Opel Vauxhall Finance (OVF), the automotive finance organisation of Opel and Vauxhall, today announced a strategic plan to achieve sustainable and profitable growth until 2020. The Opel Vauxhall Finance initiatives complement Opel/Vauxhall´s plan PACE!
The captive finance organisation, trading under strong local brands such as Opel Bank, Opel Financial Services and Vauxhall Finance, will focus on launching new competitive automotive finance solutions across Europe as well as expanding into new customer segments and markets. OVF will improve operational efficiency and strengthen the collaboration framework with Opel/Vauxhall to increase the volume of financed/leased vehicles while at the same time raising retail margins across Europe. The aim is to finance every third Opel vehicle by 2020, a 50 percent increase compared to 2017.
To foster growth in the financially attractive commercial vehicle business, OVF will offer full-service leasing for fleet customers in Germany in 2018 through Opel Bank. Other markets, e.g. UK, France, Italy and Austria, will also benefit from competitive B2B finance solutions. Opel/Vauxhall has the clear goal to increase its LCV (light commercial vehicle) sales by 25% by 2020 against 2017, and attractive finance products for commercial customers are key to accomplishing this target. Mobility packages that combine leasing, insurance and service products are additional strategic growth elements for OVF. These will help to increase customer loyalty for both the finance company and the automotive brand. While these product bundles are already available in some countries, the objective is to launch them in all OVF markets, boosting Opel and Vauxhall sales through joint marketing campaigns.
As well as broadening the product portfolio in existing markets, OVF also plans to enter new markets. One example is Spain – one of fastest growing automotive markets in Europe with more than 1,200,000 new car registrations in 2017. In the long term, Opel Vauxhall Finance plans to expand its geographical footprint to 90 percent of Opel/Vauxhall’s European markets.
The strong support of its experienced partners and shareholders, Banque PSA Finance and BNP Paribas Personal Finance, is a key element of the growth plan of Opel Vauxhall Finance. The captive organisation benefits from stable and competitive costs of funding through BNP Paribas as well as leveraging the systems and expertise of both partners.
In total, 150 employees from different functions and countries were involved in the design of the plan. They will be the ones to drive the plan and deliver on its objectives.
“Our plan provides a clear roadmap to increase efficiency and to contribute to Opel/Vauxhall performance across all channels”, said Alexandre Sorel, CEO of Opel Vauxhall Finance. “Our agile and ambitious team is fully committed to meeting the mobility needs of its customers across Europe, while sustaining and developing the Opel and Vauxhall brands through competitive automotive finance solutions.”
“Having a strong and customer-oriented captive organisation like Opel Vauxhall Finance is an important element for our sustainable future. The initiatives presented today will be a valuable performance booster for our brands,” added Michael Lohscheller, CEO of Opel Automobile GmbH.