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The insight behind future thinking
A car is a used car for the majority of its life. Consequently, it is essential to ensure that a vehicle retains value over the longer term and represents a desirable proposition for used car customers. However, it is easy to make poor decisions early in a model’s development and commercialisation that can destroy its attractiveness in the used car market.
Maximising residual value is critical for fleet sales success. Depreciation represents around 45% of the total cost of ownership (TCO) of a vehicle over a typical three-year leasing agreement. Even a slight deterioration in a model’s rate of depreciation can make its TCO appear less competitive and result in fleet managers looking to rival models instead.
This report looks at the factors that affect residual value performance. Packed with handy checklists, it will help you to understand how to balance design, pricing and channel strategies to maximise used car market success and improve your new launch planning.
"Relevant for fleet and importers' strategies as well as captives"
Companies in FocusCase studies provide real-world examples of how good product planning decisions have paid off and bad decisions have had a lasting impact on residual value performance.
The insight and intelligence in this report will help:
Develop a detailed and comprehensive understanding of how pre-launch decisions affect residual values. Understand which specification strategies to adopt to boost used car performance. Build an informed pricing, promotion and channel strategy.
Fleet & Finance
Understand what factors affect residual value. Gain detailed understanding of how manufacturers’ product decisions affect the value of your fleet. Confidently establish the pre-launch value of new launches, minimising your risk.
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