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Category Archives: Business Mobility

Lifting the Lid on Business Mobility – Car Sharing

Lifting the Lid on Business Mobility – Car Sharing

As companies are being forced to reconsider the financial and carbon cost of employee movement, a wide range of service providers are disrupting the market and providing mobility solutions that are shifting the focus from long-term leasing and ownership, to usage and mobility.

One of those services is the development of car sharing.

Many companies have taken the concept of the company carpool, enhanced it with technology, and transformed it into a car-sharing scheme. It is the development of the technology that makes the creation of a sharing scheme much more attractive and effective than even 10 years ago, with advancements such as real-time app-based booking and keyless vehicle access.

According to Fleet Europe, the car-sharing market is expected to grow at an annual rate of 26%, with 18m users by 2020. The market is driven by the rental companies who have gone through a period of product development and acquisition to offer the majority of the corporate car sharing schemes currently available. DriveNow recently divested by Sixt, and Ubeeqo by Eurpocar, appear to be leading the market with penetration across Europe.

Car sharing is quite a step-change for companies and employees alike, and the introduction of schemes will always require careful planning and consultation. The main practical requirements are managing the optimum number of vehicles so that availability is never compromised. It is stated that 1 car share vehicle can replace up to 8 standard company cars, however, a study of travel habits and a detailed understanding of travel planning is needed before the correct ratio of vehicles to employees is introduced.

As company cars are still a powerful and emotional draw for employees, some providers mitigate this by offering an integrated car share and mobility credit allowance. This means a user can relinquish their company car and downgrade to a smaller car within a car share scheme. They have credit up to the value of their allowance that they use on the car share use, however, they can also use that for evening and weekend hire.

The “sharing” of the vehicle can be handled in many ways:

  • Station based – where the cars are centrally located and must be hired and returned to the same station.
  • Free-floating – where the cars are parked within zones and are located and unlocked via a booking app, after the journey they can also be dropped anywhere within a fairly widespread zone.
  • Intra-corporate – where businesses located within industrial /business areas collaborate and share vehicles between their employees.

There are two business models for developing a car-sharing scheme:

  1. Use technology to convert part of an existing fleet. Companies such as Ubeeqo offer technology to assist in this.
  2. Enlist the services of specialist provider such as DriveNow or Car2Go and make use of their vehicle fleet and booking app.

Car sharing is one of a number of mobility solutions that are being implemented by businesses across UK and Europe. To understand more about business mobility and what it could mean for your employee movements Fleetworx have created the ultimate guide to business mobility.

Fleetworx provide client-side support in the design and delivery of cost-saving and carbon-saving company car policies and mobility solutions. To find out how Fleetworx could help you review the mobility options in your business contact Graham Rees or Tom Osborne on +44(0)1926 353 300 or visit www.fleetworx.com

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Business Mobility: Everything you wanted to know about mobility (but didn’t know who to ask)

Business Mobility:  Everything you wanted to know about mobility (but didn’t know who to ask)

“Business Mobility” and indeed “Mobility” is a hot topic. Whole swaths of the fleet industry are refining their propositions around the term.  Leasing company’s such as Alphabet have repositioned themselves as “business mobility partners”, whilst the CEO of SIXT suggests customers are not concerned about their method of transport as long as they get quickly and conveniently to their destination.

But what actually is Mobility? And what does it mean for your business?

Traditionally, company car fleets have been the answer to a company’s employee mobility requirement. But as the approach to mobility is drawn into sharper focus, the company car is rapidly becoming only one part of a broader mobility mix.

Several key macro factors are influencing the mobility landscape across Europe and the market is responding with a raft of mobility start-ups and new product development from mature suppliers. The very real threat of vehicular access bans within inner cities is forcing companies to reconsider how their people move around their territories. This, coupled with the changing attitude of the millennials (under 35) toward mobility, has resulted in mobility products based around reducing the size and number of cars and switching people into car sharing schemes, public transport and cycling.

Mass digitisation of society has also influenced the way in which people travel, and the introduction of Mobility as a Service (MaaS) has allowed travellers to consider transport as something they purchase when it is needed, rather than having permanent car ownership. Indeed, a recent study by ALD found that 50% of Europeans consider car ownership as non-essential.

In addition to the changing attitudes of society at large, several market forces are also influencing the way in which companies are dealing with mobility. The reduction of cost is an ever-present challenge and understanding the efficiencies of how a company moves its people is essential to this task. Reviewing total cost of mobility, rather than managing the car fleet in isolation and reviewing total cost of ownership, is an increasingly popular practice among many European companies.

The review of the mobility category as a whole, rather than in silos of car fleet, business travel and expenses, also helps a business calculate its total CO2 emissions attributable to transport, as well as understand the efficiency of travel and employee productivity.

Recruiting the brightest new talent remains very difficult and as the younger generation move into more senior positions, new mobility solutions can exploit their changing attitude and be used as an attractive recruitment tool.

Although there is a noticeable market shift toward mobility, many organisations still do not understand what it means and how it can help their business. To assist companies with this change Fleetworx have created a straightforward guide to the services that make up business mobility, what it means for your business and how to introduce it.

To get your free copy of this Ebook click here or call Graham Rees or Tom Osborne on 01926 353 300 to discuss how mobility may work in your business.

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