Customer recharges on equipment returns:
Business analysis of modules returned in the 12 month period from 2019 to 2020 revealed the following;
• No recharges were levied for 54% of the modules returned.
• When the total recharge billed when divided by the combined number of weeks on hire of all returned modules where just £1.45 per week.
• The value recharged was just 7.89% of the estimated bodywork refurbishment cost on the returned modules.
Managing Director, Rod Benham commented “What the figures don’t show is that one recharge alone accounted for a 1/3rd of the recharges billed (34.8%), which if excluded would have reduced the average cost per week of rental to 94p and recharges to reinstatement cost 5.27%. But even included we are happy with the figures.
This has been achieved by a combination of factors from engineering out potential areas of damage to carrying out 3 Year Bodyshop Servicing on longer term hires which both protects our asset and ensures it continues to run efficiently for our customer.
Plus, we actually don’t want the extra work from damage as while a good percentage of hires are for brand new units, when not we strive to deliver as a ‘nearly new standard’ which takes resource. We further accept that no customers want any charges post return.
We believe we are very transparent at the start of the hire within the Customer Support Manual on what is Wear & Tear, what is damage and queries are very rare as customers’ will accept damage if we are fair and clear.
We photograph all damage on return as a record but as they say, ‘the proof is in the pudding’ and below is from a summary of the last 100 Off-Hire Questionnaires conducted by our Customer Care Manager”
last 100 Off-Hire Questionnaires conducted by our Customer Care Manager
|YES 94% NO 5% NOT SURE 1%|
|YES 96% NO 1% NOT SURE 3%|