New-Vehicle Price Drops Continue
Despite that and rising incentives, conditions still challenging for consumers.

Inventory stood at 2.9 million units as July opened, up 52% year-over-year.
Pexels/InstaWalli
U.S. new-vehicle prices continued their descent from pandemic-era heights in July for what Cox Automotive observed to be the 10th straight month of decreases.
It put the average transaction price at $48,401, essentially flat month-over-month and down 3% from the peak Cox observed to be in December 2022, when it was a couple of hairs under $50,000.
Of course, the descent is courtesy of revived inventory, which stood at 2.9 million units as the month opened, up 52% year-over-year.
Despite incentives being up 59% year-over-year – the average was up to 7% of the average transaction price, the highest of the year so far – consumers are challenged by still-elevated interest rates, said Cox. It noted just one model on the market with an average transaction price under $20,000: the compact Mitsubishi Mirage, which will be discontinued after this year.
ATPs keep rising in part due to the popularity of expensive pickups, which Cox said made up 14% of July sales, though their ATP was a whopping $65,713. It said incentives for full-size trucks, at 8%, were higher than the industry average.
Originally posted on Auto Dealer Today
More Industry

Fix Up Your Fixed Ops
The department may hold untapped potential for your dealership. This issue of the magazine shares ways to unearth it and turn it around for more profits.
Read More →
Easier EV Charging Touted
Wireless charging pad provides automatic powering by just parking, says its maker, which sees a cable-free charger future as global EV demand grows.
Read More →
Vehicle Ownership Costs Rising
Fuel prices, car prices and depreciation are all factors for new vehicles, and this year’s average annual numbers are up with the inclusion of electrics and hybrids.
Read More →
Toyota Tops Longevity List
Toyota, Lexus, Honda and Acura came out on top in iSeeCars’ latest longest-lasting car brand study, all eclipsing the overall average chance of reaching 250,000 miles.
Read More →
From Military Service to Service Bay
Shifting Gears aims to alleviate the strain caused by the auto industry’s technician shortage while easing the sometimes jarring transition that veterans face after leaving the Army.
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 →
Service on Wheels
More auto dealerships are offering mobile servicing for today’s convenience-minded consumers to boost business and stand out from competition, though it may not fit every store.
Read More →
Luxury Auto Group Sells San Diego Stores
A major U.S. luxury automotive group, O’Gara Coach, sold its rooftops in La Jolla, a coastal neighborhood in San Diego, Calif.
Read More →
Parts Delivery Takes Flight
A Detroit auto group has launched an autonomous parts-delivery program using drone technology, thanks to a grant from Michigan’s Advanced Air Mobility Activation Fund.
Read More →
Recalled Vehicles Hit 5-Year High
Though the number of events has fallen so far this year, impacted units are up significantly. Meanwhile, regulators consider consumer notification changes.
Read More →