Arval launches leasing formula for second hand cars

Arval, specialist in long-term vehicle leasing and mobility solutions, will start leasing young and quality second-hand cars as from 15 September. Arval announced this at the start of 'Mobility Week' (16-22 September). Leased cars at the end of their contract get a second life.

“It is a flexible solution that makes car leasing accessible to private users. This new product fits perfectly within our evolution from car leasing company to sustainable mobility provider. Now that we are gradually returning to a "normal" work situation, more and more people need an immediate mobility solution. With Arval Re-lease, you have a car immediately at your disposal, which is handy when you can't wait months for the delivery of a still-to-be-produced car."

Jo De Bruyne, director remarketing at Arval Belgium

Arval is one of the market leaders in the field of operational leasing and leases some 85,000 cars to multinationals, large companies, SMEs, the self-employed and private individuals. Each year, Arval takes back about 20,000 cars whose contracts have expired, which are then sold on the international and national second-hand market.

However, the corona crisis has accelerated the evolution of mobility. The time has come not only to switch to electric driving, but also to look beyond the car.

It is in this context that Arval is launching Re-lease, initially only for private customers. It is in preparation to make electric cars more accessible to a wider public in the future, while at the same time contributing to a circular economy.

Today, about 4% of new registrations in Belgium are 100% electric, while 8% of Arval's registrations are 100% electric vehicles, and orders for electric vehicles are increasing month after month. At the end of the contract, Arval will place these electric vehicles on the second-hand market and, thanks to Arval Re-lease, they will have a second life in an accessible formula for private individuals.

Following a rigorous selection procedure - based in particular on the mileage and general condition of the car - the best vehicles are thus offered for sale again in a leasing formula. A selection of these models can be viewed at autoselect.arval.be.

The second-hand lease cars are between 0 and 5 years old and have a maximum of 130,000 kilometres on the clock. The range includes both smaller family cars and genuine premium models, with thermal or electrified engines. The contract period for such a used lease car is usually shorter than for a new lease car (so you can change cars more quickly) and the lease amount per month is on average 30% lower. But the benefits are the same as for a lease of a new model.

"Our formula includes the lease price, taxes and duties, maintenance and repair costs, summer tyres, BA+ insurance (civil liability, legal assistance, driver insurance and breakdown cover throughout Europe. So that is comparable to classic lease contracts. Moreover, you don't have to wait long at all, because all the cars in our range are in stock. For a new car, you have to be more patient because it has to go through a production and delivery process."

Jo De Bruyne, director remarketing at Arval Belgium

Arval's new offer also meets the needs and desires of a new generation of car drivers. Today's young people expect more flexibility and are less attached to owning a car than older generations. Ease of use is paramount. Rather than waiting months for a new car, they can now lease a used model at a competitive price.

"This formula is very flexible. Young people are often unwilling to put a large amount of savings on the table or take out a loan to buy a car when they don't know what the future holds. Instead of making a long-term commitment, young people opt for a simple solution to which they can subscribe for a short time. Leasing a young second-hand car fits in perfectly with this."

Tony Peetermans, head of marketing at Arval Belgium

Arval's ambition is to eventually become the market reference for sustainable full-service mobility solutions, rather than focusing solely on operational leasing.

"We want to offer our customers simple, smooth and complete mobility solutions that are perfectly tailored to their needs. Our ambition is to accompany our customers on their journeys, regardless of the mobility solution and the stage of life they are in. There is a mobility solution for every type of journey. Sometimes the best solution is still the car, sometimes it is the train or the bus, sometimes it is better to walk or cycle, sometimes a combination, sometimes the best option is perhaps not to make the trip at all."

Tony Peetermans, head of marketing at Arval Belgium

In addition, Arval wants to reduce its impact on the environment, use sustainable energy sources and advise and train its customers and suppliers to reduce the carbon footprint of their mobility solutions. Sustainability is an integral part of the company's DNA and is integrated into its daily operations.