U.S. new vehicle prices increased by 2.0% (or $763) in April, year-over-year, while prices declined 0.3% ($102 ) from the previous month, according to the valuation analysts at Kelley Blue Book.
The estimated average transaction price for a light vehicle in April was $38,060.
“Although auto sales are expected to drop more than 50% in April, average transaction prices held steady from the earlier months of the year and rose by 2% year-over-year, likely helped by the abundant incentive offers enacted by automakers and finance companies in March of this year,” said Tim Fleming, analyst for Kelley Blue Book.
On the vehicle front, Fleming said they observed a big shift in data in April as more “price-conscious” segments increased more than normal.
“Car segments that were flat earlier this year showed increases across the board in April,” said Fleming. “At the same time, luxury segments took a dive, down nearly $1,500 from this time last year, as buyers shied away from these fast-depreciating models.”
Hyundai-Kia continued its lead over the other manufacturers in terms of pricing growth: Hyundai revealed a 12% improvement, all models showed YOY gains, and the redesigned Sonata managed a 17% increase. And Kia’s average price was up 3%, with the Telluride leading the brand with a 10% boost and top-seller Optima managing a 1% increase.
Nissan North America also experienced strong average transaction price increases in-line with Q1 results, thanks to the Nissan brand showing a 7% increase. That gain mostly came from its cars, with the redesigned Versa up 17%, and the new Sentra up 7% in April.
In terms of segments, cars experienced the biggest jump with a 2% increase YOY — and within that, the non-luxury car segments managed a jump in the 2% range. But in general, luxury brands were down.
“Another sign of shifting preferences in April 2020 is at the brand level,” said Kelley Blue Book in its news release. “Luxury brands were down 2.5%, while non-luxury brands rose 4%. Nearly all luxury segments saw declines, while only one non-luxury segment was noticeably down (full-size SUVs).”
Mid-size trucks offered the most significant improvement YOY, thanks in large part to the Jeep Gladiator.
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