Lexus Leapfrogs Toyota to Claim Top Spot in Cloud Theory Inventory Efficiency Index for August
Volkswagen is Biggest Mover, Rising Four Spots to #8; New Vehicle Inventory Stays Under 3 Million at 2.95 Million Units
GRAND RAPIDS, Mich., Sept. 5, 2024 /PRNewswire/ -- Lexus moved into the top spot in Cloud Theory's Inventory Efficiency Index (IEI), moving past its sister company, Toyota, which had held the top spot for eight consecutive months. Lexus jumped 63 points to 246.2, while Toyota fell 14.9 points to 220.8. The findings were part of Cloud Theory's September report, "On the Horizon," a comprehensive review of inventory, pricing and vehicle movement in the auto industry.
Lexus has been rising in the Inventory Efficiency Rankings for several months, and benefited from the beginning stages of its model year changeover, which is leading to 2024 sell-downs as 2025 vehicles begin to arrive on dealer lots.
"While Lexus' most recent performance on Inventory Efficiency may be boosted by its MYCO, that brand and its parent company have a long history of selling inventory efficiently," said Ron Boe, Chief Revenue Officer for Cloud Theory. "Whether it is Lexus-Toyota or Toyota-Lexus, there is no denying that Toyota Motor Corporation knows how to move metal in a highly proficient manner."
Lexus and Toyota topped the field by a wide margin. Third-place finisher Honda had an IEI score of 160.9. General Motors continued its overall strong IEI performance, as Chevrolet, Buick and GMC finished 7th, 9th and 10th, respectively. Volkswagen was the biggest mover, jumping four spots to 8th.
Cloud Theory's patent-pending Inventory Efficiency Index (IEI) provides a real-time view of market-relevant automotive supply and demand of all makes and models and across all geographies. Key decision-makers can use the IEI to confidently allocate valuable marketing and incentive dollars to models or geographies requiring a boost in demand, or to redistribute vehicles to locations that are moving inventory more efficiently. Cloud Theory's Inventory Efficiency Index assigns scores to vehicle makes and models based on current active inventory and sales data relative to competitors.
- A score of 100 means that an OEM's demand is balanced with its relative supply in the marketplace.
- A score above 100 indicates that a make or model is selling its inventory more efficiently than average.
- A score below 100 means that there are opportunities to bring demand into better alignment with supply (or vice versa).
In other findings, vehicle inventory has jumped by nearly 50 percent year-over-year (1.96 million units in August 2023 to 2.95 million units in August 2024), but has plateaued at just under 3 million units after hitting 2.95 million units in August, 2.93 million units in July, and 2.94 million units in June.
Click here to download a copy of Cloud Theory's On The Horizon Report.
About Cloud Theory
Cloud Theory is more than a concept. It is the eye of the storm, where cutting-edge data, software, and artificial intelligence meet deep industry knowledge and experience. Built for automotive manufacturers, agencies, and affiliates, Cloud Theory enables our customers to understand – in real time – the complex competitive world in which they do business and to make bold decisions that drive them forward. The combination of billions of data points, interactive tools, and expert consulting gives our clients the ability to weather any storm and find their way to clear blue skies. Learn more at cloudtheory.ai. To learn more about our entire portfolio of automotive brands, visit www.advancelocalautomotive.com.
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SOURCE Cloud Theory
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