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A Strategic Analysis of the European Automotive Point of Sale Finance Market: The 21st Century Profit Centre of the Automotive Industry


Description:

Dealerships Becoming a Key Component of Successful Market-Push Strategies in the Point of Sale Finance Market

Captive and independent point of sale (POS) finance companies are increasingly concerned about legislations in the European Union that encourage lower interest rates among large financial institutions. Instead of risking their profit margins by following the competition, POS finance companies are turning to dedicated dealer sites to push their services, support brand image and facilitate customer retention. Incentives, rigorous training and targeted promotional offers are crucial to maximise dealer support. It is equally important to include budget-driven marketing campaigns that attract the younger customer segment through low deposit schemes, extended loan terms, one-month free instalments, delayed or low monthly payment options and tax rebates.

This Frost & Sullivan research examines the key issues and trends in European automotive POS finance market while discussing the current marketing and growth strategies of leading market participants. This analysis also identifies important technology, legislative and economic trends influencing the growth of the POS finance market.

Borrowing Culture on the Rise across European Countries

The borrowing trend is increasing in an improved European economy, resulting in greater growth opportunities for the POS finance market, says the analyst. This is primarily due to declining interest rates and confident consumers that have greater disposable income. POS finance companies are looking to make the best of the current situation by offering value-for-money services such as free maintenance, repairs, gap insurance and extended warranties in addition to the standard financing options.

However, greater demand means increased competition not only in Europe but also from financial institutions beyond the border. This is also a signal to POS captive finance companies to develop pan-European businesses. In such a case, they would have to consider a centralised finance operation as opposed to the current country-specific model. This is expected to allow them to reduce operation costs and increase their borrowing power due to a larger customer database.

Alternative Service Routes to Ensure Long-Term Growth for POS Finance Companies

The new block exemption regulations will invariably lead to more intense competition, thereby placing captives in a precarious situation, particularly if POS finance is their only source of profits. Finance captives that are not presently in direct competition with one another could be facing each other in multi-branded dealership sites, throwing open a significant debate about the alternative routes to succeed in the long term, explains the analyst. For example, they could opt for an Internet strategy, which has great potential for growth due to its greater speed, convenience and turnaround time.

Similarly, independents need to rethink their market expansion strategies in the new car segment. With captives dominating this segment and vehicle manufacturers imposing exclusivity clauses in their agreements with dealers, independents are finding it increasingly difficult to access the new car sales, compelling them to return to their roots in the used car and wholesale finance segment.



