CPO Sales Up But Have Room to Run
Cox says expanded eligibility results not yet fully manifested.
The CPO sales expectation for the year is about 2.6 million units.
IMAGE: Pexels/Malte Luk
U.S. sales of certified preowned cars continued their upward momentum in September with a nearly 14% year-over-year bump to about 255,000 units.
Cox Automotive said some carmakers’ expanded CPO eligibility programs haven’t yet realized their full potential in sales improvements, so the numbers should keep rising.
It said CPO sales in the past three months were higher than at any point since July 2021 and have surpassed two million units so far this year, up about 9% year-over-year, outdoing the overall retail used-vehicle segment, whose sales it said are about flat.
Cox expects sales for the year to total about 2.6 million. That’s after it predicted in the new year that they would be down for the second year in a row due to fallen auto leasing.
“Some brands have looked stronger recently, and those could be the early signs of success. At the same time, improving new-vehicle inventory levels and higher sales incentives are keeping some buyers in the new market – not in CPO,” said Cox Senior Manager of Economic and Industry Insights Chris Frey.
Luxury CPOs are up 12% this year, nonluxury 8%. Asian brands lead the CPO sales pack, up about 14% so far this year, while the big Detroit three carmakers are up just 3%.
“Clearly, CPO sales show demand is there, partly due to the affordability challenges that persist in the new market,” Frey said. “The only factor holding back CPO is limited supply.”
Originally posted on Auto Dealer Today
More Showroom
New-Vehicle Prices Stay Put
Affordability pressures and model availability shaped new-vehicle sales in September, according to an analysis by Kelley Blue Book.
Read More →
EV Buyer Consideration Shifts
What drives American consumers to purchase an electric vehicle is shifting as the question moves away from Should I?' to 'Which features and experience do I want to have?'
Read More →
Year-to-Date Auto Sales Holding Their Own
A forecast through August shows that automakers have shifted strategies to keep deliveries and revenues up despite tariffs and other economic challenges.
Read More →
Slow to Robo
Ten years of polling consumers shows autonomous vehicles’ profiles have risen considerably, but even more people now want at least some level of control if they go that route.
Read More →
Dealers a Little Down
A third-quarter Cox Automotive survey finds them in a mixed mood, bummed by fallen customer traffic but encouraged by better profits, costs and EV interest.
Read More →
European EV Sales Skyrocket
The EV market on the continent held strong in July with almost 25% of new-car sales being fully electric units, a stark contrast to the U.S., where EV sales declined about 42%.
Read More →
Mitsubishi Unveils U.S. Plan
The automaker announced a strategy that includes an expanded lineup and dealership presence, along with more ‘rugged’ and electric models.
Read More →
Used Lots Getting the Business
Many consumers are seeking out the units to save money, and the demand – higher in July than normal – is keeping supply limited and prices up.
Read More →
Used Market Stabilizes
The Carfax Used Car Index noted a major drop in used-vehicle price increases in July after several months of hikes.
Read More →
California Hybrids Reach State Record
The Golden State still leads the country in electric-vehicle registrations, but much like the rest of the U.S. its hybrid market share is up while full electrics stabilize after a dramatic first-quarter dip.
Read More →