Europcar Mobility Group (Euronext Paris: EUCAR) is hosting today a Capital Markets Day, during which the Group will present its strategic roadmap for the years 2020-2023. This event will include presentations from the Management Board focusing on the strong positions that the Group holds in its core business (vehicle rental and vehicle sharing) and the strong assets that the Group has built over the past few years to now enter a new phase.
In this new development phase, the Group is reinforcing its mission statement – offering attractive alternative to vehicle ownership with a wide range of mobility solutions -, thus fitting to customers’ increased mobility needs, market prospects and both societal and environmental challenges. In this fast evolving and fully reshaping environment, the strategic roadmap – SHIFT 2023 – is designed to further capture profitable growth, targeting a doubling of its active customer base to 15m customers, a Group NPS (Net Promoter Score) of 50% and a Group Revenue above €4bn, with a significant increase of the contribution of the Urban Mobility activities (expected to generate around 10% of Group revenue in 2023).
All this will be supported by an integrated augmented infrastructure: the Group’s digitalization and development of its technological expertise in smart data, connected vehicles and APIs (Application Programme Interfaces) will be key enablers to upgrade the customer journey as well as the fleet management assets into a more connected, intelligent, open, multimodal and impactful core infrastructure.
In addition to the Management Board presentations, Top Managers and Top Talents of the Group will highlight successful stories and business cases, demonstrating how the Group has transformed into a global mobility service company – lean and agile, powered by tech and talents – during 4 “Mobility Talks”:
– How to build a profitable car sharing business (Ubeeqo and its affiliate GoCar)
– Discovering our Product Organization and our Connected Vehicles product lines
– How to build a compelling digital customer journey
– Understanding our Group’s debt and refinancing structure
For Caroline Parot, Chief Executive Officer of Europcar Mobility Group:
“We are at the beginning of a societal revolution, where mobility solutions will play an essential part. It is now critical to reconcile the fundamental need that moving is, with what is at stake all around us: demographic explosion, metropolisation, urban congestion, environmental challenges… We believe mobility is all about offering attractive alternative solutions to vehicle ownership, in a responsible and sustainable way. Mobility is an unrelenting societal revolution and it is becoming an essential service: in 2030, with 19% of world Gross Domestic Product, the “need to move” will weigh more than the “need to feed”!
As such, mobility is a blessed business. Reason why we have heavily invested over the last 3 years to address new mobility needs and usages and capture growth. Our track record and our results speak for themselves, with +37% revenue growth since our IPO in 2015.
With very strong assets to move forward – including a 7.7 m active customer base, a global footprint and a unique central positioning in the mobility value chain -, we are ready to seize the opportunities which are ahead of us, in particular with our strong urban mobility “engine” Ubeeqo. SHIFT 2023 is all about shifting gears, shifting ambition, moving it forward, and shifting competition, with a strong commitment to play a leading role in a reshaped mobility ecosystem”.
SHIFT 2023 strategic roadmap
SHIFT 2023 roadmap targets a doubling of the active customer base of the Group from 7.7 to 15m customers, a Group NPS (Net Promoter Score) of 50% and a Group Revenue above €4bn – including multiplying by 10 revenue for our urban mobility business. These goals will be achieved through 2 “battles”: augmenting core business – enhancing car rental, enhancing van rental, scaling-up urban mobility – while amplifying business services.
Progressing in the build-up of the integrated augmented infrastructure the Group is aiming at, the Group will activate 5 levers:
– One digital customer journey
– One B2B commercial platform
– One Connected Fleet
– One customer database
– One brand portfolio (with 4 major brands)
This will be supported by 5 management principles, applying to decision making and governance, accelerating the on-going cultural change:
– Speed up
– High value creation
– Invest in the future
– Focus on customers
– Tech & talents-powered
SHIFT 2023 key financial ambitions
– Revenue > €4.0bn
– Reported Adjusted Corporate EBITDA > €500m (Excluding IFRS 16 impact)
Capital allocation will be balanced between growth acceleration and shareholders return with a strong financial discipline to deliver a solid cash flow conversion and maintaining a Corporate Leverage between 2 and 2.5 times Corporate EBITDA.
SOURCE: Europcar Mobility Group
