To select the best car leasing deals you need plenty of time and patience!
The growth of contract hire in the UK has brought many more manufacturers into the leasing broker market; no specific car brand is now leading the way and there are great opportunities for niches to be established.
Whether you want to promote a diesel/petrol/electric SUV/Estate/Hatchback in the luxury/cheap arena, so long as you have a quality product, pricing structure and availability, the vehicles will be popular.
Changing attitudes toward vehicles are encouraging more customers to get new cars (warranty/technology developments) and stick with usership-style products. With newer forms of fuel and changing policies/regulation this had led to some customers committing to shorter 2 and 3 contracts in case they need to make adjustments in the near future.
One of the prime examples (if not the “THE” example) of a manufacturer making huge inroads in the leasing industry is Volvo. A car historically regarded as a safe and secure option, the forward-thinking brand has been popular with family conscious and older drivers.
The change in fortunes happened as the UK shifted towards SUVs – by which we include any crossover, SUV, 4×4 or truck. The people of Britain want the elevated driving position, comfort and style. With Volvo having great options in the form of the XC60 and XC90, they quickly converted customers into their product.
With the addition of the smaller crossover in the form of the XC40 and Volvo have a place in all key segments.
With the exception of safety and security what probably separates Volvo from the rest is their commitment to the alternative fuels. The brand has committed to making electrified versions of all models, with a view to moving away from all combustion and diesel vehicle as a matter of urgency.
Their PHEV T8 range in the XC60 and 90 are massively popular with the company car market already. The soon to be added Polestar 1 and 2 are aimed to be market leading pure electric car propositions.
So we now know that Volvo isn’t just a car for the older driver but, this does raise a good point about car leasing – is there a maximum age limit? The shift towards contract hire has resulted in many older drivers considering different procurement methods, many of whom were following the “PCP with the dealer” approach.
The biggest obstacle we face initially is with the reservations of the customer committing to a rental style product. The lack of ownership and not paying something-off does make some customers feel slightly uncomfortable.
Rightly so, historic generations concentrated more on buying products when they were affordable, as opposed to rental and shorter-term financing. Unless the customer retains a vehicle beyond 4 or 5 years, we suggest that the benefits of long-term ownership do not apply. Many are swapping PCPs at three year intervals, which makes you think why they even consider it as a purchase product at all? However, we are not here to tell you what you want – our job is to put together options and information which assist you in making a decision to meet your requirements. There is no right or wrong way to lease your new car.
With leasing, an older-person does need to understand that it is a credit-based agreement. We need to demonstrate a willingness to pay (credit) and an ability to pay (affordability).
The credit can be difficult for some of our much older customers, as they will have paid of their mortgage and will not ordinarily enter into credit agreements. They pay for the products and services they can afford!
In some cases, we need you to carry out an Experian report to ascertain your credit score first. On the latter point, your income and expenditure, if you are in receipt of pension (private or Government) we need to document all of this in our forms. If customers are not familiar with this they can become a little affronted.
Unfortunately, this is the world that we live in and while we appreciate it can be uncomfortable, we need to put a true and honest reflection of your financial position to finance companies to ensure we are all treating you fairly.
For any of our older customers who fall into the vulnerable customers, we might undertake further checks for example we will recommend a son/daughter or trusted family member reviews our correspondence and pricing.
Fundamentally, we want a positive outcome for our customers.
In terms of the car shown here, the Volvo XC60 ESTATE 2.0 T5  R DESIGN 5dr Geartronic (Petrol & Automatic), this is based on the following configuration:
Osmium Grey Metallic Paint
Nappa leather/textile contour sports – Charcoal/Dark open grid
Metal mesh inlays
19″ 5 double spoke diamond cut /matt black alloy wheels
Winter pack including heated steering wheel – XC60
As standard the car includes climate control, keyless start, power height adjustable seats with lumbar support, navigation with high performance sound, 19” alloys, front park assist, rear park assist, cruise control, lowered sport chassis, dark tinted glass, rain sensing wipers with automatic wipers, tinted windscreen, hill descent control, hill start assist, sports floor mats, Bluetooth, front collision warning, lane keep assist, oncoming lane mitigation, road edge detection, power tailgate, 12.3” instrument display, 9” touch screen, intelligent driver system, auto dimming interior and exterior mirrors, electric folding and heated door mirrors, high gloss black door mirrors, DAB radio, dual integrated exhausts, illuminated side steps, roof spoiler, home safe and approach lighting, LED headlights, 3-spoke steering wheel, sports seats with leather/textile upholstery, sports pedals, theatre diming interior lights, first aid kit, run off road protection, 60/40 split folding rear seats, heated front seats, city safety with steering support, anti-theft alarm with immobiliser.
In terms of additional options consider – Premium Sound by Harmon Kardon, winter pack with heated steering wheel and tempa spare wheel.
On the technical-side company car and business users can note the P11d at £41,425.00 and CO2 at 165g/km. The 1969CC 8 speed auto petrol engine delivers 30.1 combined (WLTP), 250ps and 0-62 times of 6.9 seconds. Service intervals are every 12 months or 18,000 miles on a petrol Volvo.