Spinella: More Car Shoppers Going Outside their Local Market, KBB: Mid-size and Subcompact Cars Did Well January 8, 2015
Spinella_Art_ head shot

Retail Used Car Sales Volume Ended Year on Strong Note

Art Spinella
CNW Research

Retail used vehicle sales were up monthly and annually in December. Used-vehicle sales last month came in at 3,316,042 units, up about 1% vs. a year ago and 6.6% vs. November 2014. Franchised dealers saw sales down slightly at 1.2M from last year’s 1.3M; Independent dealers saw a near 3% decline while Private Party saw a jump of nearly 16% over December 2013.

Here’s the latest monthly sales report on retail used vehicles

Transaction Prices Were Up Significantly for Franchised – Up 3% Over November:
Total value of used cars sold through all three channels rose 16.4% from year ago to $35.8B.

More Buyers Searching and Buying Vehicles Outside of their Local Market:
23% more buyers than in November went to neighboring areas to make vehicle acquisitions.

Internet Bumped Out Print Newspapers for First Time as Cause for Dealer Visit:
Print advertising saw 18.7% drop from year ago, while internet saw 37.13% increase.
Foyil_Sean_Kelley Blue Book

Gasoline Price Drop Didn’t Hurt Small Car Prices in December

Sean Foyil
Senior Analyst, Vehicle Valuation
Kelley Blue Book

Auction values in December finished 0.9% higher than in 2013 and 0.8% higher than 2012. Surprisingly, the market has been driven by mid-size and subcompact car segments – which haven’t seen their usual price collapse during gasoline price declines. Each segment gained 0.9% and 0.8% in prices during December, respectively. For retention values, mid-size pickups led the way, averaging retention of nearly 78%.

Check out the December issue of Blue Book Market Report

December Gasoline Price of $2.49 Was 67% Drop from 2013 and 80% from 2012:
US Energy Information Administration says fuel prices should stabilize at $2.50 in Q1 2015.

Auction Prices for Full-size Pickups Were 3% Above December 2013:
Low gas prices and increased interest from redesigned Ford F-150 may be supporting prices.

Despite Volume Increase at Auctions, Mid-size Cars One of Best Performing Segments:
Top price performers in segment were Toyota Camry, Chrysler 200, and Honda Accord.
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