Automotive Finance Market Segment Analysis On The Basis Of Provider Type, Finance Type, Purpose Type, Vehicle Type, Region And Forecast To 2026

 San Francisco, 30 Oct 2020: The Report Automotive Finance Market Size, Share & Trends Analysis Report By Provider Type (Banks, OEMs), By Finance Type (Direct, Indirect), By Purpose Type (Loan, Leasing), By Vehicle Type, And Segment Forecasts, 2019 - 2026

The global automotive finance market size is anticipated to reach USD 344.1 billion by 2026, registering a CAGR of 6.7% over the forecast period, according to a new report by Grand View Research Inc. A progressive increase in vehicle registration, a high percentage of automotive ownership per household, and increasing average price of advanced vehicles are the factors favoring the growth. Automotive finance providers aid customers from emerging economies like China and India to purchase and lease vehicles at affordable prices. This factor is playing a key role in supporting the market growth in the emerging economies.

Implementation of technologies, such as Artificial Intelligence (AI), blockchain technology, and business analytics by automotive finance providers over the past few years has led to improvements in the quality of service and level of customer satisfaction. These advanced technologies make the financing process more organized and secure. These technologies also utilize new price points obtained from data analysis and ongoing market channel development trends.

Regular standardization of automotive finance levels, customer segments, and models has led to the development of innovative finance tools and improved customer knowledge. The investment companies are required to thoroughly understand the existing opportunities to better comprehend their capabilities in the present and the future scenarios for better decision-making and prioritizing their investments. The situation will be further improved by the standardization of credit checking systems.

Specialized operating models, such as risk-based pricing are used to ensure cost-effective deployment of loans that match to the requirements of economies of scale. The young population prefers leasing vehicles of choice at a trivial cost for a certain period of time and then switching to a better and more advanced models according to the changing preferences or requirements. However, various factors such as the changing customer behavior and lack of a clear technology roadmap are expected to challenge the market growth.

Access Research Report of Automotive Finance Market @ https://www.grandviewresearch.com/industry-analysis/automotive-finance-market

Further key findings from the study suggest:

• Banks segment generated the highest revenue share in 2019 and is expected to expand at a CAGR of 6.3% over the forecast period. Customers from the major emerging and developed economies prefer government banks and authorized financial institutions for loans and credit, to avoid any risk factor or discrepancy in the transaction process
• Direct automotive finance is expected to remain the most adopted method of financing automotive parts over the forecast period, as it is easily accessible through banks
• The leasing segment is estimated to register the fastest CAGR over the forecast period owing to the increasing customer preference for owning advanced vehicles with high-tech and enhanced safety features without bearing the complete cost of the vehicle
• Passenger vehicles segment is expected to witness remarkable growth during the forecast period, owing to the availability of abundant and easily accessible information regarding automotive finance preferences and increasing new passenger car registrations
• Europe is expected to dominate the automotive finance market over the forecast period owing to the presence of a large number of leading automotive finance providers in the region and adoption of advanced tools such as e-contracts, biometrics, and machine learning
• Toyota Motor Credit Corporation, Hitachi Capital; Ford Motor Credit Company; Daimler Financial Services; GM Financial Inc.; and Ally Financial are some of the key players in the market

Browse more reports of this category by Grand View Research at: https://www.grandviewresearch.com/industry/automotive-and-transportation

Grand View Research has segmented the global automotive finance market based on provider type, finance type, purpose type, vehicle type, and region:

Automotive Finance Provider Type Outlook (Revenue, USD Billion, 2015 - 2026)

• Banks
• OEMs
• Other Financial Institutions

Automotive Finance Type Outlook (Revenue, USD Billion, 2015 - 2026)

• Direct
• Indirect

Automotive Finance Purpose Type Outlook (Revenue, USD Billion; 2015 - 2026)

• Loan
• Leasing
• Others

Automotive Finance Vehicle Type Outlook (Revenue, USD Billion, 2015 - 2026)

• Commercial Vehicles
• Passenger Vehicles

Automotive Finance Regional Outlook (Revenue, USD Billion; 2015 - 2026)

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa (MEA)

Access Press Release of Automotive Finance Market @ https://www.grandviewresearch.com/press-release/global-automotive-finance-market

About Grand View Research

Grand View Research, Inc. is a U.S. based market research and consulting company, registered in the State of California and headquartered in San Francisco. The company provides syndicated research reports, customized research reports, and consulting services. To help clients make informed business decisions, we offer market intelligence studies ensuring relevant and fact-based research across a range of industries, from technology to chemicals, materials and healthcare.

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