Appraisal of industrial vehicles

Unlike other types of transport, industrial vehicles are exclusively intended for the business environment.

That is, they must be used strictly in the satisfaction of the needs of the company, and not for personal purposes.

Industrial vehicles tend to depreciate faster than others, since they are generally used on a daily basis.

This explains why commercial vehicle appraisal is such a sought after service.

In order to carry out the expert control of damages and deformations of a truck, it is necessary to take into account a series of important factors. Hence the importance of knowing more about vehicle appraisal.

What is the appraisal of industrial vehicles?

Vehicle appraisal is a process by which each of the elements of the automotive unit is carefully evaluated. It is intended to calculate its total depreciation and its real market value.

When hearing the word appraisal”, many automatically think of the process of buying and selling a vehicle. This is understandable, since it is a common practice when putting a car up for sale.

However, the foregoing is not the only situation that warrants appraisals. These are also useful to know what are the weak points and the strengths of the vehicle. In the same way, they allow you to determine what renovations or repairs the vehicle needs to increase its useful life or its value.

To do the appraisal of industrial vehicles, we must ask an appraiser to perform a physical evaluation of it.

What are the factors that influence the valuation of commercial vehicles?

It is estimated that from the moment a vehicle leaves the dealership, it loses approximately 20% of its value. But that is not the only aspect to consider. Here is a summary of the main factors that influence the appraisal of commercial vehicles.

Antiquity. The age of a vehicle carries a lot of weight when it comes to calculating its value. It is estimated that one year after purchasing the vehicle, it loses almost 20% of its value. For the next six years, depreciation equals 10% per year. And after the eighth year, this percentage rises to 5% per year.

Maintenance. To ensure optimal performance and minimal depreciation for your vehicle, it is important not to forget about its maintenance. This implies performing a series of care and services on a constant basis.

Number of owners. If a vehicle has had multiple owners, this will negatively affect its value

Mileage. The total distance the unit has traveled is also very important. In order for this variable not to significantly reduce its price, the mileage should not be above the annual average of 15,000 km.

Obviously they are buses, the industrial vehicles that carry the most mileage according to the mileage recorded by the TIV`s.
Damage. Crashes and accidents can cause various damages to the parts that make up a vehicle. Therefore, after an accident, it is very important to request an expert control of damages and deformations of a truck.

What is the usual deterioration suffered by an industrial vehicle?

Every vehicle tends to suffer normal wear and tear directly related to its use.
The elements that suffer the most deterioration in the shortest time are those that are in constant motion, suffer the most friction or are used more often.
Such is the case with shock absorbers, batteries, spark plugs, bulbs, filters, windshield wipers, brake discs and tires.
The engine and internal elements also wear out, to a greater or lesser degree depending on the care and maintenance it receives.
Dirt is also a type of deterioration that gets worse over time, since there are parts that get stained or that cannot be cleaned so easily.
The bodywork is another of the aspects most prone to deterioration, not only due to collisions and scratches, but also due to natural agents. For one thing, moisture and salt can corrode steel. On the other hand, the sun’s rays cause the paint to gradually age.
Since the bodywork is the exterior element of the vehicle, no damage to its surface goes unnoticed. Therefore, its appearance and condition have a decisive impact on the depreciation of the unit.

What does the fleet manager do?

Typically, fleets are managed by professionals known as managers. These are responsible for supervising and monitoring breakdowns, spare parts, modifications, maintenance and replacement of vehicles.
The work of the also includes determining the characteristics that a vehicle should have according to the activities carried out by the company, and is responsible for ensuring its acquisition.

You need advice for conducting industrial vehicle appraisals? Are you looking for advice to improve the management costs of your vehicle fleet?

Link to post: Five advantages in managing transport fleets with a database