Contents: 1 A STRATEGIC ANALYSIS OF THE EUROPEAN AUTOMOTIVE POINT OF SALE FINANCE MARKET, EXECUTIVE SUMMARY
  Introduction
      1. Market Overview
      2. Industry Structure
  Major Research Findings
      1. Total European Market for Automotive Point of Sale Finance
      2. Strategic Recommendations
  2 A STRATEGIC ANALYSIS OF THE EUROPEAN AUTOMOTIVE POINT OF SALE FINANCE MARKET, THE TOTAL EUROPEAN AUTOMOTIVE POINT OF SALE FINANCE MARKET
  Introduction
      1. Market Overview
      2. Definitions Assumptions and Methodology
  Market Drivers Restraints and Challenges
      1. Market Drivers
      2. Market Restraints
      3. Market Challenges
  Measurements
      1. Market Size and Forecast of Cases and Total Advance 2001 to 2010
      2. Analysis by European Countries
      3. Analysis of POS Finance for New and Used Cars
      4. Analysis by Product Type
  Key Indicator Analysis
      1. Penetration
      2. Average Loan Amount
      3. Average Deposit
  Distribution
      1.  Customer Purchasing Method
      2. Bank and Direct Lenders
      3. POS Finance
      4. Others
  POS Finance Competition
      1. Market Share Analysis
      2. Market Participant Profiles: Leading Captives
      3. Market Participants Profile: Leading Independent POS Finance Companies
  Strategic Recommendations
      1. Recommendations for VM-Owned Finance Captives
      2. Recommendations for Independent Finance Companies
  Conclusions
      1. Conclusions: Looking into the Future of the Automotive POS Finance Market
  Data Sheet: Europe
      1. 
  3 A STRATEGIC ANALYSIS OF THE EUROPEAN AUTOMOTIVE POINT OF SALE FINANCE MARKET, THE UK AUTOMOTIVE POINT OF SALE FINANCE MARKET
  Introduction
      1. Market Overview and Introduction
      2. Market Size and Forecast
      3. Key Market Trends
  New Car Finance
      1. Market Size
      2. Key Indicators
      3. Product
  Used Car Finance
      1. Market Size
      2. Key Indicators
      3. Product
  Distribution
      1. Customer Purchasing Method
      2. Banks and Personal Loans
      3. Point of Sale
      4. Others
  POS Finance Competition
      1.  Market Share Analysis
  Data Sheet: UK
      1. 
  4 A STRATEGIC ANALYSIS OF THE EUROPEAN AUTOMOTIVE POINT OF SALE FINANCE MARKET, THE GERMAN AUTOMOTIVE POINT OF SALE FINANCE MARKET
  Introduction
      1. Market Overview and Introduction
      2. Market Size and Forecast
      3. Key Market Trends
  New Car Finance
      1. Market Size
      2. Key Indicators
      3. Product
  Used Car Finance
      1. Market Size
      2. Key Indicators
      3. Product
  Distribution
      1. Customer Purchasing Method
      2. Point of Sale
      3. Banks
      4. Others
  POS Finance Competition
      1. Market Share Analysis
  Data Sheet : Germany
      1. 
  5 A STRATEGIC ANALYSIS OF THE EUROPEAN AUTOMOTIVE POINT OF SALE FINANCE MARKET, THE FRENCH AUTOMOTIVE POINT OF SALE FINANCE MARKET
  Introduction
      1. Market Overview and Introduction
      2. Market Size and Forecast
      3. Key Market Trends
  New Car Finance
      1. Market Size
      2. Key Indicators
      3. Product
  Used Car Finance
      1. Market Size
      2. Key Indicators
      3. Product
  Distribution
      1. Car Puchasing Method
      2. Point of Sale
      3. Banks
      4. Direct Lenders and Others
  POS Finance Competition
      1. Market Share Analysis
  Data Sheet : France
      1. 
  6 A STRATEGIC ANALYSIS OF THE EUROPEAN AUTOMOTIVE POINT OF SALE FINANCE MARKET, THE ITALIAN AUTOMOTIVE POINT OF SALE FINANCE MARKET
  Introduction
      1. Market Overview and Introduction
      2. Market Size and Forecast
      3. Key Market Trends
  New Car Finance
      1. Market Size
      2. Key Indicators
      3. Product
  Used Car Finance
      1. Market Size
      2. Key Indicators
      3. Product
  Distribution
      1. Car Puchasing Method
      2. Point of Sale
      3. Banks
  POS Finance Competition
      1. Market Share Analysis
  Data Sheet: Italy
      1. 
  7 A STRATEGIC ANALYSIS OF THE EUROPEAN AUTOMOTIVE POINT OF SALE FINANCE MARKET, THE SPANISH AUTOMOTIVE POINT OF SALE FINANCE MARKET
  Introduction
      1. Market Overview and Introduction
      2. Market Size and Forecast
  New Car Finance
      1. Market Size
      2. Key Indicators
      3. Product
  Used Car Finance
      1. Market Size
      2. Key Indicators
      3. Product
  Distribution
      1. Car Purchasing Method
      2. Point of Sale
      3. Banks
  POS Finance Competition
      1. Market Share Analysis
  Data Sheet: Spain
      1. 
  8 A STRATEGIC ANALYSIS OF THE EUROPEAN AUTOMOTIVE POINT OF SALE FINANCE MARKET, THE SCANDINAVIAN AUTOMOTIVE POINT OF SALE FINANCE MARKET
  Introduction
      1. Scandinavian Market Overview and Introduction
      2. Market Size and Forecast
      3. Key Market Trends
  New Car Finance: Sweden
      1. Market Size
      2. Key Indicators
      3. Product
  Used Car Finance: Sweden
      1. Market Size
      2. Key Indicators
      3. Product
  Distribution: Scandinavia
      1. Customer Preference
      2. Point of Sale
      3. Banks
      4. Others
  POS Finance Competition: Scandinavia
      1. Market Share Analysis
  Data Sheet: Scandinavia
      1. 
  9 A STRATEGIC ANALYSIS OF THE EUROPEAN AUTOMOTIVE POINT OF SALE FINANCE MARKET, FROST & SULLIVAN AWARDS
  Frost & Sullivan Awards for the European Automotive Point of Sale Finance Market
      1. Introduction
  Point of Sale Finance Market Leadership Award
      1. Award Recipient
  Point of Sale Finance Internet Marketing Strategy Leadership Award
      1. Award Recipient
  Point of Sale Finance Customer Value Award
      1. Award Recipient
  

