Mazda fleet sales see rise
November 13th, 2009 by Richard Aucock
MAZDA is selling more cars to fleets, as businesses respond to list price increases from many manufacturers.
The firm says its ability to manage price rises through 2009 has seen it win a big boost in fleet forward orders.
These are up 19 percent, compared to an 11 percent decline across all car makers.
‘The significant price rises by some of our rivals, and our ability to keep price increases to an absolute minimum, is benefiting company car drivers,’ said fleet and remarketing director Peter Allibon.
‘Companies are not going to allow fleet costs to rise significantly in order to keep drivers in similarly specified cars, particularly in the current economic climate.
‘Additionally, drivers are not prepared to see their benefit-in-kind tax bills escalate to any great extent as a result of new car price rises.’
Mazda says its price rises are as low as 4.5 percent in 2009. Collectively, rivals have put up prices by around 12 percent.
With companies using either P11D values, on-the-road prices or monthly contract hire rates as the basis for choice list rates, some makers are falling out of favour.
In some cases, they are so great, cars have actually been struck off customers’ company car chooser lists. This means companies will NOT sanction their sale, and not offer them on choice lists for drivers.
That’s why Mazda’s net fleet forward orders show such a pronounced rise. Simply put, said Allibon, a reflection of Mazda’s more stable pricing regime.
It is an interesting trend – normally, car makers like to play down fleet sales. Does this signal Mazda’s intention to grow market share by promoting itself to the fleet sector? And if so, what will the implications for car dealers be?