Fleet Lease Remarketing

Many organizations rely heavily on their vehicles for their day-to-day operations. Over time, these vehicles will lose value based on their mileage, condition and age. For an organization to manage their fleets effectively, they will need an option to sell their vehicles to further enhance and expand their current fleets. The good news is that it doesn’t have to be a difficult process. There are options available to successfully dispose of fleet vehicles. Learn how your organization can remarket your fleet.

What is Fleet Lease Remarketing?

Fleet Lease Remarketing is the strategic process of selling older fleet vehicles that have reached the optimal cycling point or the end of their useful life. Companies will utilize this option to recover a portion of the original purchase price by selling it.

By choosing this option, companies can benefit by:

Fleet Optimization: Swapping older, less efficient vehicles with newer efficient and safer models. This includes right sizing and right typing a fleet by retaining only the vehicles needed for each job. This in turn can increase productivity, produce a better fuel economy, and improve performance.
Improve Cash Flow: A cost-efficient option that can provide capital to be reinvested into the organization or towards newer fleet models or growing their business.

Preparing Your Fleet for Remarketing

Your organization can develop a plan that will be beneficial, based on your business needs. Here’s a few ways:

1. Evaluating Your Fleet

Ensure you have an accurate assessment of your fleet by creating an inventory and inspecting the current condition of each vehicle. Take note of exterior, interior, and mechanical conditions such as (but not limited to):

Exterior	Interior	Mechanical
• Bodywork • Glass (windows, mirrors, sunroofs) • Tire depth	• Upholstery conditions • Overall appearance of any internal surfaces and equipment	• Lights and signals • Engine/drivetrain • Brakes • Exhaust • Suspension and steering

2. Determine Fleet Market Value

Many factors contribute to used vehicle prices such as age, mechanical and physical condition, mileage, regional and seasonal market nuances, economic cycles as well as the current supply and demand. Also, organizations can use online marketplaces and vehicle value guides like Kelley Blue Book, Edmunds, or National Automobile Dealers Association (NADA) to get an idea of a vehicle's value.

Checking the retail marketplace by looking at current listings will give you an idea what your vehicle may bring. Be sure to adjust based on the condition of your vehicle. Remember, time also depreciates vehicles, so every day and week that goes by, your vehicle is older and loses value. It is best to put it on the money and sell rather than trying for too much and having to adjust down as the market drops.

3. Decide How to Sell Your Vehicles (Expand on method, with pros and cons of each choice)

In this next step, it is important to strategize and chose the one that makes sense for your business. With selling your vehicles, there are pros and cons to each method, they include:

	Private Sales	Direct to Employees	Dealership Trade-Ins	Auction
PROS	Opportunity to generate revenue from sales	Company vehicles can be a perk to retain employees; allows access to reliable transportation	Quickest option	Exposure to a wide range of potential buyers
CONS	Pace of sale – demand based on vehicle; support staff to manage sales and handle paperwork. Risk associated with potential buyer. Limit to number of sales per year without dealer license	Fairness can be questioned among employees. Pricing challenges. Post sale issues can cause employee engagement problems.	Potential lower ROI due to lack of competition. Professional buyer at dealership vs. Less knowledgeable seller trading in.	Uncertainty of final sale price and fees for both buyer and seller that affect net sale price.

Whichever option your organization decides, consider the occurrence of time constraints, staff bandwidth, and aligning with financial objectives.

Fleet Vehicle Remarketing vs. Fleet Disposal

Fleet disposal and fleet vehicle remarketing should not be confused as the same thing. Each can have its own set of outcomes. For example, remarketing is a strategic approach aimed at maximizing the net return of aging fleet vehicles. Fleet disposal is the focus of moving vehicles out of fleet as quickly as possible, often choosing speed over net return.

Enterprise Fleet Management

Enterprise Fleet Management leverages local account teams who work closely with Enterprise Mobility’s industry leading remarketing team for personalized service to fit your unique business needs. Our remarketers will leverage our large network of dealership partners, auto auctions, and car sales locations to ensure industry leading results while making the process of remarketing convenient for you. Enterprise Fleet Management is a full-service fleet management company, so we can help throughout the entire vehicle lifecycle, freeing up your time to focus on your business.