Trucks, SUVs Boost New-Vehicle Transaction Prices
Retail new-car prices have increased by $165 from November 2013, which is 1.7 percent higher than 2013, and the renewed interest in trucks and SUVs is a large factor, according to Kelley Blue Book.
The new-car transaction price only made a slight increase from last month to 0.5 percent. The vehicles included in this data range from class 1 through 5.
“Rising transaction prices are a reflection of stronger pricing in truck and utility segments,” said Alec Gutierrez, senior analyst for Kelley Blue Book. “Domestic automakers will be the main beneficiaries of this trend, as full-size pickup prices are up by an average of 4.3 percent, with the Big Three making up 94 percent of segment sales.”
Fiat Chrysler transaction pricing was up 3.4 percent on strong Jeep and RAM sales, as well as higher RAM prices. The RAM brand was up 4.7 percent, while the Chrysler 200 helped elevate the Chrysler brand with a 10.2 percent increase. Ford continued making gains with a higher mix of high-end trims of the outgoing F-Series generation. In addition, the refreshed Expedition increased 7.8 percent.
"General Motors also increased 3.4 percent on the Chevrolet and GMC lineup of SUVs and trucks," said Tim Fleming, analyst for Kelley Blue Book. "General Motors' redesigned utility vehicles, including the Chevrolet Suburban, Tahoe, GMC Yukon, Yukon XL and Cadillac Escalade, all reported double-digit transaction price growth compared to this time last year."
Photo courtesy of Kelley Blue Book.