift and improved connectivity. It also features a ventilated driver's seat.

HIGHLIGHT

During 2018 the Proace will receive a new 1.5 litre diesel, an updated 2.0 that will be available with a new 8 speed automatic transmission – just like the Peugeot Expert and Citroën Jumpy/Dispatch.

BODY TYPE

Panel van, choice of 2 lengths, 2 cabins, 2 roof heights

COMPACT VANS CITROËN BERLINGO BODY TYPE

Panel van, choice of 2 lengths, 2 cabins

ENGINES

Petrol: 1.2 110 PS or 130 PS; Diesel: 1.5 HDi 130, 1.6 HDi 75 or 100 PS

TRANSMISSIONS

6-speed manual or 8-speed auto, front wheel drive

CARGO BAY

Volume 3.3-4.4 m³; loading length 1.81-2.16 m, payload: 950-1,000 kg

CONNECTIVITY

Apple CarPlay, Android Auto, WiFi, Bluetooth

AVAILABILITY

Autumn 2018

HIGHLIGHT

Two body lengths (M or XL) and top-notch powertrains, including an 8-speed automatic that can be combined with an adaptive cruise control with stop-and-go functionality.

LARGE VANS MAXUS EV80

OPEL/VAUXHALL COMBO BODY TYPE

Panel van, choice of 2 lengths, 2 cabins

ENGINES

Petrol: 1.2 110 PS or 130 PS; Diesel: 1.5 HDi 130, 1.6 HDi 75 or 100 PS

TRANSMISSIONS

6-speed manual or 8-speed auto, front wheel drive

CARGO BAY

Volume 3.3-4.4 m³; loading length 1.81-2.16 m, payload: 950-1,000 kg

CONNECTIVITY

Apple CarPlay, Android Auto, WiFi, Bluetooth

AVAILABILITY

Autumn 2018

HIGHLIGHT

The new Combo shares its underpinnings with the Citroën Berlingo/Peugeot Partner. Interestingly, this hi-tech van can be had as a single-cab three-seater or a double-cab five-seater.

12

FLEET EUROPE #99

BODY TYPE

Panel van or chassis cab, choice of 2 roof heights

ENGINES

100-kW electric motor, 56-kWh battery, 200 km range, 2-hour charging

TRANSMISSIONS

Single speed, front-wheel drive

CARGO BAY

Volume 10.2 m³; loading length 3.3 m, payload: 950 kg

CONNECTIVITY

Bluetooth

AVAILABILITY

2019

HIGHLIGHT

The all-electric China-built Maxus EV80 is a plain vanilla workhorse boasting mature and reliable battery technology. It is backed by SAIC, the world’s 7th largest OEM.

FLEET EUROPE #99

13

DOSSIER

ADVERTORIAL

CONCEDED EDITORIAL SPACE MERCEDES-BENZ SPRINTER BODY TYPE

Panel van: choice of 4 lengths, 3 roof heights; chassis cab: choice of 3 lengths, 2 cabins

ENGINES

2.1 diesel with 3 power outputs, V6 diesel

TRANSMISSIONS

6-speed manual or 9-speed auto, front wheel drive, rear-wheel drive or 4x4

CARGO BAY

Volume 7.5-11.5 m³; loading length 2.6-4.7 m, payload: 798-1,315 kg

CONNECTIVITY

Apple CarPlay, Android Auto, WiFi, Bluetooth

AVAILABILITY

Now

HIGHLIGHT

The Sprinter offers over 1,700 variants and introduces a plethora of safety systems, comfort items and a driver-centric user interface (MBUX) with navigation and infotainment features that befit an A-Class.

Make your (e)LCVs work for you

PICK-UPS MERCEDES-BENZ X-CLASS

NISSAN NAVARA

BODY TYPE

Double cab, with or without cargo bed

BODY TYPE

King Cab (2+2) or Double cab (5)

ENGINES

2.3 diesel with 163 or 190 PS, 3.0 V6 diesel with 258 hp

ENGINES

2.3 diesel with 163 or 190 PS

TRANSMISSIONS

6-speed manual or 7-speed auto, rear-wheel drive or 4x4

TRANSMISSIONS

6-speed manual or 7-speed auto, rear-wheel drive or 4x4

CARGO BED

1,587 mm x 1,560 m: payload: 1,066-1,087 kg

CARGO BED

1,578 – 1,788 mm x 1,560 m: payload: 1,047-1,156 kg

CONNECTIVITY

Bluetooth

CONNECTIVITY

Bluetooth

AVAILABILITY

Now

AVAILABILITY

Now

HIGHLIGHT

The X-Class received a six-chamber heart worthy of its badge (350d). It is the most premium and refined pick-up truck on the market and can be had as a chassis cab.

HIGHLIGHT

From workhorse to refined cruiser, the Nissan Navara offers many possibilities. The new offroader AT32 model, developed with Arctic Trucks, is the most capable Navara ever sold.

ALPHABET IDENTIFIES AND IMPLEMENTS THE (ELECTRIC) LCVS BEST FITTING YOUR NEEDS The boom in online retailing has profoundly transformed the way we shop. Groceries, clothing, household items and more: it's all just an LCV away…

The fleet of LCVs is growing in step with the online retail industry itself: since 2013, LCV sales in the EU have risen at over 11% per year. Increasingly, these vans are electric – eLCVs for short.

SSANGYONG MUSSO SPORTS

TOYOTA HILUX

BODY TYPE

Double cab (5), two cargo bed lengths

BODY TYPE

Single cab (2), XTra Cab (2+2) or Double cab (5)

ENGINES

2.2 diesel with 181 PS

ENGINES

2.4 diesel with 150 PS

TRANSMISSIONS

6-speed manual or 6-speed auto, rear-wheel drive or 4x4

TRANSMISSIONS

6-speed manual or 6-speed auto, 4x4

CARGO BED

1,550-2,350 mm x 1,575 m; payload: 1,020-1,060 kg

CONNECTIVITY

Bluetooth

AVAILABILITY

Now

HIGHLIGHT

50 years of experience makes this the benchmark pick-up truck worldwide. The recently revamped model can be had with Toyota’s Safety Sense crash-avoidance system.

CARGO BED

Payload: 850 kg

CONNECTIVITY

Apple CarPlay, Android Auto, WiFi, Bluetooth

AVAILABILITY

Autumn 2018

HIGHLIGHT

Based on the new Rexton, the Musso Sports finally enters the 21st century. This SsangYong raises the bar in terms of connectivity, design, luxury and trim.

By 2020, these workhorses will be indispensable for the urban logistics of industries such as retail, pharma and food & beverage. LCV manufacturers are under pressure to deliver cutting-edge features and equipment to attract these demanding new buyers.

However, LCVs by themselves do not deliver benefits. If customers fail to follow up procurement with sound LCV management, they risk losing money. That's why companies need a Business Mobility

partner to help them identify the best-fit (e)LCVs and implement best practices in safety and efficiency.

Alphabet developed software, shows if – and how – eLCVs can be integrated into your fleet, smartly and seamlessly.

FULL-SERVICE LEASING Subject as they are to increased wear and tear, LCVs also need more service and maintenance than cars – a requirement fulfilled by full-service leasing. It offers a spectrum of services, including accident management and roadside assistance to customised vans, that saves time and effort, particularly for SMEs without a dedicated fleet manager.

Recently enhanced, MCT gathers real data about a company's driving needs, then offers a transparent recommendation for suitable EVs or eLCVs and finally advises on charging infrastructures, simulating the CO2 savings of electrified fleet.

LCVs have long been synonymous with diesel. However, electric versions have recently become a viable alternative – especially with urban areas increasingly subject to stricter emissions norms and other environmental regulations.

To find out whether eLCVs suit your mobility needs, fleet services provider Alphabet International offers AlphaElectric and Electrification Potential Analysis (EPA) performed

by Mobility Tool Consulting. MCT, an

14

FLEET EUROPE #99

FLEET EUROPE #99

AlphaCity, Alphabet's corporate carsharing solution, aims to meet the individual needs of corporates. Its MultiMake philosophy makes it easy to extend this flexible, convenient and cost-efficient offer to LCVs and eLCVs – all of which can be tailor-made or retrofitted to fit the customer's specific requirements.

MORE INFO http://www.alphabet.com/ LightCommercialVehicles 15

DOSSIER

DOSSIER

Growing choice in a growing fleet market

FORD Ford has a dedicated LCV sales organisation with global, European and local fleet teams. Depending on the fleet size, the company differentiates between SMEs and Large Fleets. A dedicated Transit Centre dealer network supports commercial vehicle specialists across Europe.

The most important evolution Ford sees is the transformation towards complete mobility solutions offered by OEMs. Today, fleet owners expect more flexibility in terms of powertrain

choice, ranging from diesel to hybrid and battery-powered.

Ford Credit is the captive finance company of the Ford Motor Company, offe-ring a full range of leasing and financial products. FordLease is the full-service operating lease which is supported by ALD International. Both operate across Europe.

A Ford spokesperson indicated the company has seen significant growth in the volume and share of vehicles leased through FordLease in recent years, particularly from smaller businesses that source their vehicles through their local Ford Transit Centre.

Benjamin Uyttebroeck @uytteb

Making up your mind when you’re in the market for a new van can be hard. OEMs are launching ever more attractive models, and choice is no longer limited to size or payload.

Aside from the actual vehicle, the way OEMs market their vehicles is another important factor.

Fleet Management while Athlon Car Lease International offers multi-brand leasing.

IT infrastructure and inventory control systems.

Looking at the future, Daimler says all commercial model series are to be electrified in the coming years, starting with the eVito in 2018 and the eSprinter in 2019.

In the autumn of 2016, Daimler launched the strategic realignment adVANce, a transformation of Mercedes-Benz Vans from a pure vehicle manufacturer into a provider of comprehensive mobility solutions. This includes many innovative offers such as RETAL@VANS, a van rental scheme, SHARING@VANS, a van sharing service and eDRIVE@VANS, working towards electrified powertrains.

Beyond the powertrain question, Daimler believes commercial vehicles need to be increasingly intelligent. Isolated solutions are being replaced by integrated systems that offer maximum flexibility and integration of the vehicle into the corporate

FIAT Fiat has dedicated account managers for each market, headed by an IKAM at the com-

16

pany headquarters. Fiat believes dieselpowered vans will continue to dominate the market. The company declined to comment on its strategy for the future.

NISSAN

In each European country where Hyundai is selling LCVs, LCVs are fully integrated in the fleet department.

Plans are underway to launch the fullsize H350 van where the model isn’t on sale yet. Hyundai has no key account managers specialising in LCV sales, preferring local fleet KAMs instead.

The Nissan Europe LCV business unit has a regional scope but it is part of the Alliance Renault-Nissan-Mitsubishi LCV BU. Within the Nissan Corporate Sales department there is a team of IKAMs that follow international frame agreements. They offer a single-entry contact for the full range of products across Europe and a dedicated network with a presence in all markets.

In Germany and the United Kingdom, Hyundai Capital operates as its own leasing company. In other countries, Hyundai has a white-label partner (ALD, Arval, LeasePlan or Masterlease), all under the name Hyundai Leasing. Hyundai is growing particularly in the SME segments and with the H350.

DAIMLER (Mercedes-Benz) Daimler has International Key Account Managers in its headquarters, alongside Key Account Managers that support local markets.

Together, they form a worldwide sales and service network that can also offer financing solutions. Daimler Financial Services offers financing, leasing, fleet management, insurance and banking services. After the 2016 acquisition of Athlon, Daimler Financial Services will cover the needs of business mobility with Daimler

HYUNDAI

Fiat subsidiary Leasys is the company’s leasing company. It operates in most of Europe.

FLEET EUROPE #99

Looking at the future, Hyundai expects safety and comfort to become even more important in LCV fleets, and it is convinced it already offers a strong package to Hyundai customers.

RCI Bank and Services operates as Nissan’s leasing company across Europe.

Nissan predicts autonomous vehicles will gain importance for LCV fleets. ProPILOT provides the company with a building block towards autonomous driving.

OPEL/VAUXHALL

PSA

Opel/Vauxhall has a team of International Key Account Managers for all customers all over Europe. This team is the key contact for procurement directors or fleet managers and covers all topics with regards to fleet enhancement and optimisation.IKAMs can be located anywhere and they ensure permanent coordination with the local Opel/Vauxhall subsidiary as well as the national Key Account Managers.

PSA has a team of International Key Account Managers for LCVs in all markets where it has a presence. There are also dedicated teams for SMEs and large companies. Peugeot and Citroën both operate a network of more than 400 Business Centres.

Opel Financial Services is the captive finance provider for consumer products. Full service leasing is available under the Opel Lease name and is operated by ALD Automotive in the Netherlands, Belgium, Luxembourg, France, Italy, Spain, Turkey, Serbia and Portugal.

Now a part of PSA Group, financial services will see further development as part of the PACE! Plan.

FLEET EUROPE #99

Banque PSA Finance is the group’s captive leasing company. It is active in most European markets and in Russia.

In other countries, PSA has partnerships with other providers. In France, the group’s finance activities are well developed among SMEs, but it is focusing on developing its SME activities in the rest of Europe through its renting company Free2Move Lease.

17

DOSSIER

The new Opel

RENAULT Renault has a dedicated global LCV department with regional support and teams in the national sales companies. There is also a team of International Key Account Managers who develop fleet business for both PC and LCV at a global level. Its dealer network supports Key Account Business and is responsible for craftsmen and SMEs.

RCI Bank and Services is Renault’s captive leasing company, active in all European countries.

Renault was the first carmaker to offer a full range of 100% electric vehicles, including LCVs. The company is continuing its efforts in this field but is also developing new diesel and petrol engines.

SAIC

TOYOTA

In Europe, SAIC offers the full-electric Maxus full-size van directly to large fleet owners. Its sales team is based in Luxembourg, where several members have been assigned their own regions.

The company also works with local partners and it creates an aftersales network where it has sold vehicles. SAIC focuses on large and mid-sized fleets in large cities across Europe.

For large European contracts Toyota has a Fleet department in their headquarters in Brussels. For local contracts and for the operational execution of the European contracts, local Toyota National Marketing & Sales Companies, fleet departments, take the lead. Additionally selected retailers, known as Business Centres keep the fleet relationship customer focused.

At this moment, SAIC does not have a finance division but one might be announced before this year’s IAA commercial vehicles show in Hannover.

Toyota does not have a pan-European captive leasing company: However Toyota Financial Services is present in several European countries offering a variety of financial packages and services.

Despite offering only an electric LCV, SAIC believes various fuel types will remain relevant for several decades.

Nevertheless, it expects battery-electric vehicles to be a large part of the powertrain mix.