List Of Figures

Chapter 1

Automotive POS Finance Market: Industry Structure (Europe), 2003
Automotive POS Finance Market: Total Finance Cases and Advance (Europe), 2002-2010
Automotive POS Finance Market: Total Finance Cases by Country (Europe), 2003
Automotive POS Finance Market: Car Financing Method (Europe), 2003

Chapter 2

Automotive POS Finance Market: Structure of POS (Europe), 2003
Automotive POS Finance Market: Impact / Probability Matrix - Market Drivers (Europe), 2003
Automotive POS Finance Market: Impact / Probability Matrix - Market Restraints (Europe), 2003
Automotive POS Finance Market: Impact / Probability Matrix - Market Challenges (Europe), 2003
Automotive POS Finance Market: Total Finance Cases and Advance (Europe), 2002-2010
Automotive POS Finance Market: Total Finance Cases and Loan Advance by Country (Europe), 2003
Automotive POS Finance Market: Total Finance Cases and Loan Advance by Country (Europe), 2010
Automotive POS Finance Market: Forecast of New Car Finance Cases (Europe), 2002-2010
Automotive POS Finance Market: Forecast of Used Car Finance Cases (Europe), 2002-2010
Automotive POS Finance Market: Product Breakdown of New Car Finance (Europe), 2003
Automotive POS Finance Market: Product Breakdown of New Car Finance (Europe), 2010
Automotive POS Finance Market: Product Breakdown of Used Car Finance (Europe), 2003
Automotive POS Finance Market: Product Breakdown of Used Car Finance (Europe), 2010
Automotive POS Finance Market: Finance Penetration of New and Used Cars (Europe), 2002-2010
Automotive POS Finance Market: Average Loan Amount Forecast (Europe), 2002-2010
Automotive POS Finance Market: Forecast of Average Deposit Rate (Europe), 2002-2010
Automotive POS Finance Market: Car Financing Method (Europe), 2003
Automotive POS Finance Market: Car Financing Method (Europe), 2010
Automotive POS Finance Market: Market Split Captive Versus Independents (Europe), 2003
Automotive POS Finance Market: Market Split Captive Versus Independents (Europe), 2010
Automotive POS Finance Market: Market Share of POS Finance Competitors (Europe), 2003
Automotive POS Finance Market: Generic Strategic Recommendations (Europe), 2003
Automotive POS Finance Market: Generic Strategic Recommendations (Europe), 2003

Chapter 3

Automotive POS Finance Market: Total Finance Cases and Total Advance (United Kingdom), 2002-2010
Automotive POS Finance Market: Total New Car Finance Cases and Loan Advance (United Kingdom), 2002-2010
Automotive POS Finance Market: Key Indicators for New Cars Finance Penetration (United Kingdom), 2002-2010
Automotive POS Finance Market: Key Indicators for New Cars Average Loan (United Kingdom), 2002-2010
Automotive POS Finance Market: Key Indicators for New Cars Average Deposit (United Kingdom), 2002-2010
Automotive POS Finance Market: Finance Product Breakdown for New Cars (United Kingdom), 2003
Automotive POS Finance Market: Finance Product Breakdown for New Cars (United Kingdom), 2010
Automotive POS Finance Market: Total Used Car Finance Cases and Total Advance (United Kingdom), 2002-2010
Automotive POS Finance Market: Key Indicators for Used Cars Finance Penetration (United Kingdom), 2002-2010
Automotive POS Finance Market: Key Indicators for Used Cars Average Loan (United Kingdom), 2002-2010
Automotive POS Finance Market: Key Indicators for Used Cars Average Deposit (United Kingdom), 2002-2010
Automotive POS Finance Market: Used Car Finance Product Breakdown (United Kingdom), 2003
Automotive POS Finance Market: Used Car Finance Product Breakdown (United Kingdom), 2010
Automotive POS Finance Market: Car Financing Method (United Kingdom), 2003
Automotive POS Finance Market: Car Financing Method (United Kingdom), 2010
Automotive POS Finance Market: Market Split Captive Versus Independents (United Kingdom), 2003
Automotive POS Finance Market: Market Split Captive Versus Independents (United Kingdom)
Automotive POS Finance Market: Market Share of POS Finance Competitors (United Kingdom), 2003

