What happens to corporate cars?

What is the life cycle of a corporate car fleet? How do companies choose their vehicles? And most importantly, what happens to them once they are decommissioned? In this article, we will try to answer all these questions and identify an opportunity to give these vehicles a second life.

How many corporate cars are there in Italy?

The latest Fleet Barometer 2023 published by Arval, which involved over 8,000 respondents in Europe, including 300 in Italy, reveals that 48% of companies have a fleet consisting of 1 to 9 vehicles, while 16% have a fleet of between 100 and 999 vehicles.

In general, it emerges that Italian companies consider corporate cars to be an important resource. According to Arval’s report, 72% of the companies surveyed expect their fleet to remain stable over the next three years, and only 5% anticipate a possible decrease in the number of vehicles.

Companies expecting to grow their car fleet make up 21%, driven by two main reasons:

– business growth and development of new activities (85%)
– using cars as a leverage to attract new talent (44%)

How do Italian companies choose their vehicles?

The report published by Arval reveals the main ways companies select the cars that will make up their corporate fleet. 54% of the companies involved rely on dealers through direct knowledge, while 56% depend on leasing or rental companies. Possible alternatives include word-of-mouth, comparison websites, brokers, banks, social media, or industry fairs and exhibitions.

Duration of a vehicle in a fleet

The duration of a car within a corporate fleet can vary significantly depending on business needs and market conditions. According to the latest edition of the Corporate Fleet Barometer published by Arval, in Italy, a car has an average stay of 5.2 years in a corporate fleet, slightly less than the European average, which is around 5.7 years.

What happens once they are decommissioned: the sale of used corporate cars

Generally, cars that are decommissioned from a corporate fleet are replaced by leasing or rental companies and resold to private individuals. Used corporate cars represent an interesting opportunity for those seeking a quality vehicle at a reasonable price. Thanks to regular maintenance and professional care, these vehicles often retain excellent residual value, making them an attractive choice for potential buyers.

The remarketing channel

One of the most common channels for selling corporate cars is undoubtedly remarketing. Through targeted strategies, companies can maximize the value of their used car fleets, reaching a wide range of potential buyers and accelerating the sales process.

Both private individuals and businesses seem to increasingly realize the opportunities offered by remarketing, as confirmed by the growing numbers reported in the latest ANIASA report.

An opportunity not to be missed

Remarketing is the ideal strategy for reintroducing unused vehicles into the market while reducing the maintenance costs of non-operational fleets. Furthermore, for buyers, it is the right opportunity to choose a well-maintained and certified vehicle from the rental company.

By collaborating with specialized partners in automotive remarketing, excellent results can be achieved, optimizing the sales process and minimizing the downtime of vehicles.

Escargo offers a comprehensive remarketing service that includes the refurbishment of used vehicles and their introduction to the market for sale. Choosing our services means working with a single contact capable of providing all necessary interventions, from repairs to professional photography services.

Our remarketing services include:

– servicing
– polishing
– tire changes
– mechanical repairs
– windshield replacement
– painting and photography services

Are you looking for someone to prepare your cars for resale? Contact us to discuss.