Average new car prices in the U.S. rose 1.8 per cent in August 2018 year-over-year, while remaining flat (up 0.1 per cent) from July, according to the analysts at Kelley Blue Book.
“Average transaction prices are up for the industry, as most manufacturers reported gains from the sales mix continuing to shift from cars to SUVs,” said Tim Fleming, analyst for Kelley Blue Book. However, he notes that the average transaction price for small SUVs have weakened even as YOY sales have increased.
Despite the “nearly 20 per cent sales growth for compact and subcompact SUV segments this year,” said Fleming, “prices in these segments flatten or even slightly decline in August, likely a reflection of today’s extremely competitive landscape and the abundance of new models available.”
Moving forward, Fleming says the industry can expect more discounts and incentives in these segments, due in part to automakers focusing more on placing their products “at the top of consumers’ consideration lists.”
The estimated average transaction price for light vehicles in the U.S. was $35,541 in August, representing an increase of $643 from a year earlier.
American Honda was among the top performers for that month, with average transaction prices rising 4 per cent YOY. That increase comes thanks to the new Accord’s 4 per cent boost and the Civic’s 3 per cent increase. Acura jumped 3 per cent on the strength of the redesigned RDX model.
General Motors also enjoyed a 4 per cent YOY boost, with the Chevrolet brand experiencing the most increase (5 per cent). A strong mix of Silverado HD sales and good performance from the redesigned Traverse (rising 13 per cent) helped the Chevrolet brand make the leap.
The only major automaker to drop was Nissan. The brand was down 1 per cent in August, while Infiniti was up 2 per cent. The redesigned QX50 model rose 23 per cent to help offset declines from most of the brand’s lineup.
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