Survey Finds SMEs Throwing Away Money On Off The Road Fleet Vehicles

About The Authors

12th November 2013 11:38 - Automotive

New research carried out by Ford Retail has revealed that small and medium businesses are losing up to a massive £30,000 a year as a consequence of having vehicles off the road. With the majority (88%) of smaller businesses thinking they aren’t big enough for a fleet management service, when vehicles fail many are left stranded. This has a knock on effect within their business operations, with the time spent repairing them coming at their expense.

In the poll of 250 SMEs, the study found that a fifth (18%) are only allocating as little as £1,000 a year to manage their fleets maintenance, when in reality the research suggest the typical cost is closer to £8,000.

It was also revealed that on average, each vehicle spends four days a year off the road. This comes at a cost of around £200 in lost manpower and productivity. One in ten believes this figure is actually closer to £600 with a further six per cent claiming up to £800 a day is lost. The findings indicate that with an average fleet size of ten vehicles the loss is around the £8,000 mark a year. But for small business operating 21+ vehicles the cost could be more significant and for 11 per cent of SMEs could be around £30,000 a year.

The research suggests that for a large number of SMEs in the UK, instead of focusing on the company itself, Managing Directors are spending a large proportion of their time managing their fleet’s needs, this means the cost could be potentially much vaster than the budget allows for.

Alan Maloney of Ford Retail, said:

Our research reveals that many of the UK’s small businesses are seriously miscalculating the true cost of maintaining their fleets, large or small, and in most cases spending far more than is necessary. With so many wasting thousands of pounds a year in time and money, we would implore all small businesses to review their fleet requirements

Sign up for free insights from your sector…

Antispam code: 12263

Support Us..

We hope that you have found this article useful. This section is freely available for all to use. Please help support it by liking us or following us on our social media platforms:

Share this article..

For updated Automotive insights please follow us on @DJS_Automotive or use our RSS feed

Other Automotive Research Findings

Other Latest Market Research Insights

© DJS Research 2017