With competition in the business fleet market intensifying, the smaller fleet customer represents the untapped opportunity for fleet management and finance businesses to grow market share. There are 400,000 businesses operating fleets of under 20 vehicles, with these companies expecting to purchase 80,000 additional vehicles in the next 12 months.
However, few Fleet Management Organisations (FMOs) have been able to scale down their ‘high-touch’ models to cater to the needs of smaller fleets. These fleets are therefore self-serving vehicle acquisition, financing and management, which presents an added and unnecessary administrative burden and a distraction from core operations. Furthermore, fleet managers in these businesses often lack the expertise to estimate and optimise the total cost of fleet vehicle ownership.
Looking ahead, most small fleets do not fully grasp the potential implications of driver behaviour in the context of Chain of Responsibility, or how the AASB 16 accounting standard will impact their vehicle financing. The business case for investing in technologies, such as telematics, to help manage these compliance challenges, improve operational efficiency and increase productivity, is often hard to justify.
While smaller fleets undoubtedly represent a significant opportunities for suppliers of services to this marketplace there is an absence of insight about the size of the prize and how to unlock the opportunity. The inaugural ACA Research Small Fleet Insights Report is our response to this critical industry need for actionable insights. The report segments the small fleet market, and identifies their unique and diverse needs, motivations, attitudes and behaviours.
We know you will find the ACA Research Small Fleet Insights Report to be an insightful and valuable tool that supports your business decision making and helps you better focus your marketing activities.
Length: 61 Pages
Published: April 2018