Fleet News

Specialists will lose out to one-stop-shops...

GROWTH of outsourced fleet management in the UK will continue but specialist companies may lose out to 'one-stop-shops' says a report.

MarketLine International's 'UK Fleet Management and Services' report says fully outsourced fleet management in the UK has grown 11.3% per year since 1992. The report estimates 328,000 fleet cars are managed by a third party and that while larger companies are increasingly able to set up in-house teams fleet management companies can still grow, particularly through deals with smaller fleets. The future market could accommodate specialists and all-rounders, but specialists may get less fleet trade.

The report's authors said 'one-stop-shops' offered a simplified outsourcing process, and customers are using them instead of specialists. 'Specialists will need to target niche sectors and act as back offices to maintain business volumes. There is likely to be a shake-out resulting in mergers and, potentially, failures. Bogus one-stop-shops will not succeed against superior specialists and high quality multi-service one-stop-shop providers.' 'UK Fleet Management and Services' is available from MarketLine on 0171 722 4030, priced £495.

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