Arval on Track to Surpass ‘Arval Beyond’ Strategy Goals Early

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Arval, Global Vehicle Leasing Leader, Advances Strategic Plan Ahead of Schedule

Arval, the renowned leader in full-service vehicle leasing and new mobility solutions, has recently made significant progress in its strategic plan, “Arval Beyond.” As stated by Alain van Groenendael, the Chairman and CEO, during the company’s annual New Year’s meeting in Paris, Arval is set to achieve all strategic goals ahead of the initially planned date in 2025, now anticipating completion by the end of 2023.

Impressive Growth Amid Challenges

Despite the severe challenges brought about by the global pandemic, Arval, focusing on sustainability, connectivity, mobility, and fleet growth, experienced a record organic growth of 6.9% in 2023. This performance surpassed the market averages, placing Arval ahead of its competitors in the sector. Furthermore, since 2019, Arval’s leased fleet has experienced an average growth of 7%, with global customer base witnessing growth at the rate of 8%. Unprecedented progress has been made in the OEM and Distribution segment, making it the fastest-growing sector with a remarkable growth of 30% over the past five years.

Push Towards Sustainability and Electrification

Sustainability remains at the heart of Arval’s strategy, as the company aims to have 350,000 battery electric vehicles (BEVs) and 700,000 electrified vehicles by 2025. The end of 2023 saw Arval’s BEV fleet increase by 85%, outdoing the market average. As further testament to its push for electrification, 18% of Arval’s new contracts in Europe were for BEVs. Partnership with ChargePoint and the introduction of Arval Charging Services further showcase its commitment to this cause. In addition, the company’s bike leasing offer has experienced a 65% boost, highlighting the opportunities within the realm of two-wheeled sustainable transportation.

Moving Towards Smart Mobility and Connectivity

Arval has also seen a surge in its mobility solutions such as Arval Flex and Arval Car-Sharing, with over 105,000 active users and more than 125,000 bookings reflecting the growing need for flexible mobility solutions. Moreover, Arval is evolving into a tech company, utilizing advanced fleet management systems and AI, and seeking to automate more processes. They have allocated a substantial budget towards developing their AI capabilities, with an impressive amount of connected vehicles.

Additionally, Arval is exploring ways to enhance customer experience, reduce total ownership cost, and investigate the potential of becoming an energy distributor through bi-directional charging. Deputy CEO and CCO, Bart Beckers reiterated the significance of collaboration and strong partnerships for the successful execution of their initiatives.

Anna Parker

Anna Parker, a distinguished author in the realm of business literature, brings a wealth of expertise to ReaderWall. With a profound understanding of corporate dynamics, Parker's insightful works offer invaluable insights into leadership, strategy, and organizational excellence. Explore her thought-provoking writings on ReaderWall's Business category and elevate your understanding of the business world.