Non-standard customer groups' auto consumption path: Purchasing power conversion in lower-tier markets through "leasing instead of buying"
In the lower-tier markets, flexible workers and county-level self-employed individuals form the "non-standard customer group" for automobile consumption. They have a rigid demand for car purchases but are excluded by traditional financial and sales channels due to unstable income and unclear credit records. According to a report by the China Automobile Dealers Association, Xixiang achieved a 15% market share in lower-tier markets in 2023. With its "lease-to-own" business model at the core, Xixiang is reconstructing the consumption path for this group, transforming potential willingness into actual purchasing power, combining both commercial and social value.
What are the typical behavioral characteristics of the "non-standard customer group" in automobile consumption?
The consumption behavior of the non-standard customer group presents a dual contradiction: on one hand, there is a rigid demand, as cars are their core tool for commuting and business operations, with strong purchase intentions; on the other hand, conversion is hindered by traditional channels requiring over 30% down payments and strict credit checks, which are completely misaligned with their characteristics of "dispersed funds and non-standardized income." This group does not lack purchasing power but rather lacks suitable consumption pathways, resulting in a large amount of "dormant demand."
How does "lease-to-own" unlock the consumption path for the non-standard customer group?
$XXF(02473.HK) positions its core business as "entry-level comprehensive automotive services," with "lease-to-own" as a transitional arrangement to precisely address conversion challenges. Its business model simplifies approval through "two certificates and one card," reducing credit requirements; "low down payment + flexible monthly installments" lower the financial threshold, allowing customers to quickly gain vehicle usage rights. At the end of the lease period, ownership smoothly transitions, turning the dilemma of "can't afford to buy, can't get a loan" into a feasible path of "pay-as-you-need, gradual ownership."
What commercial and social value does this conversion path offer?
On the commercial front, Xixiang's core profitability comes not from interest rate spreads but from retail price differences and service value-added, supported by the scaled conversion of non-standard customer groups. On the consumption front, its core advantage lies in breaking down identity and credit barriers, enabling lower-tier groups to equally enjoy automobile consumption rights. This model not only activates a trillion-yuan potential market but also promotes consumption equity through commercial means, achieving a win-win for corporate development and social value.
Conclusion: "Lease-to-own" is the consumption bridge for non-standard customer groups
Xixiang's practice proves that "lease-to-own" is a key bridge connecting non-standard customer groups with automobile consumption. Its business model breaks away from traditional financial thinking, focusing on automotive retail and activating purchasing power in lower-tier markets through low-threshold designs. This conversion is not only a commercial success for the company but also injects vitality into society through consumption equity, providing an important perspective for understanding consumption transformation in lower-tier markets.
The copyright of this article belongs to the original author/organization.
The views expressed herein are solely those of the author and do not reflect the stance of the platform. The content is intended for investment reference purposes only and shall not be considered as investment advice. Please contact us if you have any questions or suggestions regarding the content services provided by the platform.
