“The Journey Goes On #2”: Arval helps its clients navigate through the current challenges for the automotive industry

Arval launches a new campaign to support clients 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.

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 clients 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 clients 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. The semiconductor shortage is undoubtedly one of the most visible. But through talking to and working with our clients, we’ve found that there are also great opportunities out there to cut costs and accelerate the energy transition. We’re helping our clients compensate for delivery delays, take back control of their fleets, and make the changes that will have the biggest impact.”

- Shams-Dine El Mouden, International Arval Consulting Director

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 clients to extend their contracts or mileage limits. Also, since electrified vehicles are more widely available than traditional cars, Arval is helping clients accelerate their energy transition.

• Widening the panel of preferred brands. 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 clients minimize the TCO of their vehicles. Arval also finds ways to help clients cut costs, for example, by revising contract lengths or mileage limits. Arval even offers other solutions, such as mid-term rental.

• 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.

Read the white paper published by Arval Consulting with an overview of the current market and a range of solutions to help fleet managers.