Dealers across the UK are losing out on potential business due to their lack of online motor finance product offerings, something which online car finance provider Creditplus have successfully managed to build on during the first nine months of 2016.
The findings - reported by dealer solutions provider iVendi - have shown that as much as 30% of dealers nationwide are limiting their amount of business because they do not offer online motor finance products to consumers. For Creditplus, their strong market position and 29% increase in applications in 2016 is confirmed not only by these findings, but also further statistics cited by Google, which show that around 71% of consumers in the UK actively seek online motor finance.
Creditplus’s application increase is due in part to their unique business model, which works to provide customers with an instant online decision when applying for car finance. With their own in-house developed car finance calculator tool, customers are also able to work out the potential best car finance deal for their individual needs and circumstances. It is these features which gives Creditplus the competitive edge over other car finance companies and assists in setting it apart from other online brokers.
Speaking about the findings and the impact it has and will continue to have on the online car finance market, Shaun Armstrong, Managing Director of Creditplus, commented: “Application numbers are on the increase; there are more than 48 car lenders currently in the market, so competition is high. In 2017 and 2018, I see lenders having to take a more prudent attitude on credit risk by looking at who they are lending too.”
It has been reported that approximately 4.18 million vehicles have been sold in the UK in the first half of 2016. Despite being a relatively new market, the previous year saw approximately 100,000 consumers using online brokers such as Creditplus when financing their car.
These substantial figures look set to continue to grow, and with increased consumer demand and spending, the online car finance market is making significant inroads in developing and transforming the UK car market industry. For Creditplus, they will continue to provide a first class online service to satisfy their growing consumer base whilst continuing to innovate and reach a wider audience in 2017 and beyond.
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