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How can vehicle rental brokers reduce costs and save time?

How can vehicle rental brokers reduce costs and save time?

Posted by Thomas Spanhaak

Vehicle hire has been one of the most complicated methods of temporary transport for a long time. However, modern vehicle rental brokers have managed to change the reputation of the rental industry.

Fownd have delivered creative solutions for my business within very tight time constraints. They identified real value creating solutions to assist me in solving major challenges for my clients. It has been a pleasure doing business with them.

Nigel Lambourn
Contract Director
Industry: Distribution

The vehicle rental industry in the UK consists of many vehicle hire brokers but few specialise in the business-to-business market. As their popularity increases, more and more businesses are turning to them for the convenient, hassle free experience they can provide.

What is a broker?

A broker is an intermediary between the customer and supplier. It can be compared to a stockbroker, as both buy on behalf of their customers. The only difference between a stockbroker and a vehicle hire broker is that there is no risk of losing your money with a vehicle hire broker! In fact, you are more likely to save.

How can it cost a business less to use a broker?

Vehicle brokers negotiate annual contracts with their suppliers based on a high overall spend and then pass the savings to their clients. The suppliers favour brokers as they can bring many individual accounts to them under one roof. Moreover, the brokers will arrange everything for their client which will save businesses time and man-hours.

How can they save businesses time?

Fleet managers, personal assistants or human resource departments are usually in charge of the business travel for their company. They either have the option to keep track of each individual vehicle hire company, with their different systems, terms and conditions and rates and sort out all the administration themselves or they can call a broker that can locate the optimal supplier. One supplier, one set of T's and C's, one fixed rate. They also take care of all the administration on behalf of the client, including invoicing, fuel and damage recharges, fines and traffic offences. The system used by Fownd can also give management information at the drop of a hat; P11D reports, vehicles on hire, reasons for hire, total spend etc.

Availability

Brokers will have suppliers for standard vehicles in most locations in the UK and should be able to have a car delivered within two hours. Specialist vehicle types (E.g. Motorbikes, driving school vehicles, refrigerated vans) can normally be supplied within 24 hours or less.

Service

By using a broker, you employ a whole team of people engaged in making the process seamless, stress less and efficient. In short you achieve the following:
• Reduction in rental costs.
• Reduction in the burden of managing the rental function
• Ease booking process for users
• Reduction in the time spent processing invoices, damage, fuel and other extra costs
• Reduction of on-going investment in internal infrastructure
• Delegation of mundane process

 

17/3/2015 

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