Jaguar Land Rover launches pan-European mobility financing partnership
29 January 2023
Jaguar Land Rover (JLR) has launched a suite of mobility financing services across nine European markets, as part of a strategic partnership with BNP Paribas. The services will be aimed at customers of JLR’s Range Rover, Defender, Discovery and Jaguar models.
JLR and BNP Paribas initially partnered up in February 2022, aiming to broaden automotive financing services by early 2023. That plan seems to be on schedule, and the launch of these new services signals the completion of the first phase of this joint vision.
More generally, JLR and BNP Paribas are looking to develop an offering that covers all aspects of mobility financing needs, delivering end-to-end connectivity as well as ‘modern luxury experiences from website to showroom.’
The news comes as JLR posted a pre-tax profit of £265 million (€301 million) for the three months to December 31, 2022. This compares to a £9 million (€10 million) loss during the same period in 2021. The carmaker cited an easing in semiconductor supply challenges, helping boost profitability.
Nine strategic markets
The launch of this new financial framework means that products and services are now available in nine European countries, spanning Germany, Italy, France, Spain, Belgium, Luxemburg, Netherlands, Austria and Portugal.
JLR retail partner networks and clients operating in these countries now have access to a suite of retail financing solutions, insurance and services, as well as wholesale financing. This will span traditional loans, lease-to-purchase, long-term lease, ‘buy now, pay later’, insurance, and services products.
Thierry Laborde, chief operating officer of BNP Paribas said: ‘This long-term partnership with JLR stems from our successful association in complementary areas of expertise, which places sustainability and innovation at the heart of the businesses, in order to better serve customers and retailers. BNP Paribas is fully committed to building a truly integrated service covering all types of mobility financing needs, across nine strategic markets in Europe.’
Prior to establishing its current working relationship with BNP Paribas, JLR worked with FCA Bank – a joint venture between FCA and Crédit Agricole. JLR is just one European carmaker linking up with BNP Paribas. The French banking group has a track record of forging partnerships with automotive manufacturers. In April 2022, BNP Paribas became Stellantis’ exclusive partner for financing activities, serving all of its 14 brands across markets in Germany, Austria and the UK.
JLR’s Reimagine strategy
JLR’s Reimagine strategy takes aim at some significant business, technical and logistical targets. Key to this is making Jaguar an all-electric luxury brand from 2025. On top of this, all Jaguar and Land Rover nameplates stand to be available in pure electric form by end of the decade. The first all-electric Land Rover model is slated for release in 2024.
As well as the moves for total electrification and achieving net zero by 2030, the carmaker highlighted ‘unique customer experiences,’ as underlining the latest approach to financial services.
‘We have a vision of delivering modern luxury products and services for our clients,’ commented Francois Dossa, executive director, strategy and sustainability at JLR. ’The launch across nine markets with our European strategic partner, BNP Paribas, is an exciting first phase of innovating mobility finance to create a modern luxury financial services experience for our clients.’