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REMARKETING: Look before you leap

Date: 07 January 2014   |   Author: Jack Carfrae

The majority of VRA members seem to think it's a worthwhile cause, too.

"A recent poll of VRA members concluded that 75% felt that pre-sale refurbishment was key to increasing used vehicle values," says Davies.

Henstock is of the opinion that businesses often lose sight of the costs racked up by defleeted vehicles before they head into the auction hall, and is something that fleets need to keep an eye on.

"Holding costs for a vehicle may be 'out of sight, out of mind' but they can have a significant impact on the eventual real return to the company's bottom line. Vehicles deteriorate with age and generally drop in value - and this only stops when the vehicle is sold."

It's been said before, but the remarketing community is keen to drum into operators that getting basic things right - such as selling vehicles with the right paperwork and similar elements buyers expect - can't be underestimated.

Ready to sell

Henstock continues: "History is very important to buyers, so ensure all the relevant paperwork - V5 document, MoT and service history - is present at the point of remarketing. Also make sure spare keys and any sundries such as satnav discs are present and correct. The impact in terms of value can be substantial if the history is missing - particularly on prestige and performance vehicles."

Prevention is obviously better than cure, and Davies believes there's a straightforward method of getting drivers - and fleet operators - more aware of acceptable levels of damage well in advance of defleet time.

"Fleets should ensure that all drivers are aware of [the industry-standard BVRLA] condition standards, preferably leaving a copy of them permanently in each vehicle. Fleets that own their vehicles outright should also apply these same conditions standards too and use them as guidance to their drivers who potentially could be held liable for damage incurred as a result of either misuse or just lack of care."

If you're not doing it already, then Henstock says it's well worth instigating mid-life inspections to catch damage early doors. "More and more companies are using mid-life inspections - as well as end-of-life inspections - on their fleet vehicles, which can pick up on any unreported damage and take action before it deteriorates."



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