Here is the latest used car market report from Ricky Beggs, Managing Editor at Black Book. Now that most everyone has gotten back into a more businesslike routine after the holidays, the market in most of the survey personnel and auction reports was represented as steady and with prices flat. There were a few reports indicating the consignment and offerings were still a little slow. At least the auctions are all back on their regularly scheduled time slots.
After a full week of auctions and the Black Book Editors studying all of the data we have received over the last week, the market would have to be reported as pretty steady. This past week the average number of vehicles adjusted each day was 1840. Since the first of December, except for the week of Christmas, this is the lowest daily adjustment amount.
It should be noted that the percentage of increases of all those adjustments returned to a relatively high level again this past week at 36%. This is very close to this point in time last year at 34%. If the historical market is an indicator the coming weeks’ percentage of increases will be significantly higher. But let’s hold back before we make such a bold prediction that we will match last year’s level of increases.
Let’s go ahead and take a look at some of the actual changes by segment type for the past week. Within the cars the overall average segment price decline increased to -$62 as compared to the previous week of -$40 and a year ago of -$44. Individually 7 of the 10 car segments declined a greater amount than the previous week. Those changes declining the most week-over-week were the Premium Luxury Cars (PLC) at a greater percentage decline of -.43% more to -.83% and the Luxury Level Cars (LLC) at -.26% more to .-48%.
The car segments doing better week-over-week were the Upper Mid-size Cars (UMC) at -.34% or -$30, the Near Luxury Cars (NLC) at -.15% or -$18 and the Prestige Sporty Cars (PSC) down by -.26% for a dollar change of -$101.
Since the calendar turned to 2013 the most consistent and lowest adjusting segment has been the Entry Level Cars (ELC) that have changed by -$11 and -$10 for the last 2 weeks. The Compact Cars (SCC) at -$29 this past week only have a -$39 combined level of change for 2013. Not far behind, the Near Luxury Level Cars (NLC) have a 2 week total segment change of -$41.
The truck segments took a slightly bigger hit this past week at -$36 or -.27% which was up from -$23 or -.17% the previous week. 4 of the 14 truck segments were more stable than the previous week with the biggest improvement being the Compact Pickup Trucks (CPT) at -$18 and -.18% as compared to the -$53 and -.15% 2 weeks ago. The other 2 pickup segments, the Mid-size Pickups (MPT) and the Full-size Pickups (FPT) showed week-over-week improvement with smaller declines finishing at -$36 for the Mid-size and -$15 for the Full-size Pickups. The Full-size Vans, Cargo and Passenger versions, have now increased for the past 5 weeks but each at a lower $ increase during this positive run at only +$8 and +$11 this past week. We are watching closely to see how long this increasing run continues.