Financial Firm Identifies 5.9 Billion Investment in Delivery Vehicles
According to LDF, a leading provider of finance in the UK, companies around the country have been heavily investing in delivery vehicles over this past year, signaling a remarkable surge in online parcel deliveries. The report was published in the Telegraph, and concluded that approximately £5.9 billion was spent on vans and other commercial vehicles. The expenditure is reflected in the 22 percent increase in the number of commercial vehicle purchases in 2014, and adds up to an increase of nearly 1 billion year over year.
LD indicates that the white delivery fans are being used by companies everywhere, and points to the rental company Northgate as a perfect example of the dramatic expansion of needs. That company reported a 70 percent increase in half year pre-tax profits. According to Peter Alderson, managing director at LDF, “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 twelve months. 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.”