Home > Profile > ARVAL INSIGHTS > International Company Car Policies Benchmark 2018

International company car policies benchmark 2018

International company car policies benchmark 2018

Tuesday, March 27, 2018

New Arval benchmarking study provides insight into international fleet priorities

 

New research from Arval is providing what is believed to be a unique insight into the priorities of fleets that operate on an international basis.

Called “International Company Car Policies Benchmark 2018”, it is the result of a detailed comparison of the international fleet policies of 20 businesses who together operate 35,000 vehicles and work in sectors as diverse as pharmaceuticals, electrical equipment, IT and communication, and food and beverages.

The findings are broken down into seven areas. Here are some of the most interesting.

Governance – we looked at who defined fleet policy and found that, in 44% of cases, it is shared between two functions, most of the time being human resources and procurement departments.

Contract terms – results show that the most common terms to set fleet replacement cycles, run quotes and calculate budgets are 48 months/150 000 or 160 000kms.

Eligibility – we analysed company choice list structures and found that around half of all fleets offer four or five levels. Only a handful operate more than six.

Vehicle selection – what is the basis on which vehicles are added to choice lists? Budget was named by 48% of fleets and a combination of budget and selection list by a further 24%. Half of fleets operate cars from four manufacturers and, while 81% allow drivers to trade down to a lower cost car, only 37% allow them to trade up.

CSR and sustainability – our findings show that 50% of international policies include a section on CSR and sustainability, with 86% of fleets setting a CO2 cap.

Fuel purchasing and reimbursement – we analysed which fuels were allowed to form part of the fleet and the highest response, with 39%, was for a combination of diesel, hybrid and electric.

Safety – 68% of fleet policies include safety provisions and the top three enforced rules are based around the use of seat belts, mobile phones and driving under the influence of alcohol or drugs.

Hervé Girardot, Arval Head of Consulting and Corporate Vehicle Observatory, said: “We are really happy to make the findings of this fleet benchmarking exercise generally available – it was a long-term, yet exciting project on which to work.

“The results are, we believe, interesting reading for anyone who is involved in the fleet sector, providing a detailed overview of the policy thinking of fleets that operate on a pan-European and global basis.

“Certainly, we’ll be incorporating some of the more interesting ideas and trends identified through this document in our future consultancy work with our many international fleet customers. We expect it to prove very useful.”

 

To download the full version of “International Company Car Policies Benchmark 2018” please follow this link.