In recent years, the option of a lease has held less appeal for many car buyers, simply because they typically aren’t building equity through the course of the lease.
At the end of the term, the remaining buy-out cost means purchasing isn’t a viable option, so they’re left having to lease something new and begin the cycle again.
Unless, that is, they’re choosing Honda.
The difference maker, says Discovery Honda general manager Greg Van Es, is Honda’s high retained value – less depreciation.
Because the resale value of Honda vehicles remains high, when the lease ends, drivers almost always have equity built up that they can bring into their next vehicle, explains Van Es, who has more than 30 years in the car industry.
1. Commitment from the manufacturer: “Honda, as a manufacturer, is very proud of their product and try very hard not to devalue their vehicles,” Van Es explains. That means they don’t flood the market with large fleet sales or financing gimmicks.
2. Commitment to quality: A key reason for Honda’s resale value is the quality of the vehicles, Van Es says, pointing out that Civic has been the No. 1 selling car in Canada for 20 years! “It’s a commitment to the grass roots belief that if you build a product that people want and that people need, they will buy it.”
3. Commitment to customer loyalty: At a time when drivers will often change vehicles every three to five years, Honda recognizes the value of customer loyalty. To support that, the company rewards drivers for financing their vehicles with Honda: not only do they offer competitive financing today, but when you return to finance your next vehicle, your rate will be even better, Van Es explains. “If you deal with Honda, they’ll look after you, now and down the road.”
Traditional values; forward thinking
While Honda continues to build its reputation on traditional values, it does so with an eye to the future.
From its vehicles to its dealerships, the manufacturer is committed to investing in sustainability. Van Es estimates that 60 per cent of the fleet in coming years will be green – hybrid or plug-in electric – and Honda is also emphasizing sustainability at the dealership level, launching three levels of green certification.