Maintenance: A Key Factor in Preserving Residual Value

As sophisticated as they may be, today’s cars are still fragile mechanical systems. This is why it is essential to strictly adhere to preventive and corrective maintenance: any failure to do so can quite simply result in engine failure or an accident. How can we not mention this mishap that befell a well-known short-term rental company? A customer stranded on the side of the road calls for assistance; his seized engine is diagnosed as beyond repair. The result: several thousand euros to be spent on a standard replacement. The cause? A simple leak that led the driver to drive dozens of kilometers without oil, until the engine seized up. Of course, the warning light had come on well in advance on the dashboard, but the customer flatly denied it. How can you prove they were at fault?

Neglected maintenance, underestimated residual value

For all fleet managers, lessors, and rental companies, the issue of vehicle maintenance is therefore of critical importance and largely determines whether the residual value is maintained at the end of the lease. But even then, by the time maintenance issues are discovered upon the vehicle’s return, it is often too late. The damage may be irreparable, and even if it isn’t, gaps in the maintenance log can only reduce the vehicle’s resale value. Hence the need for fleet operators to be able to monitor the lessee’s compliance with maintenance schedules in real time and throughout the lease term.

In this regard, it would be unrealistic to assume that the electrification of the vehicle fleet would eventually eliminate the need for maintenance: while electric cars do not require oil changes, their batteries nonetheless contain cooling and temperature-control systems that necessitate regular visits to the repair shop. As for the braking system and tires, their poor condition can have even more serious consequences since these vehicles are much heavier than their internal-combustion counterparts, increasing the risk of accidents.

Echoes: Real-Time Maintenance Data

This is where Echoes, a manufacturer-independent platform, is able to meet these needs. Echoes collects technical vehicle data from all manufacturers and presents it in a standardized format within its dedicated Carfleet interface, including data on preventive and corrective maintenance. This technical data includes, in particular:

• The scheduled date and/or remaining mileage until the next maintenance due date
• Tire pressure
• Fluids: fuel level, engine oil level, and AdBlue level; coolant temperature
• Mechanical warnings as they appear on the dashboard (oil level, coolant level, brake system malfunction, overdue maintenance, etc.)

For each of these alerts, the GPS location, the date and time of occurrence, and the odometer reading are available. This information can be viewed for each vehicle individually or in a consolidated report. An alert log is also provided to the operator, allowing them to quickly view all current and past alerts for the entire fleet or a portion of it while on the road.

Corrective maintenance vs. preventive maintenance

With this data, it is easy for the operator to take corrective or preventive maintenance actions.

1. Corrective maintenance : Admittedly, the alerts displayed on the dashboard should, in theory, prompt the user to resolve the malfunction—either by taking action themselves to top off fluids (engine oil, coolant, or windshield washer fluid, or by checking tire pressure), or by visiting the nearest service center in the event of a major defect in the powertrain or braking system. If the lessee delays in taking action, the fleet manager will be notified via Carfleet and can then contact the lessee to request immediate action or even provide assistance by booking an appointment at the nearest service center.
2. Preventive Maintenance : Under a lease agreement for a new or very recent vehicle, adhering to the maintenance schedule outlined in the service manual is of the utmost importance, as it determines whether the manufacturer’s warranty applies. For most car brands, exceeding the maintenance deadline by 2,000 to 3,000 km automatically voids the manufacturer’s warranty for any malfunctions that occur thereafter. This is a risk that neither the driver nor the lessee can afford to take. Hence the importance of reaching out to the customer before the deadline via email, text message, or push notification, to give them time to make arrangements or even offer them available service slots. But action is even more critical once the deadline has passed: in that case, the customer should be contacted immediately—by phone if necessary—to urge them to visit the garage as soon as possible.
3. Dispute Resolution : If failure to follow the maintenance schedule or ignoring an engine warning light results in serious damage to the vehicle, the complete history of mechanical alerts available in the Carfleet interface can help the lessor easily prove the lessee’s liability for the incident. This simplifies the handling and resolution of any disputes that may arise.

Raise awareness to avoid having to monitor

However, monitoring the mechanical condition of vehicles on the road will be all the easier if lessees are made aware of the importance of maintenance, in their own best interest: it is their safety that is at stake, but also their peace of mind. These are points that individuals can be made aware of when signing their contract and regularly throughout its term. To this end, educational materials in the form of newsletters, brochures, or notifications can be made available to them, potentially supported by data, statistics, and case studies from Carfleet.