New Vehicle Sales Continue to Sizzle in July; TrueCar Increases 2014 Annual Sales Forecast to 16.35M
Estimated incentive spending at $2,731 per vehicle
SANTA MONICA, Calif., July 25, 2014 /PRNewswire/ -- TrueCar, Inc. the negotiation-free car buying and selling platform, today released its July 2014 sales and incentives forecast, which shows the following:
- New light vehicle sales in the U.S. (including fleet) are expected to reach 1,444,000 units, up 9.9 percent from July 2013 and up 1.8 percent from June 2014.
- Highest July sales since 2006.
- Seasonally Adjusted Annualized Rate ("SAAR") of 16.7 million new vehicle sales is up 6.8 percent from July 2013.
- Share of retail (non-fleet) sales is expected to be down 1.1 percent compared to July 2013 and up 4.5 percent from June 2014.
- Fleet and rental sales are expected to make up 12.8 percent of total industry sales in July 2014.
- The industry average incentive spending per unit is expected to be approximately $2,731 in July 2014, an increase of 7.1 percent from July 2013 and a decrease of 0.6 percent from June 2014.
- Used car sales, including sales from franchise dealerships, independent dealerships and private party sales, are estimated to be 3,308,844. The ratio of new to used is estimated to be 1:2.3 for July 2014.
"July sales are red hot and better than expected, with our forecast up about 10 percent over last year," said John Krafcik, president of TrueCar. "While some of the growth is powered by incentive spending up $200 per vehicle, we are seeing continued strong demand for trucks and utility vehicles."
Forecasts for the top nine manufacturers for July 2014:
| Unit Sales |
||
| Manufacturer |
July 2014 Forecast |
% Change vs. July 2013 |
| Chrysler |
171,000 |
22.9% |
| Ford |
211,000 |
9.3% |
| GM |
268,000 |
14.5% |
| Honda |
146,000 |
3.2% |
| Hyundai |
71,000 |
7.6% |
| Kia |
54,000 |
10.2% |
| Nissan |
122,000 |
11.9% |
| Toyota |
210,000 |
8.6% |
| Volkswagen Group |
46,000 |
-12.7% |
| Industry |
1,444,000 |
9.9% |
| Market Share |
|||
| Manufacturer |
July 2014 Forecast |
Jul-13 |
Jun-14 |
| Chrysler |
11.8% |
10.6% |
12.1% |
| Ford |
14.6% |
14.7% |
15.6% |
| GM |
18.6% |
17.8% |
18.8% |
| Honda |
10.1% |
10.8% |
9.1% |
| Hyundai |
4.9% |
5.0% |
4.8% |
| Kia |
3.7% |
3.7% |
3.6% |
| Nissan |
8.4% |
8.3% |
7.7% |
| Toyota |
14.5% |
14.7% |
14.2% |
| Volkswagen Group |
3.2% |
4.0% |
3.5% |
| Incentive Spending |
||||
| Manufacturer |
July 2014 |
% Change vs. July 2013 |
% Change vs. June 2014 |
Total Spending |
| Chrysler |
$3,458 |
13.3% |
0.9% |
$591,235,561 |
| Ford |
$3,398 |
13.9% |
1.9% |
$717,040,372 |
| GM |
$3,379 |
-5.9% |
-0.6% |
$905,468,436 |
| Honda |
$1,865 |
5.5% |
2.3% |
$272,294,567 |
| Hyundai |
$1,820 |
23.4% |
-0.5% |
$129,251,591 |
| Kia |
$2,258 |
24.4% |
-3.2% |
$121,953,423 |
| Nissan |
$2,165 |
-11.5% |
4.6% |
$264,120,674 |
| Toyota |
$2,122 |
19.2% |
3.4% |
$445,573,241 |
| Volkswagen Group |
$2,901 |
13.9% |
-0.4% |
$133,426,099 |
| Industry |
$2,731 |
7.1% |
-0.6% |
$3,940,986,913 |
TrueCar bases its forecast on actual transaction data. The transaction data-based forecast is refined by other current and historical factors that impact vehicle sales, including inventory, incentives, fuel prices and macro economic data (major stock market indexes, consumer confidence, new home starts and CPI). TrueCar does not adjust for selling days in year-over-year percentage change calculations.
TrueCar, Inc. (NASDAQ: TRUE) is the negotiation-free car buying and selling platform. TrueCar enables a negotiation-free car buying experience by giving buyers transparent insight into what others actually paid (price confidence), upfront pricing information (price discovery), and access to a network of trusted TrueCar Certified Dealers who provide guaranteed savings certificates and seamlessly complete the car purchase. The reality is that buying a car is painful and buyers fear they are going to overpay or be surprised with hidden fees. TrueCar's transparent upfront pricing information makes the car buying process simple so there are no surprises and buyers never overpay. TrueCar's mission is to make car buying simple, fair and fun. Its national network of more than 8,000 TrueCar Certified Dealers, including both new car franchise dealers and non-franchise dealers, is committed to providing negotiation-free savings off MSRP and upfront pricing information for all car-buyers, including members of some of the country's largest membership and service organizations such as AARP, American Express, AAA, and USAA. Note: Not all program features are available in all states. Go to www.truecar.com for program details. TrueCar is headquartered in Santa Monica, Calif., with offices in Santa Barbara, Calif., San Francisco, Calif., and Austin, Texas.
Photo - http://photos.prnewswire.com/prnh/20110118/LA31413LOGO
SOURCE TrueCar, Inc.
Share this article