Believe Housing is on track to cut its fleet operational costs by around 30% over the next five years by moving its LCV fleet from a flexi-lease model to contract hire.
One of the largest housing associations in North East England, Believe has now appointed Alphabet as sole supplier for its fleet of 163 LCVs and two company cars, following a competitive tender process fully managed by EVP Solutions.
The housing association was looking for a new fleet supplier that could offer expert LCV management and provide a ‘one-stop shop’, including ongoing support and fleet consultancy, as it continues to grow. The company also wanted to step away from its existing flexi-lease model to create cost savings and reduce administration time.
Alphabet is providing Believe Housing with full contract hire and maintenance, including accident management, driver risk management and rental services. Believe is also using Alphabet’s AlphaRent short-term rental service to keep its workforce on the move, providing daily rental requirements at very short notice and preventing downtime as drivers transition to the new fleet.
Alphabet’s collaborative approach has ensured the fleet changeover has remained fully on track, from creating a build management tool and hosting weekly implementation calls, to work by Alphabet’s contract hire and rental teams to seamlessly coordinate the collection of the old fleet and delivery of the new one.
It’s also created further cost savings for Believe by advising them to order the new LCVs prior to full specifications being agreed, avoiding three price increases on the main models they selected.
Alphabet is also supporting the housing association with LCV conversion choice and design, providing consultancy through every step of the process, working closely with internal racking conversion partner Modul-System and vehicle branding partner Mediafleet to create a bespoke, yet simple design that met the company’s requirements, while further driving down costs.
Believe Housing has also kickstarted its fleet electrification journey by moving 10% of its fleet to electric vehicles within the first year of the contract. The housing association has initially placed an order for 11 Vauxhall Vivaro-e electric vans and two Nissan Leaf electric company cars, and will continue to grow this part of its fleet in the future.
Rachel Cox, director of property repairs at Believe Housing, said: “Most of our staff get to work in one of our offices or from home, but for trade operatives the van is their office. Making sure the vehicles were fit for purpose and were a safe and comfortable working environment was at the forefront of our minds. That meant consulting members of each trade, so the racking suited the materials and tools they use, to having air conditioning and DAB radio in the vehicles.
“The move to a sole provider and new funding model will reduce operational costs by about 30% over the next five years, and as a not-for-profit all the money we save will go back into providing affordable housing in the region and a wide range of support services for customers.”
Dermot Kehoe, corporate sales manager at Alphabet (GB), commented: “We’re delighted to have part of the new fleet already in operation for Believe Housing and are looking forward to identifying more efficiencies, as we continue to build our partnership and help them drive the business forward.”
