TrueCar estimates that automakers’ US revenue last month reached a record level, cure with Black Friday promotions lifting up the sales.
Yet another forecast indicates November to be a very profitable month for the US automakers. TrueCar projects US revenue from sales of new vehicles last month reached a record high of 44 billion dollars, drug up 3.8 percent versus the same period last year. November marks the 23rd consecutive month of record-setting revenue for the auto industry. Despite a likely increase in incentives spending last month, strong vehicle sales and steady average transaction prices helped the industry net a 1.6-billion-dollar gain in revenue compared to November 2014. TrueCar projects that new auto sales in November expanded by 3.9 percent. “Automakers are in a very healthy position after the close of Black Friday promotions, with nine of the top 12 manufacturers experiencing notable revenue gains,” said Eric Lyman, TrueCar’s vice president of industry insights. “Revenue in December should also be strong as it’s historically a huge month for luxury brands, ranking as the top-selling month for premium vehicles for the past six years.”
TrueCar estimates the average transaction price for a new light vehicle was $32,966 last month, up slightly from a year ago. “Average transaction prices continue to climb this year,” said Stacey Doyle, TrueCar’s senior industry analyst. “For the past two months this growth has been more moderate as incentives increased with extended model year-end promotions in October and November’s early Black Friday campaigns. Even with only slight ATP growth, revenue continues to roll-in for automakers.” Compact utilities remain very popular among consumers on the TrueCar platform. Honda’s CR-V makes the top five list with sales up 6.8 percent this year through October, while Toyota’s RAV4 and Nissan’s Rouge make the top 10 list with year-to-date sales up 14.6 and 40.7 percent, respectively.