Dealers in Canada may be interested to know that the average transaction price for light trucks surpassed $50,000 in 2022 — a first, according to DesRosiers Automotive Consultants.
DAC said the average transaction price of a new light vehicle has been steadily on the up trend over the past few years, thanks largely to vehicle supply issues, inflation, and consumer preference segment preferences.
“The cost of purchasing a new vehicle increased sharply in 2022 driven primarily by semiconductor related vehicle shortages,” said Andrew King, Managing Partner at DAC, in a statement. “With interest rates also climbing, affordability may create a noticeable headwind in the market, damping down the considerable pent-up demand that still exists.”
Last year, the light truck segment experienced a sharp uptick in the average transaction price, which increased to $51,700 — surpassing the $50,000 mark for the first time. There is a nearly $5,000 price difference when compared to 2021.
Passenger cars were also up, with the average transaction price reaching $41,800 — almost $10,000 behind the average cost of a light truck, according to DAC.
“With the growth in the light truck side of the market — which in 2022 accounted for 83.9 per cent of total new light vehicle sales — the average price across all new light vehicles has been moving closer to the light truck figure, reaching an overall average of $49,900 for 2022,” said DAC.