As reported in the Telegraph, LDF found that companies have invested around £5.9bn in lorries, vans and other commercial vehicles this year as the rise of online shopping has boosted a need for delivery services.
The number of commercial vehicle purchases has risen by 22% this year as the value of asset finance used by businesses to fund their vehicles purchases has risen from £4.9bn to £5.9bn.
More businesses than ever are needing white vans to respond to delivery needs as proven by rental company Northgate, which runs a rental fleet of almost 100,000 vans, which reported a 70% jump in half year pre-tax profits to £47.8m at the start of the month.
‘No retail business that targets long-term growth can afford to ignore online sales, and any major retailer without a significant online presence is already playing catch-up. That has led to a big surge in investment in delivery vehicles over the past 12 months,’ commented Peter Alderson, managing director of LDF.
‘Consumers now expect their purchases to be delivered within a day or two, and a wait of a week for delivery might mean a customer goes elsewhere to buy. Some retailers have struggled with the volumes they had to deliver through the "Black Friday" period, and that is likely to have focused minds in senior management across the sector on the need for further investment in vehicles.’