1. Market Research
  2. > Automotive
  3. > Auto Services
  4. > Auto Insurance Market Trends
  5. > Consumer Automotive Financial Services in Argentina

Consumer Automotive Financial Services in Argentina

  • February 2015
  • -
  • Finaccord
  • -
  • 46 pages

Consumer Automotive Financial Services in Argentina investigates the market for automotive financial services linked to sales of new and used passenger cars to individual buyers in Argentina. In addition to analysing the market for finance and leasing services, the study also covers motor insurance, road assistance, extended warranties and creditor insurance, plus GAP insurance and prepaid service contracts.

Using survey results for average take-up rates for finance and leasing propositions at the point of sale, data for the size and growth of the automotive finance and leasing market for consumers in Argentina is provided in terms of gross advances and assets leased for 2010 to 2014 with splits between finance for new and used cars and between finance organised through dealerships at the point of sale and directly with banks or other lending institutions.

Table Of Contents

Consumer Automotive Financial Services in Argentina
0.0 EXECUTIVE SUMMARY 1
1.0 INTRODUCTION 3
What is this report about? 3
The focus of the report is on financial services related to the sale of passenger cars to individuals 3
Rationale 3
The provision of financial services is essential to support both car sales and profitability 3
This report offers a new and detailed analysis of the subject in Argentina based on primary research. 3
Methodology 3
Survey of dealers and manufacturers 3
Market data 4
Computation of market data is based on a complex set of assumptions and variables… 4
…in order to provide market segmentations in unrivalled detail 5
External sources 5
Definitions 5
Finance and leasing products 5
Insurance, warranty and assistance products 6
Operating models 7
Tied and non-tied providers 7
Abbreviations 8
Exchange rate 8
PartnerBASE and market data annexe 8
Finaccord 8
2.0 MARKET ANALYSIS 10
Introduction 10
Passenger vehicle data 10
Annual sales of new cars were inconsistent between 2010 and 2014. 10
. with a similar trend observable for used cars 10
PSA, VW and Fiat Chrysler hold over half of the new passenger vehicle market between them 12
Consumer automotive finance and leasing market 12
Market size and growth 12
By volume, direct lending for used cars is the largest market. 12
. although point-of-sale finance for new cars is the largest by value 13
Types of finance and leasing product 16
Simple loans constitute by far the most common form of point-of-sale finance… 16
… although consortium loans and finance leasing are also used in some cases 16
Consumer automotive insurance, warranty and assistance markets 17
Market sizes 17
In total, the automotive trade is likely to have sold contracts worth over ARS 4 billion in 2014 17
Survey of automotive dealers and manufacturer brands - overview 20
Introduction 20
Provision of consumer automotive financial services 20
All dealers surveyed in Argentina distribute four core automotive financial services. 20
. but adoption of extended warranties is lower than it ought to be 20
Number and nature of dealer schemes 22
Dealers typically work with multiple tied partners for motor insurance 22
Types of creditor insurance policy sold by dealers 24
Creditor insurance is almost always included automatically with finance contracts in Argentina 24
Types of motor insurance policy sold by dealers 25
Motor insurance policies on offer from dealers are always comprehensive 25
Sources of road assistance distributed by dealers 26
Road assistance is commonly packaged with both factory and extended warranties in Argentina 26
Consumer uptake of automotive financial services through dealers 27
A relatively high proportion of new car buyers take out finance and leasing at the point of sale. 27
. with this figure having apparently increased since the previous survey on the subject 27
Likewise, the take-up rate for extended warranties has also spiked up (albeit from a low level) 27
Survey of automotive dealers and manufacturer brands - partnerships 29
Introduction 29
Finance and leasing 30
At least 11 providers of finance and leasing work directly with dealers. 30
… led by Santander Río, HSBC and BBVA Banco Frances. 30
.while non-bank partners include The Capita Corporation and Fiorasi Leasing 30
Ten manufacturer brands offer finance and leasing services through captive providers 32
GPAT Compañía Financiera is the largest provider by weighted share of brand partnerships. 32
. followed by Renault Nissan's NR Finance joint venture with BBVA Banco Frances 32
The same two firms also have the highest implied share of new business in a combined analysis… 34
… with the top five competitors likely to account for over half of the total market 34
Creditor insurance 35
Only one manufacturer brand has a direct relationship with a provider of creditor insurance 35
Motor insurance 37
Just under a half of all dealers use non-tied partners for motor insurance. 37
. with QBE attaining easily the highest share of utilisation 37
All manufacturer brands researched have an arrangement for offering motor insurance. 39
. with La Caja claiming the highest weighted share of partnerships 39
La Caja and QBE are likely point-of-sale motor insurance market leaders 41
Extended warranties 42
Dealer provision of extended warranties is dominated by manufacturer and importer contracts. 42
. and most manufacturer brands are now active in this arena 42
Road assistance 44
Likewise, road assistance is almost always only available to dealers from manufacturers or importers. 44
.among which its provision is universal 45
MAPFRE Asistencia and SOS Red de Asistencia are the only two identifiable external providers 45

