According to the Blue Book Market Report – November 2012, Sandy will limit short-term sales and drive long-term growth. With hundreds of thousands of residents and many dealers still without power and struggling to recover from the devastating effects of the storm, Kelley Blue Book believes new-vehicle sales also will be impacted in November. To determine the potential impact to future auto sales, it is important to assess the storm’s effect on both supply and demand
This month’s report includes:
NEW-CAR MARKET ANALYSIS
- Hurricane Sandy Lowers October Sales Results
The devastation left in the wake of Hurricane Sandy will have far-reaching implications for the auto industry that will likely last into the first quarter of 2013. Even in the days leading up to the storm, there was speculation that thousands of potential car shoppers in the Northeast would stay away from dealerships as they prepared for the worst…
- Sandy to Limit Short-Term Sales, Drive Long-Term Growth
With hundreds of thousands of residents and many dealers still without power and struggling to recover from the devastating effects of the storm, Kelley Blue Book believes new-vehicle sales also will be impacted in November. To determine the potential impact to future auto sales, it is important to assess the storm’s effect on both supply and demand…
- Dealers and Consumers Should Watch Out for Flood-Damaged Vehicles
Consumers and dealers alike should keep a keen eye out for vehicles that have sustained significant flood damage in the coming weeks and months. Vehicles that sustained flood damage will be brandished with a salvaged title if it was deemed totaled by an insurance agency. Car shoppers are advised to pull a vehicle history report to ensure flood damage doesn’t appear on the title…
- The Fiscal Cliff Looms Ahead
Now that the Presidential election is over, the United States can focus on the looming Fiscal Cliff that is drawing closer. Both the Bush-era tax cuts and a 2 percentage point payroll tax deduction are on the chopping block, and if allowed to expire, the population could see an already sluggishly growing economy slump into reverse. This is bad news for those banking on vehicle sales continuing their recovery into 2013…
- Mid-Size and Compact Sedans Continue Fight for Market Supremacy
With the economy growing at a snail’s pace, consumers are more budget conscious than ever before. Consumers in the market for a new or used car today are most concerned with purchasing vehicles with high fuel economy that won’t cost an arm and a leg to purchase or maintain…
- Gas Prices Finally Headed Back Down Nationally; East Coast Residents Face Shortages
After months of record high fuel prices, most consumers are finally feeling some relief at the pump. Fuel prices have declined $0.35 per gallon across the United States since the start of October and by nearly $0.70 per gallon in California, where a refinery fire sent fuel prices skyrocketing in early September…
USED-CAR MARKET ANALYSIS
- Used-Car Values Could Have Temporary Boost Due to Hurricane Sandy
Used-car values were relatively flat in October with a scant 1.5 percent drop overall, putting them down only 1 percent year-over-year. Prior to the arrival of Hurricane Sandy, auction activity had settled into a typical fourth quarter seasonal slowdown. Although Kelley Blue Book hasn’t seen a significant surge in wholesale values just yet, it anticipates values to creep up as inventory shifts to the East Coast to assist with the ongoing recovery efforts…
- First Quarter 2013 Used-Vehicle Forecast
The first quarter typically brings with it a surge in transaction prices at auction as dealers stock inventory in preparation for the spring selling season. In 2013, Kelley Blue Book forecasts an increase in wholesale values will be muted by an increase in supply that is expected to arrive at auction early next year. Our forecast places used-car gains in the neighborhood of zero to 1 percent…
LATEST HOT USED-CAR REPORT
- 2010 Panamera: Not Your Average Porsche
The used vehicle with biggest growth in interest this month is the 2010 Porsche Panamera, which was introduced to the world during the 2009 Shanghai Auto Show. From its inception, the Panamera has polarized the automotive community. One side of the industry despised everything about the car with harsh criticism reserved for its styling and the continuing break from Porsche’s traditions, which started with the Cayenne…
