Category Archives: Industry News

Guideline: Vehicle registration requirement by Gauteng after 30 days in the Province

Posted on by

The Premier of Gauteng noted during his State of the Province address on Monday (19 February), that the province’s new number plates support a national plan which still needs to be finalised by the National Department of Transport.

“The National Department of Transport has developed a draft legislative proposal for the harmonisation of national plates, which includes the security features we want on Gauteng’s new number plates.”

At the launch of the Gauteng-Vuma Cam partnership last week, Lesufi said that “we (Gauteng) are starting afresh, all of us; every person that has a car must re-register and get a new registration number that cannot be copied and is reliable, so that we know what is happening in our province.”

“Everyone must register their vehicle … If you spend 30 consecutive days in Gauteng, it means your car must be registered in Gauteng.”

Here is a vehicle registration guideline (PDF) to assist members in the misperception now created through the statements of the Gauteng Premier.

Members are welcome to contact the Association.

Hot Competition for 2023 Manufacturer Of The Year Awards – MOTY 2023

Posted on by

MOTY AWARDS 2023
Manufacturer of the Year Award

MOTY Awards 2023

MOTY 2023 Award Winners     |     MOTY 2023 Event Photos

JOHANNESBURG, 19 OCTOBER 2023 – South Africa’s top vehicle manufacturers, as rated by the country’s vehicle rental and leasing companies, were honoured at this year’s SAVRALA Manufacturer of the Year (MOTY) awards, which were announced at a gala ceremony in Johannesburg today.

The 28th edition of the MOTY awards, organised by the Southern African Vehicle Rental and Leasing Association (SAVRALA), honours motor manufacturers for their outstanding service and support to members. These members collectively oversee approximately 400,000 vehicles annually through rental and leasing channels.

These awards are determined through two thorough surveys conducted with 37 car rental and leasing companies in South Africa. These surveys gauge their interactions with manufacturers they frequently deal with and whose vehicles are part of their fleets. The surveys encompass several key aspects of their operations, including communication and contact with manufacturers, support services, maintenance concerns, financial matters, and B-BBEE compliance.

The participating rental and leasing companies are required to involve all the relevant people who are knowledgeable about each criterion within their organisations to complete the various sections of the surveys. This is to ensure that the results are not biased and can be used by the manufacturers to identify and rectify any pain points in their customer journey with the rental and leasing industries.

SAVRALA’s GM, Sandile Ntseoane, emphasised the role of a key partner of the MOTY awards. “To recognise and acknowledge service excellence, SAVRALA continues to rely on its respected, most trusted, and independent partner, Lightstone. Their expertise in providing information, valuations, and solutions that enable better business decisions is instrumental in helping SAVRALA coordinate and administer the survey.”

Awards are made in the Rental category, Leasing category as well as combined Rental and Leasing performance.

In the Rental category, Toyota moved into the top position for the first time in four years, leading second place Kia and last year’s winner, Isuzu, now in third. The Leasing positions remained the same for the third consecutive year, with Isuzu taking top honours, followed by Volkswagen in second place and Toyota taking third place.

Considering all the challenges currently facing the automotive industry, these achievements are commendable. Manufacturers had to walk a tightrope to remain operational in the prevailing tough economic conditions, locally and globally. Yet despite these challenges, the industry showed resilience in achieving the best Rental and Leasing industry scores achieved to date.

Rental Results for 2023

Toyota, the winner of the Rental category in 2018 and 2019, reclaimed the top spot in the Rental category in 2023 after securing second and third places in the years following their last victory in 2019.

Kia was awarded second place in the Rental category in 2023, which is only their second appearance among the top three Rental manufacturers. Kia shared second place with Renault in 2019, but this year they have returned to their second position.

The exceptional performances from Toyota and Kia moved the Rental winner of the last three years, Isuzu, into third position for 2023.

The Value award goes to the automotive member who has accumulated the highest total points in both the Financial and Rental sections. For the sixth consecutive year, Toyota has emerged as the winner.

