Fiat scoops 14,000-car BSM deal
28 July 2009
Fiat has signed its biggest ever fleet deal for 14,000 vehicles with driver training giant BSM.
The four year deal will see Fiat supply approximately 3500 cars every 12 months, the majority of which will be 500s although there will be some Grande Puntos included. The contract starts in September and takes over from Vauxhall.
A Fiat spokesman said it was not a guaranteed buy-back deal and that BSM would carry the residual value risk on the vehicles.
Under the deal Fiat will also give any learner who passes their driving test with BSM a £500 voucher toward any new Fiat. The voucher can also be used in conjunction with any other offer already available. Fiat will also have joint branding with BSM in the driver training firms centres and share data on learner drivers.
Fiat sales director, Andrew Sproston said: "We expect the cars to be run for 12 months and 24,000 miles. This deal puts Fiat in the high street."
Commenting on how the deal will impact on residual values and the level of discounting involved, Sproston said the contract made sound economic sense. "There no point doing loss-making deals. The only 500s in the used car market are ex-dealer demos and there won't be any ex-retail cars for about a year."
BSM, which trains around 130,000 drivers a year, was sold by insurance giant Aviva to a German private equity firm in February this year.