December 2018 More cars under ‘professional fleet management’: what will this mean for the aftermarket?
In the past, the ICDP team has regularly assessed the trends in fleet and leasing sales, generally in a B2B context, i.e. focusing on vehicles sold to ‘non-private’ customers. We’ve also covered the various attitudes of professional users regarding the way they were managing their aftersales needs, and notably on how they were splitting the different operations between OEM-franchised workshops and independent ones, including independent repairers and chains. For the first stage of the update to our research on the fleet and leasing aftermarket in 2018, we’ve adopted a slightly different angle for our investigations. The objective was to consider the potential impact of cars ‘under professional fleet management’ on the aftersales business. This therefore encompasses the fleet and leasing market in a business to business context, but also the parc held by private customers who have purchased cars with bundled lease schemes / service plans. In other words, we’ve analysed the size and trends of the market for which ‘drivers’ are not free to select the repairer where the car is repaired and maintained, and where an entity is directing part or all of the aftersales flows towards selected garages. The webinar was structured around 4 main topics:
The first topic dealt with the development of fleet and leasing new car sales in the EU top 5 markets. This covered not only the sales to professional users, as already analysed by ICDP in the past - e.g. sales to contract hire entities, to companies - but also the sales to private consumers, in the context of a development of ‘managed aftersales’ - e.g. Personal Contract Purchase schemes, and more generally bundled lease schemes, covering part or all of repair and maintenance operations over the leasing period
Secondly we gave an overview of car technologies and telematics tools. Could these be efficient levers to get motorists more captive and increase their loyalty in aftersales, towards OEM-franchised workshops?
Our third section focused on the effective number of cars with managed aftersales in the parc today, and the possible evolution at the 2025 horizon. In order to do so, we set a dedicated simulation tool and took the French market as a basis for the first step
Finally, we conclude the webinar by analysing, from a broader point of view, the elements impacting the development of managed aftersales schemes in the OEM and IAM channels, and the potential implications – and questions – that such a development may generate for traditional aftersales operators, as well as for car distribution in general