PRESS RELEASE: OGILVIE Fleet Launches Standalone Rental Divsion As Demand For Short-Term Hire Accelerates
A continuing boom in short-term hire business has led to Ogilvie Fleet launching Ogilvie Rental as a standalone division within the multi award-winning contract hire and leasing company.
In recent years Ogilvie Fleet’s short-term hire business has been transformed into a £4.5 million a year operation - up around 27% on the previous 12 months - with an expectation that turnover will top £5 million in 2018.
The significant growth in business - rental days increased by around 30% over 12 months to 193,883 in 2016/17 from 147,655 in 2015/16 - is due to Ogilvie Fleet maximising short-term hires with existing contract hire and leasing company customers while also winning business in the wider marketplace.
What’s more Ogilvie Fleet’s dedicated Ogilvie Rental team has expanded to nine people from seven in the past 12 months and further sales people are due to be recruited. It is expected a new employee will join the team imminently with plans in place to recruit further over the next two to three years in the face of anticipated increased demand for rental solutions.
Additionally a dedicated Ogilvie Rental website has been launched - www.ogilvie-rental.co.uk - through which customers and prospects can discover a wealth of information including access to highly competitive hire rates.
Ogilvie Rental is able to offer customers a flexible short-term hire choice with access to 500,000 cars and commercial vehicles at more than 2,000 locations for periods ranging from just a single day to 12 months. Vehicles can be delivered within a two-hour timeframe if required.
The developments come more than 12 months after Ogilvie Fleet strengthened its daily rental business under the leadership of daily rental manager Ian Bennett with the appointment of Mike Yardley to the newly created post of daily rental sales manager. That development saw Mr Bennett relinquish sales responsibility and focus on daily rental operations and relationships with the supplier network.
Furthermore, the company has introduced its own fleet of around 130 vehicles - comprising early-terminated leased vehicles from a wide cross-section of makes and models - that enables it to also offer customers a flexible lease product: essentially a long-term rental solution with the ability to return a vehicle at any time without penalty.
Jim Hannah, operations director, Ogilvie Fleet, which has more than 15,000 company cars and vans on lease and under fleet management, said: “Our daily rental team has been phenomenally successful in building up the customer base to the extent that we now see the short-term hire business as a standalone division within Ogilvie Fleet.
“The personal service our team offers is key to the success we are achieving, alongside the very competitive rates we are able to offer due to our buying power and scales of economy, access to the entire UK short-term rental network and the flexible solution offered.”
Mr Yardley said: “Growth of the daily rental business has been a real team effort. Initially expansion was focused on maximising short-term hire with our contract hire and leasing customer base.
“However, we have in recent months pro-actively taken our daily rental service to the external market and we have won significant new business, particularly as a result of giving customers easy access to a much larger pool of vehicles than they could previously obtain.”
Additionally, said Mr Yardley: “Our daily rental team is able to access the widest possible selection of vehicles at very competitive rates which, allied to our award-winning customer service, is a win-win for clients. Our team manages the supply of vehicle hire through a single agreement and a personal service, with more than 17,000 rentals concluded per annum.”
Businesses are looking to Ogilvie Rental to fulfill a wide cross-section of short-term hire demands including:
- Replacement of a vehicle temporarily off the road
- Employees not benefitting from a company car requiring a vehicle for a specific journey and a desire by employers to reduce ‘grey fleet’ use - staff driving their own vehicles on business trips
- Vehicle provision for new staff during the completion of a probationary period of employment
- Employees visiting a UK-based business from sister companies located elsewhere in the world
- Seasonal demands, particularly for temporary sales staff recruited to launch new products
- Companies undergoing change perhaps as a result of a takeover or due to a major fleet review and a hold being put on new vehicle orders
- A company having axed their own pool vehicles due to occupational road risk considerations requiring occasional vehicles
- As a stop-gap measure for employees between the disposal of their current company car and prior to them taking delivery of their new vehicle.
- Car hire from UK airports to support domestic and international business travel.
Mr Yardley said: “Demand for short-term hire has been particularly strong as an alternative to ‘grey fleet’ use where employers want to make mileage reimbursement savings and limit the health and safety risks associated with employees driving their own cars on work-related trips.
“We are also witnessing particularly strong demand for short-term hire cars for staff during their probationary period and ahead of them taking delivery of a company car.”
Mr Hannah concluded: “The daily rental solution we are able to offer is a win-win for our customers in terms of both cost and service.”