The largest forecourt in the UK
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Any truck on the Maritime Transport fleet is now potentially for sale. CM met the men in charge to find out why
Words: Dave Young At the Essex port of Tilbury, Maritime Transport’s operations are ubiquitous in yards and warehouses and will soon occupy a site in the extensive new docks development. Britain’s largest privately owned container operator, latterly with a rapidly expanding distribution division, also has a used trucks sales section – better known on the internet as www.secondhandtrucks.co.uk
Some indication of the importance of these leet sales to Maritime might be gauged by the managerial turnout for CM’s visit. MD John Williams, marketing director Andrew McNab, inance director Alan McNicol and Matt Heath, general manager – leet sales, were keen to explain the business ethos behind this enterprise.
The sales concept isn’t original. Back in its state monopoly days, British Telecom had a policy of buying vans and selling them on after two or three years at prices rumoured to be more than originally paid. Maritime’s used sales concept is similar, but more sophisticated.
Identifying and controlling costs
When the irm started in 2001, it took tractor units on operating leases but soon realised there was no way to quantify interest rates, capital expenditure or residual values. As leasing became increasingly expensive Maritime decided to invest earnings into buying trucks outright, enabling managers to clearly identify and control costs. “We were too busy trying to make money to spend it [on anything else],” says Williams, explaining why wielding their increasing bargaining power with manufacturers to negotiate competitive prices made inancial sense.
The container business then had two peak seasons, not necessarily coinciding with leasing contract renewal periods. By owning trucks, it became easy for Maritime to acquire replacements before the cyclical demand increase, and retain trucks due for disposal until it had passed. To control residual values, the used truck division was created in 2005 to handle leet disposals. Heath sums up Maritime’s sales approach: “We are the dealer that isn’t a dealer – our stock is on the road.” Rather than tie up cash in rows of unproductive trucks awaiting sale, Maritime keeps a ive-truck line-up of ‘sample’ used vehicles, representing the ive marques it operates at its Tilbury yard. Valetted to ‘as new’ condition and typically about three years old (although often younger) the Volvo, Scania, Daf, Mercedes-Benz and MAN chassis are all high speciication – think coffee maker, fridge, microwave and air-con – high-roof, 6x2 tractor units (and the occasional drawbar prime mover).
“Everything on our leet is for sale,” explains Heath, who regards the prevalence of the brand across the country as its best advertisement: “Our forecourt is the biggest in the UK, and the stock is on the road,” he says.
Maritime says most custom is repeat business with an astonishing 95% of sales made sight unseen, such is the conidence in the quality offered. All vehicles are exTilbury, but are supplied anywhere in the UK to customers ranging from owner-drivers to equipping entire leets.
One driver, one truck
All of Maritime’s used trucks are dealer-maintained from new, some with warranty remaining, and when sold have a complete and detailed service history. Most have relatively low mileage – less than 1,400 miles a week – working on a ‘one driver, one truck’ basis rather than, says Heath, vehicles sold by competitors that may have come from hire leets with multiple drivers, which may take a toll on the driveline. This, he believes, is a key differentiation between Maritime and other second-hand vehicle outlets.
With a background in road transport operation, Heath reckons that, because Maritime is a haulier not a dealer, he can offer customers experience on the performance and suitability of each marque to particular applications. He is also able to tell customers what stock will be available two years hence, enabling them to plan purchases.
When it comes to inance, Maritime holds a consumer credit licence but does not, says McNicol, want to become “a broker for other businesses”, instead referring customers requiring credit to a network of brokers who can secure funds. McNicol makes the surprising revelation that “our relationship with the broker is not based on commission – we don’t make a penny, it’s hard enough for our customers to borrow money without us adding to the cost” .
Should buyers wish to, chassis can also be converted or customised with items such as light bars, and painted to exact requirements. “A transparent, one-stop sales and aftersales package,” says Heath. Every new truck comes with an MoT, tax-saving Euro-5 RPC certiicate (where applicable) and a three-month warranty.
There’s also a ‘buy with work’ scheme, which effectively recruits subbies to Maritime’s container and distribution leet. This option tends to run against the current economic grain, Heath explains: when the economy is busy there’s not many takers; when the going is tough and work hard to ind, as now, Maritime sees more interest – perhaps because the irm guarantees a minimum level of work.
The end of Euro-5 and the introduction of Euro-6 models is likely to be, Williams predicts, “a bonanza” . Eventually everyone will have to embrace Euro-6 trucks, but in the interim even those who’ve put off updating and replacing lorries are likely to jump sooner than later.
“We are,” says Heath, “one of the best placed sellers that has a 700-strong leet.” Williams is conident Euro-6 won’t be a problem, adding that digital tachos, AdBlue and Working Time Directive weren’t the disasters predicted by many. In a few years’ time, Maritime might be able to reassure buyers that, on the basis of their operational experience, there is nothing to fear from Euro-6 technology. Until then, this could be the prime time to buy Euro-5. ■
STAR BUY?
Maritime trucks deliberately doesn’t offer special offers or deals of the week – nor does it claim to be the cheapest supplier. The firm prefers to tailor sales exactly to purchaser’s requirements with an entire working fleet for customers – some returning for their third generation of vehicles – to choose from.