The auto leasing comprises companies that operate by renting out or leasing of cars or major transportation vehicles in fleet or small number to the customers. In addition, car rental services are provided to hotels, offices, and business establishments.
Auto leasing is also known as car leasing, car renting, and vehicle leasing. It is seen as a solution to the problems faced by companies for mobility needs such as vehicle funding, residual risk handling, etc. In addition, benefits such as lower cost of hiring, tracking of mileage and location, access to fuel expenditure records, superior operational management of fleet, and easy availability of telematics data to manage driver behavior are some major factors influencing individuals to opt auto leasing options.
Leasing is similar to renting a car; however, it can be a short or relatively longer period. The global auto leasing market can be divided into three main categories: short-term rental, long-term rental, and finance leasing. Manufacturers and customers rely on car rental schemes which are cost-effective, such as leasing cars from owners for a period of three years and then putting these cars on rental through app-based bookings. Moreover, among the application segments, the target market is bifurcated into airport and off-airport.
The growing automotive sector, increasing awareness regarding the advantages of fleet leasing, along with favorable government initiatives and regulations to create a more secure and reliable transportation network is favoring the development of advanced transport systems. Moreover, the continuously increasing number of travelers or tourist has influenced growth of the industry positively. Also, the availability of powerful service based e-commerce options and cab services across the globe is significantly strengthening market growth.
$65,726.5 Mn
6.3%
- By Type
- By Region
- By Application
$121,251.2 Mn
The new trend observed in the target market is individuals are opting vehicle-on-demand with or without driver facility. Proper backup at the time of emergency, low maintenance and less cost burden are anticipated to favor its growth over the forecast period. Additionally, major companies offering services such an eco-driver training which helps to achieve fuel efficiency and minimize the carbon emissions in order to address the rising concern about vehicle emission.
The auto leasing market in Asia Pacific is expected to show substantial growth, as the country draws millions of travelers or tourist for numerous purposes, from vacation, business trips to spiritual practices. In addition, increasing disposable income, increasing tourism & travel budget, and online and mobile booking service facility are anticipated to drive the demand over the forecast period. Moreover, the availability of GPS tracking, entertainment systems, and related service may offer growth opportunities over the next few years.
Market players across the globe are focusing to introduce new business models. Players such as BlaBlaCar and Zipcar has launched groundbreaking business models such as car sharing and embraced technologies like telematics. Moreover, transportation network companies such as Uber and Lyft are using mobile technologies and other devices to meet consumers’ requirements.
Major players profiled in the report include Enterprise Holdings, Inc., Avis Budget Group, Hertz, Europcar, CAR Inc.ALD Automotive, Sixt, and Movida
- In July 2015, Franc-based Europcar Mobility Group has acquired Electric Pay-Per-Use Club and E-car club
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