If done well, vehicle advertising can provide an unobtrusive presence in your local community. That is of particular benefit to a business with a geographically based target market – like a real estate agency.
If you think vehicle wrapping is too expensive and not worth the hassle, then read on, you might just be surprised.
Are you currently paying your Property Manager a vehicle allowance? Chances are you answered “yes.” So let’s say you are paying your Property Manager a $180 per week allowance. What if you could lease a branded wrapped vehicle for as little as $150 per week*?
A case study
Raine & Horne Dee Why/Collaroy is currently providing their Property Manager with a branded vehicle on a managed operating lease.
Lachlan Yeates, Principal, explains, “It was a no brainer really. We are always looking for clever ways to make our marketing dollars work harder. All businesses demand more value from every marketing dollar, and vehicle branding is becoming increasingly popular with real estate offices. Fortunately for us, our franchise group had already designed the vehicle branding and negotiated the managed operating lease with a car dealer. This meant we didn’t have to worry about design costs and we were able to access a National Fleet pricing structure, even though we were just leasing one vehicle. The vehicle arrived fully branded with our brand’s distinctive signage. There was nothing we had to organise other than the vehicle’s comprehensive insurance. This might not suit everyone, but it is definitely worth looking into.”
Admittedly, a managed operating lease doesn’t include the cost of petrol or comprehensive insurance. Let’s say you need to put $55 a week petrol into the vehicle, and let’s allow $25 a week for comprehensive insurance – this now brings the total to $230. Who wants to pay $50 a week more than they have too? Well just think about what the extra $50 a week will give in you advertising – surely this is money well spent.
How much are you paying for promotional ads in your local newspaper?
Or how much did your last letterbox drop cost you?
Raine & Horne Dee Why/Collaroy are also going to receive a brand new set of replacement tyres during the life of the lease, which is of great benefit given the distance their busy Property Manager clocks up. The registration, CTP (compulsory third party), repairs and maintenance are also part of the deal, for the life of the lease. They are only out of pocket for the petrol and the comprehensive insurance. And at the completion of the lease in two and a half years time, the vehicle is handed back to the car dealership with no further obligations.
“Our Property Manager loves it too. In fact, I am sure the vehicle has helped us attract and retain good staff – it has definitely bred loyalty. I would definitely recommend this as an alternative to anyone who is currently paying his or her Property Manager a vehicle allowance” adds Lachlan.
What does a vehicle wrap/managed operating lease include?
A new vehicle is leased by the business for two and a half years or 50,000kms (whichever comes first) at $150 per week*. Lease includes a vehicle wrap, full maintenance, tyre replacement and registration.
What happens at the end of the lease?
At completion of the lease the vehicle is handed back to the dealer, with no further obligations, provided the vehicle is returned in accordance with kilometre usage and fair wear and tear conditions.
What are the benefits?
This article is not intended to be financial advice. For advice on vehicle management talk to your tax advisor or accountant.