The well-established role of auto finance will be deeply challenged in the coming years as the extended global automotive industry evolves into a new mobility ecosystem.
Most notably for auto financing, the rise of shared access to vehicles and drop in the number of consumer purchases could dramatically alter the number and size of loans and who needs them. Customers will increasingly be businesses in addition to individual consumers, and overall loan volume and its associated revenue could decline dramatically in the long run.
For finance companies grappling with these changes, our hope is to share insights derived from our work on the future of mobility and to commence an ongoing dialogue around the evolution under way, its implications for incumbents and disrupters, and the sources of new value creation. In short, we seek to help key stakeholders explore “where to play” and “how to win” in the evolving mobility ecosystem. And we believe there are concrete steps auto financiers can take today to prepare for the future.
