US car buyers switching from new to used vehicles and extending finance terms to minimise costs

Purchasers are shunning new vehicle purchases in favour of older models, with used vehicles selling in record numbers as a result, according to new research from Experian. Its Q2 2019 State of the Automotive Finance Market report says consumers are exploring all available options to make costs more manageable, including extending loan terms, and deciding between new or used vehicles. One of the more notable ways consumers have managed to make their monthly payments more affordable is to opt for used vehicles. In fact, prime and super-prime consumers financed used vehicles at record levels - these borrowers comprised more than 57% of used vehicle financing during the second quarter.

US car buyers switching from new to used vehicles and extending finance terms to minimise costs

Sep 19, 2019

Purchasers are shunning new vehicle purchases in favour of older models, with used vehicles selling in record numbers as a result, according to new research from Experian. Its Q2 2019 State of the Automotive Finance Market report says consumers are exploring all available options to make costs more manageable, including extending loan terms, and deciding between new or used vehicles. One of the more notable ways consumers have managed to make their monthly payments more affordable is to opt for used vehicles. In fact, prime and super-prime consumers financed used vehicles at record levels - these borrowers comprised more than 57% of used vehicle financing during the second quarter.

Westlake expands auto lending into Canada

US funder Westlake Financial Service is expanding into the Canadian market for the first time in a strategic partnership with Axis Auto Finance and Nowcom to target non-prime credit customers. Westlake and Nowcom will invest up to $5 million into Axis on a private placement basis. Axis will originate and service loans to near prime customers in Canada on behalf of Westlake. The loans will be originated under the Axis brand and profits will be shared between the parties. Nowcom will provide its leading-edge technology, DealerCenter and CarZing, to enhance communication and improve origination efficiency for auto dealers working with Axis.

Westlake expands auto lending into Canada

Sep 19, 2019

US funder Westlake Financial Service is expanding into the Canadian market for the first time in a strategic partnership with Axis Auto Finance and Nowcom to target non-prime credit customers. Westlake and Nowcom will invest up to $5 million into Axis on a private placement basis. Axis will originate and service loans to near prime customers in Canada on behalf of Westlake. The loans will be originated under the Axis brand and profits will be shared between the parties. Nowcom will provide its leading-edge technology, DealerCenter and CarZing, to enhance communication and improve origination efficiency for auto dealers working with Axis.

Porsche expands car subscription services after revealing 80% of customers are new to the brand

Luxury carmaker Porsche is expanding its ‘Porsche Passport’ vehicle subscription model and ‘Porsche Drive’ premium car rental service, in response to positive reaction to a pilot of the shared service model. Following its launch in Atlanta, the services will be offered in Las Vegas, Phoenix, San Diego and Toronto. The pilot project in Atlanta, which has been run by Porsche Cars North America (PCNA) since the end of 2017, will be taken over by the two dealers in Atlanta going forward.

Porsche expands car subscription services after revealing 80% of customers are new to the brand

Sep 19, 2019

Luxury carmaker Porsche is expanding its ‘Porsche Passport’ vehicle subscription model and ‘Porsche Drive’ premium car rental service, in response to positive reaction to a pilot of the shared service model. Following its launch in Atlanta, the services will be offered in Las Vegas, Phoenix, San Diego and Toronto. The pilot project in Atlanta, which has been run by Porsche Cars North America (PCNA) since the end of 2017, will be taken over by the two dealers in Atlanta going forward.

EMEA

Price, range and recharging network remain a concern when considering EVs as demand grows

Sep 11, 2019

The cost of electric cars along with range and access to charging points remain prohibitive factors for many people when it comes to people choosing an electric car over a petrol or diesel vehicle. A survey of thousands of members of UK breakdown organisation, the AA, which has 15 million members, found that 35% of members would only buy a battery-electric vehicle when the price point was the same as or less than a fossil fuel car. Range and a lack of charging points are two of the other main reasons why people aren’t buying electric cars. One-third of members think that many electric vehicles will fail to deliver on the manufacturers’ predicted range once car lights, radio and other battery-draining factors are taken into consideration.

Americas

Ford acquires Quantum Signal to drive autonomous vehicle strategy

Sep 09, 2019

Ford Motor Company has bought Quantum Signal, a specialist company with expertise in mobile robotics for military applications, to support its goal of launching a self-driving vehicle business. Founded in 1999, Quantum Signal helped the military develop software that allowed it to remotely control robotic vehicles from thousands of miles away. It built a robust simulation environment capable of testing autonomous vehicle designs that is still in use today.

Asia Pacific

Hyundai and Kia invest $300m in India’s largest mobility service provider Ola

Mar 19, 2019

Hyundai Motor Group has announced a $300 million investment into Uber-rival Ola, as the car manufacturer expands into providing mobility solutions and related fleet services. The agreement will see Hyundai, Kia and Ola collaborate on developing fleet and mobility solutions by building India-specific electric vehicles and support services, as well as helping Ola attract new drivers to the platform. As part of the strategic collaboration, the companies will jointly develop services to operate and manage the Ola fleet, as Hyundai Motor Group expands its operations from automobile manufacturing and sales to mobility services and total fleet solutions.