Changing TIMES

Given the major developments in Saudi Arabia’s automotive market, customized services and innovative solutions will become evenmore important for the auto leasing industry.

Can you give us a brief overview on the evolution of your business operations and how you expect demand for your services to evolve in the medium term?

Road Echo was established in 2007 with the vision to provide innovation for the auto leasing industry. Now, with more than 12 years of experience, we specialize in design operation lease and transportation plans based on the needs of our customers. Our well-designed transportation solutions are suitable for the aviation sector, consultants, and multinational companies that require VIP services.

“The increased rate of financing is one major challenge for the auto leasing industry, making it difficult to run an auto fleet company in order to meet customer’s expectations of prices and services.”

What are the major developments and trends in the automobile leasing industry in Riyadh and Saudi Arabia?

There are different developments and trends influencing the local automobile leasing industry, making it difficult to retain customers in terms of services and prices. These trends include ride-sharing applications, the new Riyadh Metro, increased fuel prices, as well as women now being allowed to drive.

How is technology impacting the automobile leasing and fleet management industry in Saudi Arabia, and how does it represent an opportunity to improve operations?

The introduction of ride-sharing applications has a significant impact on the automobile leasing and fleet management industry in KSA. Research says that 20-30% of corporate customers use these applications to meet their needs. Improved and better service is the one thing that can counter this, though the most important action is to change the business model.

What are the main challenges and risks facing the auto leasing industry in Saudi Arabia, and what is the best strategy to overcome them?

The increased rate of financing is one major challenge for the auto leasing industry, making it difficult to run an auto fleet company in order to meet customer’s expectations of prices and services. The best strategy is to use the available resources in the most efficient way to counter the price margin and arrange a dialogue to create a platform that can help the industry to reduce the financing rate.

What are the major opportunities in the automobile leasing industry, and how will the rise of ride-sharing services impact the business?

The Kingdom is considered one of the largest automotive markets in the Middles East and the biggest importer of cars in the GCC. According to Vision 2030 and various megaprojects being planned, there is big scope and opportunities for the automobile leasing industry. Ride-sharing services mainly impact spot rentals businesses and not corporate rentals. ✖