Dealers ‘using medium-term rental as a way of doubling sales’

Time 10:10 am, May 2, 2019

DEALERS are starting to use medium-term rental as a way of doubling sales while new car delivery times remain long.

That’s according to short-term hire specialist Meridian Vehicle Solutions, which says it works by dealers offering a new medium-term rental car to their customer through a provider such as Meridian to fill the waiting time, then acting as the supplying dealer for that car.

Managing director Phil Jerome, pictured, said: ‘Many franchise dealers have long waiting times for some models but others are available for immediate delivery.

‘What doubling means is that they can give customers who face a long wait for their new vehicle the option of taking another new car on medium-term rental to fill the gap. We can then act as the funder and overall provider of that rented vehicle.

‘The dealer has effectively sold two cars for one sale and, in some cases, they also buy back the rental car from us to put into their used approved programme. It is a very effective way of generating sales and stock while meeting customer needs.’

Jerome added: ‘While this is an element of our business that is in its infancy, interest from franchise dealers of all kind has been immediate. They can see the many benefits doubling brings.’

All cars are supplied new in days and delivered directly from franchise dealers.

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