News

EVs represent probably one of the single biggest technological changes in the car and leasing industry. Many questions are being asked by Arval’s fleet customers about the practicalities of operating these new vehicles. In order to help you, our expert from Arval Consulting answers three of the most common queries.

Today, 58% of the world’s population live in urban areas, a proportion that is forecast to increase to 70 % by 2050. This situation generates a lot of challenges such as air quality concerns, congestion, hours lost in traffic (around 163 hours per driver in Paris in 2019), time that could be  spent doing other activities…. All these concerns are increasingly emphasized after the lockdown period. 
More sustainability, a greener environment in the cities are the strong targets that all urban ecosystem strive for. Public and private actors work together in this direction. In our recent video, we have explained that Mobility as a Service could be one of the solutions.
However, would it be a question of thinking the city not in term of city planning but in term of urban life planning?  That is what the concept of the “15 minute- city” is developing. 

What does it mean?

We are one of the international specialists in vehicle leasing and new mobility solutions, and a carbon-neutral business, constantly reaffirming our commitment to CSR (Corporate Social Responsibility) through concrete actions taken at the heart of our business. It is therefore completely natural that, in the context of the Covid-19 health crisis, we have launched numerous initiatives to protect our employees, clients and drivers, but also to participate in collective efforts to support people on the front line in the battle against the virus.

“The last mile” is a term usually used to describe the final link in the supply chain – when an order makes its way from the distribution centre or a retail location to the end consumer.
Worldwide, city governments are battling against air quality concerns and traffic congestion by creating low emission zones, and implementing vehicle entry and parking restrictions.
Recent global trends, like low transport emissions and the e-commerce boom, have brought last mile logistics to the brink of disruption.

So what is this disruptive change that the last mile is facing?

Arval announced today that its Austrian subsidiary has signed an agreement with UniCredit Leasing (Austria) GmbH to purchase 100% of the shares of UniCredit Leasing Fuhrparkmanagement GmbH. A long-term exclusive cooperation settlement between Arval Austria and UniCredit Bank Austria is part of the agreement, allowing Arval to offer to the Bank’s corporate customers its fleet management and mobility services.

During the last few years, the number of LCVs has increased with the growth of last mile delivery as ever more shopping is carried out online. This trend has been reinforced during the Covid-19 crisis because of the explosion of online shopping due to the lockdown situation, without mentioning the delivery of services in city centers which require LCV usage.

With this significant increase, the challenges around last mile urban operations are becoming crucial for many companies. Congestion, air quality concerns, LEZ implementation and cost of the last mile are perhaps some of the main issues. However, all of these challenges represent real opportunities for OEMs.

What is the current situation? How are these challenges being managed?

Growing interest for electric vehicles and alternative motility solutions: Arval Mobility Observatory reveals its global Fleet Barometer 2020.

With a new plan in place until 2025, Arval, a global leader in full service vehicle leasing and new mobility solutions, and the Spanish CaixaBank through CaixaBank Payments & Consumer, the bank’s subsidiary specialised in consumer finance and payment methods, will continue to work together on mobility innovation and the development of new products and services for their customers.

In light of the various COVID-19 imposed lockdowns across Europe, all of the manufacturing plants and most of the dealer sites were closed.
Some OEM’s developed or enhanced their respective online purchase processes (such as PSA or Volvo).
Despite these initiatives there was still a significant reduction in new passenger cars registrations.

In the 5 major markets in Western Europe, the automotive industry is a strategic, industrial sector of their respective economies. That is why their governments have decided to support large stimulus plan in order to boost production and sales of vehicles with a strong focus on electric vehicles.

How do they intend to support the demand?