Port communicationHow does financial leasing become a new model of car use? Auto finance has always been considered a powerful weapon to boost auto sales.。As Chinese consumers’ consumption habits change,，Market size increases with vehicle manufacturers、dealer、Rapid growth due to the active participation of banks and financial leasing companies，China's auto finance market is ushering in a golden period of development。
According to investigation，The current market growth of auto finance is driven by the following factors：-Consumers are getting younger，Good car
Require
higher，The acceptance of auto credit has increased significantly - the personal credit evaluation system is becoming more and more perfect，Helps auto finance companies and financial leasing companies to carry out business - policy support from the People's Bank of China and the China Banking Regulatory Commission，It has broadened the financing channels for auto finance companies (click to see a larger image). The sales ratio of used cars to new cars in China is far lower than that of the used car markets in developed countries.，This shows that China's second-hand car industry is in the initial stage of growth.，Huge potential for future growth，This also creates huge opportunities for used car market players。
Growth in car ownership and average car age，Transformation of consumer preferences and national policies are the main reasons for the rapid development of China's second-hand car market。As demand outstrips supply in the used car market，Car ownership shortens，Both customer demand for sub-new cars and the supply of sub-new cars will grow explosively within 3-5 years.。
Survey shows，The average length of time a new car is owned is shrinking：-As young car consumers become the mainstream consumer group，In the used car market，The number of vehicles less than 3 years old is increasing - customers hope to use residual value guaranteed buyback services，Use less money to replace vehicles more frequently. The supply and demand relationship in the sub-new car market that is less than 3 years old is seriously imbalanced.：-Lacking a fair platform for sub-new car transactions and a quality certification system, the two new forces of auto finance and second-hand cars are currently working together in the leasing business.；at the same time，Limited license，Government vehicle modifications and self-driving travel also add fuel to the boom in operating leasing business。
Government Automobile Reform Policy - The Government Automobile Reform Policy aims to reduce the number of cars owned by state-owned companies (approximately 4 million vehicles in 2012)，The gap has been replaced by operating leases。License restriction policy - with the expansion of the license restriction policy，Demand for operating leasing services in first-tier and second-tier cities will gather。
Self-drive travelers – self-drive travel will become more common，and drive growth in the short-term rental market，The reasons are as follows：Optimized construction of highways and roads，Convenient for road trips，The road length will reach 200,000 kilometers in the next five years；Increase in disposable income，Increase in tourism spending and government financial support for tourism development。In the field of automobile finance，As an important new business model, financial leasing is also receiving more and more attention in the industry。
Financial leasing can help car dealers lower the threshold for customers to purchase cars.，Its business improvement to the dealer group system is reflected in everything from new car sales to insurance，From repair and maintenance to extended car warranty, etc.，Products and services through financial leasing，Dealers can open up multiple business links in the store。Although the financial leasing business is still in its infancy in the country,，But the value it brings cannot be ignored。
The decisive force that truly promotes the development of second-hand car transactions and auto finance will also be "financial leasing"，Its business model is still being explored，Market entities are also relatively dispersed。There are three major types of risks in financial leasing business，i.e. market、Business model and operations，But the main risks lie in residual value management and customer acquisition。Risks of Residual Value Management：Since residual value management is a critical success factor，Risks associated with residual value management will have a significant impact on profitability。
customer acquisition risk：While surveys show positive feedback from customers accepting the concept of tenure，But customer behavior and mindset can change slowly，This will affect business volume。therefore，Requires careful preparation of marketing strategies。Residual value prediction and realization are the key success factors of this model，It is also the core competitiveness of its operators。All parties are also conducting analysis of the advantages and disadvantages of residual value guarantee business.。The current market research on the value-preserving repurchase business of second-hand cars is as follows: the customer acquisition research on the financial leasing business
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