According to an old saying, “you never get a second chance to make a first impression”. This conventional wisdom applies to the impact of rental fleet vehicles on residual automotive values. Earlier rental cars and car rental in Dubai had an earned reputation of buying and putting into service very basic, stripped-down models. And, anybody who was driving around in a sedan that had manual rollup windows, you could safely conclude your acquaintance had purchased the vehicle from rent a car in Dubai inventory. In the present scenario, however, the realities around the rental fleet are much different. Thus, the rent a car companies continue to buy and sell millions of cars each year.
Rental companies are now buying vehicles that are actually desired by consumers. It is quite evident that buyers in the rental fleet have proactively included greater numbers of car models in their fleets. So, there is a much better mix of trim levels, and the days of going to a rental branch and seeing rows and rows of basic beige sedans appear to be over. The consumers of current times who prefer to rent cars from rent a car have much better access to a much wider range of choices. At the same time, they have a greater ability to compare and contrast price and features quickly and cost-effectively.
The rental companies have discovered that there is an important opportunity emerging on the back-end of their vehicle lifecycle management strategy. The strategic investments in fleet mix are ensuring that car auction houses are not flooded with a thousand of the same generic vehicle model rather they are only selling vehicles that consumers actually want to purchase for themselves.
This has brought about a positive impact in several ways such as:-
Strengthening the Residual Values - The residual values are always stronger when you have the correct level of supply and demand to address the different demographic segments, as far as the used vehicle market is concerned. Going by the concept of diversifying the mix, the rental fleet managers have stopped oversupplying the low-end of the market to address the needs of more consumers. This is certainly having a very positive effect on the overall residual values.
Strengthened and Improved Relationships with OEMs - The rent a car Dubai companies have always had a special relationship with car manufacturers. This relationship has now improved as OEMs work hand in hand with car rental in Dubai fleets to meet the needs of different car renters. Not only the rental companies have become more competitive and profitable, it is also creating a particular environment for OEMs by availing them with early bird insight into what consumers want.
Strengthened Relationships with Dealer - As a result of a more diversified portfolio of vehicles, there has been a boon for dealers. Now, they have the opportunity to buy clean, late model rental units that have been well-maintained with service records. These are not the car models of the past, but desirable examples packed with the latest technology and best safety features. These are the kinds that consumers really want in the marketplace today.
Educate Consumers on the Value of Rental Fleet Resales - The rental fleets receive exceptional maintenance while they are in service. This is something that the pros in the industry have always known while consumers do not know. Also, the rental cars have been critical assets that are valued and well cared for. Not only have these vehicles been well maintained, but most of them tend to remain under manufacturer's warranty and eligible for Certified Pre-Owned programs.
Furthermore, to maximize residual value, use guidebooks to determine which vehicles within your specifications project the best residual value, choose options that have the most demand at resale such as air conditioning, power windows and automatic transmissions. The operators with a fleet card can order new vehicles directly from the factory to take advantage of fleet-specific rebates and early production discounts. Also, avoid major collision repair, though paintless dent repair is generally cost effective, and try selling at the right time.