Free Access Articles, News ,

COX Automotive has made its second global investment in fleet services after buying one of North America’s biggest mobile fleet and maintenance companies.

Only two years after launching its own fleet services business, Pivet, Cox has bought Dickinson Fleet Services (DFS), which services a range of trucks and trailers.

Cox’s Automotive Mobility Group launched Pivet in January 2019. It tied up fleet maintenance services by linking with Cox’s existing Manheim auto auction business and its mobile car-care company RideKleen.

It also comes in the same month as Cox Automotive Australia welcomed its seventh brand, sales and customer management software company DealerCell. It joins Dealer-Auction, Dealer Solutions, Kelley Blue Book, Manheim, Sell My Car and XTime.

In March last year, Cox Automotive in Britain bought one of the UK’s biggest vehicle services companies, C Walton Ltd which has fleet management and vehicle services, logistics and storage, EV specialist operations, a proving ground, three large sites and an events business.

The acquisition is also something of a leap-frog exercise. DFS announced on November 10 that it had bought emergency mobile services and mobile repair company Interstate Truck Centre (ITC) of Kansas City, Missouri. Now DFS and ITC are owned by Cox.

Cox said in a statement that the need to expand fleet services had become more urgent since the onset of the COVID-19 pandemic and had created an increase in e-commerce as health concerns force people to work and shop from home.

“Fleets and technology will play a substantial role in an A.C.E.S. (autonomous/aerial, connected, electric and shared) future, resulting in significant increases in miles traveled per vehicle and a more frequent need for service and maintenance,” Cox’s statement said.

Cox Automotive Mobility president Joe George said of the purchase of DFS: “The mobile repair segment will only become more significant over time, and the seamless integration of Dickinson’s capabilities provides a considerable leap forward on our path to making Pivet the industry’s most comprehensive fleet services resource.”

Industry consulting firm MarketsandMarkets has estimated that the global market for fleet management services will grow from $US19.9 billion ($A25.6b) in 2020 to $US34b ($A43.8b) by 2025.

The research said: “The primary factors driving the growth of the fleet management market include the increasing government regulations and need for optimisation of fleet operating expenses.”

“The other factors supporting the market growth include the decreasing hardware and software costs and growing need for operational efficiency among fleet owners.”

DFS started in 1997 with three workshops and about 30 technicians. It now has 21 company-owned service centres and more than 700 mobile service trucks employing more than 1000 people globally.

By Neil Dowling

Manheim
Manheim
Gumtree
Manheim
AdTorque Edge
DealerCell
MotorOne
Gumtree
PitcherPartners
Schmick