The Journey Goes On #2: Arval helps its customers navigate through the current challenges for the Automobile industry
Rueil-Malmaison, 3 February 2022
Arval launches a new campaign to support customers in four key areas:
- Anticipating renewals and fleet extensions,
- Adapting sourcing strategies including diversifying OEM panel,
- Introducing connected services to help offset TCO increases,
- Accelerate energy transition plans
An automotive industry in turmoil
Arval, the European leader in full-service leasing and sustainable mobility solutions, is harnessing its over 30 years of experience and expertise working with a wide range of car brands to help customers manage their fleets. In challenging Covid-19 times, Arval's mission has been to keep its customers in business. In May 2020, Arval launched "The Journey Goes On #1", a campaign to help companies get employees back to the office safely using secure and flexible mobility solutions.
Today, rising prices, a shortage of semiconductors, and long delivery times have had a sweeping impact in recent months on corporate fleets around the world. Following a successful first campaign in 2020, Arval now announces "The Journey Goes On #2", a dedicated approach to help corporate customers to keep their employees mobile, face some of the inflationary pressures in the fleet costs and accelerate the electrification journey.
"Following the upheavals of the COVID-19 pandemic, our industry is again faced with an unpredictable situation and many challenges," says Shams-Dine El Mouden, International Arval Consulting Director. "The semiconductor shortage is undoubtedly one of the most visible. But through talking to and working with our customers, we've found that there are also great opportunities out there to cut costs and accelerate the energy transition. We're helping our customers compensate for delivery delays, take back control of their fleets, and make the changes that will have the biggest impact."
"The Journey Goes On #2": a targeted action plan
There are a number of meaningful changes that can be made to overcome the difficulties of the current climate. Arval is doing its part by offering a targeted approach based on the following key principles:
- Pre-empting delivery delays,, particularly when it comes time to renewing fleet contracts. To compensate for long delivery times, which can range up to several months to one year for some models, Arval is allowing customers to extend their contracts or mileage limits. Also, since electrified vehicles are more widely available than traditional cars, Arval is helping customers accelerate their energy transition.
- Widening the panel of preferred OEMs. With delivery times drastically increasing for some models, fleet managers are having to explore different options. With its expertise as multi-brand player, Arval is positioned to recommend the most appropriate options based on the availability of vehicles, its customers' budget, CSR objectives and employees' expectations, considering the current market.
- Monitoring the cost of ownership to help Arval customers minimize the TCO of their vehicles. Arval also finds ways to help customers cut costs, for example, by revising contract lengths or mileage limits. Arval even offers other solutions, such as mid-term rental and long-term leasing of used cars.
- Improving fleet management with connected solutions. Arval offers a tool that uses telematics technology to determine fleet needs in terms of motorisation and sustainable mobility solutions as well as calculate carbon footprints.
Arval Consulting has published a white paper containing an overview of the current market and a range of solutions to help fleet managers.