Buick new vehicle average transaction price (ATP) followed a pattern repeating itself across all four GM core brands with a year-over-year decline of 2.5 percent in September 2024, falling to $35,830 for the month compared to $36,760 last year.
However, the ATP for Buick vehicles shot upward a significant 5.8 percent from August 2024, according to Cox Automotive and Kelly Blue Book, which collaborated on research into the sales, pricing, and incentives of new U.S. vehicles.
Erin Keating, a Cox executive analyst, observed that “new-vehicle transaction prices continue to be very steady this year, and higher incentive spending is helping maintain sales volume.” GM incentive spending is at about 4.5 percent of ATP, considerably lower than the 7.3 percent of incentives for the general United States new vehicle sector.
Mounting vehicle inventory is pushing ATPs lower across the industry, with about a 0.4 percent decline from last year. Keating notes that “uncertainty” caused by the presidential showdown between Donald Trump and Kamala Harris, plus “major weather events disrupting business,” is “disrupting business.” However, she also added that “we still believe there is potential for growth in the market for the rest of the year.”
Regarding Buick and the other GM vehicle brands, Mark Reuss, the president of The General, said “our ATPs this year have remained around $50,000, about $5,000 more than the industry average.” Providing more detail, he went on to say “in fact, we have 18 vehicles that have ATPs above averages in their segments,” while “at the same time, we have captured a half a point of retail market share versus 2023 thus far.”
Buick prices have been falling for some time, mostly driven by higher amounts of inventory on hand. For August 2024, Buick ATP fell 7 percent year-over-year. However, on the roller coaster of the current auto market’s pricing, Buick prices increased 5.7 percent month-over-month in September, rebounding from August’s drop.
Meanwhile, GM President Mark Reuss says that “great products and right-size inventory” enable The General’s various brands to keep incentive spend lower than competitors. Speaking during the Investor Day presentation, Reuss added that “this translated into just over a billion dollars in savings in 2024.”
No Comments yet