Market Forecast By Lease Type (Open Ended, Close Ended), By Vehicle Type (Passenger Car, Light Commercial Vehicle (LCV), Heavy Commercial Vehicle (HCV)), And by Competitive Landscape
|Product Code: ETC002380
|Publication Date: Feb 2023
|Product Type: Report
|No. of Pages: 70
|No. of Figures: 35
|No. of Tables: 5
Latest 2023 Development of the Saudi Arabia Vehicle Leasing Market
Saudi Arabia Vehicle Leasing Market has been experiencing enormous growth, with several developments emerging in the industry. The demand for vehicle leasing in Saudi Arabia has been increasing as more people are opting for long-term leasing instead of purchasing cars. The Saudi government has also been taking steps to boost the vehicle leasing market in the country. Additionally, partnerships between Car Rental Companies and Airlines to provide a seamless travel experience for customers are another major factor that supports the market development. Several online car leasing platforms have emerged in Saudi Arabia that provides customers with the convenience of booking a car online and having it delivered to their doorstep.
The government has been promoting the use of electric vehicles in the country, with incentives such as subsidies and free charging stations. This has led to an increase in the availability of electric vehicles for lease in the market and in turn, drives demand for Saudi Arabia Vehicle Leasing Industry. With the increasing population, there is a growing demand for transportation in Saudi Arabia. The increasing disposable income of consumers has led to an increase in the demand for vehicles in Saudi Arabia. However, the economy is heavily reliant on oil prices which keep on fluctuating. This could impact the overall demand for vehicle leasing.
The Saudi Arabia Vehicle Leasing market report is a part of the Middle East Vehicle Leasing Market report thoroughly covers the market by lease type and vehicle type. The Saudi Arabia Vehicle Leasing market outlook report provides an unbiased and detailed analysis of the ongoing Saudi Arabia Vehicle Leasing market trends, opportunities/high growth areas, and market drivers which would help the stakeholders to devise and align their market strategies according to the current and future market dynamics.
Saudi Arabia Vehicle Leasing Market is driven by the rising tourism sector and growing awareness about vehicle leasing. The growing automotive industry, increasing investment in travel infrastructure, and improving the economic situation of the country are the key factors increasing the growth of the vehicle leasing market in Saudi Arabia. Moreover, the government is aiming to initiate by improving the transport network and providing social needs and easy transition and less maintenance of the vehicle would further propel the demand for the vehicle leasing market in Saudi Arabia.
According to 6wresearch, Saudi Arabia Vehicle Leasing Market size is expected to grow during 2020-2026. Increased construction in order to diversify the industry supporting corporate or business tourism to visit for business perspective coupled with rising religious tourism for hajj and Eid festivals, especially in Mecca and Medina is leading to increased adoption of vehicles on rent to travel the places. Further, the logistics industry strengthened the vehicle leasing demand owing to encouraging owners to transport luggage by using cars for rent which is expected to leave a positive impact and boost the substantial growth of the Saudi Arabia vehicle leasing market in the upcoming six years.
Saudi Arabia vehicle leasing market is projected to gain traction during the forecast period 2020-26F backed by the rising foreign delegate and business travellers, especially to Jeddah and Riyadh city where the government and some private corporates are working and investing heavily to ensure better transportation facility access for the travellers, concurrently arrange transportation facility by availing vehicles on lease for the required timespan and this factor is expected to bring in sound growth prospects for the market in the forthcoming years. Additionally, the rising aspiration of the Arab population towards experiencing differentiated brand-based car driving experience is expected to bring in bountiful opportunities for the Saudi Arabia vehicle leasing market in the coming time zone.
Saudi Arabia vehicle leasing market is projected to find its true potential underpinned by the increased varied factors such as the growth of the transportation sector due to the growth of the logistic sector and the tourist influx in the country. Not only these aforementioned factors but some ongoing construction projects such as AMAALA and Mall of Saudi are expected to be the top reason for driving growth for the Saudi Arabia vehicle leasing market owing to create a demand for construction equipment on rent. Some major key players operating in the market are Hertz corporation, Avis corporation, Strong rent a car, kayak, and Sixt.
In terms of lease type, the open-ended segment is expected to dominate the vehicle leasing market revenue share during the forecast period in Saudi Arabia on account of flexible terms, provides superior control over asset utilization and disposal, and the open-ended lease is majorly used in commercial business.
In terms of vehicle type, the passenger car segment is anticipated to hold a major revenue share in the vehicle leasing market in Saudi Arabia owing to growing sales and adoption of passenger cars coupled with surging investment in the automotive industry and rising demand for passenger cars.
The market in Saudi Arabia is expected to witness a negative growth in the economy during the first quarter of 2020 owing to the coronavirus pandemic which has spread a worse impact on business worldwide. However, the Saudi Arabia market is expected to register healthy growth and recovery in the economic scenario during the second half of 2020-2026. Various restrictions imposed by the government on travel put a halt to the growth of the industry.
Some of the key players in the market are:
The Saudi Arabia Vehicle Leasing Market report provides a detailed analysis of the following market segments:
|1. Executive Summary
|2.1 Report Description
|2.2 Key Highlights
|2.3 Market Scope & Segmentation
|2.4 Research Methodology
|3. Saudi Arabia Vehicle Leasing Market Overview
|3.1 Saudi Arabia Vehicle Leasing Market Revenues and Volume, 2016-2026F
|3.2 Saudi Arabia Vehicle Leasing Market Revenue Share, By Lease Type, 2019 & 2026F
|3.3 Saudi Arabia Vehicle Leasing Market Revenue Share, By Vehicle Type, 2019 & 2026F
|3.4 Saudi Arabia Vehicle Leasing Market - Industry Life Cycle
|3.5 Saudi Arabia Vehicle Leasing Market - Porter’s Five Forces
|4. Saudi Arabia Vehicle Leasing Market Dynamics
|4.1 Impact Analysis
|4.2 Market Drivers
|4.3 Market Restraints
|5. Saudi Arabia Vehicle Leasing Market Trends
|6. Saudi Arabia Vehicle Leasing Market Overview, by Lease Type
|6.1 Saudi Arabia Open-Ended Vehicle Leasing Market Revenues and Volume, 2016-2026F
|6.2 Saudi Arabia Close-Ended Vehicle Leasing Market Revenues and Volume, 2016-2026F
|7. Saudi Arabia Vehicle Leasing Market Overview, by Vehicle Type
|7.1 Saudi Arabia Vehicle Leasing Market Revenue and Volumes, By Passenger Cars, 2016-2026F
|7.2 Saudi Arabia Vehicle Leasing Market Revenue and Volumes, By Light Commercial Vehicle (LCV) 2016-2026F
|7.3 Saudi Arabia Vehicle Leasing Market Revenue and Volumes, By Heavy Commercial Vehicle (HCV) 2016-2026F
|8. Saudi Arabia Vehicle Leasing Market Key Performance Indicators
|9. Saudi Arabia Vehicle Leasing Market Opportunity Assessment
|9.1 Saudi Arabia Vehicle Leasing Market Opportunity Assessment, By Lease Type, 2026F
|9.2 Saudi Arabia Vehicle Leasing Market Opportunity Assessment, By Vehicle Type, 2026F
|10. Saudi Arabia Vehicle Leasing Market Competitive Landscape
|10.1 Saudi Arabia Vehicle Leasing Market By Companies, 2019
|10.2 Saudi Arabia Vehicle Leasing Market Competitive Benchmarking, By Operating Parameters
|11. Company Profiles
|12. Key Strategic Recommendations