The transport and logistics industry continues to face challenging times, with the demand for replacement vehicles outweighing the number of vehicles available, making it tough for suppliers and customers alike.
To add extra pressure, many vehicle hire companies are seeing this as an opportunity to cash in on the crisis and increase their prices to extortionate amounts, leaving customers with no choice but to pay the higher fees to secure the vehicles needed.
“When faced with a volatile market it presents a supply and demand opportunity for suppliers who feel they can justify increasing their prices. Customers feel as though they have no choice but to pay these new rates in order to access the vehicles they need to keep their business running,” said Washy Maziveyi, Regional Manager, South at City Transport Solutions
“This isn’t a model that we agree with at CTS. It’s not fair on the customers and takes the control out of their hands, putting them in an impossible position. Which is why we’ve created a new model for them. Moving away from fixed prices, we can be more flexible and the control stays with our customers,” added Washy.
The team at CTS prides itself on its ability to adapt to the market and provide alternative solutions to ensure that the ever-changing needs of their customers are meet. When the market becomes volatile and unpredictable, they’re able to draw on their 30 year’s experience, as well as the supplier relationships they’ve nurtured over the years, to offer a fair and flexible service for all.
“There was some initial resistance from our customers when we first introduced the flexible-pricing options, but that’s to be expected when we’re asking them to embrace something new.
The industry has always focused heavily on a fixed-price matrix, customers felt safe knowing that vehicle would be provided at a pre-agreed rate. However, a fixed-price matrix includes an element of risk. Customers are now realising that the flexible-pricing option increases fulfilment and saves money in the long run. They trust that CTS are getting the best deal for them everytime” added Washy.
New customers are also benefiting from the flexibility that working with CTS brings. One event management company, historically relied on one company to supply all their temporary vehicles, who were often unable to provide all the vehicles needed, so they had to make do. CTS now provide all the vehicles from an array of suppliers and provide one clean invoice for each event.
“These event hires are time sensitive, not easy to fulfil. This is when CTS rise to the challenge of providing innovative solutions to ensure each event runs smoothly.” said Washy.
If you’re struggling to find temporary vehicles or you’re looking to move over to a more flexible solution that allows you to take back control, then contact the team at CTS by calling 0800 279 0164 or emailing info@citytransportsolutions.co.uk
