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Rental Fleet Sales Skating Just Above 2025 Levels
The U.S. economy's continued growth and positive business investment are creating a favorable environment for fleet vehicle demand.
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SEARCHMENUSEARCHThe U.S. economy's continued growth and positive business investment are creating a favorable environment for fleet vehicle demand.
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In August’s 50-city survey, rate quotes for the top 50 airports were down 4.7% from a year ago. The Northwest region had the highest rates, with Portland International Airport’s average quote at $75.52.
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At the third annual Auto Rental Summit, a new three-hour "fleet jam session" includes a market overview from Black Book's Ricky Beggs, a panel discussion on fleet trends and roundtables with access to fleet experts.
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In August, wholesale used vehicle prices (on a mix-, mileage- and seasonally adjusted basis) declined 0.7%, the fourth consecutive monthly decline, according to Manheim Consulting. ADESA also saw a decrease in wholesale used vehicle prices — down 0.4% compared to August 2013.
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According to ADESA Analytical Service’s July analysis, prices declined between June and July for virtually all model classes. Minivans and mini SUVs were hit the hardest, with price declines of 5.7% and 3.8%, respectively.
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Wholesale used vehicle prices (on a mix-, mileage- and seasonally adjusted basis) declined 1% in July, which resulted in a Manheim Used Vehicle Value Index reading of 122.7 — an increase of 1.5% from a year ago.
Read More →ALG, the benchmark for forecasting vehicle residual values, says a wave of newer vehicles will gradually bring resale values in line with prices before 2008’s economic downturn.
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In July’s 50-city survey, rate quotes for the top 50 U.S. airports were up $14.29 from $0.14 in June. All five regions were up substantially, but there were large differences in regional rates.
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This year, the challenges will be both new and old, making fleet planning now more important than ever.
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In the right situations and with the right fleet planning, car rental operators can save up to 20% on depreciation costs with used fleet.
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As a small fleet, how much can your company pay for a vehicle and still profit in a rate-competitive environment? Here are some tips to help work toward a holding cost that is 40% of revenue.
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