sadlier shaun 400

Companies see mobility solutions as value-added services to support their vehicle fleets, rather than a service that will replace them, new research shows.

Only a minority of companies say they are ready to give up all or part of their fleet for alternative mobility solutions, although a substantial proportion say they are already using some mobility services or would consider them in the next three years to supplement their fleet.

The pan-European survey of nearly 4,000 transport executives was conducted by the Arval Mobility Observatory. Shaun Sadlier (pictured), head of the observatory’s UK arm, said: “What is clear above all is that the company car looks set to remain the core transport method for the foreseeable future.

“While decision makers and employees in organisations are interested in mobility solutions, it appears that the vast majority see them as supplementing or being a partial alternative to the traditional fleet.”

Company cars 400

The research also shows a difference in appetite for mobility solutions depending on a company’s size.

For example, only 3% of businesses with fewer than 10 employees opt for car sharing compared to 14% among companies with 1,000 or more employees.

Sadlier added: “We have been saying for some time that a mixed provision model is most likely to develop in the majority of businesses, where a range of mobility solutions are used alongside company cars with employees using the most appropriate form of transport for each journey.

“Over the next few years, as more fleet managers become mobility managers, one of the most interesting developments will be the process that businesses undergo in learning how to use mobility options in the most effective manner.”

The research identified key reasons why drivers are reluctant to give up their company cars, with most mentioning the convenience of having a fully serviced vehicle available for their exclusive use.

The report also detailed the main challenges for fleet and mobility managers in the next five years, with most concerned about increased congestion caused by lack of road infrastructure, rising taxation and unclear government transport policies.

Sadlier said: “When we talk to fleet and mobility managers, there is a general level of concern at the condition of existing roads and the impression that they are not being used to their maximum efficiency.”

Arval operates in 29 countries worldwide and manages a total leased fleet of 1.2 million vehicles.

Proportion of companies ready to give up all or part of their company car for alternative mobility solutions

 All Fewer than 10 employees10-99 employees100-999 employeesMore than 1000 employees
Car Sharing 7% 3% 7% 8% 14%
Ride Sharing 9% 8% 9% 10% 10%
Mobility Budget 8% 6% 9% 7% 13%
Private Lease 11% 8% 7% 10% 20%
Mid-term Rental 7% 2% 4% 6% 19%

Fleet Finance E-bulletins

Sign up to receive an e-bulletin when we post new Fleet Finance articles

You can unsubscribe at any time with one click.