Faced with the emergence of long-term rental offers for used vehicles, how can you manage used car leasing?”
More and more rental companies are opting for leasing of used vehicles to address delays in the delivery of new vehicles. Indeed, leasing specialists can supply new cars to corporate fleets before recycling them upon return from lease, renting them out a second time to individuals. This new market could significantly disrupt the used car sector, to the detriment of traditional dealerships. Are you a vehicle lessor in long-term leasing or looking to develop a suitable offer? Let’s explore together how to prepare and optimize used car leasing through tailored tools such as the myrentcar car rental software.
Why choose long-term used car rental?
Leasing is a financing method intended for acquiring a new car, so why choose long-term used car rental? Before delving in, let’s start by putting things into context. What exactly is leasing of used cars? We are witnessing a rapidly evolving vehicle market, and consumers are becoming less attached to the idea of owning a car. On the contrary, by, for example, opting for vehicle leasing without a purchase option, the consumer enjoys the latest technologies and can regularly change cars by leasing them for a period ranging from 1 to 5 years.
Initially, leasing solely concerned new vehicles that were later resold in the used car market after being returned. However, the leasing market has become more widespread, and it is now possible to lease used cars. These offers allow dealerships and various leasing providers to diversify their offerings and provide a wider range of vehicles. Moreover, managing the leasing of used vehicles helps cope with delays in car deliveries by recycling the use of vehicles within a fleet. This is why we recommend developing leasing of used cars.
What are the offers for used car leasing?
There are numerous offers for used car leasing. Just like leasing for new vehicles, used car leasing offers two formulas: leasing with a purchase option and long-term rental. Leasing with a purchase option for used cars allows renting a car for a period ranging from 24 to 60 months. In exchange for using the vehicle, your customer pays a corresponding monthly rent for the entire lease duration and can buy the car at the end of the contract. Long-term rental for used cars is also possible. The average contract duration is from 48 to 60 months, and your customer does not have the option to purchase the vehicle. Additionally, there is the emergence of medium-term leasing offers for rental periods lasting no more than 12 months. These are the various types of used car leasing offers.
What are the advantages of used vehicle leasing?
The advantages of used vehicle leasing allow you to offer an attractive price and contracts with favorable conditions. Indeed, managing used car leasing relies on the vehicle’s value. For example, the value of a new car depreciates by 10% per year due to depreciation, which means a vehicle enters the used market at a significantly more appealing price to consumers. This is why managing used car leasing is advantageous, enabling you to appeal to customers with limited budgets while adapting your vehicle fleet to cope with shortages and delivery delays.
What are the disadvantages of used vehicle leasing?
While used car long-term leasing can be advantageous in terms of its price, there are still some disadvantages of used vehicle leasing. Firstly, your company won’t have the option to customize the car based on your client’s needs and preferences. Secondly, additional fees are typically added at the end of the contract, especially in cases of vehicle damage or exceeding the mileage limit. Therefore, we recommend implementing software to manage used car leasing efficiently, enabling you to effectively handle your long-term leasing agreements and lease billing.
How to choose your used car leasing software?
Faced with numerous parameters to manage and billing tracking, how do you choose your used car leasing software? Long-term vehicle lessors often encounter management difficulties in this complex activity. Fortunately, there is an application that can manage all aspects and services of this profession: the myrentcar used car leasing software. Developed by hitech, experts in car rental, and accessible in SaaS mode from any smartphone or computer, the myrentcar ERP is a comprehensive solution that will significantly save you time and enhance efficiency in managing your long-term agreements.
How does the myrentcar used car leasing management software work? It’s straightforward. Thanks to its user-friendly interface and accessibility, myrentcar allows you to control your long-term contracts in a few clicks, estimate your rents, automate your billing, and ensure profitability by tracking budgets and expenses. The myrentcar used car leasing management solution also integrates fleet management and incident handling, manages your purchases and maintenance, oversees your financing, and handles your accounting. Moreover, the myrentcar app is compatible with the long-term quoting software quotelio and Autovista estimates to calculate an accurate monthly budget. This is why we recommend the myrentcar software to provide long-term support in managing used car leasing.