Chapter 4

Automotive POS Finance Market: Total Finance Cases and Advance (Germany), 2002-2010
Automotive POS Finance Market: Total New Car Finance Cases and Loan Advance (Germany), 2002-2010
Automotive POS Finance Market: New Cars Finance Penetration (Germany), 2002-2010
Automotive POS Finance Market: New Cars Average Loan (Germany), 2002-2010
Automotive POS Finance Market: Average Deposit on New Cars (Germany), 2002-2010
Automotive POS Finance Market: New Cars Finance Product Breakdown (Germany), 2003
Automotive POS Finance Market: New Cars Finance Product Breakdown (Germany), 2010
Automotive POS Finance Market: Total Used Car Finance Cases and Loan Advance (Germany), 2002-2010
Automotive POS Finance Market: Used Cars Finance Penetration (Germany), 2002-2010
Automotive POS Finance Market: Used Cars Average Loan (Germany), 2002-2010
Automotive POS Finance Market: Average Deposit on Used Cars (Germany), 2002-2010
Automotive POS Finance Market: New Cars Finance Product Breakdown (Germany), 2003
Automotive POS Finance Market: New Cars Finance Product Breakdown (Germany), 2010
Automotive POS Finance Market: Car Financing Method (Germany), 2003
Automotive POS Finance Market: Car Financing Method (Germany), 2010
Automotive POS Finance Market: Market Split Captive Vs Independents (Germany), 2003
Automotive POS Finance Market: Market Split Captive Vs Independents (Germany), 2010
Automotive POS Finance Market: Market Share of POS Finance Competitors (Germany), 2003

Chapter 5

Automotive POS Finance Market: Total Finance Cases and Advance (France), 2002-2010
Automotive POS Finance Market: Total New Car Finance Cases and Loan Advance (France), 2002-2010
Automotive POS Finance Market: New Cars Finance Penetration (France), 2002-2010
Automotive POS Finance Market: New Cars Average Loan (France), 2002-2010
Automotive POS Finance Market: Average Deposit on New Cars (France), 2002-2010
Automotive POS Finance Market: New Cars Finance Product Breakdown (France), 2003
Automotive POS Finance Market: New Cars Finance Product Breakdown (France), 2010
Automotive POS Finance Market: Total Used Car Finance Cases and Loan Advance (France), 2002-2010
Automotive POS Finance Market: Used Cars Finance Penetration (France), 2002-2010
Automotive POS Finance Market: Used Cars Average Loan (France), 2002-2010
Automotive POS Finance Market: Average Deposit on Used Cars (France), 2002-2010
Automotive POS Finance Market: New Cars Finance Product Breakdown (France), 2003
Automotive POS Finance Market: New Cars Finance Product Breakdown (France), 2010
Automotive POS Finance Market: Car Financing Method (France), 2003
Automotive POS Finance Market: Car Financing Method (France), 2010
Automotive POS Finance Market: Market Split Captive Vs Independents (France), 2003
Automotive POS Finance Market: Market Split Captive Vs Independents (France), 2010
Automotive POS Finance Market: Market Share of POS Finance Competitors (France), 2003

