Automotive Digital Marketing

Professional Community for Car Dealers, Marketing, Advertising and Sales Leaders

Loading... Be Patient!

Segments Trending Better Than Overall Change

It has been a busy week, but not overly active in the number of necessary adjustments. At 1450 vehicles adjusted per day throughout the last week, this is the smallest number since back at the end of August. As a comparison, the number of changes this past week is almost 640 per day less than the average daily change of 2090 per day for the entire month of October 2012.

With the smaller number of changes, how is the value change level reacting as compared to last week and even for the year-ago period? The past week the cars changed by -$65 while the trucks were at -$47, which was the smallest weekly change in the past five weeks and almost identical to the year ago change of -$46 for the trucks.

Car & Truck Segments
Gas prices continue to drop, another $.06 decline this past week to a national average of $3.37, which is $.48 less than one year ago. We continue to get closer to the yearly low of $3.25 that we had the week of December 17, 2012. With gas prices at these trending levels there are three relatively fuel-efficient car segments that have had dollar change levels better than the overall car segment change over the past three months, the Entry Mid-size Cars and the Compact Cars for every week and the Upper Mid-size Cars for all but one week. The better retention segments this past week were the Entry Mid-size Cars at -$8, the Compact Cars at -$21 and the Entry Levels Cars at -$22. These also have the best two-week average change. The numbers can often tell a varied story depending on how you look and interpret the results. The Premium Sporty Cars at a whopping -$160 this past week have declined by greater than $100 for ten of the past twelve weeks. When tracking the change by percentages, the Premium Sporty Cars was better, meaning lower depreciation, than the overall segment average for nine of the past twelve weeks.

The truck market has steadily improved in relation to the average segment change over the past five weeks. The various truck segments are also pretty consistent in their change levels. Ten of the fourteen truck segments differed from the overall truck segment change of -$47 by less than $10. Two, the Luxury SUVs at -$109 and the Mid-size Crossovers at -$89 had greater depreciation while the other two varied at better than the overall change, but not at the larger amounts of the Luxury SUVs and the Mid-size Crossovers. The Cargo vans for both the mini and full-size offerings came in at -$10 for the minivans and -$32 for the full-size cargo versions. Another sign of an improving truck market is that week over week, the level of change by segment was better this past week.

We continue to see wholesale offerings increase. Couple this with the traditional season declining levels and we should see levels of change at least at last week’s amounts and potentially even greater dollar drops. We hope you will tune back in next week to see if any segments react otherwise.

In business since 1955, Black Book is a provider of accurate pricing insight, mobile solutions and online vehicle trade-in valuation for the automotive industry. The company offers the industry’s most accurate vehicle valuation insight to dealers, lenders, remarketers and government agencies. Black Book also provides automotive shoppers with instant and accurate credit-score estimates and trade-in appraisals, which provide the highest quality sales leads for dealers. Click here to view Ricky Beggs’ weekly video series offering the latest insight in the auto market. Follow Ricky on Twitter @BeggsBlackBook (https://twitter.com/beggsblackbook) and on Facebook http://www.facebook.com/blackbookUSA.

   

 

Views: 29

Tags: auto, blackbook, cars, used, vehicle

Comment

Oops... You need to stop "Lurking" on ADM and become a more genuine Automotive Professional by completing your membership registration. As a registered ADM Member, you can post comments, publish your own articles (be a star!) and start Forum discussions. Stop being an online "Peeping Tom" and JOIN ADM RIGHT NOW!

Join Automotive Digital Marketing

Automotive Professional Network and Resource Exchange for Car Dealers, Managers, OEM and Marketing Practitioners seeking Best Practices.

ADM Sponsor

Please Consider Automotive Marketing Professional Community Sponsors

ADM Badge

Loading…

Based On Your Interests...

ADM Consulting, LLC

Onsite/Offsite Combination ADM Consulting, LLC Professional Services
Select the maximum monthly investment you plan to make
$USD
Sign up for

Automotive Marketing Tools

Get ADM Toolbar

Click here to take the ADM Member Survey

Getting too many emails from ADM? Click mailbox below to control which types of alerts and updates you are sent......


Instagram

Top Automotive Marketing Forum Discussions

Share the Best Content w/AutoMarketing Community

© 2019   Created by Ralph Paglia.   Powered by

ADM Badges  |  Report an Issue  |  Terms of Service