The average transaction price or ATP for new Chevy vehicles fell year-over-year by 2.9 percent in September 2024, dropping from September 2023’s $48,346 to $46,921 this year.
Chevy’s ATP rose by 1 percent month-over-month, however, following the general trend of the auto market overall per research by Cox Automotive and Kelley Blue Book, which found that September new-vehicle ATPs for the whole market declined about 0.4 percent since 2023.
While average Chevy transaction values are down year-over-year, GM President Mark Reuss pointed out to auto retailers that The General’s vehicles have more robust prices than competing brands. During the Investor’s Day presentation, he remarked that “our ATPs this year have remained around $50,000, about $5,000 more than the industry average,” a figure notably close to the Chevy average.
Reuss also said that GM incentives are lower as a percentage of ATP than those of competitors. This indicates strong demand for General Motors vehicles, with dealers only needing to offer an average 4.5-percent incentive to generate sales rather than 7.3 for the industry overall. The GM incentive level, in fact, is virtually unchanged from September 2023’s typical incentive of 4.8 percent.
The Cox figures indicated that more affordable models “continue to sell at a strong pace,” identifying the all-new second-generation Chevy Trax as one of these popular, high-demand models. The Trax falls into the “subcompact and compact SUV segments” that Cox economist Charlie Chesbrough notes as “outperforming the market this year” because “many buyers are choosing smaller, less expensive vehicles.”
Chevy ATPs have been on a downward trend for several months now in spite of Mark Reuss’ upbeat take. Average new vehicle transactions were down about 4 percent year-over-year in August. A year ago, the Bow Tie average price was down 1.3 percent compared to September 2022.
Average transaction prices are sliding year-over-year for the auto market as a whole, not simply because of the exploding popularity of small, affordable models, but because the sales numbers of full-sized pickups such as the Chevy Silverado are dropping, too, as economic conditions prompt consumers to look for cheaper alternatives.
Comments
Nearly 20% of new auto loans are 84 months or longer. 24.2% of new auto loans have negative equity, with an average of $6,500 upside down. Everything is fine……We’re all fine……..
Good. Keep dropping it.
Great. Only about 27 percent more to go.
With 93 days of inventory sitting on the ground in October, prices are likely to drop even further at the bow tie division. And they look pretty good compared to Ford at 119 days.