COMBO LIFE Always at hand for your fleet needs.



Up to 7 seats1



Up to 3.05 m load length2 and 2,693 l load volume3



High driver safety4

Toyota agrees with most of its competitors that there is a clear trend towards alternative fuels for LCVs. This is a field Toyota has a lot of experience in and the company is facing the future with confidence, declining to give further comments.

VW Volkswagen Nutzfahrzeuge (Volkswagen Commercial Vehicles) is organised in a German division, a European division and an International division. The latter is further divided into the regions Western and Eastern Europe, North America (Mexico), South America, Africa, AsiaPacific and the Middle East.

Volkswagen Financial Services operates and coordinates the financial services activities of the Volkswagen Group throughout the world.

As the LCV industry is undergoing profound change and in light of the digital transformation, new competition and the growing importance of e-mobility, Volkswagen is working on new vehicle and service solutions.

1

18

FLEET EUROPE #99

Optional. 2 Long wheelbase (optional). 3 Long wheelbase (optional), measured according to ISO 3832 (specifies a method of measuring the reference volume of the luggage compartments of passenger cars). 4 Standard safety features: Forward Collision Alert with Pedestrian Detection, Automatic Emergency Braking, Driver Drowsiness Alert and Lane Keep Assist. Picture shows optional equipment, depending on local market offer. For further information please contact your local Opel/Vauxhall fleet representative or dealer. Combo Life fuel consumption combined 5.7–4.1 l/100 km; CO2 emissions combined 130–108 g/km (according to R (EC) No. 715/2007 and R (EC) No. 692/2008).

DOSSIER

DOSSIER THRESHOLD VALUES IN G/KM FOR DIESEL VEHICLES

Diesel or diesel, the choice is yours

PASSENGER CARS (CATEGORY M) TIER

DATE

NOx

PM

Euro 5a

Sept. ‘09

0.180

0.005

Euro 5b

Sept. ‘11

0.180

0.005

Euro 6

Sept. ‘14

0.080

0.005

LIGHT COMMERCIAL VEHICLES CATEGORY N1-I (<1305 KG)

Dieter Quartier @DieterQuartier

TIER

DATE

NOx

PM

Euro 5a

Sept. ‘09

0.180

0.005

Euro 5b

Sept. ‘11

0.180

0.005

Euro 6

Sept. ‘14

0.080

0.005

LIGHT COMMERCIAL VEHICLES CATEGORY N1-II (1305-1760 KG)

Contrary to passenger cars, light commercial vehicles hardly have an alternative for diesel, especially for longdistance use. Or do they?

During the first half of 2018, more than 1 million new light commercial vehicles entered the European market, up 5.1% compared to the same period last year. The UK (-2.3%) was the only major market to post a decline, while vans have been thriving in Spain (+11.6%), France (+5.0%) and Germany (+5.0%).

According to ACEA, only 1.5% of all LCVs are powered by alternative fuels today – a percentage that is much lower than the 5.1% registered in the passenger car segment.

The proportion is growing, though, but at a much slower pace: it used to be just 1.1% in 2007, compared to 2.8% for cars.

WLTP: IT’S COMING WLTP will replace NEDC as the type-approval procedure for LCVs on 1 September 2019. Besides the fact that the fuel consumption will be more in line with what customers experience in real life, there will be a huge impact in the area of conversions. In many cases conversions will significantly increase the official (and real) fuel consumption and therefore the vehicle’s total CO2 emissions. In many countries LCVs are not taxed on how much carbon dioxide they emit, but on their empty weight, payload and emission standard. However, this could change under European pressure.

ECONOMIC REALITY The clear majority of vans are indeed still powered by diesel – the fuel that is being demonised by the press, policy makers and environmentalists as far as passenger

cars are concerned, but strangely enough not so much when it is used to power light commercial vehicles.

Many OEMs and fleet operators will tell you there is no alternative – especially not for long-distance use. From a TCO point of view, diesel still holds all the aces. Diesel vans can travel longer before having to refuel, reducing downtime. The same goes for service intervals: they are up to 2 years or 50,000 km. Also, diesel vans are more durable and they fetch better residual values.

Their fuel bill is lower than that of any other powertrain type, except for CNG (natural gas) and LPG. Finally, diesel vans have more engine torque, meaning they can better cope with weight and aerodynamic drag.

% share | 2007 - 2016 6% 5.1%

5% 4% 3%

2.1%

2%

1.5%

1%

2007

Passenger cars

2008

2009

Buses

2010

2011

DATE

NOx

PM

Euro 5a

Sept. ‘10

0.235

0.005

Euro 5b

Sept. ‘11

0.235

0.005

Euro 6

Sept. ‘15

0.105

0.005

LIGHT COMMERCIAL VEHICLES CATEGORY N2 (1760-3500 KG) TIER

DATE

NOx

PM

Euro 5a

Sept. ‘10

0.280

0.005

Euro 5b

Sept. ‘11

0.280

Euro 6

Sept. ‘15

0.125

IF DIESEL REALLY ISN’T AN OPTION If, despite the LCV manufacturers’ reassurance, you really want to avoid diesel, you could opt for petrol, CNG or electric.

2012

2013

2014

2015

2016

Light commercial vehicles

Whether they make sense from a cost perspective and a practical point of view mainly depends on the use scenario.

PETROL TYPE OF VAN

Small to compact

USE SCENARIO Local/urban, low mileage, frequent stops PROS

Lower NOx and PM emissions

0.005

CONS

Lower torque, higher fuel consumption

0.005

MODELS

Citroën Berlingo, Dacia Dokker, Fiat Fiorino, Ford Fiesta Van, Ford Transit Courrier/Connect, Peugeot Partner, Opel/Vauxhall Combo, VW Caddy

CNG TYPE OF VAN

SHARE OF ALTERNATIVE FUEL VEHICLES PER VEHICLE SEGMENT

0%

TIER

VW is one of the few OEMs that believes in natural gas. Still, CNG can offer a better TCO than diesel.

DOUBLE STANDARDS Diesel bans are in the air, especially in Germany and France. OEMs report an increasing number of customers asking for alternatives to diesel. However, most manufacturers believe that diesel has a carefree future in van land, considering the ongoing reduction in emissions thanks to technological advances. Even Toyota, who announced earlier this year it would stop selling diesel-powered cars by the end of this year, will stick to the oily fuel for its LCVs. The emission standards for LCVs are different from the ones that apply for passenger cars. Logically, their threshold values for NOx are higher for heavier vans. Particulate matter (PM), however, is limited to 0.005 g/km for all vehicles.

Generally speaking, vans have one year extra to comply with the latest standards: Euro 6, for instance, was introduced in September 2015, compared to September 2014 for cars.

All segments

USE SCENARIO Interurban, urban, high mileage PROS

Lower NOx and PM emissions, lower fuel cost, combined range

CONS

Lower torque, tanks compromise cargo, limited fuelling infrastructure, limited offer

MODELS

Fiat Fiorino, Fiat Doblo, Fiat Ducato, Iveco Daily, VW Caddy

ELECTRIC TYPE OF VAN

All segments

USE SCENARIO Urban, low mileage, frequent stops PROS

Zero tailpipe emissions, lower fuel cost, high torque

CONS

Cost, limited range, batteries compromise cargo, downtime for charging

MODELS

Maxus EV80, Mercedes eVito, Mercedes eSprinter, Nissan e-NV200, Renault Kangoo Z.E., Renault Master Z.E., StreetScooter, VW eCrafter

HYDROGEN: THE ULTIMATE ALTERNATIVE If zero emissions need to go hand in hand with long-distance driving and short refuelling times, then hydrogen-based fuel cell vans could be the solution. Rather than carrying heavy batteries, fuel cell vehicles have hydrogen tanks which can be filled in minutes and yield a range of several hundreds of km. Mercedes has developed a prototype of the Sprinter F-Cell, which combines a fuel cell with batteries that can be charged externally. A similar concept is being developed at StreetScooter, a subsidiary of Deutsche Post DHL.

Source: EEA

20

FLEET EUROPE #99

FLEET EUROPE #99

21

eVito eVito

7.2 kW 7.2charging kW charging output output

8585 kWkW output output

1,073 1,073 tonstons maximum maximum payload payload

6.0 m mmax. max. cargo cargo volume volume Range Range of 150 of 150 kmkm6.0 3 3

120120 km/h km/h top top speed speed

The Thenew newSprinter Sprinter

Parking Parking package/360° package/360° camera camera

Mercedes Mercedes ProPro Telematics Telematics

Active Active Distance Distance Assist/DISTRONIC Assist/DISTRONIC

Active Active Brake Brake Assist Assist ActiveActive MBUX MBUX Line Line Keeping Keeping Assist Assist New platform New platform for connectivity for connectivity solutions solutions

BlindBlind spot spot alert alert

Multimedia Multimedia systemsystem including including 7-inch 7-inch or 10.25-inch or 10.25-inch touchscreen touchscreen

/extra-urban /extra-urban /combined: /combined: /7.3-8.9 /7.3-8.9 /7.9-9.5 /7.9-9.5 New Sprinter New Sprinter fuel consumption fuel consumption urbanurban 8.7-10.5 8.7-10.5 l/100l/km 100 km (Germany ). ). combined combined CO₂ emissions: CO₂ emissions: 192-275 192-275 g/km.g/Efficiency km. Efficiency class class Euro 6Euro 6 (Germany

The Theworld worldchanges changes– –your yourfleet fleetfollows. follows.

Fleet Fleet Mobility Mobility 4.0. Whatever 4.0. Whatever you want you to want achieve to achieve in ourindigital our digital business business world,world, your fleet your has fleettohas be to practical be practical as wellasaswell as economic economic and most and most of all itofhas all ittohas be to suitable be suitable for allfor future all future purposes. purposes.

Get toGet know to know the new theeVito new eVito now and nowatand theatsame the same time discover time discover the advantages the advantages of theofnew theSprinter. new Sprinter.

In theInvery thenear very future near future the Sprinter the Sprinter will also willsolve also solve your transport your transport tasks tasks a hundred a hundred percent percent as an as electric an electric version version – completely – completely free offree emissions. of emissions.

Both “stars” Both “stars” contain contain the best theofbest ourofvan ourdevelopvan development ment and guarantee and guarantee that your that fleet your can fleetbe can managed be managed anytime anytime at theatlatest the latest state state of theofart: theeffectively art: effectively and efficiently! and efficiently! //fleetsales-vans.mercedes-benz.com For more For more information information pleaseplease visit http: visit// http: fleetsales-vans.mercedes-benz.com

DOSSIER

DOSSIER

The lighter the better Stijn Blanckaert

TIPS & TRICKS BY MODUL SYSTEM

In order to get a better look into the latest trends in in-vehicle equipment on the LCV market, Fleet Europe asked some of the key players in this specific market to point out the latest evolutions. An overview of what’s important today.

From transport van to mobile workplace. Vehicle outfitters deliver tailor-made solutions.

of great importance to consult the drivers of the vehicles in the conversion planning process, because the more they feel their demands are met in the vehicle modifications, the more they will be motivated and take care of the equipment. Bott emphasises that equipping a van is just a part of a whole service process that goes far beyond simply installing racks and tools and includes individual solutions for fleet processes and concepts.

Racks, shelves, drawers and other in-vehicle equipment have to be lighter than ever before.

LIGHTWEIGHT AND STANDARDISATION Today’s conversions for corporate fleets are more than ever based on standardisation using lightweight materials.

Standardisation means a less complex service and maintenance of the racking equipment and the possibility to achieve economies of scale. It can also help make sure residual value is well-valorised.

Gruau says payload chasing is the most popular sport in the industry, inciting the company to use composite materials, light alloys or other materials lighter than wood and steel. Modul System points out that it is

24

Even more than before, the use of lightweight materials for racking and flooring has become very important. Because of the OEMs’ struggle to reduce the vehicle’s weight and leave enough load capacity, the fit-out companies have no other option than to follow that trend. At Modul System, ultra-high strength steel is used, and they developed a lightweight floor to replace heavier plywood floorings. Most equipment providers also use lightweight linings. This provides the customers with a higher load capacity on the one hand and lighter vehicles overall on the other. In its turn, this has a positive effect on TCO because of the lower fuel consumption.

DELIVERY VANS ARE A BOOMING BUSINESS Because of the big success of online shopping, demand for home deliveries has substantially grown, and with it demand for racking solutions is also growing. The parcel service sector often uses non-equipped vans for deliveries, but fleet owners increasingly understand the need to equip their vehicles with racks.

FLEET EUROPE #99

Carriers studying efficiency options realise that with a shelving solution they increase the load area, save time finding the packages, will have less damaged packages and save their drivers’ backs. A partition wall with a sliding door behind the driver can also lower risks because the driver doesn’t need to walk out in traffic anymore to go around the vehicle. They also gain time.

Furthermore, a walk-through possibility inside the vehicle minimises the risk of theft of the packages through the side door while the driver is walking around the van.

Providers such as Modul System sell folding shelves, partition walls with sliding doors and a jump seat fixed on the partition wall on the passenger side. Compared to the usual seat, the certified jump seat saves cost, weight and space for the operator to pass through the sliding door opening.

ELECTRICITY: FOR CHARGING AND DRIVING The more operators are using batterydriven tools like mobile phones, tablets, scanning devices, drills and so on, the more they need to charge them during working hours. The vehicle’s normal battery risks to be low on power when tools are charged with the engine shut off. That is why extra batteries are often being installed. They are mostly charged on a lower level than the start battery. Therefore, an optional DC-DC-charger is gaining importance. It works like a booster that charges up the extra battery to the same level as the start battery.

FLEET EUROPE #99

But electricity is not only used for charging tools and equipment. More and more battery-powered purely electric vans are coming to the market. Because of the vehicle’s basic weight, carrying heavy battery packs, the van equipment needs to be lightweight, to keep a sufficient load capacity but also a decent range. Another problem that arises is the fact that drilling into a floor with a battery pack underneath to fix racks is not a very good idea.

That is why Modul System has developed a lightweight floor that is glued to the vehicle body, with racking bolted into the floor with integrated aluminium profiles.

A partition wall with a sliding door behind the driver can lower risks.

1. Efficiency: More equipment can be stored when you use shelves, drawer units, tool holders etc. (more equipment = more potential earnings). Costs can also be saved by well organising the equipment in the van and reducing the time to find what you need. Cost savings can also be found in organising the load area given the fact that there will be less damaged equipment.

2. Weight: maximise the charging capacity and possible weight of your own equipment by choosing lightweight materials for the conversion. Using the full capacity and having more equipment on board makes it possible to do more service stops per day. Weight reduction will also save on fuel and emissions.

