Arval aims for 9% growth in 2019
In 2018, Arval's leased fleet grew by 8.2% to 1.19 million, thanks to strong organic growth. The lease company's annual report also provides a look ahead at growth opportunities for the coming year.
A fully-owned subsidiary of BNP Paribas, Arval's centre of gravity is France, where the company realised 5% growth last year. Arval also scored well in other key markets, the UK, Spain and Italy (see below). Further afield, excellent regional results were noted for the Benelux (+12%), Southern Europe (+16%), Central Europe (+14%) and the Nordics (+25%).
Some key figures. In 2018, Arval:
- Operated in 29 countries
- Had 7,000 employees (1,400 in France)
- Managed 1,194,000 vehicles, an 8.2% increase over 2017 and double the 2008 fleet (320,000 vehicles in France, +5%)
- Ordered 353,000 new vehicles, a 9% increase (91,000 in France, +5%)
- Sold 254,000 used vehicles, a status quo (77,000 in France, +11%)
Besides France, the countries with the biggest Arval fleet in 2018 were:
- Italy: 199,000 vehicles (+8%)
- UK: 169,000 vehicles (+5%)
- Spain: 122,000 vehicles (+19%)
- Germany: 74,000 vehicles (+5%)
- Belgium: 66,000 vehicles (+13%)
- Netherlands: 40,000 vehicles (+9%)
- Poland: 28,000 vehicles (+24%)
- Brazil: 23,000 vehicles (+3%)
- Turkey: 22,500 vehicles (+2%)
- Czech Republic: 20,000 vehicles (+9%)
Arval’s Latin-American presence extends beyond Brazil into:
- Chile (6,000 vehicles) and
- Peru (3,000 vehicles).
The company’s other non-European markets are:
- China (4,000 vehicles),
- India (3,700 vehicles) and
- Morocco (7,000 vehicles).
Arval also manages 12,000 vehicles in Russia. Other important European markets include Switzerland (12,000 vehicles) and Portugal (11,000 vehicles). Arval’s smallest footprint is in Norway, where the company managed just 179 vehicles last year.
Last year, Arval grew across all corporate customer segments: SMEs +17; Corporates and Public bodies +4%. Arval's international clientele grew by more than 7% and now represents more than 25% of overall business.
In 2018, Arval rolled out its offers for private customers throughout Europe, increasing its private-lease business by 45%. In the Netherlands, Arval launched an online car store for private customers. The goal is to introduce this qualitative customer experience across several countries in 2019.
SmaRT, EV and Me
Some other Arval offers rolled out in 2018:
- SMaRT: short for Sustainable Mobility and Responsibility Targets, this five-phase proposition helps Arval clients define and implement a strategy for fleet energy transition, from fossil fuels to sustainable alternatives.
- Arval's EV offer: various partnerships allow Arval to cover the entire EV ecosystem, from charging to payment and digital services. The offer, available in 12 EV-mature countries, also includes diesel/petrol replacement vehicles for short periods.
- Arval for Me: a digital solution that offers private individuals access to Arval's know-how, services and networks. Currently available in Spain and Italy.
For 2019 and beyond, Arval targets growth opportunities via innovations and digital applications, linked to a broadening range of mobility solutions.
- Arval's recently-launched Employee Value Proposition underpins the importance of empowering people to drive this strategy and deliver outstanding service and expertise.
- The My Arval platform allows customers and drivers to interact and get personalised info and services when and where needed.
- On the HR side, Arval recently implemented 'A place for people in action', an employer promise to give its employees the resources to bring forward new ideas, deliver performance and grow.
“We are confident that we will achieve significant growth in 2019,” says Arval's new CEO Alain Van Groenendael (pictured). “Our teams are engaged in all countries and segments and achieving a 9% growth for the year ahead seems within our reach.”