Europe Private Vehicle Leasing Market Strategic Analysis

Europe Private Vehicle Leasing Market Strategic Analysis

  • December 2016
  • 72 pages
  • Frost & Sullivan
Report ID: 4595303
Strong Market Growth Expected as Leasing Companies Turn Focus to Untapped Retail Segment and Increasing Customer Demand for Hassle-free Mobility Solutions

The retail automobile market in Europe is undergoing a transformation in terms of the vehicle ownership model. The need of the current generation is moving toward mobility alone, and not ownership of the vehicle. This has opened up the market for several retail financing products, one of which is the private leasing contract. The benefits in a private lease—such as maintenance-free possession, low risk on residual value, and options at the end of contract—are attracting customers looking for affordable alternatives. Will this demand be met with enough supply and drive growth of the private lease market in Europe?

This research service is based on actual figures focusing on “private leasing” for the period 2013 to 2015. A forecast of market growth is provided for the period 2016–2020. The geographic scope is EU-26, and vehicle segmentation covers light vehicles, i.e., passenger vehicles (PV) and light commercial vehicles (LCV).


Key Questions this Study Will Answer:
1. What is private vehicle leasing and where does it fit in the vehicle financing ecosystem?
2. What are the distribution channels providing the private leasing product, and how is it categorised?
3. What is the business environment of the vehicle leasing market in Europe?
4. What is the penetration of private lease contracts in the retail segment?
5. What factors are likely to drive and determine the growth of the private leasing market between 2016 and 2020?
6. Which are the key participants offering private leasing product, and what are their profiles?
7. Which are the key customers responsible for growth in the private leasing market?
8. How is the mobility market expected to evolve with innovative mobility models?

Increase in vehicle density on the road, lack of parking slots, and high maintenance costs are transforming the mobility market in Europe. Travel is the key demand and not the asset (car)—hence, customers are looking for alternative options to owning a vehicle. Customers wish to keep up with the trend in terms of new cars every 3–4 years. Also, the preference in flexible mobility options is pushing customers to look for alternatives to owning a car and maintaining it.

Firstly, the need of the customer is changing, so what is in it for private lease products? Is it an opportunity for leasing providers?

Secondly, leasing companies have mostly covered so many corporates across the region that there is little left for them to explore. How is this going to change the arena of the private leasing market?
Rising costs of owning a vehicle inhibit customers from replacing their cars and make them look for alternatives such as public transport, car rentals, and taxis. A few of these options are comfortable but expensive. So, an option of mobility at an affordable price along with comfort would fill this requirement gap. Leasing companies have already started focusing on this retail financing segment to expand their market share early with a first mover advantage.
1.Executive Summary
 
Executive Summary
Key Findings
Market Engineering Measurements
Product Overview
Private Leasing Contract—Process Map
Private Leasing Market—New Registrations
Regional Overview
Product Benchmarking
Current Status and Outlook
 
2.Research Scope, Objectives, Background, and Methodology
 
Research Scope, Objectives, Background, and Methodology
Research Scope
Research Aim and Objectives
Key Questions This Study Will Answer
Research Background
Research Methodology
Key Participant Groups
 
3.Private Leasing—Definitions and Segmentation
 
Private Leasing—Definitions and Segmentation
Automotive Market Structure
Customer Segmentation
 
4.Market Overview
 
Market Overview
Evolution of Private Leasing Market
Transformation in Mobility
Automobile Market—Total Sales
Market Metrics—Retail Funding Splits
PESTLE Analysis
Private Leasing—Distribution Channel Analysis
Private Leasing—Direct Distribution Channel
Private Leasing—Indirect Distribution Channel
 
5.Market Measurements
 
Market Measurements
Market Engineering Measurements
Annual Sales
Market Forecast
Private Leasing New Contract Volumes, 2015 and 2020
Private Leasing—Opportunity for Used Cars
 
6.Country-specific Trends
 
Country-specific Trends
Country Analysis—Germany
Country Analysis—Switzerland
Country Analysis—The United Kingdom
Country Analysis—Italy
Country Analysis—Spain
Country Analysis—Nordics
Country Analysis—Benelux
Country Analysis—The United States
 
7.Growth Opportunities and Companies to Action
 
Growth Opportunities and Companies to Action
Growth Opportunity—Private Vehicle Leasing Market
 
8.Future of Mobility
 
Future of Mobility
Future of Mobility Models
Peer-to-Peer Lending
Fractional Leasing
 
9.Competitive Analysis—Provider Profiles of Independent Leasing and OEM Captives
 
Competitive Analysis—Provider Profiles of Independent Leasing and OEM Captives
Volkswagen Financial Services—Company Information
Toyota Financial Services—Company Information
ALD Automotive—Company Information
LeasePlan—Company Information
Provider Profiles—Other Participants
 
10.Conclusions
 
Conclusions
Conclusions
The Last Word—3 Big Predictions
Legal Disclaimer
 
11.Appendix
 
Appendix
Market Engineering Methodology
Vehicle Leasing Market—Definitions
Country Codes
Abbreviations
Country=Europe Industry=BankLending ParentIndustry=Banking Date=201612 Topic=MarketReport Publisher=Frost&Sullivan Price=5000