3. Logistics: carefully plan the complete supply chain from the ordering of the vehicle, transport from the OEM, transport back and forth from and to the dealer and converter, and the operational logistics when in use. Not doing so leads to a risk of unnecessary vehicle transports that cost time and money. Stops in the chain also cost time and immobilises the capital invested.

25

DOSSIER

DOSSIER The new Sprinter van is available ex-factory with the connectivity and fleet solutions from Mercedes PRO connect. An adapter is available for retrofit in older models.

Telematics are no longer an option

TRACK&TRACE For its telematics solutions, Opel/ Vauxhall works together with Masternaut. In several countries across Europe, the Vivaro and Movano are available with factory-fitted telematics tools.

Track & Trace provides real-time data on a vehicle’s location, its consumption etc.

Optionally, the system can also monitor driver behaviour and give drivers immediate feedback.

Benjamin Uyttebroeck @uytteb

The LCV market isn’t only growing, it’s also undergoing change. Powertrains are up for debate, self-driving systems can be carried over from passenger cars and today’s drivers are expecting more creature comforts. Another big change is telematics systems that are being introduced by an increasing number of OEMs.

they can also be helpful in sending predictive maintenance notifications or sending warnings about suboptimal tyre pressure.

MAYBE LATER A number of smaller OEMs are not jumping on the telematics bandwagon yet. New kid on the block SAIC reports it does not have the objective to offer telematics solutions in-house. Instead, the Chinese manufacturer partners with external suppliers who can offer their clients whatever is needed to run their operations smoothly.

The telematics panel from Masternaut is available ex-works in the Opel Movano and Vivaro.

It provides fleet operators with data such as fuel consumption and vehicle location.

Some LCV operators are not yet looking for telematics solutions. Smaller fleets in particular, like those owned by craftsmen and SMEs, are often not interested in what these systems can offer to assist them in their fleet management.

As vehicles are getting increasingly connected and smart devices are being factory-fitted in ever more LCVs, that attitude is likely to change in the near future.

Nevertheless, telematics systems make sense for even the smallest of fleets. They don’t only offer geolocation services, but

26

Citing its sales dimension and the nature of its network and customers, Hyundai does not offer telematics services in the H1 and H350 range. It does, however, have experience in telematics services and in self-driving technology in its Heavy Commercial Vehicles line-up and it could install this technology in its LCVs in the future.

PRO CONNECT Daimler is an established player in LCV telematics. Recently, the company rolled out Mercedes PRO connect, offering connectivity and fleet management solutions. The system allows online controlling of orders and real-time retrieval of vehicle information such as location, fuel level or maintenance intervals. It is available for all fleets, from small businesses to key accounts.

FLEET EUROPE #99

The fleet manager has access to a web-based platform and a customisable dashboard where they can keep an eye on their fleet.

It would not be surprising if Opel/ Vauxhall adapted the telematics solutions its new parent company PSA offers in Citroën and Peugeot LCVs in the future but that is not yet the case.

MYPEUGEOT & MYCITROËN Opel/Vauxhall’s French sisters offer their own suite of telematics tools. All new PSA LCVs are factory-fitted with a Connect Box which does not require an aftermarket device.

The Connect Box has an optional Monitoring Pack which gives the user maintenance alerts through MyPeugeot and MyCitroën. There is also an additional Tracking Pack that permits realtime geolocation. Fleet managers can benefit from a range of tools such as the Connect Fleet Management Pack that monitors mileage and gives an assessment of fuel consumption and associated costs. The Eco-drive Pack adds driving analysis with customisable driver advice.

90% BY 2020 Ford is working on connected, smart vehicles and services, saying 90% of all Ford vehicles will feature connectivity by 2020.

For SME fleets Ford has recently announced FordPass Connect, a system that enables users to remotely identify where their vehicles are located, check the health status from tyre pressures to FLEET EUROPE #99

Data from Volkswagen Connected Van can be accessed through an app or a web portal.

fluid levels and check if their vehicles are locked – which is a key concern for LCVs which can contain valuable cargo and tools.

Ford has also developed the Ford Programmable Battery Guard, a system that allows the driver to set a time for battery use without the engine running, to create profiles for battery use (heavy or light use, with or without additional batteries) and to protect your battery from starter motor overload. With this system, drivers should never again be stranded with a flat battery.

CONNECTEDVAN Volkswagen’s fleet customers can benefit from ConnectedVan, a factory-fitted mobility management system that provides access to the most important driver and vehicle information via an online portal. Functions such as a digital logbook, GPS-tracking, maintenance management and consumption analyses allow a continuous optimisation of the fleet.

THERE’S MORE Nissan offers Nissan Connect Fleet as a factory-fitted telematics solution in its EV LCV. Other vehicles can have it retrofitted at their dealer.

Renault Easy Connect is a telematics system that offers connected business fleet management services. Renault is currently finalising partnerships with leading telematics service providers.

Toyota offers ProBusiness on Proace, a system which can provide vehicle data d as raw data or via a customer portal. It is available for fleets of all sizes.

When comparing what vans manufacturers have on offer, fleet managers no longer focus exclusively on size, payload or reliability. More and more, telematics services will also be on their wish list. In that respect, it is important to not only focus on what you want, but to keep an open mind for tools that are on the market and that you may be unaware of.

TELEMATICS SYSTEMS MAKE SENSE FOR EVEN THE SMALLEST OF FLEETS.

27

DOSSIER

DOSSIER

Legislation: electric, yes, but diesel is far from dead Stijn Blanckaert

Dieselgate, modified taxation and the introduction of Low Emission Zones prompted car buyers to question diesel and boosted petrol-powered car sales. But how do these trends influence the LCV market? The answer is not straightforward.

Mercedes’ eVito is the first of a range of electrified vans by the German OEM.

SEPTEMBER

2019

ALL LCVS WILL HAVE TO COMPLY, INCLUDING THOSE THAT WERE ALREADY ON THE MARKET.

THE PRESSURE ON EMISSIONS IS HERE TO STAY.

WLTP, EURO 6, LEZ… The ever-increasing focus on emissions, driven by – among others – WLTP and emission regulations also applies to light commercial vehicles. Carmakers not only have to adapt the engines of their passenger cars in order to comply, but have to do the same for their LCV range, since WLTP will also apply to newly marketed LCVs from September 2018. As from September 2019, all LCVs, including those that were already on the market before, will have to comply. The real impact on the Total Cost of Ownership of light commercial vehicles is still unclear, because there is still uncertainty about the way governments will handle LCV taxation relative to the higher official WLTP emission values. Furthermore, the question remains whether only the basic vans will be WLTP tested, or if every specific configuration and derivative will have to be tested as well.

One thing is clear, however: most if not all LCV makers are prepared, and many of them already offer alternative powertrains and solutions, knowing that the pressure on emissions is here to stay. The ever more present Low Emission Zones also form a real challenge for them, because of

28

the absolute necessity for vans to still be allowed to deliver their goods to customers in city centres. Will this only be possible with electric vans or do diesels remain a realistic option for this use? Fleet Europe asked the OEMs… DIESEL: STILL THE FIRST OPTION FOR LCVS All LCV makers we asked clearly say that even with an increasing number of customers asking for alternatives, diesel is and remains the weapon of choice for the majority of commercial vehicle customers looking for the best Cost of Ownership and the combination of economy, performance, loading capability and autonomy. Given that fact, all of them will continue to offer diesel vehicles to their customers, complying with the newest regulations and as such being ‘cleaner’ than ever before, and even cleaner than petrol vehicles. Most OEMs also offer or will offer alternative powertrains for their LCVs. “In general, customers will only consider electric vehicles if they are of economic interest to them, with a TCO that is equal or lower than that of a combustion-powered vehicle,” says Volkswagen.

FLEET EUROPE #99

HYBRID OR FUEL CELL? At Ford, a plug-in hybrid Transit Custom van will enter production in late 2019, after a trial phase in London has ended. This model will offer 0 g/km emission-capability for operation in low emission zones.

Hyundai, well known for its investments in fuel cell technology, already showcased a hydrogen-powered version of its H350 van as a concept car and sells an electric urban city bus named Elec City in South Korea.

They do however continue to invest in the greenification of their diesels, with their Smart Stream powertrain technologies to reduce exhaust emissions. The H1 cargo will be the first Hyundai van to be WLTP/ RDE type-approved next year.

Toyota proposes a new 1.5 and an updated 2.0 diesel on the Proace and states that not all LCV customer needs can be met by current alternative powertrains. They did not comment on their future product development, but we are certain they are also working on alternatives.

FLEET EUROPE #99

WLTP IMPACT ON TAXATION It is well known that WLTP tests result in a higher g/km CO2 value in comparison with NEDC, as the tests are more rigorous and realistic. In general, the results from the WLTP test exceed the ones from the oldest test by 20%.

Erwin BOUMANS Tax Partner, BDO

On its website, ACEA states that “national governments should adjust vehicle taxation and fiscal incentives to WLTP values, respecting the principle that WLTP should not have a negative impact on consumers.” Also, the European Commission states that the higher CO2 emissions resulting from the WLTP test should not lead to higher taxation.

However, reality shows that most countries are not ready (or willing?) to adapt their current fiscal systems to take into account the new WLTP values applicable from 1 October 2018. This implies that in countries where vehicle taxation is based on CO2 emissions, not adapting the fiscal rules would inevitably mean increased taxation (at least in the short run).

The only vehicles that appear to escape unscathed are full electric cars.

However, as indicated in previous articles, it is advisable to not (solely) base your fleet (and mobility) strategy on tax incentives as these can change overnight.

29

DOSSIER

GOING ELECTRIC Renault was the first OEM to propose a fully electric LCV with the Kangoo E.V. (270 km NEDC range) and expanded the EV offer with the Master Z.E. that was launched this year. At the same time, the French manufacturer continues to develop new petrol and diesel engines, convinced that thermic LCVs will remain necessary because of the various uses of that type of vehicle. All their LCVs will be WLTP-certified in the course of the first half of 2019 and will be ready for the September 2019-deadline.

electric LCV for 2020 or maybe even earlier.

Their first WLTP-approved van is the Combo Life that is about to be launched.

Peugeot and Citroën, the two other PSA Group brands, already offer an electric version of the Partner and Berlingo, offering 170 km NEDC range. From 2020 on, PSA will electrify its range in order to obtain a 100% (partial or total) electrification score by 2025.

Mercedes-Benz Vans says it has an integrated strategy that also covers the area of electric drives. All commercial model series of the brand are to be electrified in the coming years, starting with the eVito that will be available later this year, followed by the eSprinter in 2019.

more than 200 kilometres of electric range (WLTP) and a recharging possibility of up to 80% in 45 minutes.

Chinese OEM SAIC, the car maker behind the Maxus LCVs, has been producing EV-vans in Asia for over five years, and sells the electric EV80 as a panel van and chassis cab in Europe. Here, a 200 km range should be possible in optimum circumstances.

Renault KANGOO Z.E. 100% electric

Renault’s sister brand Nissan also has an electric option in its range. With the e-NV200 it offers a fully electric LCV with 4,2 m3 cargo capacity that promises an autonomy of up to 275 km (NEDC) using a 40 kWh battery that can be charged in 40 minutes using a quick charger. The classic Volkswagen Commercial Vehicles will NV200 however, is still available with a launch an electric Transporter soon, thermic powertrain. produced by a conversion partner, and will offer an ex-works solution on the next Electric vans are also seen as a real part of generation. The other electric van in the the model future at Opel, with a first fully VW range will be the e-Crafter, proposing

S UM M I T 2 0 1 8

PREPARE YOUR FLEET FOR TOMORROW’S CHALLENGES AT THE IFMI MASTERCLASS

On 27 November in Barcelona REGISTER NOW Brought to you by

Renault Fleet International Your global mobility partner

on forum.fleeteurope.com With the support of

Zero CO2 emissions, while driving, excluding wear parts.

FOR INTERNATIONAL FLEET & MOBILITY LEADERS

30

FLEET EUROPE #99

renault.com

DOSSIER

DOSSIER

Keeping risks under control Dieter Quartier @DieterQuartier

Accidents and repair costs can constitute a large part of an LCV’s TCO. OEMs are figuring out new ways of keeping payload and people out of harm’s way.

CITROËN BERLINGO Surround rear vision. Dual cameras mounted at the base of the passenger side mirror and above the rear doors improve visibility while backing up. The images are displayed on a 5” screen located where the interior rearview mirror normally sits and provides a close view of the immediate environment for improved reactivity and optimum safety.

FORD TRANSIT CONNECT Trailer sway control. This system helps you tow more confidently by automatically determining from the motion of the vehicle if the trailer is swaying. It then takes measures, such as applying precise braking or reducing engine torque, to help you keep both the vehicle and the trailer under control.

32

MERCEDES-BENZ SPRINTER Wet wiper system. The washer fluid is channelled through the wiper arms, sprayed directly in front of the wiper blades and immediately wiped away. This increases the safety level, especially in situations of low visibility. It also reduces water use and the possibility of unintentional spraying of nearby pedestrians.

OPEL COMBO Overload alert. Vans are often loaded beyond their gross vehicle weight. The Combo helps prevent that with a simply clever solution. A white LED comes on when 90% of the total load capacity is reached. A yellow LED and a warning in the instrument cluster lights up when the maximum capacity is exceeded.

PEUGEOT PARTNER i-Cockpit. Carried over from other Peugeot models, this standard feature comprises a head-up display relaying the most essential information right in the driver’s line of sight and an 8" capacitive touch screen located in the centre of the dashboard to command the radio, navigation, vehicle settings and telephone.

TOYOTA PROACE Driver Attention Alert. Driving long hours is detrimental to the driver’s alertness. A warning comes on and a beep sounds after two hours of uninterrupted motoring at more than 65 km/h to prompt the driver to take a break. The system can also detect variations in the vehicle’s position in its lane, which could indicate driver fatigue.

FIAT DUCATO Traction+. This optional electronic control system helps the Ducato obtain maximum grip on loose surfaces. Traction+ incorporates Hill Descent Control, a function commonly seen on off-road vehicles. It maintains the desired speed without the need to operate the brakes while descending steep gradients.

IVECO DAILY Electromagnetic retarder. To save the brakes and increase stopping power, Iveco offers a Telma-sourced electromagnetic (inductive) system that can deliver up to 350 Nm of braking torque. It reduces heating and thereby wear and tear of the pads and disks, while increasing safety.

MAN TGE Side wall protection assist. Sixteen ultrasonic sensors monitor the distance of objects on either side of the vehicle and in an emergency warn the driver of objects close to the MAN TGE. At the driver’s seat, a convenient display shows objects all around the vehicle and indicates potential collision risks.

