Merchants Fleet - Award for Innovation in Sales

Company: Merchants Fleet , Hooksett, NH
Company Description: Merchants Fleet offers flexible funding, fleet service, and fleet technology options for organizations that leverage vehicles to run their operations, serving as a single source for all vehicle needs. Our 3,000+ clients span across over 20 diverse industries, including logistics & last mile, industrials, energy, medical & pharmaceutical, government, and more.
Nomination Category: Sales Awards Achievement Categories
Nomination Sub Category: Award for Innovation in Sales - Other Service Industries

Nomination Title: Merchants Fleet - Offering Industry-Leading Flexibility During an Uncertain Year

Merchants Fleet is the nation’s fastest growing fleet management company, providing flexible funding and service options for organizations that leverage vehicles to run their operations. Merchants Fleet offers comprehensive and customizable fleet solutions, serving as a single source for all vehicle needs. Our programs range from long-term leases to monthly rentals, including unique options like rent-to-lease and own-to-lease.

Since Merchants first launched its leasing services in 1967, the company has continued to deliver high touch service, flexibility, and innovative solutions for clients. With an expansive growth strategy, Merchants expanded its portfolio by 46% from 2013-2018, bringing it another step closer to achieving its goal of doubling the size of the company by 2023.

Today, we manage over 130,000 managed vehicles nationwide, and our expert teams have experience working with nearly every industry, from corporate fleets to last mile delivery to franchises. We offer the most high-touch service and innovative experience across the industry, with specialized teams and a FleetTech model that merges fleet with technology to ensure our clients get the best performance out of their fleets.  Merchants Fleet is headquartered in Hooksett, New Hampshire, and its Innovation Center is in the Chicago, Illinois area.

Merchants uncovered a problem in fleet: most companies who use vehicles to run their operations are forced to work with different providers for each vehicle need – one vendor for long-term assets, one vendor for daily rentals, and still another for services like telematics. Realizing this lack of synergy leads to excess cost, frustration, and lack of productivity, Merchants developed a more flexible model that allows companies to both easily adapt to operational change while reducing administrative burden. This more flexible model was crucial when delivery fleets and essential businesses faced increased demands during the pandemic in 2020.

It was quickly discovered that over 60% of Merchants Fleet’s clients were in essential industries. To better service them, John Cail, Senior Vice President of Mobility led the effort with the executive team to pivot Merchants Fleet’s offerings. He focused on offerings that gave businesses more flexibility, cash flow, and ways of accessing vehicles on-demand:

-Nationwide rental delivery
-Option to sell owned vehicles to Merchants, then lease them back to improve cash flow
-Guaranteed prices for vehicles so companies can sell assets for cash
-Ability to convert rentals to long-term leases—an industry first
-Inventory of near-new and pre-owned vehicles to fulfill immediate needs
-Last mile delivery program to help launch or scale delivery operations

During the pandemic’s peak, one million homes received essential goods delivered in a vehicle managed by Merchants. By the end of 2020, it is projected that two million packages will be delivered daily in vehicles managed by Merchants.

Explain why the achievement you have highlighted is unique or significant. If possible compare the achievement to the performance of other players in your industry and/or to the nominee's past performance (up to 250 words):

Among the leading fleet management companies, Merchants Fleet is the only one that combines a full suite of services plus flexible leasing and rental options for both short and long-term needs under one roof, as well as options to buy or sell commercial vehicles. Plus, we are the first and currently only fleet service provider in the industry that gives companies a rent-to-lease option, where they can obtain a rental vehicle for an immediate need and then convert that same vehicle to a long-term lease later without having to take the vehicle off the road.

In a society that is increasingly expecting fast, on-demand service and deliveries, businesses must scale up to meet demand, then back down when needed to control costs and avoid maintaining idle assets. Merchants Fleet’s suite of offerings – both through its home delivery program and beyond – offers a level of scalability and customization that is unique to the industry. With Merchants, companies can flex their fleet to fit their needs.

Merchants Fleet will have 15,000 delivery vehicles on the road by 2020’s peak season, a 142% growth year-over-year. The company also achieved the following growth milestones:

257% Revenue Growth in Last Mile Segment
15% Increase in Traditional Leasing Programs
Versus the Same Period Last Year, the Business has Grown 46%

In contrast, many areas of the industry have been struggling this year: Hertz’s declaration of bankruptcy on May 22 is one example. https://www.cnbc.com/2020/05/23/hertz-files-for-us-bankruptcy-protection-as-car-rentals-evaporate-in-pandemic.html