Businesses still unlikely to ditch company cars for “mobility solutions”

Company carsremain the number-one mode of transport for businesses with fleets, with thevast majority showing little appetite for alternative “mobility solutions”, accordingto Arval’s recent Mobility Observatory.

During itslatest Mobility Observatory, some 3,930 business owners with fleets werequizzed on whether they would consider giving up their company cars in part orin full, to be replaced by a host of alternative arrangements.

When askedwhich alternative mobility solutions would be preferable to their businesses,just 7% of business owners said they would “probably” or “certainly” choose carsharing. Meanwhile less than a tenth of fleet owners said they would chooseride sharing (9%), mobility budgets (8%) and mid-term rentals (7%).

In addition,just 11% said they would “probably” or “certainly” opt for private leasevehicles instead of their existing fleets.

The surveydoes however highlight a shift in attitudes towards mobility solutions betweensmall and large businesses. Only 3% of small business owners with less than tenemployees would consider car sharing, while 14% of employees with 1,000 or morestaff would do so.

In terms ofreasons why fleet owners are unprepared to consider giving up their companycars, 16% of respondents said that they still offered the easiest form ofmotoring for employees. Meanwhile 14% said that not having to finance their ownvehicles was the biggest benefit.

One-in-tenbusiness owners like the fact that fleets offer no risk of ownership, while 8%said the biggest benefit was taking deliveries of new models everythree-to-four years.

ShaunSadlier, head of Arval Mobility Observation in the UK, said: “There is a lot ofdiscussion in corporate circles about mobility solutions at the moment and ourresearch shows that interest is high. As a provider, we believe that there isconsiderable potential for these products.

“What isclear above all, though, is that the company car looks set to remain the coretransport method for the foreseeable future.

“Whiledecision-makers and employees in organisations are interested in mobilitysolutions, it appears the vast majority see them as supplementing or being apartial alternative to the traditional fleet.

“The reasonsfor this are simple, we believe. Some of them are revealed in our research byshowing how much employees value having a company car and the benefits itbrings. The other is that, when a typical multi-stop journey is undertaken, acar is literally the only practical option.”