FLEET EUROPE #99

VW TRANSPORTER (T6) Automatic post-collision braking. An accident often doesn’t come alone. That is why the T6 brakes autonomously after a collision, with the aim of preventing secondary collisions. After a short delay, the vehicle begins a phased braking action down to 10 km/h, during which the driver can take control at any time.

FLEET EUROPE #99

33

DOSSIER

Finding the optimum finance solution

EVs, Data Analytics, and Open Mobility Platforms - Shaping the Future of Fleet Management

Jonathan Manning

The individual operating circumstances of light commercial vehicles makes funding decisions unique to each fleet, but there’s a clear trend towards fixed cost budgeting.

The variety of options to fund and manage light commercial vehicles (LCV) has grown exponentially in the last few years. Leasing and fleet management companies have brought the sophistication of car finance solutions to the market, and recruited LCV specialists to advise clients on the most suitable form of funding and ancillary services.

These developments have seen a finance market that was once dominated by outright purchase become far broader, with full-service leasing, finance leasing and long-term rental now accounting for an ever increasing market share.

Bart BECKERS, Arval: “It’s important to minimise end-of-contract damage costs with pro-active management.

For example by securing an insurance policy that takes into account a fixed list of damages.”

Luc Weenink, global product management leader, LeasePlan, said: “The nature of each fleet operator’s business and how they use their LCVs will determine the most suitable finance and funding option. Historically, outright purchase was most common, however, increasingly businesses are looking to reduce fleet costs and are seeking flexible mobility solutions.”

The key to this, regardless of fleet size, is for the funding provider to understand fully the nature of the customer’s business, said Weenink. Every business has unique operating requirements. Its access to credit, cash flow, local tax regulations and the vehicle holding periods can all determine the optimum finance solution.

34

“Historically, there has been an overdependence on the manufacturer funding options, but these don’t necessarily support the operator of a multi-marque LCV fleet,” he said.

THE BENEFIT OF FIXED COSTS Outright purchase may avoid borrowing costs, especially for cash-rich businesses, and can offer the flexibility of keeping vehicles for longer and covering higher mileages, but this can also conceal false economies, said Bart Beckers, chief commercial officer, Arval.

“Low resale values and maintenance and repair costs are quite often underestimated in such cases,” he said.

In addition, companies are increasingly looking for cost control as they want to avoid nasty surprises and have access to accurate forecasts.

“LCVs have become tools which support revenues and allow companies to focus and invest in their core business. Today, Total Cost of Ownership (TCO) is the key, and this is why full-service leasing has become the preferred option,” said Beckers.

At Volkswagen Financial Services, Jochen Schmitz, head of international fleet, said there were great similarities in the criteria that fleets use to choose the optimum FLEET EUROPE #99

Attend GEOTAB MOBILITY CONNECT, Barcelona 2018 27th of November 9:00-13:00 h Fairmont Hotel, Barcelona Free for Fleet Europe Attendees Geotab invites fleet and mobility industry professionals to join GEOTAB MOBILITY CONNECT in Barcelona. Discover how vehicle data impacts businesses and society, the key to enable mobility services and how electric vehicles are changing our lives. Geotab, in collaboration with Fleet Europe, will be presenting new opportunities and challenges in the fleet industry. Let’s talk about innovation, transformation and digital disruption.

Register Now to attend GEOTAB MOBILITY CONNECT 2018

www.geotab.com/CONNECT

DOSSIER

DOSSIER

finance for both cars and LCVs, and he identified the emergence of a key overriding concern.

“The customer wants a budgeted, monthly rate, with no peak in bills. They want a closed book calculation,” he said.

Northgate Vehicle Hire, which operates in Ireland, Spain and the UK, also promotes the advantages of fixed cost budgeting.

“We believe the best way for a business to finance new vehicles is to get a third party to pay for them – and deal with the depreciation and risk,” said Tim Bailey, Northgate UK fleet director.

Tim BAILEY, Northgate UK fleet director: “We believe the best way for a business to finance new vehicles is to get a third party to pay for them and deal with depreciation and risk.”

“ANY ADDITIONAL EQUIPMENT CAN BE INCLUDED IN THE MONTHLY LEASE INSTALMENT.”

Northgate specialises in flexible rental, which applies the flexibility of daily hire to contracts that stretch over several months or even years. There are no advance rentals, and fleets have access to a full range of converted and racked vehicles, with the opportunity to return a vehicle without penalty at a moment’s notice.

“Cash is king in any business - particularly smaller companies,” said Bailey. “At a time of great political and economic uncertainty, we would advise businesses to keep their cash and maximise flexibility by renting vans with no need for an upfront payment – rather than part with it for either outright, or as a deposit for leasing or contract hire agreements. We foresee a big increase in flexible rental, because it doesn’t require capital spend, and gives businesses consistency of costs – as well as scope to adapt the service easily to meet ever-changing needs.”

OPERATIONAL USE INFLUENCES FUNDING How vehicles will be deployed is also a major consideration when deciding on finance, particularly with the option of including service and maintenance in leasing agreements.

Mark Lovett, head of commercial vehicles at LeasePlan UK, said: “So much of selecting the right funding solution comes down to what the vehicles are being used for, in what environment they’re operated and over what term. A thorough consultative review of the fleet’s operational characteristics is needed to help decide on the most appropriate finance solution.”

36

In some respects, even the sales channel dictates the types of finance selected.

Athlon, for example, only offers full-service leasing for vans, while its parent company, Daimler Financial Services, specialises in different types of funding, from finance leases to different types of loan.

LEASING A FULLY EQUIPPED VAN One key area of progress in recent years is the ease with which fleets can lease and hire converted LCVs with specialist equipment, although the choice rests with the fleet whether to lease a base vehicle and arrange its conversion, or lease a fully converted vehicle.

Fleets moving from purchase to leasing often already have preferred converters and installers of equipment, said Schmitz.

“This is normally a process handled by the customer, dealer and installer,” he said.

But the option remains to outsource the process to the leasing company.

“Both are available and it depends on the requirements of the customer,” said a spokesman for Athlon. “We can provide vans including tailor-made fitting, such as racking, cooling etc., but we are also able to offer a pure van straight from the manufacturer. Any additional equipment can be included in the monthly lease instalment.”

One key advantage of the finance company arranging the conversion is the fact that the vehicle is operational from the day the lease (and its payments) starts.

“Time is money when it comes to operating LCV fleets,” said Lovett. “These vehicles are ‘business critical’ i.e. the operator risks losing revenue, business or reputation when these vehicles are not doing the job that they were acquired to do. Therefore, achieving the quickest possible turnaround time between ordering a vehicle and having it delivered, ready to work, is a key priority for most.”

He also cautioned fleets against the complications of having multiple leases for the same van, one for the base vehicle and the other for the conversion, a strategy which “can also result in further inefficiencies in terms of cost with separate ordering and invoicing having to be managed along with

FLEET EUROPE #99

The variety of bodyshape and vehicle usages makes LCV funding a complex area.

agreement on delivery dates and key stages in the supply chain process.”

The cost of conversions can, however, influence the most appropriate type of funding, said Beckers.

“If the conversion or special equipment is costly (sometimes twice or three-times more expensive than the chassis itself), the best solution is financial leasing,” he said.

Giving responsibility for this scale of conversion to major leasing and rental companies, which have vast experience of organising conversions, is an effective way for fleets, especially smaller operators, to ensure high quality work and access volume related discounts.

SHOULD SERVICE AND MAINTENANCE BE INCLUDED? The vastly different uses of LCVs mean service and maintenance requirements can vary widely. Some vans are covering huge mileages with heavy loads, and need regular maintenance, while others only carry light loads on short journeys.

This raises the question of whether contracts should include service and maintenance, or whether pay-on-use is more cost-effective.

A maintenance-inclusive contract allows companies to concentrate on their core business, but there is no escaping the intense focus on TCO by van fleets.

“Customers who need customised LCVs save considerable time, money and hassle when they source the vehicles from the van rental company, rather than try to do it themselves,” said Bailey.

“Typically, a commercial vehicle fleet is much more cost-sensitive than a userchooser car fleet, so the pressure on TCO is much higher,” said Jochen Schmitz. “But the customer still wants a fixed monthly rate.”

“Customisations can be complex, and it makes sense for customers to hand this work to an expert.”

In reality, the unique operating environment of each fleet determines the best approach to paying for maintenance.

FLEET EUROPE #99

37

DOSSIER

ADVERTORIAL

CONCEDED EDITORIAL SPACE

Toyota LCVs - instant success in Europe A surprisingly pristine builder’s van! Leasing companies have published wear and tear guides that make end-of-contract charges much clearer.

“The answer highly depends on the usage of the vehicle. If the LCV is used twice a month, a pay-per-use solution will better fit the P&L of the customer,” said Beckers.

“When it comes to a van which delivers parcels 18 hours a day, full-service leasing makes sense.”

RESIDUAL VALUE RISK Arguably the biggest consideration between outright purchase and finance lease on one side, and operating lease and flexible hire on the other, is attitude to residual value risk.

“VANS ARE BEING HELD TO A DIFFERENT STANDARD TO PASSENGER CARS. SO WE TAKE A MORE PRAGMATIC APPROACH ON THE FAIR WEAR AND TEAR DAMAGES OF VANS.”

While many fleets might prefer to avoid this risk, the perception of punitive end-ofcontract charges has led many businesses to opt for LCV finance solutions that leave the cost of depreciation with the end user.

This is changing, however, as the leasing sector adopts industry standards for assessing damage.

“Due to the nature of their work, we see increased wear and tear on vans,” said Athlon. “However, we also see in our remarketing channel that vans are being held to a different standard to passenger cars. So we take a more pragmatic approach on the fair wear and tear damages of vans.”

on the same basis as premium-brand passenger cars. This is not to say that a lease provider is willing to accept vehicle abuse at the end of contract. However, a separate approach to end of contract and a publicised agreement up-front on what is deemed acceptable for a hard-working LCV needs to be adhered to and communicated with the potential LCV client at the outset. This means there are no surprises at the end.”

The key point to remember is that damage to a vehicle has a cost, whether it’s in end-of-contract charges or simply a lower residual value achieved by a fleet that takes the residual value risk itself.

There are ways to minimise these costs with pro-active management, though, said Bart Beckers.

“Secure with the lessor an insurance policy, which will take into account a fixed list of damages. And train, motivate and stimulate drivers to make better use of their vehicles – write an LCV policy which will empower the drivers to take better care of the vehicles,” he said.

Lovett echoed these sentiments. “It is no longer acceptable for leasing companies to assess end of contract damage on an LCV

38

FLEET EUROPE #99

Toyota is making a spectacular comeback onto the European LCV market. Last year and this year - 2017 and 2018 – mark a pivotal moment in this exciting journey. Last year, the first full year of sales of the new Hilux and new Proace, saw no fewer than 69,000 units sold across the whole of Europe.

a further 10% growth is expected as the market looks for the high quality levels and operational performance of Toyota LCVs.

To emphasise just how successful and popular these vehicles have proved to be right from launch, Hilux immediately made it to the number two spot for pickups in Europe with 41,000 units sold, while Proace added an impressive 21,000 units. These figures, along with sales of N1 passenger car varients, made Toyota the fastest growing LCV brand in Europe in 2017 with a staggering 30% growth compared to the previous year. For 2018,

These engine updates will be available on PROACE Verso people carrier from mid2018 and introduced to the PROACE commercial range next year.

FLEET EUROPE #99

PROACE - EVEN MORE BENEFITS IN 2018 A newly developed 1.5 litre diesel engine will be introduced to replace the current 1.6 litre. Two versions will be available, producing 100 and 120hp and are expected to reinforce the class leading fuel efficiency and CO2 emission levels of the PROACE range. The 2.0 litre diesel will be updated to conform to Euro 6.2 emission standards and will be available with a new eight speed automatic transmission.

CONVERTED TO CUSTOMER REQUIREMENTS Operators of LCVs have differing requirements when it comes to their operational profile. Toyota has therefore developed – in most major markets – comprehensive

converter programmes. A Europe-wide customer-oriented conversion programme is a key pillar of the Toyota LCV strategy and involves a network of officially accredited Authorised Converters able to transform the van before delivery to its user. The more popular requested conversions are: • ply-lining • racking • refrigeration • tippers • mobile workshops • cherry-picker beds In the UK, for example, Toyota Trade Plus was launched at the 2017 Commercial Vehicle Show. These converted models are supplied as complete units ordered through any Toyota UK retailer and delivered ready to go. The status as a Toyota Authorised Converter confirms that a business meets Toyota’s stringent quality standards in every aspect of the build process and conversion delivery, including warranty and aftersales service, giving customers complete peace of mind.

39

MANAGEMENT

ADVERTORIAL

CONCEDED EDITORIAL SPACE

How to go e-LCV

Why Sixt mobility is the future

Tim Harrup

MOBILITY MADE BY SIXT EV100 is a global initiative bringing together forwardlooking companies committed to accelerating the transition to electric vehicles (EVs) and to making electric transport the new normal by 2030.

IMPLEMENTATION PROCESS Companies which may be considering a similar move will want to know what the cost implications are. Vattenfall puts this into perspective, saying that a real business case is not there yet for the entire fleet, but it is just the right direction to go. Benefits are CO2 reduction, a leading role in society, promoting electric cars and happy, satisfied customers.

The next question is how to go about it.

In Vattenfall’s case, it is in the process of reviewing and embedding a specific acquisition process for the LCV fleet, having already done so for passenger cars.

In April this year the Vattenfall team invited Light Commercial Vehicle OEMs to its office in Hamburg (Germany), to see what the possibilities are regarding the transformation from ICE to e-LCVs.

The EV100 initiative lists around 20 companies on its members page at the moment. To find out how one of them is going about this transition in the LCV domain, we spoke to Swedish energy supplier Vattenfall.

The overall objective behind Vattenfall’s initiative is ambitious: to help its customers to live free from fossil fuel within one generation. The company believes that electrification of transport will play a significant role in the transition towards a low-carbon society and improved air quality in cities. Vattenfall already operates one of the largest electric vehicle charging networks in North Western Europe, and has committed to replacing its own vehicle fleet, including LCVs, with electric alternatives within five years.

40

And where the impact on the company is concerned, Vattenfall is defining the implementation process, whereby top management as well as the drivers are involved – it needs to start with a tone from the top, but implementation needs to include and inspire the ones using the vehicles on a daily basis. For LCVs it is partnering with some OEMs to execute pilot studies.

HASSLE FREE Vattenfall provides charging at the office, at home and in public stations. Charging needs to be completely hassle free. Driving range is an issue but it has taken some steps, especially in the more densely populated areas it operates in such as the Netherlands and urban areas. Here, it has started using eLCVs for ranges up to 130 km, and electric and hybrid cars as service cars.

