ADM serves Car Dealers, Automotive Marketing Pros and Internet Sales Managers
Car leasing has heated back up to pre-recession levels, but how much more growth can the industry expect for leasing? Swapalease.com, the nation’s largest car lease marketplace, has insight into this trend based on results of a recent survey that included leasing as a consideration of future vehicle shopping.
Brands such as Toyota and GM have been in the news lately discussing their plans for more lease growth. While these and other automakers have realized the industry’s return to lease penetration comparable to pre-recession levels, how much can we expect this time around? According to the results of an online survey presented to more than 800 drivers in June, 40.7% of respondents said they are extremely likely to lease their next vehicle. This compares with 29.6% of respondents who said they were extremely likely to lease during the same time a year ago.
The most interesting part of this year’s results lies in the fact that nearly two thirds of respondents are not leasing their current vehicle, meaning they are extremely likely to switch from financing to leasing when they shop for their next vehicle.
“It feels like 2006 all over again in terms of the excitement over car leasing,” said Scot Hall, Executive Vice President of Swapalease.com. “We are seeing great deals with low, monthly prices, and there are a lot of people using Swapalease.com to upgrade into a larger vehicle. This activity typically takes place when the environment for leasing is ripe and the economy is expanding.”
Perhaps as a result of better deals being offered, fewer people cite getting a fair deal today as their most frustrating aspect of getting a lease. 58.3% of respondents in 2012 listed this as their main frustration, but that number dropped to 51.0% this past June. And while Toyota has plans of offering even more aggressive lease deals in the future, respondents mentioned this carmaker as having the best lease program today at 27.4% of respondents. Chrysler received the lowest amount of responses or the best lease program at just 6.4%.
Headquartered in Cincinnati, Ohio, Swapalease.com is the world’s largest automotive lease marketplace and the pioneer in facilitating lease transfers online. More specifically Swapalease.com matches individuals who want to get out of their lease with people who are looking for short-term lease agreements. Prospective buyers can search the listings for the exact vehicle they want, and then register for a nominal fee, allowing them to use Swapalease.com’s safe online system to contact the prospective seller and close the deal.