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3 min read
Incentive Spending and Program Count Remains Low, Even as a Holiday Approaches
06/30/2021
With an Independence Day holiday fast approaching, industry observers might rightly expect a new round of special, can’t-pass-up Fourth of July incentives at dealerships across the U.S. But according to an analysis of June program data by the Cox Automotive Rates & Incentives team, consumer cash – the guaranteed cash-back money that any buyer qualifies for and is often the fodder of headline advertising – has…
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incentives
Rates & Incentives
Market Insights
Data Point
3 min read
2019 Was a Record Year for Incentives
01/10/2020
Auto sales in 2019 came in above the magic 17-million mark, according to our team at Kelley Blue Book, but just barely. Vehicle sales of 17,042,363 kept the streak alive, but that number includes medium duty pickups and exotic cars. As our Chief Economist Jonathan Smoke notes, it was fleet sales that got us to 17 million. Fleet volume was up last year, likely at a…
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Rates & Incentives
Market Insights
Commentary & Voices
4 min read
Year-End Incentive Complexity Is A Real Grinch
11/19/2019
Auto manufacturers are cranking up incentive programs for the year-end close-out. The advertised offers look very compelling, but the level of conditions to qualify for the most attractive mix of programs could not be any more complex. In other words, the process of shopping, comparing, and selecting a vehicle is more confusing than ever. Making matters worse, dealers are under great pressure to make sense of…
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Rates & Incentives
Market Insights
Commentary & Voices
2 min read
Incentive Program Volume Trending Toward Record Year
09/03/2019
Our team continues to track an elevated number of incentives programs this year, a trend we saw again in August as volume came in ahead of year-ago levels. With inventory up and sales slowing, the higher raw number of programs we’ve followed each month in 2019 is mostly a result of automakers being smarter with their incentive programs, offering incentive deals at the VIN level, on older…
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Rates & Incentives
Market Insights
Data Point
4 min read
Labor Day Weekend is New-Vehicle Clearance Time
08/28/2019
How will new-car dealers and their manufacturing partners reduce bloated inventory on dealer lots? We’ll get a hint this coming weekend, as the Labor Day holiday puts focus on the trifecta of new-vehicle incentive strategies for clearing lots of older models. Right now, dealers are juggling 2018 (reported to be 3.5% of new-vehicle sales last month), 2019 and 2020 models in inventory. The U.S. economy continues…
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Rates & Incentives
Market Insights
Commentary & Voices
4 min read
2019 is the Summer of Incentives
08/01/2019
July 2019 is expected to be officially the hottest month in history, temperature wise. The same might be said for the level of sales incentives offered by the automakers. This time of year, we often see a slowdown in the number of incentives available, as model year changeovers and strong spring sales have dwindled vehicle supply on dealer lots. That was not the case last month. (See chart below). The volume of unique incentive programs ran high in July 2019, as they have all year with the OEMs battling a trifecta of…
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Rates & Incentives
Market Insights
Data Point