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Interview: M Way Vehicle Rental's Jeff Ball

14 April 2008

The Potteries, an area once famed for its ceramics industry, has seen its industrial base ravaged over the past 20 years with the big employers now a shadow of their former selves. But innovation and creativity often spring up from turmoil, and in the Potteries an entrepreneurial spirit has blossomed.

M Way vehicle rental is an obvious example. The company was the subject of a management buyout a few years ago and while the business was hardly on its backside when Jeff Ball and his team  of directors took over, it has shown rapid growth since. Business is rocketing in 2008 with turnover up 100% on the first quarter of last year vehicle utilisation is 90%-plus and the fleet now numbers in excess of 600 vehicles.

Like most successful businesses, the secret has been to keep things simple and focus on delivering customer satisfaction: "We've learned not to over-complicate matters," says Ball, when we catch up with him at the firm's Stoke-on-Trent base, "and focus on giving the customers what they want: a clean, tidy and reliable vehicle which is available on time and ready to go to work."

While that might seem obvious, it never ceases to amaze us how many companies neglect it – and it is, after all, a lot easier to say than do. The temporary office premises hide a wealth of systems investment covering everything from vehicle utilisation through to customer bookings and maintenance schedules.

Maintenance is carried out at the company's premises  and there's a focus on doing the job properly: "When you're operating at 90% utilisation that puts a big strain on your service levels," says Ball, "particularly if you have a breakdown as you don't have any vehicles in reserve." While that's a headache, it's one we dare say Ball is happy to manage.

The fleet is made up of a mixture of tractors, rigid, vans and increasingly cars, with a number of different makes in operation. One quirky piece of marketing Ball has instigated is naming the tractor units – the new Iveco Stralis is called Super Mario, while there's a yellow and blue Renault called Top Banana. "People think I'm crackers," Ball says, "but I'm just trying to put a smile on the customer's face."

Super Mario is compliant with the Euro-5 emissions standard, a strategic decision on Ball's part: "I'm pushing forward on Euro-5 products," he says. "I can see Birmingham, Manchester and other cities introducing low-emission zones – and when they do, the cleanest vehicles will be the best operating proposition for our customers and give us the best resale value. It's a finger-in-the-air gamble, but I'm confident it's the right decision."

Ball is less sure about the structure of the market, though, and while he has concerns about the future of the 7.5-tonne sector he is less inclined to follow the crowd in believing everyone will downsize: "We've got a number of customers who are struggling with payload on 3.5-tonners and are rethinking their decisions," he says.

"I'm also seeing customers upsizing from 7.5-tonners to 10 and 12-tonne vehicles. The shape of the market changes weekly." Despite the strength of the market, Ball – like many – is nervous about the state of the economy: "We've got very high levels of demand and utilisation," he says, "and the level of activity continues to surprise. I keep worrying that we might be over-investing, but the demand remains strong. We're seeing longer and longer rental terms as people are reluctant to make the commitment of a contract or purchase agreement."


Andy Salter
Email at andy.salter@rbi.co.uk
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