Fleet News

Car supermarkets chase fleet business

CAR supermarkets are vying for more fleet business after one fleet used the alternative route to save £65,000 on the cost of replacing its fleet.

Weedfree, a weed control group, claims it has saved an average of £4,000 per vehicle by going to car supermarket Motorpoint rather than to a franchised dealer.

Motorpoint pledges to offer prices between 30% and 60% lower than typical dealer prices on models such as Ford, Citroen, Fiat, Vauxhall, Volkswagen and Mercedes-Benz.

Nick Andrews, managing director of Weedfree, which has a 32-vehicle fleet, said: 'This is the first time we have used this method of acquisition. We have been enjoying a period of sustained growth which led to the decision to invest significantly in a new van and car fleet, a vital element for our business.

'However, we were surprised by the prices available from car supermarkets and the savings we achieved can be invested elsewhere. 'We also got an extended warranty of three years.'

Motorpoint imports the majority of its vehicles from Europe, all of which it insists have the same or better specification than UK vehicles.Its services for business users include the offer of funding options through leasing companies and banks.

The firm currently has three depots in Derby, Burnley and Glasgow and estimates it has total sales averaging 1,000 vehicles per week, with a fifth of this attributed to fleets. There are plans to increase the level of corporate business. Although the group says it is able to supply large fleets, it is focusing on those running fewer than 30 vehicles.

Dale Bywater, business and commercial sales manager at Motorpoint, said: 'Fleets of 25 or more vehicles get bonuses from the manufacturer which make them competitive. We do have the facility to cope with 50 cars but realistically we are targeting fleets with up to 30 cars.'

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