National Fleet Discounts
National Fleet Discounts
The National Fleet Discount that has been negotiated for NECA members is an additional discount, provided by the manufacturer/importer and comes out of the profit margin of the manufacturer, not solely from the dealership. In the case of Ford and Holden this full amount, always came from the manufacturer, now with imported vehicles, the dealership also contributes to this factory discount and share some of the cost.
Generally, eligibility for National Fleet Discount is only accessible to businesses that have large fleets, usually over 100 vehicles (all brands) registered to the business name. Associations like NECA allow small contractors and businesses to also access these discounts, via their membership of a recognised association.
Members inquiring or ordering a vehicle at a dealership, should always request to deal with the fleet sales representative not the retail sales representative. National Fleet Discounts are only available to a NECA member if NECA has a recognised National Fleet Discount, negotiated and registered with the vehicle manufacturer/importer. NECA is then required to provide a letter of authority to the dealer, confirming the purchaser’s membership status and eligibility. This is a requirement for the dealer to claim the additional discount contribution from the manufacturer. Some manufacturers may require, minimum membership time periods for discounts to apply.
National Fleet discounts are around 10-15% of the value of a vehicle (typically $3,000.00 to $6,000.00 depending on the vehicle cost).
NECA has existing agreements with Toyota, Mitsubishi, Hyundai, Mercedes and more.
An example of fleet discount is the Hyundai iLOAD, one of the most popular vehicles purchased by members and which offer very attractive national fleet discounts to our members. They are one of the most co-operative manufacturers NECA deals with and offer 5 year warranties. Hyundai's reputation and popularity is growing. The Hyundai I-Load meets the needs of any contractor requiring a van body vehicle, however they do not offer a utility/dual cab vehicle in its range, although there are plans to introduce utility models for future release. Hyundai supply a full pricelist showing the discount amount available to members by vehicle. This is updated each time there is a price change. These are vehicle base costs, not drive away prices which will include, Registration, Green Slip, Dealer Delivery, Accessories and other costs. Some of these costs must, by law be included in all retail advertising and vary by state.
It should be noted that a lot of variable factors influence the final cost of a vehicle to a member, making comparisons very difficult. This can include factors like, model runout, special money-back offers, manufacture date plate runout, factory bonuses and extras, overstocking, supply difficulties, lead times, dealership and their employees, volume and revenue targets, etc. If you choose not to disclose eligibility for a National Fleet Discount at the time of the initial inquiry, you cannot expect to receive the full advertised National Fleet Discount. You will receive an additional discount, depending on the circumstances and what you have already been able to negotiate. The smallest amount I have heard of being allowed when disclosing eligibility after having negotiated a price has been $1,500.00.
Before purchasing new vehicles, request a current listing of participating manufacturers, by contacting the NECA Group Contact Centre on 1300 361 099 or Ask a Question here.