In the last two years,
consumer leasing of
new vehicles has
dropped 6.5% –
from 30.3% in Q4 2019
to 23.8% in Q4 2021.
Experian
Faced with rising lease prices and sky-high
equity in vehicles, lease customers returning to
market are increasingly buying out their leases.
Leveraging that equity, customers are trading in
at competing brands or rooftops to get the new
vehicle they want, posing significant immediate
and future challenges to customer loyalty rates.
While there are a variety of reasons why a
customer chooses to lease, the most obvious is
they like having a new vehicle and the flexibility
leasing provides. However, as soon as a
customer buys out their lease, their loyalty is
immediately at risk, threatening sales and
service revenue, pre-owned inventory and more.
