Is The Luxury Sports Sedan Lease Dead?
For decades, sports cars and luxury sedans dominated the lease market and enjoyed significant marketshare on the Swapalease.com online lease marketplace. New data from the Q1 lease trends report consumer survey shows that domination may be over. When asked what type of lease they would most likely get into next, only 11.2% of consumers listed luxury sports sedans, significantly down from 17.7% a year earlier. What's replacing this? More than a third (37.7%) listed SUVs, up sharply from 29.9% a year ago.
Reasons People Are Getting a Different Vehicle
There are many reasons why people exercise their option to transfer out of their lease early and get into their next vehicle. Thirteen percent of people in Q1 said they did so because of a change in family size, up from just 8.1% a year ago. Also, 38.3% said they saw a change in income, up from 34.8% a year earlier, perhaps another sign that the economy continues to churn along at a healthy clip.
The Uber Eats Economy
Fifteen percent of people said they are driving an average of 7,500 miles a year on their vehicle lease, up from only 10.4% of people indicating this level a year earlier. This is a possible indication that more people are utilizing ride sharing and food delivery services, and driving less for work, recreation and everyday household tasks.
Which Brands Are Up/Down
When asked which brand of vehicle people are currently leasing, Dodge, Honda, and Volkswagen all represented brands that saw a noticeable year over year increase. Conversely, brands such as Ford and Nissan are seeing a decline.
"I don't think many people will be surprised to see that SUVs are becoming more popular as a lease option," said Scot Hall, Executive Vice President of Swapalease.com. "However, the luxury sports sedan has been a staple of leasing for decades, and it is yet another indication that the American appetite for vehicles continues to march toward SUVs and crossovers of all sizes."
Click here to see the full Q1 Lease Trends Report.
Swapalease.com matches a person wanting out of their existing vehicle lease contract with a car shopper looking to take over a short-term vehicle lease. The marketplace has several thousands of cars and trucks available for transfer to anywhere in the continental U.S.