Demand for end-of-term inspection services leaps
New figures from BCA highlight a significant rise in the number of end-of-term inspections carried out with the customer present, as lease companies seek to minimise customer complaints and maximise the benefits from identifying and repairing damage earlier.
The leasing industry has moved to address criticisms from some customers receiving often unexpected bills for end-of-term damage. BCA has noted a 27.5% rise since 2014 in end-of-term inspections undertaken in the presence of the customer.
Commenting on the trend Dean Hulse, managing director of BCA Logistics said: “Lease companies understand the benefits of an end of term vehicle inspection in the presence of the customer. A digital record of the vehicle at the point of inspection allows the company to both meet the requirements of treating the customer fairly and collecting an accurate condition of the vehicle that is understood and agreed by the customer.”
“The benefits are clear – customers can see a clear audit trail and have a greater understanding of why charges have been levied. Additionally, a greater percentage of damage is being identified and rectified earlier in the remarketing cycle, shortening time to sale, reducing holding costs and potentially improving residual value performance.”
To meet demand BCA has recruited a team of over 100 inspectors, each with a minimum of five years bodyshop experience. The inspectors then undergo three months additional training in customer relations and inspection procedures.
BCA offers a four tiered inspect and collect service that offers a range of data to be collected through the defleet process and is integrating its collection services with remarketing activities such as vehicle repair, preparation and allocation to sale. It argues fleets benefit from improved customer satisfaction and see 53% of damage value repaired prior to defleet where the vehicle has been inspected prior the end of contract date.
Hulse concluded: “Imagery is becoming more important in the collection and remarketing process. Good quality data facilitates closer, more informed relationships with customers and speeds up the remarketing process. Managed correctly, it enables a more granular approach to continuous improvement in service provision throughout the vehicle’s lifecycle.”