New players in the new mobility field
The players in the mobility sector are all involved in a profound transformation that is underway, yet newcomers need to be incorporated to enhance full impact. Because the challenges go far beyond operators and vehicle manufacturers alone. To meet the full needs facing the sector - environmental, economic, changes in usage, accessibility - BNP Paribas has made mobility one of the priorities of its strategic plan for 2025. At the Paris Motor Show, the Bank presented its solutions on its 100 square metre stand. With "Mobility One Bank" a comprehensive offering that combines the expertise of its CIB, BNP Paribas Personal Finance, BNP Paribas Cardif, Arval and BNP Paribas Leasing Solutions business lines, the Bank provides corporates, professionals and private individuals with unique know-how combining long-term leasing, financing for users and manufacturers, insurance and even financing for mobility infrastructures. These areas of expertise were on hand to illustrate the Group's three commitments to mobility.
Supporting clients in the energy transition
Road transport is one of the sectors that emits the most greenhouse gases. It is therefore necessarily one of those most concerned by action plans to reduce global warming. Financing green energy and its production is therefore a priority. And one of BNP Paribas' commitments.
A key lever, and one that was very well represented at the Paris Motor Show, is the development of electric mobility and the infrastructure it requires. BNP Paribas also acts as a privileged partner in developing new solutions. This can be illustrated by fundraising, orchestrated by BNP Paribas CIB, to support Ionity, a very high-power recharging grid in Europe or Northvolt to raise EUR 1 billion to build Europe's first green battery production plant powered by renewable energy.
Also present, the Group's car rental business, Arval, which aims for the position of "European leader in sustainable mobility by 2025", exhibited its autonomous shuttle on the Bank's stand. Arval currently rents more than 1.5 million vehicles and is rolling out its operational leasing offer in sustainable mobility. It plans to manage a fleet of 700,000 electric vehicles by 2025.
On the other hand, BNP Paribas Personal Finance, which currently finances more than 3 million vehicles worldwide on a leasing or credit basis - with or without services - thanks to joint ventures with manufacturers such as Stellantis, Geely Group or, from 2023, Jaguar Land Rover, and commercial partnerships, for example with Hyundai, Kia or subsidiaries of the Aramis group, but also with its direct offers to end customers to support both manufacturers and users in their efforts to achieve a more sustainable, but still affordable, form of mobility. By 2025, 15% of BNP Paribas Personal Finance's mobility financing will emit less than 50g of CO2/km per vehicle, in line with the European taxonomy.
Finally, BNP Paribas Leasing Solutions, one of the European leaders in financing and leasing for professional equipment manufacturers, contributes to the development of electric vehicles through the financing of recharging stations throughout France, or through the implementation of competitive financing solutions for vehicles running on natural gas.
Adapting to new uses
Car-sharing, car-pooling and vehicle rental are all gaining ground. Arval is therefore focusing its strategy on the development of electric mobility and supporting companies in their efforts to adopt multi-modality. BNP Paribas Personal Finance a lancé ses offres de souscription, plus flexibles pour répondre aux besoins changeants des utilisateurs. For car owners, BNP Paribas Cardif, also present at the Paris Motor Show, is associated with Wylly, an auction platform for used cars between private individuals and dealers.
Making the mobility offer accessible
For the transformation of the sector to happen, offers must be accessible to all consumers. In France, mobility represents up to 13% of the household budget. This is significant portion and growing expense item: since 2017, the average price of new vehicles has risen by 19%. And electric cars are far from being spared this increase, quite the contrary.
To help its customers find the best solution, BNP Paribas also announced several innovative initiatives, including the launch of more accessible offers for motorists in future low-emission zones, by BNP Paribas Personal Finance, and the creation of an all-in-one digital platform in the first half of 2023. This will enable clients, via the Mabanque (MyBank) website or the MesComptes (MyAccounts) application, to find a vehicle that matches their needs, desires and budget. Their search will reveal the type of financing recommended by the Bank, between credit, long-term leasing, leasing as well as an associated insurance.
In the midst of an upheaval between environmental urgency, urban transformation, new needs and uses, the entire sector linked to mobility is evolving. These changes are accelerating, and in the months and years to come we can expect many more innovations and new offers.
Mobility, a pillar of the BNP Paribas Group “GTS” (Growth, Technology, Sustainability) 2025 strategic plan
"Our proximity to our clients and partners has enabled us to develop a detailed knowledge of mobility issues and to build a comprehensive and integrated range of solutions that meet the needs of all the players in the ecosystem: from the manufacturer to the end user. As part of our GTS 2025 strategic plan, we have placed mobility at the heart of our development projects," said Thierry Laborde, Deputy Chief Executive Officer of BNP Paribas and head of the CPBS (Commercial Personal Banking Services) division, whose many activities were present at the Mondial.
With the announced objective of achieving 1 billion euros in additional revenues by 2025, increasing their weight from 1.9 to 2.9 billion euros, this goal is based on BNP Paribas' unique integrated model and the strengthening of synergies between the Bank's various activities.
Overview of the trends at the 89th Motor Show in pictures
Four years have passed since the last Paris Motor Show in 2018. It may seem short, but it is but during this time a profound revolution in mobility that was only just beginning is very much underway. For its grand return, the 2022 Paris Motor Show echoed this. While lovers of beautiful vehicles may have regretted the absence of the major German, British or Italian manufacturers, the Paris Motor Show was a showcase for French brands, which came to present their latest electric or hydrogen-powered models. Chinese manufacturers, who are well ahead of the electric market, also made a notable appearance to unveil their models and conquer the European market. Alongside them, the aisles of the Porte de Versailles halls also saw the appearance of new exhibitors who had previously not been present at this event.
BNP Paribas at the 89th edition of the 2022 Paris Motor Show