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One of the strongest segments in today’s auto industry is that of compact crossovers. This category was one of just four truck segments that saw price increases this past week as reported in the most recent used car market report.
Jeep announced late last week that it will revive the Cherokee model to replace its Patriot as well as the Liberty, discontinued after 2012. The return to the Cherokee means Jeep is looking to shake things up and be more competitive in the segment.
Compact Crossovers have gained a lot of momentum recently. Popular models such as the Toyota Rav4 and Honda CRV have grown in size and gained better fuel economy, two main drivers of why consumers have soaked up models in the segment.
According to Black Book data, Compact Crossover prices have performed better than Full-Size Crossovers (Buick Enclave, GMC Acadia, Ford Flex, Lincoln MKT). Full-Size Crossover prices have declined 4.5% since the beginning of 2013, while Compact Crossovers have declined just 2% during the same time.
Other changes have taken place within the segment, as Mazda discontinued its CX-7 and replaced it with a smaller CX-5 model (which, interestingly enough, goes against the growing-in-size trend).
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