LeasePlan forms specialist task force to manage plummeting used car revenues

Auto leasing and fleet management firm LeasePlan has revealed it is forming a dedicated team with the sole purpose of preparing for operations after the pandemic, and ensuring the company would be able to continue capitalizing on the ownership-to-usership trend that has dominated the structural growth of the auto finance industry for the past 50 years. Tex Gunning, chief executive officer at LeasePlan, said: “This trend will be accelerated by our ongoing Digital LeasePlan transformation, which is enabling us to build a fully digital operating model, delivering digital services at digital cost levels.”

LeasePlan forms specialist task force to manage plummeting used car revenues

May 22, 2020

Auto leasing and fleet management firm LeasePlan has revealed it is forming a dedicated team with the sole purpose of preparing for operations after the pandemic, and ensuring the company would be able to continue capitalizing on the ownership-to-usership trend that has dominated the structural growth of the auto finance industry for the past 50 years. Tex Gunning, chief executive officer at LeasePlan, said: “This trend will be accelerated by our ongoing Digital LeasePlan transformation, which is enabling us to build a fully digital operating model, delivering digital services at digital cost levels.”

Major global downturn in traditionally powered vehicles may prove an opportunity for EVs

The British Vehicle Rental and Leasing Association (BVRLA) has announced a surge in battery electric vehicle (BEV) registrations at the end of 2019 in its Q4 2019 Quarterly Leasing Survey. According to the BVRLA, this rush of registrations was a contributing factor to the lowering of the average new lease car emissions to 113g/km CO2, the lowest level since Q3 2018. The market share of BEVs had grown by 750% compared to the same period the year before, now making up more than 4% of new lease car registrations. This helped to counteract the impact of the WLTP emissions standards, which had increased most petrol and diesel emissions by 10-20%.

Major global downturn in traditionally powered vehicles may prove an opportunity for EVs

May 20, 2020

The British Vehicle Rental and Leasing Association (BVRLA) has announced a surge in battery electric vehicle (BEV) registrations at the end of 2019 in its Q4 2019 Quarterly Leasing Survey. According to the BVRLA, this rush of registrations was a contributing factor to the lowering of the average new lease car emissions to 113g/km CO2, the lowest level since Q3 2018. The market share of BEVs had grown by 750% compared to the same period the year before, now making up more than 4% of new lease car registrations. This helped to counteract the impact of the WLTP emissions standards, which had increased most petrol and diesel emissions by 10-20%.

New mobility solutions primed for post-lockdown world

The announcement of a new collaboration in the mobility sector aims to boost the free-movement of essential workers at a time when the rate of adoption of mobility solutions is likely to be fundamentally affected by the ongoing pandemic. The collaboration between bike share operator nextbike, the Cardiff Bus app and its developer Passenger, has come at an unusual time in the industry when the nationwide lockdown is still underway.

New mobility solutions primed for post-lockdown world

May 19, 2020

The announcement of a new collaboration in the mobility sector aims to boost the free-movement of essential workers at a time when the rate of adoption of mobility solutions is likely to be fundamentally affected by the ongoing pandemic. The collaboration between bike share operator nextbike, the Cardiff Bus app and its developer Passenger, has come at an unusual time in the industry when the nationwide lockdown is still underway.

Europe

Fleet lessors becoming alarmed as falling used car prices threaten residuals

Apr 15, 2020

The challenge for the Western fleet leasing industry during the Covid-19 pandemic will be to manage the current volatility in the market whilst respecting the fact that there may be no short-term recovery in residual values (RVs). Fleets cannot stop the sale of used vehicles (particularly in a downturn). Whilst run-on strategies may happen, the economics of vehicle fleets mean that de-fleeting cannot stop 100%. Indeed, as leasing and rental companies’ customer demand shrinks, more units are forced to market.

Americas

PACCAR Financial Services reports record revenues

Feb 06, 2020

Assets at PACCAR Financial Services reached a record $16.07 billion last year as its portfolio grew to 208,000 trucks and trailers. The results include PacLease, a major full-service truck leasing company in North America and Europe, which has a fleet of more than 40,000 vehicles. PFS revenues were a record $1.48 billion in 2019 compared to $1.36 billion in 2018. Last year’s pre-tax profits were $298.9 million.

Asia Pacific

SG Fleet widens service offering in Australia through strategic investment in car subscription provider Collaborate

Dec 16, 2019

Vehicle leasing company SG Fleet has bought a stake in Australian mobility specialist Collaborate Corporation for $2.2 million to widen its service offering. Collaborate’s core businesses are its car subscription service ‘Carly’ and a range of peer-to-peer vehicle rental offerings. With Carly, users pay a monthly subscription fee to access any vehicle from the entire fleet available.