Global Vehicle Leasing Market Outlook, 2023

Global Vehicle Leasing Market Outlook, 2023

Global Leasing Market to reach $202.50 Billion by the end of 2023

Vehicle leasing addresses the challenges companies face in meeting their mobility needs, including funding, fleet maintenance, and handling residual risk. In the current market conditions, companies big and small must focus on their core products and services, so they look to outsource all other support activities, including mobility, which requires significant resources in terms of money and time. From fleet purchases to re-marketing at a better price, and for each intermediary segment in the value chain, issues such as unnecessary cost spikes, utilization mismatches, irregularities in fleet maintenance, and the risk of dips in residual value can crop up. As such, corporates prefer leasing their fleets as a hassle-free service with benefits including on-demand mobility and after-service facilities. This demand has driven growth and provided the leasing market with structure and a regulated ecosystem. The evolution of any industry depends on transformational trends that are linked to regional macroeconomic factors and the emerging business models that reflect innovation. This study analyzes transformational trends, such as electric vehicle (EV) leasing, private vehicle leasing, used car leasing, and car subscription mobility models. Other trends, such as small and mid-sized enterprise (SME) leasing, fleet connectivity, and digitization (blockchain in the leasing industry) are also discussed. For leasing providers and other companies involved in the leasing ecosystem, important growth opportunities and the strategic imperatives that will aid their pursuit of growth and success are presented. Overall, the study provides a 360-degree understanding of the global vehicle leasing space (region-specific) and offers details on key trends, overall market dynamics, and future outlooks.

Vehicle leasing addresses the challenges companies face in meeting their mobility needs, including funding, fleet maintenance, and handling residual risk. In the current market conditions, companies—both big and small—must focus on their core products and services; therefore, they look to outsource all other support activities, including mobility, which requires significant resources in terms of money and time. From fleet purchases to re-marketing at a better price, and for each intermediary segment in the value chain, issues, such as unnecessary cost spikes, utilization mismatches, fleet maintenance irregularities, and the risk of dips in residual value, can crop up. Corporates prefer leasing their fleets as a hassle-free service with benefits, including on-demand mobility and aftermarket services. This demand has driven growth and provided the leasing market with structure and a regulated ecosystem.

The evolution of any industry depends on transformational trends linked to regional macroeconomic factors and emerging business models that reflect innovation. This Frost & Sullivan study analyzes transformational trends, such as electric vehicle (EV) leasing, private vehicle leasing, used-car leasing, and car subscription mobility models. Other trends, such as small and mid-sized enterprise (SME) leasing, fleet connectivity, and digitalization (blockchain in the leasing industry), are also discussed. In addition, the study presents important growth opportunities and strategic imperatives that aid leasing providers and other companies' pursuit of growth and success. Overall, the study provides a 360-degree understanding of the global vehicle leasing space (region-specific) and offers details on key trends, overall market dynamics, and future outlook.