Auto Industry Sees Significant Shifts in First Half of 2024; Nearly Unrecognizable From Five Years Ago, According to Cars Commerce Industry Insights Report
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"The car market continues to recover and evolve, with June seeing ongoing price stabilization. When you take a step back for a broader perspective, however, the market has seen sweeping changes since the first half of 2024, particularly with the growing influence of electric vehicles as consumer demand and inventory continue to increase," said
EV Market Transformation
The EV market has undergone a dramatic transformation, evolving from a niche segment to a mainstream choice for many consumers. Over the last five years, the demand for new EVs has surged by an astonishing 930%. This growth is driven by several factors: a wider range of choices, better access to charging, increased consumer awareness about environmental impacts, supportive state and federal policies, government rebates and tax incentives, and advances in battery technology that offer increased range and alleviates consumer anxiety. Despite a 56% price increase for new EVs since 2019, the first half of 2024 has brought some relief to shoppers. Prices are down 4% compared to the first half of 2023, saving consumers an average of
The new EV market is not alone in its transformation. Over the last five years, the average price for used EVs has increased by almost 50% from
New- and Used-Car Markets: Prices Drop and Inventory Climbs Amid Supply Chain Recovery
The broader new-car market has also evolved. Consumers are now spending over
The used market has followed a similar path. Over the last five years, the average price of used vehicles has surged by 34%, from
Trade-In Values Offer Leverage for Car Buyers
Trade-in values have increased by 48% since 2019, reflecting the higher value of vehicles in a market with constrained supply and high demand. Despite an 8% decrease in the first half of 2024 year over year, trade-in values remain elevated, providing added leverage for consumers negotiating the purchase of a new or used car.
Key June Monthly Year-Over-Year Highlights
- New-car prices are down 2% YoY, maintaining an average of
$49,467 . - The average price of a used car is
$28,912 , a decrease of nearly 7% YoY. - Interest in new EVs is up 20% year-over-year with prices down slightly (2% YoY), yet prices remain 30% higher than non-EVs.
- Demand for used EVs is up 55% YoY, supported by a nearly 14% price drop and an average age of almost 3 years as EV owners are purchasing new and trading in their lightly used EVs.
To download the full report, visit www.CarsCommerce.inc.
*Inventory, searches and list price on
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Cars Commerce is an audience-driven technology company empowering the automotive industry. The Company simplifies everything about car buying and selling with powerful products, solutions and AI-driven technologies that span pretail, retail and post-sale activities – enabling more efficient and profitable retail operations. The Cars Commerce platform is organized around four industry-leading brands: the flagship automotive marketplace and dealer reputation site
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SOURCE Cars Commerce