Volvo has become the third largest manufacturer in the personal leasing market, generating more enquiries than both Audi and BMW so far in 2019.
This is according to the latest Leasing.com league tables, which attributed the rise to the brand’s popular S90 saloon model and SUV range. The S90 model provides strong residual values, while the premium model is available through a host of affordable deals.
The UK now represents Volvo’s biggest European market, and third globally behind China and the US. Leasing is the fastest growing form of finance for the brand, with personal leasing now accounting for 15% of overall sales in the UK, according to the manufacturer.
“Volvo’s offering continues to impress lease customers thanks to its premium appeal, quality engineering and affordable lease rates,” said Paul Harrison, head of strategic partnerships at Leasing.com. “We expect the arrival of the new S60 and V60 ranges to boost demand for the brand even further.”
Mercedes and Volkswagen continue to dominate the sector, with the Mercedes-Benz A-Class pipping the VW Golf to the number one spot for most enquiries. Harrison added: “The dependable VW Golf has been the most popular personal lease car for many years, but it looks as if the tech-laden Mercedes-Benz A-Class could steal its crown this year.”
The figures follow recent news from Leasing.com that new car buyers are more inclined to seek shorter lease deals, with enquiries for 18-month lease lengths with a one-month initial payment up 190% year-on-year in March.
Volvo topped the list for the most popular choice on this type of lease deal, with prices starting at £500 a month for its V60 model.
Harrison said: “These are likely to be consumers coming out of existing finance deals who wants or need a new car, but do not want to commit to large initial payments or lengthy contracts in a very uncertain market. There is a clear demand for short-term flexibility, but ultimately the monthly price for this flexibility has to be right for consumer budgets.”