SANTA MONICA, Calif. — TrueCar.com, the authority on new car pricing, trends and forecasts, estimated today that the average transaction price for light vehicles in the United States was $29,761 in July 2011, up $582 (2.0 percent) from July 2010 and up $102 (0.3 percent) from June 2011.
“Despite continued weakness in the economy and the ongoing concern over the debt ceiling, consumers continued to purchase vehicles packed with options in July,” said Jesse Toprak, VP of Industry Trends and Insights for TrueCar.com. “Tightened inventories, lower dealer discounting and manufacturer incentives, along with a more expensive product mix resulted in the highest transaction prices we have recorded in the industry.”
|Transaction Pricing Forecast|
|Manufacturer||July 2011 Transaction Price||June 2011 Transaction Price||July 2010 Transaction Price||Percent Change July 2010 to July 2011||Percent Change June 2011 to July 2011|
|Chrysler (Chrysler, Dodge, Jeep, Ram)||$28,834||$28,568||$28,591||0.9%||0.9%|
|Ford (Ford, Lincoln)||$32,714||$32,599||$31,353||4.3%||0.4%|
|GM (Buick, Cadillac, Chevrolet, GMC)||$33,804||$33,842||$33,145||2.0%||-0.1%|
|Honda (Acura, Honda)||$25,836||$25,763||$24,957||3.5%||0.3%|
|Nissan (Nissan, Infiniti)||$27,464||$27,595||$26,862||2.2%||-0.5%|
|Toyota (Lexus, Scion, Toyota)||$25,710||$25,842||$25,421||1.1%||-0.5%|
In addition, TrueCar.com estimated that the average incentive for light-vehicles was $2,418 in July 2011, down $431 (15.1 percent) from July 2010 and up $17 (0.7 percent) from June 2011.
|Incentive Spending Forecast|
|Manufacturer||July 2011 Incentives||June 2011 Incentives||July 2010 Incentives||Percent Change July 2010 to July 2011||Percent Change June 2011 to July 2011|
|Chrysler (Chrysler, Dodge, Jeep, Ram)||$3,162||$3,095||$3,656||-13.5%||2.2%|
|Ford (Ford, Lincoln)||$2,747||$2,641||$3,062||-10.3%||4.0%|
|GM (Buick, Cadillac, Chevrolet, GMC)||$3,026||$2,948||$3,818||-20.8%||2.7%|
|Honda (Acura, Honda)||$1,901||$1,766||$2,231||-14.8%||7.6%|
|Nissan (Nissan, Infiniti)||$2,412||$2,214||$3,139||-23.2%||8.9%|
|Toyota (Lexus, Scion, Toyota)||$1,942||$1,891||$2,022||-4.0%||2.7%|
“July is typically the beginning of the summer sell-down for automakers, but with inventories lacking on dealership lots, incentives are down significantly this year,” said Kristen Andersson, automotive analyst at TrueCar.com. “There just aren’t enough cars to sell, as in years past.”
TrueCar.com estimated that the ratio of incentives to average transaction price for light-vehicles was 8.1 percent in July 2011, down from 9.8 percent in July 2010 and flat from June 2011.
|Ratio of Incentives to Average Transaction Price|
|Manufacturer||July 2011 Incentives/Avg. Transaction Price||June 2011 Incentives/ Avg. Transaction Price||July 2010 Incentives/ Avg. Transaction Price||Percent Change July 2010 to July 2011||Percent Change June 2011 to July 2011|
|Chrysler (Chrysler, Dodge, Jeep, Ram)||11.0%||10.8%||12.8%||-1.8%||0.1%|
|Ford (Ford, Lincoln)||8.4%||8.1%||9.8%||-1.4%||0.3%|
|GM (Buick, Cadillac, Chevrolet, GMC)||9.0%||8.7%||11.5%||-2.6%||0.2%|
|Honda (Acura, Honda)||7.4%||6.9%||8.9%||-1.6%||0.5%|
|Nissan (Nissan, Infiniti)||8.8%||8.0%||11.7%||-2.9%||0.8%|
|Toyota (Lexus, Scion, Toyota)||7.6%||7.3%||8.0%||-0.4%||0.2%|
For additional data on incentives and transaction price, please visit the TrueCar Truth Blog.
TrueCar, Inc. is an automotive solutions provider focused on changing how cars are sold by providing a significantly better customer experience while helping qualified dealer partners to gain incremental market share and reduce costs. TrueCar.com is a transparent, visual publisher of new car transaction data. TrueCar.com price reports help both dealers and consumers to agree on the parameters of a fair deal by providing an accurate, comprehensive and simple understanding of what others actually paid for the identically equipped new car over the last 30 days both locally and nationally. TrueCar, Inc. works with a national network of nearly 5,000 Certified Dealers that provide up-front, no-haggle, competitive pricing to assist some of the nation’s largest and most well respected membership and service organizations to meet the auto buying needs of their members and customers. These partnerships include American Express, AAA, USAA and more than 60 others. Collectively these audiences represent over 1M in-market customers each month. TrueCar, Inc. is headquartered in Santa Monica, CA and has offices in San Francisco. The company was founded in 2005 and has been profitable since 2009. With nearly 200 percent year-over-year growth TrueCar has driven over 300,000 sales and is developing a suite of transaction oriented products and services centered on transparency and radical clarity as a result of comprehensively analyzing market data and information.
About TrueCar Data
TrueCar obtains data directly from numerous sources including automotive dealers, technology companies, data aggregators, and analytics companies within the automotive space. We also acquire vehicle configuration data, customer and dealer incentives data, financing and loan data, vehicle registration and insurance data, and much, much more. TrueCar is insatiable about data with our goal to find 100% of all purchase transactions, even if that means finding the same transaction multiple times from multiple sources within the car-buying ecosystem. Our data is among the most timely and comprehensive in the industry, as we are able to process most car sales within a week of the actual sales date, and have a substantial fraction on the site within 48 hours of the actual sale. TrueCar believes the greater our informational accuracy, the greater benefit we provide to both dealers and consumers.
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