For dealers who are finding used subcompact crossovers in demand at their stores, the latest analysis from Black Book showed they didn’t have to dip quite as much into their floor-plan funds last week to acquire these units.
This week’s Black Book Market Insights report showed subcompact crossovers depreciating the most out of cars and trucks. Editors pinpointed the decline at 1.18 percent.
Looking at volume-weighted information, Black Book reported that overall car segment values decreased by 0.63 percent last week, similar to the average weekly decrease of 0.61 percent in values registered during the previous four weeks.
Editors noticed the full-size car, subcompact car and sporty car segments decreased in value the most among all the car segments.
Again considering volume-weighted data, Black Book determined overall truck values (including pickups, SUVs and vans) softened by 0.39 percent last week, better than the average weekly decrease of 0.63 percent in values spotted during the previous four weeks.
Along with those subcompact crossovers, editors noted that the full-size van and minivan segments decreased in value the most among all the truck segments.
“Cars continued to depreciate at a steady rate while most SUV segments did better in the second week of the year. Generally, activity was reported to be slow in the auto auctions,” said Anil Goyal, Black Book’s senior vice president of automotive valuation and analytics.
Reinforcing Goyal’s comments were the anecdotes collected by Black Book’s representatives in the lanes. The trend started with what the lane watcher in Arizona said, noting, “Auction consignment was low as was the quality of the vehicles there for sale.”
Like in Arizona, pleasant weather in Florida didn’t trigger a wave of dealer activity with Black Book’s watcher in the Sunshine State saying, “The demand has taken a dip here but, as is usually the case, the commercial lanes performed much better than the dealer lanes.”
Up in Massachusetts where winter is fully underway, sloppy conditions kept some dealers at their stores.
“There were fewer buyers in the lanes but the vehicles that sold brought pretty good money. Retail is still relatively slow in the Northeast where our weather has been a big issue,” said Black Book’s representative in Massachusetts.
The anecdotes closed with a report out of Tennessee that indicated: “Select buying is the trend and most of the vehicle interest is in the pickups and sport utilities.”