Renting: benefit from a low-risk, flexible way to optimise your fleet

Why should transport companies and fleet operators incorporate renting as part of their operational strategy? In this article, we discuss the challenges operators face due to market developments or  customer demand. We will explain how increased flexibility is part of the solution and how it helps companies adapt and thrive in changing circumstances.

Transport companies and other fleet operators face the challenge of having to lower carbon emissions while at the same time keeping their fleets both cost-effective and competitive. This is driven by changing regulations as well as shifting customer needs. Additionally, fleet maintenance presents its own array of hurdles. Preventing breakdowns, ensuring regulatory compliance and the need to continuously innovate under competitive pressure escalate costs and organisational burdens. For many companies, new ownership models are an important part of the solution.

Flexibility to scale operations

Instead of simply growing their own, permanent fleet, many companies opt for more flexibility. By renting or leasing they can adapt to seasonal demands or a client’s needs while avoiding all the costs associated with under utilised vehicles or equipment. Long-term lease (>1 year) and short-term rent (<1 year) as well as sale & lease back contracts provide companies with a range of options to increase flexibility or de-risk fleet operations.

This has several, significant advantages. It, of course, allows companies to scale their operations efficiently. Another advantage is that it allows operators to experiment with and deploy the latest technologies with minimal risk. If market demand holds or the technology is permanently adopted, they can decide to invest based on a proven business case because the terms are flexible and tailored to their needs. This provides businesses with the ability to modify equipment or options during the contract.

Truck and trailer rental

Renting trucks and trailers is a crucial strategy for fleet operators aiming for operational agility, enabling them to efficiently scale operations and capitalise on market opportunities without the significant financial commitment of asset ownership. This approach not only fosters competitive advantage and growth by facilitating strategic financial planning but also allows for the integration of cutting-edge technologies.

Specialised material

Rental is an attractive option for many companies looking to deploy specialised equipment and customer-specific solutions. It allows them to efficiently deploy the material during specific contracts and remain unburdened by the required maintenance. It is also a fantastic way to test-drive new technology and see if certain equipment is, or will be, a good fit for the company. With over 100,000 assets in its fleet, TIP Group’s equipment pool ensures that you have the right equipment available.

Cost control

A significant benefit of renting is cost control. With consistent rental fees, set regardless of market price fluctuations, customers can precisely predict the expenses associated with renting equipment for their projects, ensuring financial predictability. This stability in rental costs also provides liquidity and mitigates risks associated with investments, particularly valuable during challenging economic times. Moreover, entering long-term rental contracts often leads to decreasing rental fees over time, offering substantial cost savings through extended partnerships.

Availability

By selecting  the right provider, fleet managers can ensure near-instant availability and a high level of service. These are key factors that guarantee you will be able to respond to market or client demands at short notice and make efficient use of your equipment. TIP Group owns a fleet of over 100,000 vehicles (trucks, trailers, tankers, swap bodies, electric vehicles) and maintains an international network of 130 locations and 7,500 workshops to support its customers.

Compliance

Compliance with the demands of regulations, digitisation, sustainability and safety is an essential part of any rental offering. By using your equipment provider’s expertise in compliance, you ensure that your rental equipment aligns with both governmental and customer expectations in all operating regions. The organisational load associated with matters of compliance – e.g. TPMS, Low Emission Zones - is significant, especially when renting equipment that is (relatively) new to your company. For many customers, this is one of the key benefits of renting with TIP Group.

Maintenance and repair services

Renting equipment also includes essential maintenance and repair services, ensuring fleet efficiency and roadworthiness without ownership burdens. Comprehensive maintenance packages maximise fleet uptime, minimise breakdown risks and simplify maintenance processes. This integrated approach allows businesses to focus on core operations while ensuring optimal equipment performance and reliability.

Digital solutions

Digital solutions are key to getting the most out of your equipment. They drive operational efficiency as well as improved sustainability and safety using advanced telematics. Additionally, it is now possible to procure solutions that help with fleet management, vehicle inspection (requirements), tyre pressure management, brake management and more.

Why choose TIP Group’s rental solution

TIP Group provides significant benefits to both large and small companies:

• Standard and customised equipment
• Cost control
• Wide range of rental options
• Maintenance and repair can be included
• Manufacturer independence
• Availability of > 85,000 units in our fleet
• Compliance support

A single, short-term rental arrangement is not that complex. We promise you that TIP Group will provide you with a competitive offer. Contact us or reach out to one of your local TIP representatives to arrange an appointment.