Tesla and BMW Continue to Steal Marketshare from High-End Competitors
Swapalease.com released its lease trends report from the fourth quarter of 2020, offering insight and perspective into the auto lease trends shaping today’s automotive retail and consumer preferences.
The report looks at vehicle lease payment, term, shopping consideration and driver preference trends within vehicle leasing in the fourth quarter of 2020. Among the most notable trends, consumer searches for Tesla vehicles on the Swapalease.com marketplace increased 55% over the last twelve months, among the largest increases by any brand in recent history for the marketplace.
“The consumer demand for Tesla is very real, and while Tesla doesn’t have a traditional retail network, the vehicle’s makeup positions it perfectly for a lease environment,” said Scot Hall, Executive Vice President for Swapalease.com. “As it’s in the luxury category, many drivers enjoy the ability to lease rather than finance a Tesla. Furthermore, drivers feel the battery technology is improving at a rapid rate and enjoy the ability to change or upgrade every few years.”
The report also illustrates where BMW’s percent of total traffic reached 19% during the fourth quarter, up from 17% during the third quarter. Conversely, Mercedes-Benz declined from 8% down to 7% during the same time period.
Other foreign brands such as Honda, Acura, Nissan and Infiniti also continue to see falling search numbers in the marketplace. While these brands have traditionally experienced higher-than-average lease rates, they continue to experience lower-than-average search traffic and demand in the marketplace due to their unfavorable lease and lease transfer policies.
According to the report, Americans paid an average of $519.46 per month on their leases during the 4th quarter, down from $521.90 in the 3rd quarter. The report also shows that the average incentive has dropped from $583.65 in the 3rd quarter down to $545.66 in the 4th quarter.
Headquartered in Cincinnati, Ohio, Swapalease.com is the world’s largest automotive lease marketplace and the pioneer in facilitating lease transfers online. More specifically Swapalease.com matches individuals who want to get out of their lease with people who are looking for short-term lease agreements. Prospective buyers can search the listings for the exact vehicle they want, and then register for a nominal fee, allowing them to use Swapalease.com’s safe online system to contact the prospective seller and close the deal.