Chapter 6

Automotive POS Finance Market: Total Finance Cases and Advance (Italy), 2002-2010
Automotive POS Finance Market: Total New Car Finance Cases and Loan Advance (Italy), 2002-2010
Automotive POS Finance Market: New Cars Finance Penetration (Italy), 2002-2010
Automotive POS Finance Market: New Cars Average Loan (Italy), 2002-2010
Automotive POS Finance Market: Average Deposit on New Cars (Italy), 2002-2010
Automotive POS Finance Market: New Cars Finance Product Breakdown (Italy), 2003
Automotive POS Finance Market: New Cars Finance Product Breakdown (Italy), 2010
Automotive POS Finance Market: Total Used Car Finance Cases and Loan Advance (Italy), 2002-2010
Automotive POS Finance Market: Used Cars Finance Penetration (Italy), 2002-2010
Automotive POS Finance Market: Used Cars Average Loan (Italy), 2002-2010
Automotive POS Finance Market: Average Deposit on Used Cars (Italy), 2002-2010
Automotive POS Finance Market: New Cars Finance Product Breakdown (Italy), 2003
Automotive POS Finance Market: New Cars Finance Product Breakdown (Italy), 2010
Automotive POS Finance Market: Car Financing Method (Italy), 2003
Automotive POS Finance Market: Car Financing Method (Italy), 2010
Automotive POS Finance Market: Market Split Captive Vs Independents (Italy), 2003
Automotive POS Finance Market: Market Split Captive Vs Independents (Italy), 2010
Automotive POS Finance Market: Market Share of POS Finance Competitors (Italy), 2003

Chapter 7

Automotive POS Finance Market: Total Finance Cases and Advance (Spain), 2002-2010
Automotive POS Finance Market: Total New Car Finance Cases and Loan Advance (Spain), 2002-2010
Automotive POS Finance Market: New Cars Finance Penetration (Spain), 2002-2010
Automotive POS Finance Market: New Cars Average Loan (Spain), 2002-2010
Automotive POS Finance Market: Average Deposit on New Cars (Spain), 2002-2010
Automotive POS Finance Market: New Cars Finance Product Breakdown (Spain), 2003
Automotive POS Finance Market: New Cars Finance Product Breakdown (Spain), 2010
Automotive POS Finance Market: Total Used Car Finance Cases and Loan Advance (Spain), 2002-2010
Automotive POS Finance Market: Used Cars Finance Penetration (Spain), 2002-2010
Automotive POS Finance Market: Used Cars Average Loan (Spain), 2002-2010
Automotive POS Finance Market: Average Deposit on Used Cars (Spain), 2002-2010
Automotive POS Finance Market: New Cars Finance Product Breakdown (Spain), 2003
Automotive POS Finance Market: New Cars Finance Product Breakdown (Spain), 2010
Automotive POS Finance Market: Car Financing Method (Spain), 2003
Automotive POS Finance Market: Car Financing Method (Spain), 2010
Automotive POS Finance Market: Market Split Captive Vs Independents (Spain), 2003
Automotive POS Finance Market: Market Split Captive Vs Independents (Spain), 2010
Automotive POS Finance Market: Market Share of POS Finance Competitors (Spain), 2003

Chapter 8

Automotive POS Finance Market: Total Finance Cases and Advance (Scandinavia), 2002-2010
Automotive POS Finance Market: New Car Finance Cases and Loan Advance (Sweden), 2002-2010
Automotive POS Finance Market: New Cars Finance Penetration (Sweden), 2002-2010
Automotive POS Finance Market: New Cars Average Loan (Sweden), 2002-2010
Automotive POS Finance Market: Average Deposit on New Cars (Sweden), 2002-2010
Automotive POS Finance Market: New Cars Finance Product Breakdown (Sweden), 2003
Automotive POS Finance Market: New Cars Finance Product Breakdown (Sweden), 2010
Automotive POS Finance Market: Total Used Car Finance Cases and Loan Advance (Sweden), 2002-2010
Automotive POS Finance Market: Used Cars Finance Penetration (Sweden), 2002-2010
Automotive POS Finance Market: Used Cars Average Loan (Sweden), 2002-2010
Automotive POS Finance Market: Average Deposit on Used Cars (Sweden), 2002-2010
Automotive POS Finance Market: New Cars Finance Product Breakdown (Sweden), 2003
Automotive POS Finance Market: New Cars Finance Product Breakdown (Sweden), 2010
Automotive POS Finance Market: Car Financing Method (Scandinavia), 2003
Automotive POS Finance Market: Car Financing Method (Scandinavia), 2010
Automotive POS Finance Market: Market Split Captive Vs Independents (Scandinavia), 2003
Automotive POS Finance Market: Market Split Captive Vs Independents (Scandinavia), 2010
Automotive POS Finance Market: Market Share of POS Finance Competitors (Scandinavia), 2003






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