Getting an understanding of driving patterns and car usage is key and an analysis of historic data can better predict future driving patterns to define which LCVs can be replaced by eLCVs.

FLEET EUROPE #99

With annual revenue up 7.9% to €2.6 billion in 2017, Sixt is showing remarkable success in adding new customers to the millions it already serves in over 118 countries.

How? Via a simple, radical strategy: by being the future of mobility that customers – both private and corporate – are looking for.

As a leading international provider of high-quality mobility services, Sixt SE makes a point of distinguishing itself by the high proportion of premium cars in its fleets, its service-oriented staff and the excellent price/performance ratio of its products and services. This is one major factor in the company’s sustained growth.

In 2017, its Vehicle Rental Business Unit managed 5% growth in its home market in Germany – despite already leading the field with a record market share of more than 30% – with double-digit growth reported across Western Europe, and great progress made in the U.S. Sixt’s Leasing Business Unit saw a formidable 17% increase in contracts, while the Online Retail division’s contract portfolio grew by no less than 66%.

These figures vindicate Sixt’s strategy of using state-of-the-art technology to offer tailor-made mobility solutions to its customers, with an emphasis on flexibility and comfort. This emphasis on Mobilityas-a-Service – MaaS for short – surely FLEET EUROPE #99

is the other reason why more and more corporates around the world, and private consumers too, are opting for Sixt.

MaaS fits with a younger generation’s demand for alternative, flexible mobility solutions. It will become an indispensable tool for companies as they wage a recruitment ‘war for talents’ with their competitors. Sixt already offers a comprehensive range of MaaS tools, including: • Sixt mydriver: reliable business rides with quality partner companies in over 60 countries; • Sixt limousine service: exclusive, customisable rides to and from airports and hotels; • Sixt rides: low-cost taxi alternatives for spontaneous or pre-booked rides; • Sixt Corporate Card Plus: transact both rental and refuelling, cash-free and on one invoice; • Sixt Delivery: have your rental car delivered and picked up again at your front door (or another location of your choosing); • Sixt unlimited: for one flat fee, have a company car available in various European countries; • Sixt Connect & Connect Plus: upgrade your rental car to a five-device wifi hotspot, GPS navigator and language translator (smartphone included in rental).

• Sixt MobiFlex: a graded subscription model linked to a mobility budget, with a range of cars to select in each grade – Economy, Premium, etc. Cars can be interchanged according to preference.

Savings can be split between employee and company.

The same high-tech attention to individual customer needs applies to Sixt Mobility Consulting, the award-winning team that provides you with best-practice solutions or tailor-made answers to your fleet questions – and helps you optimise cost via a unique Multi-Bidding Tool.

Whether customers are renting or leasing, private or corporate, Sixt’s attitude remains the same: to find the best fit for each specific mobility need, via the best technology available. In the fast-changing mobility ecosystem, it’s a constant that will continue to win new customers for Sixt.

MORE INFO about.sixt.com 41

MANAGEMENT

MANAGEMENT

We only bought 1 diesel LCV last year Frank Jacobs @Frank_J_Jacobs

Stockholm's municipal fleet, 60% of which are LCVs, is 98% green. “We're used to being an example to the world,” says Johan Seuffert, Fleet Manager of the Swedish capital.

Fleet Manager Johan SEUFFERT is proud of the way Stockholm goes greener than other cities.

• Company: Miljöförvaltningen / Miljöbilar i Stockholm • Company Activity: Managing the municipal fleet of Stockholm • Function: Fleet Manager / Project Leader • In post for: 11 years • Number of employees in the company: 9 (of which 2 full-time fleet-oriented) • Number of vehicles (PC/LCV): 1,150 (40% cars, 60% LCVs)

In 2010, Stockholm was Europe's first Green Capital. In 2014, the city was the first in Europe to trial inductive (i.e. wireless) charging of electric vehicles. Local authorities from as far away as China visit to see how the city's fleet marries cost efficiency with ecological efficiency. And when it comes to EU-funded projects on greening municipal fleets, Stockholm often takes the lead.

The structured, sustained 'greening' of Stockholm's municipal fleet, predating Seuffert's by now 11-year tenure, is symbolised by its position in the municipal organisation chart: “We're part of Miljöförvaltningen, the city's Environmental Department. Of its nine employees, two are dedicated full-time to fleet.”

FILTERING SYSTEM Two years ago, a new fleet strategy was rolled out to put Stockholm's fleet on an even greener footing. “First off, it's our ambition to shrink the fleet: from 1,150 vehicles now to eventually around 900 vehicles.

Secondly, all new vehicles need to be green.

For LCVs, the hierarchy is: pure-electrics first, then vehicles on (at least 85%) bioethanol or biomethane (CNG), then plug-in hybrids, then normal hybrids.”

So, no diesels, not even for LCVs? “Diesels are allowed as an exception. For example, for heavy work in the forest or on the shores. Each exception needs to be

42

approved by the board,” Seuffert says. And the filtering system works: “We only have 37 'exceptions' in our total fleet. And of the 150 new vehicles we acquired last year, there was only 1 diesel”.

ELIGIBLE MODELS In fact, 93% of all vehicles bought in 2017 were either electric or CNG – the latter can be powered by fuel produced from Stockholm's own garbage. The number of eligible models has been reduced from around 100 to just 12. By the end of this year, Seuffert will order another 100 all-electric Nissan E-NV200 LCVs.

In 2016 Stockholm saw a new fleet strategy being rolled out stipulating that all new vehicles need to be green.

inner-city logistics. “We're working on a scheme to promote night deliveries by electric LCVs, which would help eliminate congestion, as well as noise and emissions pollution. And the first expansion of Stockholm's subway in 20 years will probably use waterways

FLEET EUROPE #99

Both projects will doubtlessly be closely studied by other cities and governments around the world.

S TO C K H O L M AREA:

188km

2

NUMBER OF INHABITANTS:

952,000

As a result of these efforts, 98% of Stockholm's municipal fleet is now already green. But new baselines have been set, in order to further reduce the fleet's CO2 emissions: “The first reflex must be: walk, bike or take public transport. If none of that is a fitting solution for the mobility demand, then our staff can go for carsharing – via our internal programme, or externally as the ultimate option. And finally, those entitled to a fleet car but totalling less than 7,500 km per year need to motivate why they should keep their vehicle.”

INNER-CITY LOGISTICS Having greened its own fleet (almost to the max), Miljöförvaltningen is keen to help Stockholm tackle other traffic issues, such as the problem of

instead of roads to transport equipment to the required locations.”

NUMBER OF VEHICLES IN CIRCULATION:

375/1,000

INHABITANTS,

SIGNIFICANTLY LESS THAN THE NATIONAL AVERAGE (480/1,000)

NUMBER OF CHARGING POINTS: One of Stockholm's e-LCVs on the road.

FLEET EUROPE #99

AROUND

1,000

43

MANAGEMENT

MANAGEMENT

10 Steps to a Zero-Emission Fleet Jonathan Manning

Careful fleet planning and preparation can make the transition to electric vehicles easier and more successful.

Tracking vehicle routes and mileages can identify those which are best suited to electric powertrains.

1

MAKE SURE THE RIGHT PEOPLE IN THE ORGANISATION ARE ON BOARD WITH THE PLANS.

EVS CAN ALREADY BE COST COMPETITIVE.

WIN STAKEHOLDER ENGAGEMENT Introducing electric vehicles to a fleet requires a change of mindset and often a change of operational practice, so it’s vital to win the support of senior management.

The environmental, cost and business arguments for going zero emission can be compelling – how, for example, could a business function if its diesel vehicles were banned from a low-emission zone? But a champion still has to make the case for adopting EVs. “Make sure the right people in the organisation are on board with the plans,” said Karl Anders, national EV manager, Nissan.

4

SPEAK TO SIMILAR FLEETS There’s no point reinventing the wheel.

A fleet with a similar profile may already have done the hard work of going electric, “so speak to other organisations that have been through the process, especially the early adopters who are now on their second or third generation of electric vehicles,” said Anders.

ANALYSE CURRENT AND FUTURE FLEET REQUIREMENTS The limitations in both choice and range of electric vehicles mean it’s unlikely that they can replace all fleet cars and vans, so it’s vital to work out where they can be most successfully deployed. Telematics can track routes and mileages, allowing fleets to identify which vehicles could be battery powered. ALD Automotive tracked 20 company cars for a trial earlier this year and found that 77% of daily journeys were less than 160km (100 miles), below the maximum range of modern electric cars.

Matt Dale, consultancy services manager for ALD, said: “Our findings were based on the assumption of a single daily charge.

As the public charging infrastructure improves, even more daily journeys will be viable in a BEV.”

3

5

2

SELECT THE RIGHT PARTNERS Support and advice can make the transition to an electric fleet significantly easier, so identify the organisations that are best able to help. Non-governmental organisations, OEMs and leasing companies have expert consultants to advise on

44

the process and the subsidies available.

Identifying local dealers with technicians trained to service electric vehicles is also vital for long-term planning.

SELECT FIT FOR PURPOSE VEHICLES Simply because a car can cover most daily journeys on battery power doesn’t necessarily mean it meets a driver’s lifestyle requirements. Solutions are, however, available for drivers who occasionally need to drive longer distances for business or

FLEET EUROPE #99

holidays. “Fleets may well find that, due to the lower TCO implications of running PHEVs and BEVs, they can afford to facilitate other smart mobility solutions and still save money,” said Dale.

Van fleets need to assess whether the payload and performance of electric light commercial vehicles meet operational needs. Tests by Arval have revealed that when an electric van is loaded to 75% of its maximum permissible payload its range can decrease by more than 70%.

6

BUILD THE BUSINESS CASE With acquisition prices falling, subsidies available and the cost of diesel and petrol rising, the TCO of electric vehicles is becoming more competitive.

Factor in elements such as beneficial tax treatments and the avoidance of clean air zone charges and bans, and in several instances EVs are already cost competitive. Businesses with their own solar panels can save even more money, while vehicle to grid technology is presenting new revenue opportunities for fleets to sell electricity back to national grids at peak times and recharge during off-peak periods.

FLEET EUROPE #99

7

ROAD TEST THE VEHICLES OEMs are united that the best way to win the hearts and minds of drivers is to get them behind the wheel of an EV. And EV champions are the best advocates to encourage their uptake throughout an organisation.

8

CHECK THE CHARGING INFRASTRUCTURE Only when vehicles are active on a fleet can the availability and convenience of charge points be properly tested. For drivers who take their vehicles home, access to an overnight charge point is vital. Workplace charging is also important, although van and car pool fleets that return to the same depot each evening may need to check that their local grid can cope with the demand of several vehicles recharging simultaneously. In London, logistics firm UPS has introduced a smart-grid which spreads recharging through the night and ensures power demand never exceeds the maximum power available from the grid.

9

JOIN AN EV CHARGING NETWORK Electric vehicle recharging networks, similar to fuel card networks for petrol and diesel, are rapidly developing across Europe. Networks such as NewMotion, Ionity, Ultra-E, Mega-E, E-VIA FLEX-E

and Polar, provide access to public charging points. Network apps allow drivers to find charge points and the cards deliver mileage data and consolidated invoices for ease of expense administration.

10

MONITOR PROGRESS Electric vehicles are no longer new technology, but they are decades younger than the internal combustion engines that have historically dominated fleet vehicles. Measure the performance and analyse the data of electric vehicles to ensure they continue to meet business needs and to identify other vehicles that could switch to battery power.

CHECK IF YOUR LOCAL GRID CAN COPE WITH THE DEMAND OF SEVERAL VEHICLES RECHARGING SIMULTANEOUSLY.

45

MANAGEMENT

MANAGEMENT

Meet Belgium’s best LCV manager Benjamin Uyttebroeck @uytteb

The Belgian construction company Galère won the Best of Van 2018 award, an initiative of Transportmedia, Febiac, Touring and Traxio. We spoke with Fleet Manager Frédéric Bastin who explained us how his company implements its fleet policy and telematics solutions.

SPECIFIC NEEDS BAM Belgium has a car fleet of around 900 vehicles, including 500-odd LCVs. The company’s car policy, which was drawn up in 2017, includes 7 car manufacturers, 4 of which also build LCVs (Ford, Renault, VW, Mercedes). The policy is mainly geared towards passenger cars and gives the constituent companies considerable autonomy in choosing commercial vehicles, even allowing for deviations from the policy if justified by the circumstances.

Frédéric BASTIN, Galère Fleet Manager, holding his Best of Van 2018 award.

• Frédéric Bastin • Galère (construction company) • Fleet Manager • Fleet of 140 passenger cars and 160 LCVs • Member of the BAM Fleet Council • Vice-president of the Belgian Association of Francophone Fleet Managers

46

“All BAM companies have very specific needs, depending on their activities. It makes sense for them to make their own choices within this framework of 7 manufacturers,” explained Mr Bastin.

There is as yet little harmonisation of fleet policies across Europe. “Legal differences between countries and the specific needs of the various BAM companies make that impractical,” said Mr Bastin.

CANCELLING THE FUEL CARD Galère first adopted telematics solutions in 2008, at that time limited to geolocation. There were several reasons to do this.

Firstly, Galère needed a tool to know how much time the workmen spend in vans on

their way to and from a job site, as this is paid time. The telematics tools make it possible for workmen to clock in as they enter the van, whether they are the driver or merely a passenger. With this information, Galère can optimise an efficient usage of each vehicle.

“Before we had these telematics solutions, the only tangible way we had to localise a vehicle was looking at the fuel card data,” said Mr Bastin. “Our workmen come from all over the country and work on construction sites all over the country. It makes no sense for them to return their vans to our office; instead, the driver takes it home with him. This meant that a van could sometimes be passed from one driver to another and the fleet manager no longer knew where his vehicles were. There have been cases where the only way to find a vehicle was to cancel the fuel card. That way, the driver had to call us and we could find out where he was…”

Today, telematics systems make it easy for Mr Bastin to follow his fleet and to know who is using his vehicles.

Galère is now looking at ways to leverage other telematics data. Mr Bastin believes

FLEET EUROPE #99

driving behaviour could and will be added to the telematics dashboard in the future.

“There’s a price tag that comes with these tools and that’s why we’re still unsure how we want to proceed. The construction business has very tight margins and it has to make sense for us financially before we can launch a system that costs several hundreds or even thousands of euros per vehicle per year.”

Galère is a Belgian construction company that is part of the Royal BAM Group, a construction firm operating in five European home markets and in niche markets worldwide with a workforce of 19,500. Royal BAM Group's home markets are the Netherlands, Belgium, the United Kingdom, Ireland and Germany but the Group also deliver projects in Denmark, Luxembourg and Switzerland.