The Tutuka award is given to the automotive member who scores the highest and supplies lower and niche vehicle volumes to the car rental industry. Mini has dominated this award by winning it for the fifth year in a row.

Leasing Results for 2023

Isuzu continued their winning ways in the Leasing section and were awarded Gold in the Leasing category for the fourth consecutive year. Volkswagen held steady for their second position and Toyota took third, the same top three positions for Leasing for the last three years.

The Value award for the Manufacturer scoring the best for the Financial section on the Leasing survey was awarded to Isuzu, winning this award for the second time in the last three years.

Overall Results for 2023

The Rental and Leasing scores for qualifying manufacturers are combined to adjudicate an overall winner. This year’s Overall winner is Isuzu for the fourth consecutive year, with Toyota taking second position and Volkswagen completing the top three leader board positions.

Best Representative Awards for 2023

The rental and leasing companies nominate individuals for the best representative awards based on their performance and support during the year. Geraldine Pillay from Isuzu and Jeanette Bossert from Nissan were voted the best Account Representatives in the Leasing section. The award for the best Account Representative in the Rental section was presented to Lebo Lekalakala, representing Toyota.

The winner of the best Technical Representative award in the Rental section is Lufuno Nephawe from Toyota, with Lebo Mabowa from Volkswagen voted the best Technical Representative in the Leasing section.

Congratulations to all the award winners! We believe that your commitment to excellence will inspire others in the industry and help raise the standards even higher.

About SAVRALA

SAVRALA is the trade body for companies engaged in the leasing and rental of passenger cars and commercial vehicles. Founded in the 1970s, SAVRALA represents South Africa’s combined vehicle rental, leasing and fleet management industries. SAVRALA is the representative voice of Southern Africa’s vehicle rental, leasing and fleet management industries. It has a combined membership base of over 38 of South Africa’s top rental and leasing companies representing approximately 600 000 vehicles.

For more information about SAVRALA, please visit savrala.co.za or contact Claire Lathe at claire@bigambition.co.za

MOTY 2022 – Isuzu voted Best Manufacturer for third consecutive year

Posted on by

MOTY AWARDS 2022
Manufacturer of the Year Award


Photo Gallery: Winners
Photo Gallery: Awards Event

JOHANNESBURG, OCTOBER 20, 2022 – Isuzu has walked away with top honours in the Manufacturer Of The Year (MOTY) awards, run annually by the Southern African Vehicle Rental and Leasing Association (SAVRALA).

Now in its 27th year, the MOTY awards pays tribute to the vehicle manufacturers for the level of service and support provided to SAVRALA members, who manage roughly 400 000 vehicles per year through the rental and leasing channels.

These awards are based on two comprehensive surveys completed by 38 car rental and leasing companies in South Africa, measuring the service from the manufacturers they interact with regularly and whose vehicles they have in their fleets.

Among the various areas of business surveyed are communication and contact with the manufacturers, support provided, maintenance issues, financial aspects and B-BBEE compliance.

The participating Rental and Leasing companies are required to involve all the relevant people who are knowledgeable about each criterion within their organisations, to complete the various sections of the surveys. This is to ensure that the results are not biased and can be used by the manufacturers to identify and rectify any pain points in their customer journey with the rental and leasing industries.

A Snapshot of the Results

In 2022, Isuzu was voted as the winner in both the Rental and Leasing categories for the third consecutive year. In the Rental category, Toyota improved their third position from 2021 and moved into the second position this year. For the first time ever, Mini moved into a podium position, by being awarded the bronze award in the Rental Category.

The Leasing positions remained the same as last year, with Isuzu taking top honours, followed by Volkswagen in second place and Toyota close on their heels taking third place.

Considering all the challenges currently facing the automotive industry, this is no small feat. Manufacturers had to walk a tightrope to remain operational amidst the aftermath and recovery of the Covid-19 pandemic, Ukraine war, the global chip shortages leading to a shortage of new vehicles, the global energy crisis and the KZN flooding earlier this year, to name but a few.

