Kia Fleet Study Reveals Conflicting Views About New Technology Within The Fleet Industry
December 13, 2017 by Kia![Kia Fleet Study Reveals Conflicting Views About New Technology Within The Fleet Industry](images/articleimages/kia-new-tech-fleet-industry-01-400.jpg)
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Autonomy and Technology According to the 2017 Fleet Market Attitudes report, the industry is also developed in terms of the inclusion of technology within cars. Notably, the average percentage of organisations where 'assisted driving'1 vehicles feature is 23 per cent, with this anticipated to increase to 51 per cent by 2027. Similarly, the average percentage of organisations where 'semi-autonomous driving'2 vehicles feature is 19 per cent, increasing to an average of 51 per cent in ten years' time. When it comes to fully-autonomous vehicles, most Fleet Managers (93 per cent) see challenges facing this type of driving. Identifying who is liable in the case of an insurance claim (56 per cent) and the cost in updating roads and motorways so that they are compatible (47 per cent) are cited as major concerns. In addition, around three quarters (76 per cent) of respondents think that the greatest challenge facing fully-autonomous driving lies in changes to culture – with employees expected to work longer hours while commuting. However, despite these barriers, many respondents believe that fully-autonomous vehicles offer significant benefits. The majority (74 per cent) agree that these vehicles will result in fewer accidents on the road – potentially saving fleet costs and increasing road user safety, while 64 per cent believe that their fleet would be cheaper to maintain if it were fully-autonomous. According to Fleet Managers, on average, their organisation's fleet has had ten accidents within the last year. On average, such accidents cost each respondent's organisation £472.72. The level and cost of accidents each year represent significant areas of potential savings for organisations – particularly for the majority (74 per cent) who view autonomous vehicles as having the potential to reduce accident numbers. Interestingly, the 2015 Fleet Market Attitudes report revealed the average was 14 accidents at a cost of £384.50 per accident, so while the number of accidents has dropped, the cost per accident has gone up. Upcoming Changes in Policy Based on the research UK fleets currently have an average of 126 cars, with a lifespan of three years. With organisations operating large fleets of nearly new vehicles, they are well placed to have the flexibility to adopt new technologies and powertrains in the vehicles that they select to make up their fleet. From April 2018, the main rate threshold for capital allowances for business cars will be reduced to 110 g/km3. Over three quarters (77 per cent) of respondents say that their organisation intends to change their fleet policy in 2018 to take this into account. Currently, the average CO2 levels of organisations' fleets is 118g/km, with only 27 per cent being less than 110g/km. However, a similar proportion state the average to be over 130g/km, while three in ten (30 per cent) admit they don't know – suggesting that emissions tax bands remain a concern, but are not necessarily a 'deal-breaker' for those who wish to purchase cars above the threshold. The 2017 Fleet Market Attitudes report also revealed that two thirds (66 per cent) of respondents admit that their organisation is nervous about purchasing a petrol or diesel car that isn't a PHEV for their fleet. This follows the recent news in July 2017 that solely petrol and diesel cars may be banned from 2040. John Hargreaves, Head of Fleet and Remarketing at Kia comments, 'As more and more organisations embrace new technologies for the vehicles in their fleets – from EVs/PHEVs to 'assisted driving' and 'semi-automated driving', traditional powertrains are becoming less likely to be considered the default option in fleet purchasing decisions. Organisations that can address and overcome the concerns they have with fully-autonomous driving technology stand to benefit greatly from its adoption.' For more information about Kia's fleet offering, please visit: www.kia.co.uk
posted on conceptcarz.com
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