Features
10 Feb 21

Why Arval had a successful 2020 despite the pandemic

Arval
BNP Paribas

Despite the pandemic, international leasing and business mobility company Arval managed strong growth in 2020, even outperforming the market. As detailed in its annual report, Arval’s leased fleet grew by 6.4% to 1.38 million, its corporate financed fleet reached 1 million vehicles. 

If the pandemic year was a test of the resilience and solidity of the fleet and mobility industry, then Arval passed with flying colours. Even outperforming the significant growth for its leased and corporate financed fleets, Arval’s retail segment grew by 15.7%, including more than 100,000 vehicles on private lease. In all, the company’s 7,200 employees served 300,000 customers in 30 countries. An overview.

Pandemic response

  • Thanks to its robust IT infrastructure, 99% of Arval employees were able to work from home from March 2020. 
  • Arval also provided nearly 350 vehicles free of charge to healthcare workers across 12 countries.
  • In response to the crisis, the company also offered contract flexibility and extensions to its customers, accelerated its remarketing strategy.
  • In May 2020, Arval launched ‘The Journey Goes On’, a service to help customers restart their business with safe, sustainable and cost-effective mobility solutions. 

Strategic plan

Following its 30th anniversary in 2019, Arval launched its new strategic plan ‘Arval Beyond’ in October 2020, with four distinct offers.

  • 360° Mobility: mobility in addition to cars (e.g. the recent launch of bike-leasing in eight countries);
  • Connected & Flexible: technology offers tailored to Arval customers;
  • Arval Inside: strong partnerships; and 
  • Good for you, Good for all: sustainability. 

Corporate Social Responsibility

  • In 2020, Arval developed a strong CSR strategy, setting a number of goals for 2025:
    • Half a million EVs leased; and
    • An average reduction of CO2 emissions of 30% for its entire fleet;
    • In 2020, Arval’s BEV orders grew at twice the market rate.
  • Arval actively tackles diversity issues, launching a programme called ‘Arval Women in Action’. 

Partnerships

Fully in line with ‘Arval Inside’, 2020 saw the renewal and launch of major partnerships around the globe, including with

  • SIXT: starting with Germany, France, the Netherlands, the UK and Belgium;
  • CaixaBank Payments & Consumer Group: Spain and Portugal; and
  • UniCredit Bank: Austria (Arval acquiring UniCr’dit Leasing Fuhrparkmanagement GmbH).

Expansion

Arval grew not only via partnerships, also via geographical expansion, notably by opening a subsidiary in Colombia, in partnership with Relsa. 

Forecast for 2021

Among Arval’s project for the new year are:

  • New services for corporate needs: Mobility Hub, Mobility App, Mobility Consulting (all part of 360° Mobility);
  • A renewed ambition to double BEV orders; and
  • Ambitious partnerships to reach new customers and geographies.

Despite the pandemic, “Arval is even stronger today and is leading the market in terms of performance, pioneering spirit and CSR commitments,” says Arval CEO Alain Van Groenendael (pictured). In 2021, Arval “expects to exceed 2020’s performance in terms of fleet growth.”

Authored by: Frank Jacobs
Leasing and Rental
Global