Secret Car Sales Data Reveals Leasing Dominance Over Private Buyers
New analysis of Israeli car sales data reveals that many popular models achieve high sales figures primarily through large discounts offered to leasing and rental companies, rather than direct private purchases. These discounts are often necessary for dealerships to meet challenging sales targets set by manufacturers, particularly Chinese brands, who may threaten to revoke or grant franchises to competitors. They are also used when private customer demand is low and inventory risks exceeding the 12-month threshold, after which cars must be registered as used and sold at a loss.
The Skoda Scala is a prime example, with nearly 3,300 units registered since early 2026, but only 22, or approximately 0.6%, were purchased by private customers. The vast majority were acquired by leasing companies and car dealers, including Eldan andפרי, who secured a Ministry of Defense tender for this model to be provided to officers and senior non-commissioned officers.
Conversely, the Volkswagen T-Roc crossover boasts 97% of its roughly 230 sales this year going to private customers, according to Ministry of Transport data. The Volkswagen Golf and Tesla Model 3 also show high private purchase rates at 94% and an equivalent percentage, respectively.
Among the top ten best-selling models, several Chinese brands show low private sales percentages: Chery Tiggo 7 at 13%, Tiggo 8 at 15%, and Tiggo 4 at 25%. The Jaco 7 has 27% private sales, while the Jaco 5 hybrid, now the best-selling car, has 41% private buyers. The Kia Sportage leads among the top ten with 63% private sales, followed by the Toyota Yaris Cross hybrid at 61%. The industry average for private sales stands at around 47%.
Low private sales can indicate reduced demand for a model, potentially affecting its resale value. Private buyers purchasing cars predominantly sold to fleets might face a market flooded with similar vehicles from leasing companies in three years, impacting their ability to get a good price.