Cloud Theory, the real-time automotive data insights provider for automotive manufacturers, agencies, and affiliates, is reporting that new vehicle inventory reasserted its growth trajectory after January’s seasonal dip, increasing from 2.54M to 2.69M. This latest figure exceeds December supply levels (2.64M), pointing to continued momentum as OEMs overcome supply chain issues, solidify their model year changeovers, and pursue new model introductions.
After last month’s cyclical dip, vehicle movement rebounded, hitting 1.06M and is now up 13% on a MoM basis. Cloud Theory’s forecast for March points to a figure of 1.10M—equal to the highest level seen over the past year, though still within a relatively narrow range. Pricing continues to trend downward—falling below $50K for the first time in more than a year—but the rate has slowed over the past four months.
“As expected, the new vehicle market shook off the January declines that are typically seen as a new year kicks off,” said Rick Wainschel, Vice President, Data Science & Analytics at Cloud Theory. “The growth in both supply and demand is a welcome sign, though the former is still increasing faster than the latter over the long haul, which points to a selling environment that will continue to be challenging.”
Cloud Theory’s proprietary Inventory Efficiency Index pointed to a generally stable picture month-over-month, with Toyota continuing to hold the top spot and Honda and Cadillac rounding out the top three. With two other makes in its portfolio moving up in rank—Chevrolet to 7th and GMC to 8th—General Motors is making a strong showing on this metric.
“GM’s performance shows that an OEM can be efficient even though its scope is wide and deep,” said Ron Boe, Chief Revenue Officer at Cloud Theory.
To see more trends and forecasts on inventory, movement, segment trends, and inventory efficiency, download a copy of the March 2024 On the Horizon report here.
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