Plans for prestige medium term rental fleet announced by Meridian Vehicle Solutions
Plans for the launch of a
new prestige medium-term rental fleet later this year have been announced by
Meridian Vehicle Solutions.
The company intends to offer what it describes as a range of ‘director level’
saloons, estates and SUVs on rentals of three-six months, starting in Q3 or Q4
Phil Jerome, managing director, explained: “Most of our existing fleet fits
into what we describe as the ‘semi premium’ category in our marketing material.
However, we find considerable success with cars that stretch this description
some way upwards, such as the BMW530e, which most people correctly perceive as
a genuine prestige product.
“What we plan to do is build a relatively small but carefully chosen,
tax-efficient fleet that uses models at the level of the 530e as a bottom rung
and then builds upwards, providing the kind of cars that would be seen on the
top tier of a fleet policy in a major corporate.
“Rental provision for vehicles in this class are relatively poor. Some
mainstream rental companies do occasionally offer vehicles of this type but the
rates that they charge for a week would be similar to where we plan to price a
monthly rental, so we very much believe that there is a place in the market for
the kind of product that we are planning.”
The main reasons driving customer need for medium term prestige vehicle rental
would be the same as for any other kind of company car, Meridian’s research
Mr Jerome said: “At the top level of fleets, the need for medium term cars is
much the same as elsewhere - for fixed term contracts, for probationary periods
and where there is a desire to roll over shorter terms contract rather than
sign a three-four year lease.
“In some companies where the directors are also owners of the company, we would
also expect to see what you might call medium term ‘lifestyle rental’ -
choosing to operate a luxury SUV in the winter months and switching to
something sporty in the summer.”
He added that often-excellent buying terms and strong residuals meant that
vehicles at this level could often be supplied at surprisingly competitive
“As ever in vehicle rental, the core of the business is always about buying and
selling at the right prices. Our research into this area suggests that there is
a very sound business case.
“Most of these vehicles are manufactured in low volumes and go straight back
into the franchise dealer network where they are remarketed very carefully.”