Increasingly, points out Mr Bastin, these systems are added to new LCVs as standard equipment. This will lower their cost to a point where all vehicles will have them automatically.

Galère employs 600 people and has a revenue of €200 million. Galère is a leading construction company in the French-speaking part of Belgium, constructing large buildings and infrastructure projects. One of its most renowned projects is the construction of the new Guillemins railway station in Liège.

GALÈRE

3 CRITERIA As for all fleets, mastering the TCO is of the utmost importance for Galère. That does not mean the company only picks bare-bones vans. “It’s about safety for our people,” said Mr Bastin. “That’s why we always choose a passenger airbag. We always take Bluetooth, so our people can phone hands-free. We give them air conditioning, because driving at extremely high temperatures can lead to drowsiness. We give them a radio so they don’t resort to improvised sound systems.”

Galère considers three criteria within its budget: the LCV must meet the needs, it must be safe and the company always picks the greenest vehicle available on the market.

TREE PLANTING The Royal BAM Group includes environmental targets in all of its construction projects and green criteria are also taken on board when choosing vehicles. “LCV manufacturers are clearly moving in that direction,” said Mr Bastin. “Modern vehicles are already consuming less fuel than vehicles we had in our fleet four or five years ago.” CO2 emissions for Galère have gone down from 2,324 tons in 2015 to 1,885 tons in 2018.

As part of its environmental goals, Galère invests in trees to offset its CO2 emissions. Until 2020, the company is planting 336,000 trees in Madagascar.

The railway station Liège-Guillemins was built by Galère.

needs. “On average, our vans drive around 40,000 km each year. I don’t think the vans that are on the market today offer the range we require. A second problem is the charging infrastructure. Our vehicles don’t return to their base at night and construction sites don’t have charging stations either. Installing charging stations at our workers’ homes isn’t always feasible. You simply can’t enter a doublecab Renault Master in the average garage.”

“We will use electric vans once these issues are no longer there,” concluded Mr Bastin.

Mr Bastin thinks electric vans are on their way but it will take some time to find a model that will suit his company’s

FLEET EUROPE #99

47

BUSINESS

BUSINESS Own chassis development

If you can’t buy it, build it

Robust cabin and doors Plastic parts easy to replace

Ergonomic design of the cabin

Dieter Quartier @DieterQuartier

If no OEM wants to build exactly what you need, why not develop it yourself – and sell it to third parties, too. That’s the interesting story of Deutsche Post DHL Group (DP DHL), who bought StreetScooter in 2014 and now build up to 20,000 home-grown e-vans per year.

Thanks to the vehicle concept Deutsche Post DHL Group does not need to build 250,000 units per year to be profitable.

“ELECTRIC POWERTRAINS MAKE MUCH MORE SENSE FOR POSTAL USE THAN CONVENTIONAL ONES”

48

Deutsche Post DHL needed a vehicle that is ergonomic for its drivers to use, robust enough to withstand ‘postal stress’, easy to repair and capable of coping with 300 stops and starts per day. A decade ago, they knocked on a few OEMs’ doors to ask them if they could build such a van, but all of them declined.

Then came the 2011 IAA in Frankfurt, where a certain Aachen-based RWTH University spin-off called StreetScooter caught the public’s attention with a battery-powered city car. Surely enough, the start-up received a phone call from Deutsche Post.

“They asked us if we could build a tailormade electric van. We were very honoured, but also unsure if we could take up the

Wide field of vision BMW i3 battery pack Bosch electric powertrain

Front-wheel drive

60% 90%

LESS DEVELOPMENT TIME AND

LESS DEVELOPMENT COSTS

BY OPTIMISING PROCESSES

60-70%

LESS SERVICE, MAINTENANCE AND REPAIR (SMR) COSTS challenge, as you can imagine. Our team comprised two professors and fifteen students,” explains Marcus Arens, Sales Director at StreetScooter.

PRACTICE AND TCO-DRIVEN A few discussions later, Deutsche Post expressed its confidence in StreetScooter, greenlighting the development of an urban delivery van and acquiring the company in 2014. “We had experience with developing vehicles, but postal vans are used in a very specific way and ergonomics are high up the priority list. That is why Deutsche Post sent us 150 postmen to give us input on how their ideal vehicle should be,” Arens says.

“One of the elements that needed improving over the standard vehicle they were using, was the robustness of the cabin. If you get in and out of a vehicle 300 times per day, that means a conventional van is ready for the scrapyard after 4 years. Also, combustion engines – especially diesels – and clutches do not cope well with this type of use. An electric powertrain makes much more sense for this use case.”

time by 60% and the development cost by 90% through process optimisation. We also involved tier-one suppliers for key components, like the powertrain, which comes from Bosch, and the battery, which is the same as the BMW i3’s.”

To date, StreetScooter has built 6,000 units of the Work and Work L model for Deutsche Post. By the end of this year, when the new factory in Düren is fully operational, StreetScooter will be able to produce up to 20,000 vans per year. The Work XL, which is based on a Ford Transit platform onto which StreetScooter builds its own superstructure, is currently in prototype phase and will be integrated into the DP DHL fleet later this year.

THIRD-PARTY CUSTOMERS Today, most vehicles go to Deutsche Post, but the balance will shift towards 2019.

“Initially we focused on the German market, where we have been developing the necessary service structure. Now other

“In a nutshell: our vehicle needed to be more robust and cheaper to operate, offsetting the investment costs. Deutsche Post DHL runs a fleet of more than 50,000 postal vans, so you can imagine the potential savings. Safety was very important, too. It starts with a good field of vision, and that’s exactly what we created with the design of our Work van”.

In Germany and the Netherlands, Alphabet is StreetScooter’s preferred operational leasing partner, but the company works together with many other financial partners, depending on the market and its specific needs. With the proliferation of low-emission zones, lessors see a real opportunity for electric vans. Many companies also want to shrink their carbon footprint – just like Deutsche Post, which therefore aims to reduce all logistics related services to zero emission by 2050.

75%

LOWER ‘FUEL’ COSTS COMPARED TO DIESEL (GERMANY)

2x

AT LEAST THE USE CYCLE OF A CONVENTIONAL VAN

3MODELS WORK, WORK L AND WORK XL

UPS CUSTOM-BUILDS E-VANS TOO Deutsche Post is not the only one to make their own electric vans. Delivery service UPS has teamed up with electric vehicle builder Arrival to develop a series of prototypes, the first of which will be deployed in the British and the French capital before the end of this year.

These zero-tailpipe emission, lightweight composite vehicles have a battery range of 240 kilometres and feature Advanced Driver Assistance Systems (ADAS) that help to improve safety.

SAVING TIME AND MONEY It was essential to keep development costs at bay, given the limited number of units produced. “We managed to cut development FLEET EUROPE #99

markets are following. For instance, we are providing 200 vehicles to Milk & More in the UK. We are in talks with large fleets in the Netherlands and other countries,” Mr Arens explains.

FLEET EUROPE #99

49

BUSINESS

28NOV.

BARCELONA REGISTER NOW

The sharpest tool in the box Dieter Quartier @DieterQuartier

LCVs have become more than mere transporters of cargo and crew. They are intelligent, integrated, versatile tools that make optimum use of resources. Especially if they are called Mercedes Sprinter.

PREPARE FOR TOMORROW’S FLEET MANAGEMENT The Fleet Europe Forum is the best place for fleet managers to learn about the latest trends and best practices that impact the international fleet management profession.

WITH THIS YEAR’S SESSIONS:

1

2

3

ARE YOU READY FOR TOMORROW’S CAR PAYMENT MODELS?

WHAT IF THE FUTURE IS MORE THAN JUST ELECTRIC?

WHEN AND WHY WILL YOUR FLEET BECOME AUTONOMOUS?

Michael PFLÜGER: “Commercial vehicles are transforming from pure means of transportation into platforms for logistics concepts.”

Combine powertrain, wheelbase, transmission, roof height and body type variants and you get over 1,700 basic variants to choose from. The Sprinter has never been more versatile – in 2019, you can even order an electric eSprinter, making it suitable for urban last-mile delivery.

Perhaps even more than in the passenger car market, services and supplemental products are at least as important as the vehicle itself. Mercedes understands that very well. It calls the Sprinter “the first van of a new type – a fully connected integral system solution.”

DIGITAL ECOSYSTEM All current and future services relating to the day-to-day business of van customers are united under the Mercedes Pro brand.

“Mercedes Pro functions are the operating system for our van hardware: a digital ecosystem in which our vehicles and services are networked with one another,” clarifies Mr Pflüger, Head of International Key Account Management at MercedesBenz Vans.

“You can already see this with Mercedes Pro Connect – a package of digital services that offers our customers true commercial

LET’S TALK, MAN TO MACHINE

WHEN? 28 November 2018 WHERE? Catalunya Congress Centre in Barcelona

REGISTER NOW Register by 1 October and take advantage of the early bird rate on forum.fleeteurope.com

Brought to you by

Intuitive and simple operation is an absolute must for van drivers.

To increase user comfort and convenience Mercedes has developed an interface called MBUX (Mercedes-Benz User Experience). It comprises steering wheel buttons, a touchscreen display and a revolutionary voice control system. Just say “Hey Mercedes” and start a natural dialogue to express what you need. Of course, the Mercedes Pro services go hand in hand with the Sprinter’s innovative user interface.

FOR INTERNATIONAL FLEET & MOBILITY LEADERS

FLEET EUROPE #99

Mercedes Pro is the name of the OEM’s ‘operating system’ for their van hardware.

51

REMARKETING

BUSINESS

vehicles, which are required to play an even greater role in helping to keep companies with corresponding transport needs competitive and successful.”

The new Sprinter offers over 1,700 basic variants and has reliability and economy hard-coded in its DNA.

added value in their everyday business.”

The technical basis is the communication module (LTE) that is installed in all Sprinter variants, which forms the interface between fleet manager (web-based vehicle management tool) and driver (Mercedes apps).

There are 8 telematics packages with 18 services to choose from. You don’t know which one suits your business best? Ask Mercedes’ product advisor, who will analyse your activities, fleet size, annual mileage and route planning dynamics.

Thanks to the modular and scalable structure of the system, fleet managers can choose those connectivity services that make their working day and that of the drivers easier.

INTEGRATED SOLUTIONS, THE WAY FORWARD “In order to survive in a highly competitive environment, vehicle fleets need to be integrated to an even greater degree than ever into corporate processes,” explains Mr Pflüger. “This gives rise to a growing scope of applications for intelligent

“Commercial vehicles are transforming from pure means of transportation into platforms for logistics concepts. While attributes such as reliability and economy remain integral to the MercedesBenz Vans brand, the future generation of vehicles additionally needs to offer new technologies for the most diverse use cases,” he continues.

“Isolated solutions are giving way to a well-conceived integrated system solution. Innovative developments here cover maximum flexibility and integration of the vehicle into the corporate IT infrastructure and inventory control systems.

In this way, value is generated along the entire value-added chain for the fleet. The Sprinter fits the bill here as an integrated system solution.”

Vehicle Remarketing: never more relevant Frank Jacobs @Frank_J_Jacobs

As the fleet industry gets more digitised and optimised, remarketing is an increasingly important element of success. That's why your attendance at the Remarketing Forum has never been more relevant.

There are many good reasons why you should join the 5th Fleet Europe Remarketing Forum in Barcelona, on 27 November.

MAIN GATHERING For one, it's the main annual gathering for Europe's remarketing professionals, and as such the only place where you can network with players from across all segments of the industry, from all parts of the continent.

Also, it's more than a mere meeting of people – it's where ideas about European remarketing are discussed and challenged by experts, and where everyone in the audience gets a chance to make contributions and ask questions.

TAKE YOUR BUSINESS FURTHER Want to boost your bottom line? Start from the bottom up!

With the Duravis R660, you can be sure of a low cost per kilometre thanks to its outstanding mileage, high durability and great wet-weather performance. For safe, reliable and cost-effective operations, Duravis is the obvious choice.

Economy

Wet Control

Robustness

Sebastian FUCHS, winner of the First International Car Remarketing Award, at the 2017 Fleet Europe Remarketing Forum.

MORE INFO • Visit the Fleet Europe Summit page: http://forum.fleeteurope.com/ • Go to the drop-down menu 2018 PROGRAMME • Choose FLEET EUROPE REMARKETING FORUM

Bridgestone Europe For your nearest Bridgestone Authorized Dealer, visit our website www.bridgestone.eu

52

FLEET EUROPE #99

FLEET EUROPE #99

ESSENTIAL ROLE It's within those parameters that the Fleet Europe Remarketing Forum has assumed, after a mere four editions, an essential role within the landscape of the European Remarketing industry. Its increasing relevance relates directly to the accelerating changes within Remarketing, and its growing importance within the fleet landscape as a result.

Those changes are high on the agenda at the one-day Fleet Europe Remarketing Forum in Barcelona: • Diesel, petrol and alternative powertrains: How changing trends in powertrain preference are impacting residual values and remarketing strategies. With input from RV setters and insight into OEM powertrain strategies.

53

REMARKETING

• The impact of WLTP: What the introduction of the new emissions test regime will mean for the RV of specific models, and for the remarketing industry as a whole.

Renault MASTER Z.E.

• Optimising online used-car sales: The process of online Remarketing is both complex and fast-moving, but essential to stay on top in the business.

• New business models: Traditional B2B channels are being joined

by B2C sales. Online is becoming dominant. What's the best strategy?

• Mileage fraud: One of the worst scourges of the business is now close to resolution. When will it happen, and what will the impact be?

As usual, the Fleet Europe Remarketing Forum will be held the day before the Fleet Europe Forum & Awards – yet another good reason to attend!

WILL YOU WIN THE NEXT CAR REMARKETING AWARD? As a sign of its growing maturity, the Fleet Europe Remarketing Forum had its first awards ceremony last year.

100% electric

The first laureate was Sebastian Fuchs, Senior Director Sales and Marketing Europe for RMS Automotive. Who will succeed him?

Well, it could be you! If you and your team have developed an innovative project, product or service that contributes to the efficiency and transparency of the remarketing process, the jury wants to hear from you.

To apply:

• Visit the Fleet Europe Summit website: http://forum.fleeteurope.com • Go to FLEET EUROPE REMARKETING FORUM • Choose INTERNATIONAL CAR REMARKETING AWARD

APPLY NOW!

?

2011

2012

2013

2014

2015

2016

2017

Gianluca Soma

Bruce MacLaren

Pascal Serres

Philippe Bismut

Mike Masterson

Jose-Luis Criado

Tim Albertsen

2018… WHO’S

NEXT?

