Business modelling: Car fleet provider
We built a spreadsheet-based model to allow our client analyse the true profitability of their contracts
Our client was unsure whether all its contracts, despite their high headline revenue,
were sufficiently profitable to make them worthwhile.
We analysed every aspect of the business, 'following' a car from purchase through to delivery
to identify where costs were picked up.
From our analysis, we developed a spreadsheet-based model that gave the gross and net profit per unit
for the client's top 20 deals.
The company got immediate visibility of the main cost
drivers on each contract, and is now using the model to price new potential deals.