SPARKS, MD - PHH Arval, a subsidiary of PHH Corporation marks the 10-year anniversary of its retail marketing program, a used-vehicle sales channel. Since its inception in 1995, PHH's retail program has placed tens of thousands of fleet vehicles directly on retail used-car lots around the country. The results:
Retail sales, as a percentage of all vehicles sold by PHH (excluding wrecks and salvage sales), have climbed from 5 percent at program inception to more than 25 percent today.
“Initially, people were concerned about increasing the days to sell on these vehicles. But when you compare the cost of a few additional days to sell ($20-$30 opportunity cost) vs. the 75% chance of receiving $400 or more for the vehicle, the decision became a no-brainer. We now have 100% availability of this program for all PHH clients,” According to William Cieslak, vice president of vehicle operations at PHH Arval.
PHH Arval offers its used-vehicle sales services, which include a wide variety of remarketing channels including retail sales, as a stand-alone program or as part of a comprehensive fleet program.