KBB: Average Transaction Price Rises in June
July 05, 2016
IRVINE, Calif. — The estimated average transaction price for light vehicles in the United States climbed in June, rising 2% from a year ago to $33,652, according to Kelley Blue Book (KBB).
Domestic brands, according to the firm, showed the highest gains during the month, with the clear winner being General Motors. Transaction prices for the manufacturer were up 4.2% in June, led by sales of its Cadillac and Chevrolet brands, according to Tim Fleming, analyst for KBB.
"Cadillac rose 8%, helped by the new ATS-V and CTS-V sedans, as well as the new XT5, which is transacting 10% above the SRX that it replaced," he said. "Chevrolet was up 5% with strong pricing on most of its key products, including the Silverado (up 5%), Malibu (up 6%) and Equinox (up 4%)," Fleming said.
Fiat Chrysler transaction prices were up 3.8% in June thanks to solid transaction price growth in its Dodge and Chrysler brands. Chrysler’s new Pacifica minivan led the brand with 9% growth in transaction prices. Transaction prices for nearly all Dodge models were up, leading to an overall 5% increase in transaction prices.
Ford Motor Co.'s transaction prices were up 3.8% from a year ago. A big contributor were stronger F-Series sales and a 6% increase in Ford Explorer transaction prices. The Ford Transit also saw prices grow 5% from a year ago, while Lincoln brand prices were flat overall. The one exception was the MKX, with transaction prices climbing 6% from a year ago to $48,009.
“It is no surprise that strength in trucks and SUVs continue to drive up average transaction prices and help brands with models in these segments," Fleming said. "In particular, mid-size trucks stand out as one of the strongest segments with prices up nearly 9% in June 2016. With full-size trucks now averaging $47,000, a large gap still exists to the segment's mid-size counterparts, which sit closer to $32,000."