Enhancing Sales Through Vehicle Leasing Strategies

Dealerships providing leasing options on a variety of vehicles, including luxury models, SUVs, pickups, and sedans, typically set their own pricing structures. Customers usually need to pay an initial security deposit facilitated by financial institutions or banks, and leasing approval is also required through these lenders.

Many customers prefer leasing over traditional rental options, finding it more appealing for personal or business use. However, leasing availability depends on vehicle type and specific terms; not all trucks or cars are offered lease options. Most vehicles are primarily available for rent rather than lease.

Previously, some vehicles like the Chevy Silverado, Toyota Tundra, GMC Sierra, Nissan Titan, and Ford F-150 were available only for rent, with no leasing options from manufacturers or dealers. This has changed, and many brands now offer leasing on these models, making it more accessible. Market data indicates that approximately 15% of retail pickup sales are now lease-based.

Annual lease-based vehicle sales are steadily increasing. For certain models, such as trucks and cars, leasing without a security deposit is often possible. Studies show that the growth in pickup leasing does not negatively impact residual vehicle prices—in fact, residual values are climbing. For lenders, residual value primarily influences lending decisions. Economic downturns can impact leasing activity, leading financial institutions to restrict lease offerings temporarily and focus on rentals until market stability resumes.