Retailer Launches ‘Micro’ Leases
AutoNation testing six- to 12-month terms in two key US markets.
At lease’s end, the lessee decides whether to extend the micro lease subscription, buy the vehicle or swap it.
IMAGE: Pixabay/Raten-Kauf
Vehicle retailer AutoNation is offering consumers what it calls “micro leases” under its Mobility segment.
The leases, currently only available in Southern California and South Florida, can be had for a few as six months and up to 12 months, compared to the traditional 36-month period. AutoNation is marketing them as opportunities for flexibility.
“Life changes pretty fast. Now, your car can keep up,” it says on its website. “Drive it on your terms, with no long-term commitment. So you can change your ride to follow the road – anywhere it takes you.”
Customers pick from among new models. AutoNation runs a “soft credit pull” to determine the lessee’s “subscription budget.” The consumer requests the length of the lease and how many miles he or she will require during the period – 800, 1,000 or 1,200, with overage at 25 cents per mile. The entire process, other than picking up the vehicle at the store, is done online and takes just minutes, AutoNation says.
At lease’s end, the lessee decides whether to extend the micro lease subscription, buy the vehicle or swap it.
“Don’t worry about loans, interest, or depreciation,” AutoNation’s micro lease page says. “You can even test drive your car before you drive off.”
The page gives a cost breakdown based on a 12-month micro lease of a Dodge Challenger: a $2,400 upfront payment, $820 monthly lease payment, and all maintenance included, with a limited warranty.
Originally posted on Auto Dealer Today
More Showroom
New-Vehicle Prices Stay Put
Affordability pressures and model availability shaped new-vehicle sales in September, according to an analysis by Kelley Blue Book.
Read More →
EV Buyer Consideration Shifts
What drives American consumers to purchase an electric vehicle is shifting as the question moves away from Should I?' to 'Which features and experience do I want to have?'
Read More →
Year-to-Date Auto Sales Holding Their Own
A forecast through August shows that automakers have shifted strategies to keep deliveries and revenues up despite tariffs and other economic challenges.
Read More →
Slow to Robo
Ten years of polling consumers shows autonomous vehicles’ profiles have risen considerably, but even more people now want at least some level of control if they go that route.
Read More →
Dealers a Little Down
A third-quarter Cox Automotive survey finds them in a mixed mood, bummed by fallen customer traffic but encouraged by better profits, costs and EV interest.
Read More →
European EV Sales Skyrocket
The EV market on the continent held strong in July with almost 25% of new-car sales being fully electric units, a stark contrast to the U.S., where EV sales declined about 42%.
Read More →
Mitsubishi Unveils U.S. Plan
The automaker announced a strategy that includes an expanded lineup and dealership presence, along with more ‘rugged’ and electric models.
Read More →
Used Lots Getting the Business
Many consumers are seeking out the units to save money, and the demand – higher in July than normal – is keeping supply limited and prices up.
Read More →
Used Market Stabilizes
The Carfax Used Car Index noted a major drop in used-vehicle price increases in July after several months of hikes.
Read More →
California Hybrids Reach State Record
The Golden State still leads the country in electric-vehicle registrations, but much like the rest of the U.S. its hybrid market share is up while full electrics stabilize after a dramatic first-quarter dip.
Read More →