YOU can decide who will join the International Fleet Hall of Fame!

This year, the International Fleet Hall of Fame will induct a fleet industry leader from the automotive and car manufacturer industry with at least 5 years of International fleet management experience.

NOMINATE SOMEONE NOW! 54

More information on forum.fleeteurope.com

Renault Fleet International Your global mobility partner Zero CO2 emissions, while driving, excluding wear parts.

FLEET EUROPE #99

renault.com

INNOVATION

INNOVATION

Last Mile Delivery to the Edge Fien Van den Steen

To ensure a proper balance between increasing e-commerce and city traffic, in terms of traffic congestion and environmental restrictions, carriers are coming up with innovative solutions at the edge.

Last mile delivery is facing huge challenges to meet the increasing demand of e-commerce and to find a way around traffic congestion and restricted zones in modern cities, particularly since the last mile is the most expensive part of parcel delivery. Carriers and e-commerce companies started experimenting with innovative technologies to cope with the current challenges of the business, from delivery bots to helicopters.

The Silence S03 is a mix between a scooter and a small van.

SILENCE, CHANGING THE GAME “This will be a gamechanger,” says Marc Arjona, Export Manager of Silence Urban Mobility, about the new model of their electric scooter, the SO3. “It will be the perfect mix between a scooter and a small van.” Since the launch of the first model in 2015, 3,000 e-scooters have been sold, rising to 4,000 by the end of 2018. “At the moment we focus on the European market,” he says, “but we are also negotiating in the Americas, Asia and the Middle East.” The SO3 will come on the market by September 2018.

56

OVER LAND Delivery bots McKinsey (2016) estimates that 80% of parcels will be delivered by autonomous vehicles in the future, ranging from robots to autonomous cars. Various start-ups are offering delivery robot services, which vary from the super-sized Nuro in Silicon Valley, a self-driving car about the size of a golf cart, over the grocery cart look-alike robot from Robby Technologies (Silicon Valley), to Domino’s small pizza bot, and the local carriers of Starship (cf. Box-Out).

Cargo (e-)bikes However, delivery bots are still expensive at the moment, so as long as the cost does not come down, McKinsey (2016) estimates that (e-)bicycles will fill the gap of cheap, flexible, and non-polluting instant last-mile deliverers. The Indian start-up NOW for example, provides on-demand bike delivery services for its partners (from FLEET EUROPE #99

Pizza Hut, to pharmacy chain Just Relief).

In a nutshell, Sortimo claims that its cargo bike ProCargo CT1 combines the payload potential of an LCV with the flexibility of a bike.

E-scooters Fast and flexible, two words to describe the e-scooters, who kill two birds with one stone by finding a way through traffic congestion and environmental traffic restrictions without loosing speed. Silence Urban Mobility for example started in 2015 with the launch of its e-scooter.

E-vans Bigger, but environmentally friendly as well, are the electrified fleets of many parcel delivery companies. E-vans do not produce air or sound pollution. What’s more, they have lower per-mile fuel costs over time, and lower maintenance costs.

And the often-mentioned drawback of EVs, range, is less important since the e-vans for last-mile delivery are mostly operated on short distances.

Uberification Uber became a market disrupter for taxis and tried to become one in the freight market as well. Uber RUSH was launched to deliver anything from local businesses within a couple of minutes. Nevertheless, RUSH was shut down, and slowly replaced by two more profitable apps owned by the company: Uber Eats, and Uber Freight, which pairs up truck drivers with parcels to deliver.

On the other hand, Amazon implemented the Uber model to extend its fleet. Non-fulltime drivers can sign up to become part of Amazon’s delivery chain, if they have a driving licence and a mid-size four-door sedan or bigger. This kind of social delivery networks is more flexible, and could eventually be extended to anyone driving around, such as technicians on the route to their next job carrying a parcel and making extra money on the go.

Droplockers A simple solution to avoid traffic congestion and restrictions is not moving at all. Across the world, drop lockers have been installed where retailers from local shops can place items ordered online and consumers can access the locker when passing by at a suitable time.

FLEET EUROPE #99

Starship robots can deliver small parcels and food.

ON WATER Amphibious vehicles They seem to have escaped from a futuristic film or from the army, but amphibious vehicles might offer a last-mile solution by combining land and waterways. Nowadays, most of them are used for passenger transport, but they could be the right last-mile solution in river-rich cities.

IN THE AIR Drone delivery McKinsey (2016) sees an important role for drones in rural deliveries and sameday deliveries. Cargo drones are already in use in isolated areas in Africa and Canada.

Big tech giants such as Amazon, Airbus, Google, and Uber established R&D departments dedicated to the development of cargo drones. Nevertheless, legislation is still the main raison to keep the drones on the ground.

Helicopter delivery DHL The drone’s big brother, the delivery helicopter, was launched by DHL in 2015 in Chicago to provide early-morning deliveries of urgent documents, with a special focus on financial and legal firms. The service reduced delivery time by about two hours.

DELIVERY BOTS, REVOLUTIONISING DAILY DELIVERIES “We are a company building a network of robots ready to serve you anytime, anywhere,” claims Starship Technologies. The San Francisco based start-up with an engineering department in Tallinn (Estonia) was founded by the same men who created Skype.

The small robots carry small local parcels and food. Since its launch in 2014, the company opened several offices in Europe and the USA, and tested the robots in 100 cities, where they served 12 million people, over 100,000km of driving.

GOING UP “Globally last mile is going up, due to the rise of e-commerce,” says Marc Arjona, Export Manager of Silence Urban Mobility.

In combination with the increasing environmental traffic restrictions, the demand for non-polluting last-mile delivery vehicles, such as e-scooters, is booming like never before.

57

SMARTMOBILITY

LCV sharing: a great idea, but...

Frank Jacobs @Frank_J_Jacobs

Everybody is on board with car sharing: efficient, economical, part of the multimodal future. So, what about LCV sharing? Yes, vans are different. But no, that doesn't mean the idea is without merit.

The idea is being put into practice, albeit in small doses. Take for instance VULe partagés ('Shared eLCVs'), a project initiated at the start of 2017 by Paris to provide innercity traders access to 10 shared electric LCVs for their deliveries, one of which with a refrigeration compartment. The scheme offers the bulk transport benefits of LCVs without users having to worry about parking, maintenance, insurance and fuel costs – while also reducing overall traffic volume and emissions.

GREAT POTENTIAL The one-year trial has not been extended, neither in time nor beyond its initial geographical scope (the French capital's 2nd and 3rd arrondissement). A sign, if any was needed, that LCV fleet management is in a higher league of complexity than car fleet management. As LCVs can be used for various purposes, they often require highly specific fit-outs, which makes it more difficult to procure, maintain, remarket – let alone share – them.

G4S: “SAFETY RESTRICTIONS” “G4S will never share its operational vehicles, this is restricted for safety reasons,” says Maaike Hofwijk-van Hemmen, Fleet Manager for the European operations of the security services multinational. But: “in a different industry it would make sense to investigate sharing operational vehicles between companies if they are used for similar purposes – for example the delivery of related services, or of dry goods. Or even within companies, if it's just for part-time employees to share their dedicated operational vehicles.”

58

Mobility specialist Pascal Serres, founder/ CEO of consultancy Moby-D, agrees that LCVs have until now only marginally been affected by the drive towards sharing. “But it will come. It has great potential. Rental companies are now entering what you could call the First Age of Vehicle Sharing. These companies also have significant LCV activity. The innovative technologies that are fuelling the boom in car sharing will ultimately also be applied to LCV sharing.”

SECOND AGE Mr Serres thinks rental companies will be an engine for this Second Age of Vehicle Sharing. The applications are endless – and already being applied. “Think of big retail chains like IKEA, already renting out trailers and vans for customers to transport their purchases home. Or think of students, who need to move and for whom ordinary LCV rental rates are too expensive.”

So the demand exists – as do the beginnings of companies that address this demand.

“In Paris, there is a platform for plumbers to share LCVs, for example. Northgate is a company that provides shared LCVs, but very specifically, for the UK construction industry. The increased use of telematics, for pinpointing location and usage of vehicles, will eventually increase the shareability of LCVs,” says Serres.

STRICTLY UTILITARIAN “In some respects, LCVs are more shareable than cars: they are strictly utilitarian, so the colour and brand don't matter – as they FLEET EUROPE #99

Today not many LCVs are part of a sharing programme, but LCV sharing has potential as the use of telematics for LCVs increases.

sometimes do for cars, which are chosen on a more emotional basis”.

Mr Serres describes LCV sharing with the end user in mind. But how about corporate LCV sharing? From a company fleet perspective, it's an interesting idea, but a very niche one, says Guillaume de Subercasaux, Global Fleet Manager at Schindler, the escalator, lift and walkway specialist.

“Of our global fleet of 20,000 vehicles, about 11,000 are vans – fitted with shelves to make work easier, safer and more secure. But with work being so specialised, I don't see an immediate application for shared LCVs, except in two very limited cases: as replacements in case of accidents, or for one-shot projects in distant locations,” says Mr de Subercasaux.

SCOPE FOR IMPROVEMENT There is, however, scope for improvement: “In the future, thanks in part to telematics, fleet logistics will become even better organised. Right now, we have big vans for installing our products, and small vans for maintenance. Those big vans can be hard to park in city centres. Just imagine if equipment could be delivered separately, so our teams could arrive with only the tools they need to assemble the installation.”

FLEET EUROPE #99

Taking the specifics out of logistics would not only require a smaller fleet, and smaller LCVs, but also make it much easier to share those vehicles, Mr de Subercasaux projects.

TRENDS CONVERGING Mr Serres agrees that telematics are a large part of the way forward: “Of course, many LCVs carry equipment that is very task-specific, and that makes it difficult to share them between companies. But telematics could help even these high-spec LCVs to be shared better between drivers of the same company. You could have vans being operated 18 hours per day rather than just 12 hours, for example.”

So, with most of the technology in place, when will LCV sharing actually take off?

Pascal Serres sees three trends converging in mid-term: “One: lease contracts for LCVs will get shorter and more flexible. Two: rental companies will get pro-active with their LCV offering. And, perhaps crucially, three: start-ups will offer LCVs to share in growing numbers: from 10 units over 20 to 100.”

In short: LCV sharing is a great idea, whose time is (nearly) come...

VAILLANT GROUP: “TELEMATICS POTENTIAL” “LCVs are an essential tool for all kinds of service providers, so they need a well-structured LCV fleet. In my opinion, LCV sharing has potential as the use of telematics for LCVs increases,” says Selçuk Gündoğdu, Fleet Manager for Vaillant Group, a leader in heating, ventilation and air con technology. Especially when combined with an electric powertrain: “Diesel will present challenges due to bans in Paris, Madrid, Hamburg and other cities, so e-LCVs can offer a solution to the problem of inner-urban access.”

59

SMARTMOBILITY

WINNER 2017: PARKD Parkd lets you start, stop and pay for car parking sessions automatically if you have a connected car. It requires no cash, no cards, no apps and no intervention from the driver.

Its technology is integrated by telematics providers such as TomTom Telematics and FleetComplete.

Not the only Start-Up in the village

Since the 2017 Start-Up Awards, Parkd has substantially grown its customer base and the number of cities it serves.

“The Fleet Europe Summit was an enriching experience for us,” said co-founder and CFO Nelson Dheedene. “There is no other place where you can find people from fleet, telematics and connected cars under the same roof. It was also beneficial that they came from all over Europe, allowing us to test various cases.”

Benjamin Uyttebroeck

“Get to know your industry,” is Mr Dheedene’s top tip for other start-ups. “Go to events like the Start-Up Awards because they offer a perfect opportunity to test your product on the market.”

@uytteb

enabling networking opportunities with everyone in attendance.

In the morning, this zone will host the Smart Mobility Talks, where speakers and participants will focus on the disruptive ideas that are changing the fleet and mobility industries. The talks will be organised in three sessions around three major themes that take place in parallel to the main sessions in the auditorium.

The winners of the 2017 Start-Up of the Year Award.

Each year, the Start-Up of the Year Award goes to the most promising start-up developing innovative products or services in the fleet and mobility industry.

In 2017, the award was taken home by Parkd.

60

Smart Mobility Management presents the Start-Up of the Year Award at the Fleet Europe Summit, which this year takes place on 27 and 28 November in Barcelona. The Fleet Europe Summit isn’t only the ideal place for fleet and mobility professionals to network and share knowledge and experience, it also provides start-ups with the perfect opportunity to get their products or services known.

SMART MOBILITY AREA Each year, the Fleet Europe Summit hosts the Fleet Europe Village where delegates can meet and interact with fleet suppliers and fleet clients. For the first time in 2018, the Village will include a Smart Mobility Area.

Located at the heart of the Village and open to everyone, this area will allow participants to learn from mobility experts, startups and innovative companies while also

In the afternoon, the ten finalists of the Start-Up of the Year Award will pitch in front of the participants to defend their ideas, products or services. Following them will be the candidates of the International Fleet Industry Award, rewarding the innovative efforts in service development of today’s vehicle fleet suppliers.

The winners of both awards will be announced in the Smart Mobility Area at the end of the conference day.

START-UP CAFÉ During the whole day, all Start-Up of the Year finalists will have their own booth at the Start-Up Café. This will give them a perfect opportunity to network with the top minds from the European fleet and mobility universe. It’s not only a café in name, it will also accommodate the only bar open during the whole day.

You can still register for the Fleet Europe Summit. Go to forum.fleeteurope.com.

FLEET EUROPE #99

SECOND RUNNER-UP 2017: KOWO FIRST RUNNER-UP 2017: CARPAY-DIEM CarPay-Diem is a platform that allows any mobile app or connected car to activate a fuel pump and to manage the payment from inside the car. The service can be integrated in fuel retailers’ mobile apps, in other mobile apps and in connected cars.

“The Start-Up of the Year Award gave us increased visibility in the fleet industry,” said CEO Frédéric Stiernon. “It allowed us to meet prospects in countries where we had absolutely no leads up to that point.”

Today, CarPay-Diem is being tested by various petrol station networks in Belgium, with more to follow in France and the UK. Soon, the technology will be available in a range of mobile apps.

CarPay-Diem has also won Volkswagen’s Future Mobility Start-Up award and the company was a finalist for the Future Mobility Award of ADAC.

FLEET EUROPE #99

Kowo is a corporate carpooling platform that offers people an app they can use to find carpooling colleagues in their own company or in nearby companies.

Nicolas Rampelbergs, managing partner, said about the 2017 Start-Up Awards: “It offered us an opportunity to meet both other start-ups and big corporations, which is invaluable.” They met John Saffrett, COO, ALD Automotive and Miel Horsten, CEO, ALD Automotive Belgium, who agreed to launch pilots with Belgian ALD clients.