Rental Results for 2022

Isuzu continued their winning spree, attaining the highest score on the measured criteria and helped along by a level one B-BBEE level of contribution, the only manufacturer achieving level one. Toyota moved into second position, as they did in 2020, in the process moving Volkswagen out of the top three positions. Historically, premium brands have not often won top awards in the MOTY competition, but this year Mini proved that this is indeed possible, by moving into third position for the first time ever.

The Value award is presented to the automotive member that has scored the most combined points for the Financial section, and for the fifth year running, the winner is Toyota.

The Tutuka award recognises the best scoring automotive member which supplies lower and niche vehicle volumes to the car rental industry, and Mini took top honours in this category for the fourth consecutive year.

Leasing Results for 2022

Isuzu carried their momentum to the Leasing section and were also awarded Gold in the Leasing category, as they did for the last two years. Volkswagen held steady for their second position and Toyota took third, the same top three positions for Leasing as in 2021.

The Value award for the Manufacturer scoring the best for the Financial section on the Leasing survey was awarded to Toyota, which has now won this award four times in the last five years.

Overall results for 2022

To adjudicate an overall winner, the Rental and Leasing scores for qualifying manufacturers are combined. This year’s Overall winner is Isuzu for the third consecutive year, with Toyota improving from their third position last year to now be second and Volkswagen completing the top-three leader board positions.

Best Representative Awards for 2022

The rental and leasing companies nominate individuals for the best representative awards based on their performance and support during the year. Geraldine Pillay from Isuzu was voted the best Account Representative in the Leasing section. The award for the best Account Representative in the Rental section is shared between Queen Ramaliwa from BMW and Lebo Lekalakala, representing Toyota.

A special shout out has to go to Ramatjitla Penyane from Toyota, for being voted the best Technical Representative in both the Leasing and Rental categories for the last five years. He has definitely made this award his own and his legacy lives on.

Often retaining the title of being recognised as the best in your industry is harder than the effort required in reaching the top. We congratulate this years’ winners and look forward to seeing what the competitors can bring to the table in 2023.

About SAVRALA

SAVRALA is the representative voice of Southern Africa’s vehicle rental, leasing and fleet management sector. Its members have a combined national footprint with over 600 branches countrywide. Its Associate members comprise most motor manufacturers and importers and allied industry sales and service companies. SAVRALA members provide short-term self-drive rental, medium and long-term rentals and/or leasing and fleet management services to corporate users and consumers. The sector employs an estimated 12,000 people and, as a direct multiplier effect, several thousand more jobs are sustained across the South African automotive industry.

For more information about SAVRALA, please visit https://savrala.co.za/ or contact Claire Lathe at claire@bigambition.co.za

MOTY 2021

Posted on by

Congratulations to Isuzu who has come up tops as the winner of the Southern African Vehicle Rental and Leasing Association (SAVRALA) Annual Industry Manufacturer of The Year (MOTY) Awards 2021.

Announced on 21 October at a cocktail event in Johannesburg, the MOTY 2021 winners included Isuzu as the winner in both the Rental and Leasing categories for the second consecutive year. Volkswagen came in second place in both categories and Toyota came third, also in both categories.

The Value Award goes to Toyota fourth year running. The Value Award is presented to the automotive member which has scored the most combined points in the financial section and, for the fourth year running, Toyota is the winner.

Mini takes the Tutuka Award third year in a row. The Tutuka Award recognises the best scoring automotive member who supplies lower and niche vehicle volumes to the car rental industry, and Mini took top honours in this category for the third consecutive year.

Business Fleet Africa’s SAVRALA MOTY 2021 Special Edition was released shortly after the official announcement of the MOTY results on Thursday the 21st of October 2021. View the Special Edition here.

