OWEN Gregory was appointed Ford’s fleet director only in July, but already Owen has identified that contract hire is an area in which the company needs to expand. “I think there is a big opportunity in contract hire. It’s an area where we can be more successful,” he says.

“It’s one of the things we’re really focused on.”

Owen points out that there are four key channels to market, being:

• Leasing companies
• Car dealers
• Leasing brokers
• And the direct route

But it’s in the leasing area – leascos and brokers – where a real opening exists.

“The proportion of contract hire is growing; we have the biggest opportunity for our own growth here,” believes Owen.

The BVRLA’s most recent quarterly leasing survey supports this view with the business leasing sector (contract hire and finance lease) growing by 5.2% year-on-year, with the car fleet increasing by 2.2% and the corresponding van figure up 13%.

Overall the car leasing fleet had increased by 10% year-on-year, with personal contract hire accounting for nearly 60% of this growth, according to the BVRLA stats.

Spotting the opportunity is one thing, having the products to do it is quite another.

New Ford product pushes leasing appeal

But Owen reckons Ford is sitting in pole position on that one. “We have a number of desirable products that are getting us noticed in the marketplace, such as ST-Line on model ranges.

“The ST gives styling, affordability and a good RV story. Pull on these together and you have a strong approach.”

ST-Line is currently available on the Fiesta, Focus, Kuga and Mondeo ranges.

Then there’s the updated range of SUVs which is broadening Ford’s appeal into new segments – segments that are at the top of the sales performance charts.

“We have a growing SUV range for a broad range of buyers, from EcoSport through Kuga and on to Edge. In fact Edge is very strong. From the customer interest we know there’s strong pull for that product.

“Then the other journey is with Vignale as we roll it out across new products. All of a sudden we’ve shown a more holistic view to what Vignale is all about.”

Vignale offers buyers a more upmarket experience. It’s not just that the cars are posher – they are – but the experience is more polished, backed up by Vignale account managers at Ford Stores.

Vignale is currently available on Mondeo, S-Max, Edge and soon to be available on Kuga. Expect it on further model ranges soon.

“The other big success area for us is commercial vehicles. Vans are doing well on contract hire,” adds Owen.

Fleet management changes

While the growth opportunity is in leasing, leasing companies are just part of the sales equation; the other are the businesses choosing Ford vehicles.

“The biggest changes we’re seeing is with fleet management,” explains Owen. “It ebbs and flows between in-house and outsourced management.

“But where Ford works well in this area is to be part of that dynamic mix that provides the right end result for the customer.

“That often means engaging many stakeholders, from the leaseco, fleet manager and so on. But that’s what we are good at, and this part of our solid relationship will not change, wherever the fleet management zeitgeist may be.”

 Electrification big in Ford’s future plans

Creating desirable products for the future is key to a manufacturer’s survival: electrification is the touch word in the industry as new models need to meet ever more stringent emission requirements to stay competitive in fleet and on driver BIK.

“Electrification is significant for us,” acknowledges Owen.

“We are spending $4.5bn dollars on it – and will have 15 vehicles by the end of the decade. You can expect lots of announcements and vehicles being shown. What is less apparent is customer adoption. But our electrification programme means we will have the right cars in the right segments by the end of this decade.

“Having said that, while we are seeing increasing interest from our customers in the Mondeo hybrid so I think the changes in the forthcoming tax year to benefit in kind taxation are beginning to impact on customer mindsets.”

Ford Smart Mobility – new start up to redefine Ford

If electrification is one touch word, the other is mobility – how consumers will travel in the future.

“We will have fully autonomous vehicles by 2021. That’s a big statement,” says Owen.

Owen says that Ford has spent the last decade on autonomous vehicle research and development, and the first fully autonomous vehicle will be a level 4-capable vehicle – in other words without a steering wheel, accelerator or brake pedal.

Its use will be in the commercial mobility arena, such as ride sharing and ride hailing, and will be available in high volumes.

In addition Ford has set up Ford Smart Mobility as a separate company based in Palo Alto in Silicon Valley with a team in Europe and a team in the UK.

“We will be acting like a start up – which is very different from how motor companies normally work. It is, truly, something of an experiment,” continues Owen.

“We need to be reacting dynamically to how smart mobility is developing. We will be going from experimentation to practical implementation very quickly.

“Traditionally Ford behaviour is just to make cars and trucks; stepping into the mobility area is not typical Ford behaviour.

“Like start ups, we will have to experiment; not all experiments will work, but we can learn from this and move forward.”

In September Ford Smart Mobility acquired Chariot, a San Francisco-based crowd-sourced shuttle service that plans to grow Ford’s dynamic shuttle services globally, adding five additional markets within 18 months.

There’s also Ford GoBike bike sharing – similar to the current London ‘Boris Bike’ – while a new City Solutions team is working on expanding mobility efforts within key cities worldwide, London included.

Owen candidly admits that “We don’t have an answer yet as to how mobility integrates with the corporate customer and the leasing company.”

However, Owen says the answer will lie within Ford Pass, which is the company’s portal into mobility. “The app will let you get around London – or if you are in Paris, around the French capital. Ford Pass will be your access point to a train, bike – or even a car!”

In the meantime, Owen’s sights are more firmly grounded on getting Ford sales more mobilised around the immediate leasing opportunity. And creating more sales through the contract hire and leasing channels.