CARMEL, Ind. - Wholesale prices didn’t move much in September, and trends seen throughout the course of the year continued to prove true this past month.
The monthly analysis of wholesale prices by ADESA Analytical Services indicates that used rates were “relatively flat” in September, as car prices continued to fall and truck prices were on the way up in light of low gas prices.
That’s according to the latest edition of Kontos Kommentary from Tom Kontos, executive vice president and chief client officer at ADESA Analytical Services.
“Drilling down by seller type reveals continued softness in prices on both a sequential and year-on-year basis, especially for institutional sellers,” Kontos said. “Still, healthy retail demand continues to minimize the negative impact to price of growing volume.”
According to the report, auction prices in September averaged $9,619, which translated to a 0.5-percent increase from August, and a 0.7-percent spike year-over-year.
“Prices for trucks were up sequentially and annually, while the opposite was true for cars,” Kontos said.
Car prices, on average, fell by 0.2 percent in September, but were down 4 percent year-over-year. The compact car segment saw a significant decline, with rates falling by 1.4 percent from August for an average of $6,421. This segment was joined by the sporty cars, whose prices also fell by 1.4 percent to an average of $11,583. The biggest year-over-year drop was seen among the midsize cars; their average price of $7,263 represents a 4.9-percent decline from September 2014.
Truck prices, on the other hand, were up 0.8 percent from August and 9.2 percent year-over-year. They had an average price of $11,361 in September, the strongest price movement was seen in the midsize SUV segment. Prices for these units rose 4 percent from August, coming in at an average of $8,138.
The minivan segment also posted a strong performance, with prices rising by 3.6 percent from August to an average of $6,860. The full-size SUVs are also going strong; prices were up 2.1 percent in September for an average of $11,400.
Kontos also provided a breakdown of wholesale prices by seller, reporting auction prices for used vehicles remarketed by manufacturers were down 1.2 percent from August and 6.2 percent year-over-year. Prices for fleet/lease consignors also took a hit, with rates dropping by 0.4 percent monthly and down 0.3 percent from September 2014.
“Off-rental program and risk units both showed year-over-year declines in average prices despite manageable volumes and reasonable mileages,” Kontos explained.
Lastly, dealer consignors saw prices dip by 0.9 percent from August, but rates were up 3.2 percent year-over-year.
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