Revisited on July 12th,2022

Advantages of corporate carsharing for your company

Corporate carsharing: Yes or no? Many companies shy away from taking the leap to implementing pool vehicles into their fleet. Mostly it is due to worries over what might happen after the reorganization or fear of additional costs. Truth be told, the return on investment for the change is double the outlay. What other reasons are there for vehicle pooling?

What is corporate carsharing?

Corporate carsharing is the sharing of vehicles among staff within a company. Pool vehicles are available to various employees and may be booked flexibly, and in some cases 24/7. While vehicle sharing in the private sector has become commonplace for onwards of a decade, especially in urban areas, pooling in a company fleet still needs a little persuasion. This is down to the fact that the majority of vehicle fleets are still made up of personal company cars.

There are two models of corporate carsharing: station-based, in which the vehicles are only available at specific points and must be returned to the same spot after a trip, or free-floating, which allows vehicles to be accessed in certain areas or at various company locations. Which model a company settles on depends on a number of factors, including how the company is set up.

Here are 4 reasons why corporate carsharing is worthwhile for your fleet.

4 reasons why you should integrate corporate carsharing into your fleet.

Reason 1: It can optimize procurement

Sourcing new vehicles for your fleet is no easy task at the moment. Long delivery time, lack of choice and rising costs add to the complexity of a fleet manager’s job. And in many cases, there is actually no need to make additions to a fleet. Most fleet vehicles are not optimally utilized as they are often times left idle on company premises. This is financially wasteful. Carsharing ensures better use of a fleet. In most cases, the actual number of vehicles can be reduced, which impacts positively on overall fleet budget.

Reason 2: It’s sustainable

Rising fuel prices are etching worry lines on the faces of fleet managers. Parallel implementation of electric vehicles in the course of converting to carsharing is worth considering. Thanks to high mileage range and low maintenance costs, EVs are ideal for sustainable and cost-effective pooling. Studies have demonstrated that well-organized corporate carsharing reduces mobility costs by up to 40 percent.

Reason 3: It’s employee-friendly

It used to be that corporations dangle company cars as a perk to attracting and keeping talent while for employees having a company car was a sign you have made it up the rungs of the enterprise. However, increasingly younger companies, in particular, are focusing on inclusive corporate mobility that allows the participation of as many employees as possible.
This new flexibility is reflected in the rising use of pool cars, e-bikes, e-scooters, or by releasing mobility budgets that can also be used privately under certain circumstances. This creates a non-cash benefit through tax rebate which can, in turn, reduce personal mobility costs.

Reason 4: It can be good PR

Green mobility is a good calling card these days. A company invests in sustainability and opts for a small EV fleet over a cost-intensive, CO2 spewing one that uses combustion engines. This is future-oriented mobility.

Corporate carsharing with or without software?

Many companies already offering carsharing usually coordinate bookings and vehicle-related tasks by using their email’s calendar feature. Start and end times of trips are entered there, which are visible to all staff members. What was manageable when there were one or two pool vehicles quickly becomes a headache as the pool expands. And then, don’t forget, there is the little issue of data protection.

Effective corporate carsharing calls for software that enables companies not only to provide vehicles in a user-friendly manner, but also to evaluate and, if necessary, optimize the utilization of the entire pool. The reluctance to acquire a software solution for organizing corporate carsharing is unfounded. While implementation makes good sense, in most cases the switchover quickly pays off for both the company and for the staff.