Kowo has grown considerably, adding clients like the new CHIREC hospital in Brussels. Recently, Kowo has also received backing by the Brussels Regional Minister Didier Gosuin to set up car sharing for various large employers in the Auderghem district of Brussels.

“For start-ups, it is vital to stay focused,” said Mr Rampelbergs. “You can’t do everything at once.

It is also crucial to work with the right people.”

61

ANALYSIS

ANALYSIS

The evolution of Telematics Alison Pittaway

From simple tracking to sophisticated fleet intelligence.

Telematics technology started out as a simple system for vehicle tracking that relied on GPS for asset monitoring, route management and maintenance reporting.

This allowed LCV fleet managers to know where their vehicle assets were at all times and how they were being utilised and maintained.

A VAN CAN BE PREVENTED FROM STARTING UNTIL THE DRIVER HAS LOGGED IN AND FASTENED THEIR SEAT BELT.

BY ATTACHING SENSORS TO VEHICLES, LCVS CAN BASICALLY MANAGE THEMSELVES.

Now, however, telematics systems are more powerful and connected and are transforming into complete data solutions, a key part of the new mobility ecosystem, giving LCV fleet managers the opportunity to proactively optimise their fleets and run them safer and more efficiently than ever before.

With early telematics systems, it’s been possible to achieve benefits such as increased productivity, a drop in overtime claims, controlled fuel costs, improved customer service, increased fleet safety and security, reduction in accidents, speeding incidents and fines, reduced maintenance, repair and operating costs and guarding against unauthorised vehicle use.

PART OF THE NEW CONNECTIVITY ECOSYSTEM The race for a connectivity ecosystem and autonomous vehicles has accelerated the pace of evolution in such technology, which is now changing the face of LCV fleet management. Telematics is playing a crucial role as the system that draws together information and communications into a crucial source of data insight.

62

Telematics companies like Fleetmatics and Geotab have developed dashboards and mobile apps that bring information about connected vehicles to fleet managers’ fingertips - after the fact, in real time and (more recently) predictively. The first generation of in-vehicle telematics made data collection from an entire fleet easy.

Fleet managers used this information to make smarter decisions around fleet utilisation. Second generation (telematics and dash cam integration, for example) simplified the capture of valuable evidence-based data and helped to lower insurance costs and improve driver safety. Although these systems were beneficial, they were essentially passive and also relied on drivers to follow their recommendations and switch them on and off in many cases, which wasn’t always reliable so fleet managers have been demanding more active solutions.

BOLSTERED BY PREDICTIVE DATA Rather than relying on after-the-fact reporting, fleet managers are now privy to predictive data that helps better manage fleet performance and continuously make improvements. Telematics is now able to change the way in which vehicles perform according to business and usage requirements. A van can be prevented from starting, for example, until the driver has logged in and fastened their seat belt, restricted RPMs can be set to comply with speed limits and deliver fuel savings without compromising performance. Integrated with vehicle computer systems, which are

FLEET EUROPE #99

A van can be prevented from starting until the driver has logged in and fastened their seat belt.

now more powerful than ever, telematics is itself a powerful tool for weather, mapping, traffic data and cameras. Vehicles are becoming more customised to the specific needs of each fleet and driver. Other telematics data collection applications include: vehicle speed, MPG, fuel used, driving style, ignition on/off, doors open/closed, load weight, gear selection, braking intensity and activation of panic alarm.

SENSORS EVERYWHERE Relying on driver behaviour as a determining factor of overall fleet safety and efficiency will soon become obsolete as fleet owners continue to make the vehicle more intelligent and safer using technology such as telematics.

By attaching sensors to vehicles (such as GPS receivers, accelerometers, TPMS - tyre pressure monitoring) and connecting them to the internet (for which there are a variety of connectivity options - low power wide area networks (LPWAN), cellular, satellite, RFID, WiFi and Bluetooth), LCVs can basically manage themselves. Telematics data can be collected in real time from key parts of the vehicle, checked against pre-defined parameters and updates, alerts and predictive warnings sent to drivers and back-office system operators as necessary. This data

FLEET EUROPE #99

can also be collected, analysed, reported and used for informed decision-making.

Tyre pressure monitoring systems, integrated into telematics, not only provide tyre pressure data, they also inform drivers and LCV fleet operators about conditions on the road such as weather, terrain, road surface and how tyres perform in different conditions. This information can then to used to optimise the fleet for those conditions. Conversely, it may be helpful in route optimisation.

Telematics adoption remains low (according to McKinsey and Company research no country has attained telematics adoption levels of more than 20%) but it is set to grow over the next decade, specifically because there’s an increased willingness by governments to mandate telematics services, particularly those associated with safety such as emergency call, which is mandated throughout Europe (the eCall system which has been mandated for all new EU vehicles as of March 2018). There is also an increasing appetite for connectivity and fleet intelligence. Undoubtedly, telematics is set to evolve even further and will be a key enabler in smarter LCV fleet management of the future.

NO COUNTRY HAS ATTAINED TELEMATICS ADOPTION LEVELS OF MORE THAN 20%.

63

ANALYSIS

ANALYSIS

Integration, new rubber compounds and connectivity Alison Pittaway

How LCV fleets are getting the most out of telematics.

TELEMATICS AND TPMS

BRIDGESTONE’S AUTOMATED SENSING TECHNOLOGY Automated sensing technology and the insights it produces will be leveraged first in the commercial vehicle market.

Bridgestone’s B-TAG system and TreadStat Tire and Rim management technologies work together to monitor tyre pressure and temperature. This information is sent to fleet managers in real time, which enables them to take a proactive stance and make informed decisions that may help to avoid costly downtime.

Contisense tyres can feel the road.

Bridgestone’s TreadStat system sends fleet managers information about tyre pressure and temperature in real time.

64

CONTINENTAL’S TYRE OF THE FUTURE ContiSense and ContiAdapt, which can be used together, from Continental made their debut at the Frankfurt Motor Show in 2017.

Based on the development of electrically conductive rubber compounds, ContiSense continually monitors tread depth and temperature. If these are above or below predefined limits, the system alerts the driver. If anything penetrates the tread, a circuit in the tyre is closed and a warning sent. In the future, ContiSense tyres will be able to “feel” the road, measuring road temperature and weather conditions.

FLEET EUROPE #99

realtime retrieval of vehicle information such as location, fuel level and maintenance intervals. The advantages of the system include minimised downtime, as a consequence of proactive maintenance and repair, and clearly presented data for business analysis purposes.

The chip-based WEX card allows more controls such as purchase levels, products and number of transactions per day.

WEX - INTEGRATING TELEMATICS INTO FUEL CARD MANAGEMENT In 2019, WEX will introduce a more secure, chip-based fuel card. It will meet the payment industry’s EMV (Europay, MasterCard and Visa) standard and will include a microprocessor chip that stores and protects card holder data in a more secure way using a magnetic stripe. With the new card, WEX is offering a closed loop fleet card, which means WEX handles the whole of the payment process and every element in the chain. The new card allows commercial users to manage controls, such as purchase levels, products that can be purchased and number of transactions per day. It also allows fleet managers to set 14 different prompting options so drivers must input odometer readings, miles per gallon, driver identification number, and other data at the pump.

MERCEDES SETS NEW STANDARDS FOR DIGITISATION AND CONNECTIVITY Daimler’s Mercedes-Benz Vans recently redesigned its Sprinter large van to set new standards for digitisation and connectivity by launching 18 Mercedes PRO digital services with new telematics packages - offered free-of-charge in Germany until September. The service allows online control of orders and near

A communication module (LTE) is now installed in all Sprinter variants and this forms the interface between fleet manager (web-based vehicle management tool) and driver (using Mercedes apps). Business customers choose packages that suit their fleet and their business based on criteria such as industry, fleet size, annual mileage and route planning dynamics.

Vantelligence is Renault Truck’s own telematics programme.

TELEMATICS-BASED FLEET MANAGEMENT FROM RENAULT TRUCKS In April this year Renault Trucks launched a telematics-based modular fleet management programme aimed at LCVs. Powered

by Verilocation, Vantelligence is a module system suitable for Renault Master Euro 6 vans. The system monitors driver behaviour in order to improve safety, fuel efficiency and performance. It tracks fleets in real time for improved efficiency and customer service. It also monitors environmental performance for eco-reporting and can integrate with existing on-board devices and camera systems.

Logistics company CMS uses Geotab to give its drivers feedback.

GEOTAB HELPS LONDON LOGISTICS COMPANY BE MORE SUSTAINABLE Logistics company CMS, headquartered in London, provides international mail and courier distribution services alongside e-commerce solutions. It has a fleet of 29 LCVs plus 60 drivers. Sustainability is important so it focuses on setting targets to reduce environmental impact. The company looked to Geotab for telematics technology to improve fleet safety, productivity and efficiency.

Geotab GO is a compact plug-and-play Telematics device that attaches to the vehicle’s ODB II port and offers GPS technology, G-force monitoring, IOX expandability, plus engine and battery health assessment. Fleet managers at CMS can view driver and vehicle information from a single platform using the MyGeotab dashboard on a desktop, laptop, smartphone or tablet with the MyGeotab app. The system also helps CMS meet compliance regulations. Drivers are able to utilise the Geotab Drive app to assign themselves a vehicle and complete daily checks. Drive relays this information to MyGeotab in real time providing detailed reports on driver logs, remaining hours and violation alerts.

These are just a few working examples of the practical application of integrated telematics solutions for LCV fleets.

Nevertheless, telematics solutions can be expensive so a proper cost/benefit business case analysis should be carried out before any substantial investment is made. This is the future, however, so leave it too late and you could find your LCV fleet lagging behind.

Mercedes PRO sends information to the fleet manager and the driver.

FLEET EUROPE #99

65

100 ISSUE th

ANALYSIS

DON’T MISS THE NEXT EDITION OF THE FLEET EUROPE MAGAZINE

A demonstration of where telematics is headed

Trends impacting your TCO in 2019

TOPICS: • Cost of the car • Funding and interest rates • Fuel and powertrain evolution • New practices in insurance • Digitisation of the fleet management process • From fleet to mobility profiling • Premium in fleet

NEOW UT

Release in October

Alison Pittaway

WANT TO ADVERTISE IN THIS ISSUE ?

According to the Commercial Vehicles and Telematics Market 2018-2022 Report, the commercial vehicles telematics market in Europe is predicted to grow by a CAGR of 13.85% during the period 2018-2022.

SAVE ON FUEL COSTS WHILE FILLING EMPTY RUNS The logistics sector has been the largest contributor to fleet management services in the telematics industry, due to increased consolidation among logistics players and growing demand for fleet tracking to mitigate transit losses. The demand for telematics in logistics is driven by the need to save on fuel costs. Empty runs account for 25-30% of the total runs made globally.

road transport in general (in terms of road safety and traffic efficiency) was held in Paris in early July 2018. The 5G Automotive Association (5GAA), BMW Group, Ford Motor Company and Groupe PSA - in association with Qualcomm Technologies and Savari announced Europe’s first live demonstration of C-V2X (V2X - Vehicle to Everything) direct communication technology operating across vehicles from multiple manufacturers.

and traffic management centres (TMC).

The technology is expected to be ready for commercial launch in 2020 when it will also be compatible with 5G. Six demonstrations included: emergency electronic brake light, intersection collision warning, across traffic turn collision risk warning, slow and stationery vehicle warnings, signal violation warning and vulnerable road user (pedestrian) warning.

VEHICLE TO EVERYTHING CONNECTIVITY A demonstration of where telematics is headed and how it can help fleets and

The demonstration highlighted the capabilities of C-V2X for vehicle-to-vehicle collision avoidance and vehicle-to-infrastructure (V2I) connectivity to traffic signals

Trials are currently underway in Germany, France, Korea, China, Japan and the USA.

LAY

Contact David Baudeweyns Sales Director dbaudeweyns@nexuscommunication.be

Thanks to our advertisers in this issue TAKE YOUR BUSINESS FURTHER Want to boost your bottom line? Start from the bottom up!

With the Duravis R660, you can be sure of a low cost per kilometre thanks to its outstanding mileage, high durability and great wet-weather performance. For safe, reliable and cost-effective operations, Duravis is the obvious choice.

Economy

Wet Control

Robustness

Bridgestone Europe

COLOPHON

For your nearest Bridgestone Authorized Dealer, visit our website www.bridgestone.eu

EDITORS Steven Schoefs – Chief Editor sschoefs@nexuscommunication.be Céline Gilson – Project Coordinator cgilson@nexuscommunication.be Benjamin Uyttebroeck – Journalist buyttebroeck@nexuscommunication.be CONTRIBUTORS Stijn Blanckaert, Tim Harrup, Frank Jacobs, Jonathan Manning, Alison Pittaway, Dieter Quartier, Fien Van den steen Pictures: ©Shutterstock

Examples of situations where vehicle-to-vehicle collision avoidance systems can help avoid accidents (source: Qualcomm).

66

Layout: Cible - www.cible.be

FLEET EUROPE #99

FLEET EUROPE #99

SALES & MARKETING David Baudeweyns – Sales Director dbaudeweyns@nexuscommunication.be

Laura Petit – Sales and Marketing Assistant lpetit@nexuscommunication.be

FLEET EUROPE

Saskia Lannau – International Key Account Manager slannau@nexuscommunication.be Daniel Savigny – International Key Account Manager dsavigny@nexuscommunication.be Vincent Degives – Marketing Manager vdegives@nexuscommunication.be Virginie Emonts – Sales and Marketing Assistant vemonts@nexuscommunication.be Aline Verpoorten – Internal Sales Assistant averpoorten@nexuscommunication.be

ADVERTISEMENTS SEAT (2), ŠKODA AUTO A.S. (4), Daimler AG (10-11, 22-23), Alphabet (15), Opel (19), Renault (31, 55), Geotab (35), Toyota Motor Europe (39), Sixt (41), Bridgestone (52), FCA (68)

www.fleeteurope.com Fleet Europe is published by Nexus Communication SA Parc Artisanal 11-13, B-4671 Barchon (Belgium) T +32 4 387 87 71 - Fax +32 4 387 90 63 contact@nexuscommunication.be

Fleet Europe Magazine FleetEurope

@Fleet_Europe

Fleet Europe is registered and copyrighted trademark.

Reproduction rights (texts, advertisements, pictures) reserved for all countries. Received documents will not be returned. By submitting them, the author implicitly authorizes their publication.

PUBLISHERS Caroline Thonnon – CEO & Head of Business Development Thierry Degives – CEO & Managing Partner