Philippines Auto Finance Market Overview
According to SPER Market Research, the Philippines Auto Finance Market is estimated to reach USD xx billion by 2032 with a CAGR of xx%.
The Philippines auto finance market refers to the financial services offered by banks, non-banking financial institutions (NBFIs), and other financial institutions for the purchase of automobiles in the Philippines. The auto finance market in the Philippines has grown steadily over the years, owing to factors such as rising car demand, the availability of simple financing options, and the country's growing middle class. Customers can choose from a variety of financial products offered by several local and international players in this market.
Installment loans and leasing are the most common types of auto financing in the Philippines. Installment loans are loans that are repaid in regular installments over a set period of time, whereas leasing allows customers to use a vehicle for a set period in exchange for regular payments. Furthermore, some banks offer balloon payments, which allow customers to make lower monthly payments but a larger final payment at the end of the loan term.
Banks such as BDO, BPI, Metrobank, and Security Bank, as well as NBFIs such as BPI Family Savings Bank, PSBank, and EastWest Bank, are major players in the Philippines auto finance market. Car manufacturers and dealerships are also providers of auto financing, and they frequently collaborate with banks and NBFIs to provide financing options to their customers.
The Philippines government has also taken steps in recent years to support the auto industry and promote the use of electric vehicles through policies such as tax breaks and subsidies. This has increased interest in electric and alternative fuel vehicles, which may drive additional growth in the auto finance market in the coming years.
Impact of COVID-19 on the Philippines Auto Finance Market
The COVID-19 pandemic has had a significant impact on the auto finance market in the Philippines, as well as many other sectors of the economy. The pandemic has caused supply chain disruptions, reduced consumer demand, and resulted in job losses and lower incomes, all of which have had an impact on the auto industry and auto finance market.
During the early stages of the pandemic, the Philippine government imposed strict lockdown measures, resulting in the closure of car dealerships and a reduction in consumer mobility. This resulted in a significant drop in new car sales, which impacted demand for auto financing. Because of the uncertain economic environment, many consumers were hesitant to take out new loans or leases.
However, as restrictions were lifted and the economy gradually reopened, the auto industry and auto finance market began to recover. The demand for personal mobility increased as many consumers avoided public transportation in favour of private vehicles. This increased demand for used cars, which are typically less expensive than new ones.
As a result, banks and non-bank financial institutions (NBFIs) in the Philippines have adapted their financing strategies to meet changing market conditions. To attract customers, they have introduced new loan products with flexible repayment terms, lowered interest rates, and relaxed their credit requirements. In addition, some banks have launched digital platforms to help customers apply for loans and complete the financing process online.
Scope of the Report:
| Report Metric | Details |
| Market size available for years | 2019-2032 |
| Base year considered | 2021 |
| Forecast period | 2022-2032 |
| Segments covered | By Type of Vehicle Financed, By Banks and Non-Banks, By Type of Banking Institutions, By Nature of Vehicles, By Type of Vehicle Sold, By Tenure of Loans
|
| Regions covered | Luzon, Mindanao, Visayas
|
| Companies Covered | MetroBank, BDO Bank, PS Bank, Eastwest Bank, The Philippine National Bank, Security Bank Corporation, Radiowealth Finance Company, Asia Link Finance Corporation League, DBP Leasing Corporation, BPI Capital Corporation, Cebu International Finance Corporation
|
Target Audience-
