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.
Source: Experian
Path to Proactively Preventing
Lease Buybacks
Faced with rising lease prices and skyhigh equity in their vehicle, lease customers returning to
market are increasingly buying out their leases. Proactively engaging lease customers is key to
preventing buybacks – and customer defection.
WHAT TO DO
̆ Touch base with customer to gauge satisfaction with their current lease and address
any immediate concerns.
̆ Set the stage by discussing current and projected rates and availability.
̆ Inquire on future lease plans; changes in their needs.
1
In 2021, dealer loyalty dropped 1.6% while manufacturer and brand
loyalty each flipped just 0.2%
during the same period.
Source: IHS Markit
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.
WHAT TO DO
̆ Set expectations of current rates and availability.
̆ Focus on customer experience to understand their hierarchy of wants and needs.
̆ Explore pre-order or reserved sales.
̆ Emphasize the importance of building their personalized end-of-lease plan to get them
into the vehicle they want.
