One of the most difficult things with running a multi-franchise fleet operation is managing the manufacturer’s expectations for when a model will be registered and when a leasing company wants their driver to get the car.

It takes a huge amount of effort and understanding from Holdcroft Fleet’s team to manage expectations correctly.

Manufacturers will often want cars registered to hit a specific target for a month and it becomes a juggling act between that requirement, holding the stock and delivering it at the right time for the company car driver. Holdcroft Fleet has to make sure those expectations and dates all line up.

“You’ve got to have a good process with forecasting and setting expectations when you take the sales order,” said Pearson.

“Most manufacturer systems will give you the opportunity to specify when the customer will actually need the vehicle. You might be able to get it in six weeks, but customers are ordering early now because they know there are long lead times on new models.

“We have people ordering now that don’t want the cars until September. Manufacturers see the order has come through so there is an expectation that it should be registered. We have to set the expectation that it can’t be registered until September. It comes down to good communication.”

 

Running fleet operations as a non-profit centre

One of Holdcroft’s more radical ideas is running its fleet operation as a non-profit centre. The focus is solely on the customer and the profit from each fleet sale is portioned out to the dealer that made the sale.

Holdcroft manages the administration and delivery of the vehicle, while the dealerships get the profit. Pearson charges dealerships an internal administration fee on a per unit basis, but this is just to cover costs for the operation. The dealerships get the registrations and the bonuses that come with them.