- Existing Auto Finance Companies
- Banks
- OEM Dealerships
- Captive Finance Companies
- Credit Unions
- Private Finance Companies
- New Market Entrants
- Government Organizations
- Investors
- Auto Mobile Associations
- Auto Mobile OEMs
Philippines Auto Finance Market Segmentation:
1. By Type of Vehicle Financed:
- Motorcycles
- New Vehicles
- Used Vehicles
2. By Banks and Non-Banks:
- Banks
- Non-Banks
- By Type of Banking Institutions
- Commercial and Universal Banks
- Thrift Banks
3. By Nature of Vehicles:
- New Vehicles
- Used Vehicles
4. By Type of Vehicle Sold:
- Commercial
- Motorcycles
- Passenger
5. By Tenure of Loans:
- For New Vehicle
- For Used Vehicle
6. By Region:
Key Topics Covered in the Report:
- Size of Philippines Auto Finance Market (FY’2019-FY’2032)
- Overview of Philippines Auto Finance Market
- Segmentation of Philippines Auto Finance By Type of Vehicle Financed (Motorcycles, New Vehicles, Used Vehicles)
- Segmentation of Philippines Auto Finance Market By Banks and Non-Banks (Banks, Non-Banks)
- Segmentation of Philippines Auto Finance Market By Type of Banking Institutions (Commercial and Universal Banks, Thrift Banks)
- Segmentation of Philippines Auto Finance Market By Nature of Vehicles (New Vehicles, Used Vehicles)
- Segmentation of Philippines Auto Finance Market By Type of Vehicle Sold (Commercial, Motorcycles, Passenger)
- Segmentation of Philippines Auto Finance Market By Tenure of Loans (For New Vehicle, For Used Vehicle)
- Statistical Snap of Philippines Auto Finance Market
- Growth Analysis of Philippines Auto Finance Market
- Problems and Challenges in Philippines Auto Finance Market
- Competitive Landscape in the Philippines Auto Finance Market
- Impact of COVID-19 and Demonetization on Philippines Auto Finance Market
- Details on Recent Investment in Philippines Auto Finance Market
- Competitive Analysis of Philippines Auto Finance Market
- Major Players in the Philippines Auto Finance Market
- SWOT Analysis of Philippines Auto Finance Market
- Philippines Auto Finance Market Future Outlook and Projections (FY’2019-FY’2032)
- Recommendations from Analyst
1. Introduction
1.1. Scope of the report
1.2. Market segment analysis
2. Research Methodology
2.1 Research data source
2.1.1 Secondary data
2.1.2 Primary data
2.1.3 SPER’s internal database
2.1.4 Premium insight from KOL’s
2.2 Market size estimation
2.2.1 Top-down and Bottom-up approach
2.3 Data triangulation
3. Executive Summary
4. Market Dynamics
4.1. Driver, Restraint, Opportunity and Challenges analysis
4.1.1 Drivers
4.1.2 Restraints
4.1.3 Opportunities
4.1.4 Challenges
4.2. COVID-19 Impacts of the Philippines Auto Finance Market
5. Market variables and outlook
5.1. SWOT analysis
5.1.1 Strengths
5.1.2 Weaknesses
5.1.3 Opportunities
5.1.4 Threats
5.2. PESTEL analysis
5.2.1 Political landscape
5.2.2 Economic landscape
5.2.3 Social landscape
5.2.4 Technological landscape
5.2.5 Environmental landscape
5.2.6 Legal landscape
5.3. PORTER’S five forces analysis
5.3.1 Bargaining power of suppliers
5.3.2 Bargaining power of Buyers
5.3.3 Threat of Substitute
5.3.4 Threat of new entrant
5.3.5 Competitive rivalry
5.4. Heat map analysis
6. Competitive Landscape
6.1 Philippines Auto Finance Manufacturing Base Distribution, Sales Area, Product Type
6.2 Mergers & Acquisitions, Partnerships, Product Launch, and Collaboration in Philippines Auto Finance Market
7. Philippines Auto Finance Market, By Type of Vehicle Financed, 2019-2032 (USD Million)
7.1 Motorcycles
7.2 New Vehicles
7.3 Used Vehicles
8. Philippines Auto Finance Market, By Banks and Non-Banks, 2019-2032 (USD Million)
8.1 Banks
8.2 Non-Banks
9. Philippines Auto Finance Market, By Type of Banking Institutions, 2019-2032 (USD Million)
9.1 Commercial and Universal Banks
9.2 Thrift Banks
10. Philippines Auto Finance Market, By Nature of Vehicles, 2019-2032 (USD Million)
10.1 New Vehicles
10.2 Used Vehicles
11. Philippines Auto Finance Market, By Type of Vehicle Sold, 2019-2032 (USD Million)
11.1 Commercial
11.2 Motorcycles
11.3 Passenger
12. Philippines Auto Finance Market, By Tenure of Loans, 2019-2032 (USD Million)
