These days, companies are frequently looking to make cuts in parts of their budget in order to invest in growth. One tangible step they often take in order to save money is to acquire fuel efficient company cars; often not scrimping on the cost of a car so long as it guarantees good fuel economy.
The market demand for crossovers and SUV vehicles has grown in such a way that these types of vehicles are becoming more and more popular, not only among end users but also as company cars. The image of a more traditional company car following the classical saloon style or the hatchback is no longer the sole choice for company cars, but is increasingly being replaced by SUVs.
SUVs and Crossovers are very well represented in all sectors and according to experts they are going to surpass compact cars in sales within the next two years. But if companies are looking into getting fuel efficient company cars, what are then the pros and cons of these vehicles and what does a company need to check before investing in a SUV?
1 - Design
Pro: SUVs and crossovers have a very important presence on the road and give an impression of an innovative company with their captivating design.
Con: SUV shapes are much less aerodynamic compared to other company cars, resulting in higher emissions and consumptions.
2 - Cost
Pro: Nowadays SUVs are quite affordable and can be seen as a benefit for those who drive for work and also suitable for their family’s needs.
Con: Companies have to check thoroughly into which tax rate the SUV model falls under, as it can result in a higher cost over the long term.
3 - Company branding
Pro: As stated before, SUVs might contribute to the global image of the company.
Con: There could be pressure by the team on the HR department in order to get an SUV for personal benefits. (It isn’t always easy to choose the right vehicle and keep everyone happy at the same time!)
4 - Fuel consumption
SUVs tend to have worse emissions and fuel economy data than hatchbacks or saloons so they might not be completely recommendable for a fleet; however, the automotive industry is no doubt researching technological methods of improving the fuel efficiency of SUVs and crossovers.
If you are looking into getting an SUV or a crossover, a good idea might be to experiment with the vehicle you purchase with the help of fuel management technology in conjunction with driver training to see if it can effectively meet the needs of your business without compromising your budget and increasing your global costs. Give us a shout; we can show you how to track consumption, set MPG targets and save money on fuel—a strategy that proves to be very effective in the long term. Contact us!
