Paul Turner argues that the dynamics of the vehicle leasing
industry and the relationship that lessors are having with their
customers is changing.
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Leasing companies in the bottom half of the Fleet News FN50 list
are increasing their share of the fleet sector. When the increasing
impact of the brokers’ networks funded by banks is included, then
companies running business vehicles have never had more choice of
suppliers and funding options available.
So how does a fleet buyer distinguish one supplier from
another?
Price less important?
Increasingly, price has become less of a deciding factor for
many smaller companies (sub-500 fleets). Whilst even the corporate
fleets, through the use of procurement departments, demand
competitive pricing, they are also charged by management teams to
consider other factors such as the quality of a supplier’s
sub-network of repairers, and how these sub-contracted elements are
managed.
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By GlobalData In addition, the importance of getting the basics right is
illustrated clearly in table 1, which shows that responding to
quotation requests and keeping drivers updated with progress on
orders are two of the most important satisfaction drivers.
Factors such as lessors’ brand image and their ability to offer
proactive account management are diminishing as elements of the
supplier/customer interface are automated, or available to both the
fleet manager and a company’s driver via dedicated fleet management
web portals.
The future
So how does a supplier maintain the right level of personal
contact with its existing customers and convince prospective
customers to choose their services, if price is not an overriding
issue?
Research conducted by apd has clearly highlighted that
suppliers who are able to measure their performance and demonstrate
how they are meeting and exceeding customers’ expectations have a
greater likelihood of increasing retention ratios and winning new
customers.
The use of independent research companies to carry out these
measurements has become increasingly popular as a way to
demonstrate to customers that an investment has been made in the
use of independent agencies to monitor performance levels and
assist in identifying performance shortfalls.
The most progressive and increasingly successful fleet lessors
now measure both customer and driver touch-points through blended
proactive research programmes that include online surveys and
telephone interviews.
Prompted not by an obligation to seek feedback, these programmes
are event-driven and conducted rapidly to increase the opportunity
to manage any dissatisfaction expressed, so that ultimately deliver
a superior experience is delivered to the customer and their
drivers.
As the pendulum, due to the current economic situation, forces
customer to review their supplier arrangements, those who can
demonstrate they take CRM seriously will be best placed to increase
the size of their managed fleets.
The author is managing director, apd research &
development
Motor Finance Issue: 45 – July 08
Published for the web: July 24 08 16:35
Last Updated: July 25 08 9:17