12.1 For New Vehicle
12.1.1 1 year
12.1.2 2 years
12.1.3 3 years
12.1.4 4 years
12.1.5 5 years or more
12.2 For Used Vehicle
12.2.1 1 year
12.2.2 2 years
12.2.3 3 years or more
13. Philippines Auto Finance Market, By Region, 2019-2032 (USD Million)
13.1 Philippines Auto Finance Size and Market Share by Region (2019-2025)
13.2 Philippines Auto Finance Size and Market Share by Region (2026-2032)
13.3 Luzon
13.4 Mindanao
13.5 Visayas
14. Company Profiles
14.1 Asia Link Finance Corporation
14.1.1 Company details
14.1.2 Financial outlook
14.1.3 Product summary
14.1.4 Recent developments
14.2 Asia United Banking Corporation
14.2.1 Company details
14.2.2 Financial outlook
14.2.3 Product summary
14.2.4 Recent developments
14.3 Bank of Commerce
14.3.1 Company details
14.3.2 Financial outlook
14.3.3 Product summary
14.3.4 Recent developments
14.4 Bank of the Philippine Islands
14.4.1 Company details
14.4.2 Financial outlook
14.4.3 Product summary
14.4.4 Recent developments
14.5 BDO Bank
14.5.1 Company details
14.5.2 Financial outlook
14.5.3 Product summary
14.5.4 Recent developments
14.6 BPI Capital Corporation
14.6.1 Company details
14.6.2 Financial outlook
14.6.3 Product summary
14.6.4 Recent developments
14.7 Cebu International Finance Corporation
14.7.1 Company details
14.7.2 Financial outlook
14.7.3 Product summary
14.7.4 Recent developments
14.8 DBP Leasing Corporation
14.8.1 Company details
14.8.2 Financial outlook
14.8.3 Product summary
14.8.4 Recent developments
14.9 Eastwest Bank
14.9.1 Company details
14.9.2 Financial outlook
14.9.3 Product summary
14.9.4 Recent developments
14.10 Land Bank of Philippines
14.10.1 Company details
14.10.2 Financial outlook
14.10.3 Product summary
14.10.4 Recent developments
14.11 MetroBank
14.11.1 Company details
14.11.2 Financial outlook
14.11.3 Product summary
14.11.4 Recent developments
14.12 One Finance and Leasing Corporation
14.12.1 Company details
14.12.2 Financial outlook
14.12.3 Product summary
14.12.4 Recent developments
14.13 PS Bank
14.13.1 Company details
14.13.2 Financial outlook
14.13.3 Product summary
14.13.4 Recent developments
14.14 Radiowealth Finance Company
14.14.1 Company details
14.14.2 Financial outlook
14.14.3 Product summary
14.14.4 Recent developments
14.15 Robinsons Bank
14.15.1 Company details
14.15.2 Financial outlook
14.15.3 Product summary
14.15.4 Recent developments
14.16 Security Bank Corporation
14.16.1 Company details
14.16.2 Financial outlook
14.16.3 Product summary
14.16.4 Recent developments
14.17 The Philippine National Bank
14.17.1 Company details
14.17.2 Financial outlook
14.17.3 Product summary
14.17.4 Recent developments
14.18 Toyota Financial Services Philippines Limited
14.18.1 Company details
14.18.2 Financial outlook
14.18.3 Product summary
14.18.4 Recent developments
14.19 UPCB Bank
14.19.1 Company details
14.19.2 Financial outlook
14.19.3 Product summary
14.19.4 Recent developments
14.20 Union Bank
14.20.1 Company details
14.20.2 Financial outlook
14.20.3 Product summary
14.20.4 Recent developments
14.21 Unistar Credit and Finance Corporation
14.21.1 Company details
14.21.2 Financial outlook
14.21.3 Product summary
14.21.4 Recent developments
15. List of Abbreviations
16. Reference Links
17. Conclusion
18. Research Scope
SPER Market Research’s methodology uses great emphasis on primary research to ensure that the market intelligence insights are up to date, reliable and accurate. Primary interviews are done with players involved in each phase of a supply chain to analyze the market forecasting. The secondary research method is used to help you fully understand how the future markets and the spending patterns look likes.
The report is based on in-depth qualitative and quantitative analysis of the Product Market. The quantitative analysis involves the application of various projection and sampling techniques. The qualitative analysis involves primary interviews, surveys, and vendor briefings. The data gathered as a result of these processes are validated through experts opinion. Our research methodology entails an ideal mixture of primary and secondary initiatives.