LIST OF GRAPHICS / TABLES

0.0 EXECUTIVE SUMMARY 1
Key market data for consumer automotive financial services in Argentina, 2014 2
1.0 INTRODUCTION 3
2.0 MARKET ANALYSIS 10
Passenger car parc and new / used passenger car sales in Argentina, 2010 to 2014 11
Passenger car parc and new / used passenger car sales in Argentina, 2010 to 2014 (table) 11
New car registrations in Argentina, segmented by manufacturer group, 2014 12
New and used passenger car finance market in Argentina, segmented by distribution channel: volumes, 2010 to 2014 13
New and used passenger car finance market in Argentina, segmented by distribution channel: values, 2010 to 2014 14
New and used passenger car finance market in Argentina, segmented by distribution channel: values and volumes, 2010 to 2014 (table) 15
% split between the different types of finance and leasing contract organised at the point of sale in Argentina, 2014 16
Total revenues from consumer automotive insurance, warranty, assistance and service contract markets in Argentina, 2014 18
Total revenues from consumer automotive insurance, warranty, assistance and service contracts in Argentina, 2014 (table) 19
Comparison of the provision of each type of automotive financial service by dealers and manufacturer brands in Argentina, 2014 21
Average number of tied and non-tied schemes organised by dealers for each type of automotive financial service in Argentina, 2014 (table) 22
Average number of tied and non-tied schemes organised by dealers for each type of automotive financial service in Argentina, 2014 23
% split between the different types of creditor insurance policy sold at the point of sale in Argentina, 2014 24
% split between the different types of motor insurance policy sold at the point of sale in Argentina, 2014 25
% availability of road assistance through factory warranties, annual services, extended warranties, motor insurance, prepaid service contracts and as a stand-alone product in Argentina, 2014 26
% of new and used car purchasers acquiring each type of automotive financial service at the point of sale in Argentina, 2014 28
Provision of finance and leasing by dealers in Argentina, 2014: provision rate, product sources and provider share of non-tied partnerships 31
Provision of finance and leasing by manufacturer brands in Argentina, 2014: provision rate, operating models and weighted provider share of partnerships 33
Implied market shares of new business for finance and leasing at the point of sale in Argentina, 2014 34
Provision of creditor insurance by manufacturer brands in Argentina, 2014: provision rate, operating models and weighted provider share of partnerships 36
Provision of motor insurance by dealers in Argentina, 2014: provision rate, product sources and provider share of non-tied partnerships 38
Provision of motor insurance by manufacturer brands in Argentina, 2014: provision rate, operating models and weighted provider share of partnerships 40
Implied market shares of new business for manufacturer-branded and dealer-intermediated motor insurance in Argentina, 2014 41
Provision of extended warranties by dealers in Argentina, 2014: provision rate and product sources 42
Provision of extended warranties by manufacturer brands in Argentina, 2014: provision rate, operating models and weighted provider share of partnerships 43
Provision of road assistance by dealers in Argentina, 2014: provision rate and product sources 44
Provision of road assistance by manufacturer brands in Argentina, 2014: provision rate, operating models and weighted provider share of partnerships 46

View This Report »

Get Industry Insights. Simply.

  • Latest reports & slideshows with insights from top research analysts
  • 24 Million searchable statistics with tables, figures & datasets
  • More than 10,000 trusted sources
24/7 Customer Support

Talk to Veronica

+1 718 514 2762

Purchase Reports From Reputable Market Research Publishers
Global and China UBI Industry Report, 2016-2020

Global and China UBI Industry Report, 2016-2020

  • $ 2100
  • Industry report
  • August 2016
  • by Research In China

Staring from 2012, UBI in China lags behind that in foreign countries. Hence, domestic UBI products are operated with reference to some foreign mature models. Various Chinese parties are actively promoting ...

UK Private Motor Insurance: Competitor Dynamics, Verdict Financial

UK Private Motor Insurance: Competitor Dynamics, Verdict Financial

  • $ 1295
  • Industry report
  • August 2016
  • by Verdict Financial

Summary The UK Private Motor Insurance market is a highly competitive market. Insurers are struggling to make their books profitable, as claims continue to prove challenging. The number of insurers active ...

Automobile Insurance - Industry Market Research Report

Automobile Insurance - Industry Market Research Report

  • $ 1020
  • Industry report
  • August 2016
  • by Ibisworld

Road to recovery: Providers will benefit from more car purchases and higher interest rates Automobile Insurance An intensified focus on financial positions and net premium growth for liability insurance ...


ref:plp2015

Reportlinker.com © Copyright 2016. All rights reserved.

ReportLinker simplifies how Analysts and Decision Makers get industry data for their business.