New and Used Car Prices Continue To Rise as Economy, Auto Market Rebound

ATLANTA, May 12 /PRNewswire/ -- Prices for new, used and certified pre-owned (CPO) vehicles listed for sale on AutoTrader.com continue to rise as the economy rebounds and car shoppers increasingly turn into car buyers, according to AutoTrader.com's Trend Engine Report for May, covering the month of April.

In April, used and CPO prices on AutoTrader.com rose most dramatically, with many models showing double digit average price increases compared to April 2009.  For instance, the average listing price for CPO Ford F-150 pick-up trucks jumped 35% in April 2010 compared to April 2009 and the average price for a CPO Ford Fusion was up 31% in April 2010 compared to April a year ago.

In used cars, the big average price-gainers were the used Ford F-150 and the used Jeep Wrangler, both up 18% in April 2010 compared to April of last year.

Other used and CPO models from Chevrolet, Toyota, Volkswagen, Honda, GMC, Dodge and Jeep also saw double digit average price increases year over year.

New car prices were on the rise, as well, but more moderately, reflecting the slower pace of improvement in the new car market.

"While the used car market has been improving for several months, recovery in the new car arena is newer and that is reflected in the moderate increase in average prices for new vehicles listed for sale on AutoTrader.com that we're seeing on the site," said company President and CEO Chip Perry.

The big new-car price winners in April on AutoTrader.com were the new Ford Fusion, with the average price for the four-door sedan up 10% compared to April 2009 and the new Chevrolet Corvette, with the average price up just under 10% compared to April 2009.  Other models from Jeep, Honda, Toyota, Dodge, Nissan and Volkswagen also saw modest average prices increases year over year in April.

Inventories of CPO Ford Fusions may get exceptionally tight in the near future as views of Ford's popular sedan among AutoTrader.com's CPO inventory skyrocketed 109% in April 2010 compared to April 2009.  The Fusion was the No. 66 most-viewed CPO vehicle on AutoTrader.com in April of last year and the No. 45-most viewed CPO vehicle on the site in March of this year.  In April of this year, the car jumped into the top 20 most-viewed CPO list at No. 18.

"The Fusion is riding a great wave of publicity and good reviews and shoppers are giving this car a good looking over," said Perry.  "If inventory of CPO Fusions does tighten as more consumers look at and purchase the vehicles, this gives Ford an opportunity to reach out and influence those CPO shoppers to consider a new Fusion with marketing, specials and pricing.  Other brands and dealerships have an opportunity to work to influence consumers who may not find a CPO Fusion and get those shoppers to consider other new or used mid-sized, four-door sedans."

Traffic Continues to Trend Up

Traffic to AutoTrader.com continued the upward march it has been experiencing for some time as more and more new, used and CPO vehicle shoppers turn to the internet to research and compare vehicles, check prices and see inventory.  In April, AutoTrader.com attracted 15.4 million unique monthly visitors, up two percent from the 15.08 million unique visitors AutoTrader.com attracted in April 2009.

"Car shoppers today, coming off two years of a tough economy, want to know that they've made the right purchase when they finally do decide to buy a new or used car," said Chip Perry.  "AutoTrader.com offers them the tools, information and inventory that allows shoppers to do their research, compare new and used cars, view pricing and specials and then know they made the right choice."

AutoTrader.com's recently launched "Heart & Mind" advertising campaign communicates that message via high-impact broadcast, digital and social media outreach.  Additionally, AutoTrader.com continues to add functionality, like additional research content and the just-launched mobile shopping experience to give car shoppers the information they want where and when they want it.

"This is an exciting time for the auto industry and for AutoTrader.com," said Perry.  "We expect to continue to grow our traffic numbers and drive more car buyers to dealer and private seller listings on our site as more people jump back into the car market and utilize AutoTrader.com to find their perfect car."

About AutoTrader.com

AutoTrader.com, created in 1997 and headquartered in Atlanta, Ga., is the Internet's leading automotive marketplace and consumer information website.  AutoTrader.com aggregates in a single location millions of new cars, used cars and certified pre-owned cars from thousands of auto dealers and private sellers.  AutoTrader.com attracts more than 15 million unique monthly visitors who utilize the site to view vehicles for sale, research and compare vehicles, review pricing and specials, and read auto-related content like buying and selling tips, auto maintenance tips and coverage of major auto shows and automotive trends.  Through innovative merchandising functionality such as multiple photos, videos, detailed descriptions and comprehensive research and compare tools, AutoTrader.com unites new and used car buyers and sellers online to improve the way people research, locate and advertise vehicles. AutoTrader.com is a majority-owned subsidiary of Cox Enterprises.  The venture capital firm Kleiner Perkins Caufield & Byers is also an investor.  For more information, please visit www.autotrader.com.

SOURCE AutoTrader.com