The average transaction price of a new Buick vehicle stood at $35,089 at the end of August, which was down 2.8 percent from $36,112 in July.
Buick ATPs fell in August despite the industry ATP rising by 1.6 percent from $42,670 to $43,355. While Buick ATPs fell from July to August, they were up 6.4 percent year-over-year from August 2020, although car sales in 2020 were uncharacteristically low due to the COVID-19 pandemic and the various government restrictions put in place in the wake of the outbreak.
The segments Buick competes in saw mild price increases between July and August. Compact SUV/crossover models rose from an ATP of $32,225 to $32,747, while mid-size SUV/crossover models rose from $43,617 to $44,206. Subcompact SUV/crossover models rose from $27,447 to $27,687.
As we reported previously, Cadillac ATPs reached $74,000 in August of 2021, while GMC ATPs rose to $58,010 and Chevy ATPs rose to $47,025. Combined, ATPs at General Motors’ four U.S. brands (Buick, Cadillac, Chevy, GMC) were up 0.3 percent between July 2021 and August 2021, rising from $49,343 to $49,468.
In a review of August sales figures, Kayla Reynolds, an analyst for Cox Automotive, said low inventory levels and incentive spending continue to drive new vehicle price increases up – and relief won’t come until the effects of the COVID-19 pandemic and global chip shortage dissipate.
“The automotive industry is still reeling from the extraordinary circumstances of the last year and a half, setting new records seemingly left and right,” Reynolds said. “With the ongoing inventory challenges that auto manufacturers are facing across the board, coupled with historically low incentive spending, car shoppers end up being the ones paying the price, quite literally. New-car prices just continue to climb, month after month.”
High prices are pushing some consumers away, however. Total U.S. vehicle sales last month totaled just 1,092,302, which was among the lowest monthly total in a decade and the lowest sales volume since the height of the pandemic in April 2020.