Photo Gallery: Winners
Photo Gallery: Cocktail Event – Awards Evening

 

Roadblocks and Your Rights

Posted on by

“Roadblocks and Your Rights” featured on the Carte Blanche website on 20 August 2017 provides useful insight into:

  • The two kinds of roadblock
  • What cops are legally allowed to do
  • What happens if you have outstanding fines
  • Under what conditions arrests are allowed
  • What to do if you feel unsafe
  • Can you film the police?
  • Can you ask for identification?

Read the full article here:
https://carteblanche.dstv.com/roadblocks-and-your-rights/

New Accounting Standards – substantial impact for Car Rental and Leasing Companies

Posted on by

IFRS 16 Leases, the new international accounting standard, will come into effect from 1 January 2019.  This will have a substantial impact on car rental and leasing companies.

During a presentation to SAVRALA members by accounting firm Deloitte Touche, Trevor Derwin, A & A Partner in the Johannesburg office explained that the essence of the changes lies in the accounting treatment applied by lessees. At present, the costs pertaining to leased vehicles are not reflected on the balance sheet; in the future all leases will have to be reflected on the balance sheet, with the exception of short term leases (less than 12 months) or low value leases.

“There are a number of considerations to take into account for companies who have lease agreements” said Derwin.  “These include the impact on the company’s financial report, key ratios, disclosures, the cost of implementation, the ability to access desired information, the impact of covenants and debt renegotiations and leasing strategies. It is essential that these companies start discussions with their bankers, analysts and lessor companies to ensure they are ready to implement the new standards.

“However, there will be no difference to the bottom line for leasing and rental companies,” he added.  “Despite the changes, there remains considerable advantages to leasing as opposed to buying vehicles.”

The main changes required by the new standards include the accounting treatment for lessees in a lease (where most leases will be brought on balance sheet as finance leases), the definition of a lease and enhanced disclosures.

Under the new standards, a contract contains a lease if it depends on the use of an identified asset and if it conveys the right to control the use of such an asset.   Further, the customer must enjoy substantially all of the economic benefits from the use of the asset during the lease term. In determining whether a customer has the right to control an asset, the customer must be able to determine how and for what purpose the asset is used.

A further consideration lies in substantive substitution rights.  In this instance, if the supplier has the practical ability to substitute alternative assets, and the supplier benefits economically from this right, the contract would no longer be considered a lease.

Many lease contracts today include both a lease and service component. Under the new standard these should be accounted for as separate components with the lease element capitalized to the on balance sheet lease, while the service component is expensed as incurred. Lessees may, however, elect to not separate non-lease components from lease components by class of asset.

“Identifying a lease will sometimes require a significant amount of judgment based on the elements of the definition of a lease” said Derwin.  “It is also important to determine the lease term, ie whether it is reasonably certain that an extension or termination option will be exercised.  In addition, identifying the appropriate rate to discount the lease payments will require significant consultation.”

“Although the new standards come into effect in January 2019, they will apply equally to existing as well to new lease arrangements,” he concluded.   “For those SAVRALA members who play the role of lessor, there is a business opportunity in that they can assist their customers to find the best solution.   We urge all your members, lessors and lessees alike, to discuss these changes with their auditors to ensure they are informed and ready to implement they changes as they come through”.

Download the PDF of the July 2017 presentation by Trevor Derwin:
IFRS 16 Leases – Technical Update

SAVRALA General Manager unable to renew contract

Posted on by

PRESS RELEASE: February 01, 2013

SAVRALA General Manager unable to renew contract

Regrettably the Southern African Vehicle Rental and Leasing Association (SAVRALA) wishes to announce that its current General Manager, Mr Wayne Duvenage, having agreed to join the body on a six month contract last year, has advised that he is unable to offer his valuable services to the car rental industry after his contract expires at the end of February 2013.

Wayne has had a distinguished career in the car rental industry that spans almost 20 years. SAVRALA wishes him well in his future endeavours.

Editorial contacts: ADZOO – Manfred Noriskin-Ender 0829010342