Global Automotive Financing Market was value US$ 290.0 Mn in 2019 and is expected to reach US$ 410.0Mn by 2027 at a CAGR of 4.42 %.
The objective of the report is to present a comprehensive assessment of the market and contains thoughtful insights, facts, historical data, industry-validated market data and projections with a suitable set of assumptions and methodology. The report also helps in understanding global automotive financing market dynamics, structure by identifying and analyzing the market segments and project the global market size. Further, the report also focuses on the competitive analysis of key players by product, price, financial position, product portfolio, growth strategies, and regional presence. The report also provides PEST analysis, PORTER’s analysis, SWOT analysis to address questions of shareholders to prioritizing the efforts and investment in the near future to the emerging segment in the global automotive financing market.
The report study has analyzed revenue impact of covid-19 pandemic on the sales revenue of market leaders, market followers and disrupters in the report and same is reflected in our analysis.
Increasing cab service financing is major driver of the automotive finance market globally. Growing population in emerging economies and high GDP growth rate is consistently energizing the industry prospects. Rising environmental concerns due to increased pollution levels and automotive eco-monitoring regulations imposed by the government are limiting the use of mainstream automotive. Moreover, schemes such as car sharing, corporate carpooling and start-ups in the sector are defining the automotive industry and so the related funding area.
Challenges that may hinder the upward trend in the sector are the dependence of vehicle buying on the future outlook of the economy and the practical consumer buying confidence. Competition in the automotive industry is stressing operations, credit underwriting standards are stringent, loan pricing margins are affected by competition, compliance, and risk management aspects of the product necessity to be reworked.
Loan segment based on the purpose is leading the global automotive finance market. The loan market for second-hand cars would rise at a faster pace on account of increased demand from the Asia-Pacific region. Car loan is saturated in established markets and constantly growing in popularity in emerging markets. Leasing is an almost unused business with immense opportunities.
Region-wise, The Asia Pacific region led the market in 2017 with a market share of around 49%, followed by Europe and the Americas respectively. APAC region is expected to continue to dominate the market throughout the forecast period. Rapidly growing economies of Asia Pacific, where car financing remains a relatively new concept. Banks must get used to structuring loan terms, and captives must get to grips with high entry costs and the need for important market education.
Scope of the Global Automotive Financing Market
Global Automotive Financing Market, by Source
• Credit Unions
• Financial Institutions
Global Automotive Financing Market, by Purpose
Global Automotive Financing Market, by Application
• Residential Use
• Commercial Use
• Government Use
Global Automotive Financing Market, by Region
• North America
• Asia Pacific
• Middle East and Africa
• South America
Key players operating in Global Automotive Financing Market
• Toyota Motor Credit
• GM Financial Inc.
• Volkswagen Financial Services Inc.
• Hyundai Capital
• RCI Banque
• Ford Credit
• Banque PSA Finance
• Honda Financial Services
• American Suzuki
• Fiat Finance
• Mercedes-Benz FS
• BMW Financial
• GMAC (Ally Financial)
• Suzuki Finance
• Dongfeng Peugeot Citroen Auto Finance Co. Ltd
• Chery Huiyin Automobile Finance Co. Ltd.
• Maruti Finance
• TATA Motor Finance