Black Friday comes through for nation's automakers
Posted on Wednesday, December 3, 2014 at 9:06:06 AM
Prior to Black Friday, it appeared that the major retail event was shaping up to be particularly good for both automakers and dealers across the country. Now that the numbers are in, those predictions have proven to be correct.
According to TrueCar, November vehicle sales and transaction prices ticked up, while incentive spending remained flat. These are signs that the sales promotions on Black Friday worked. Sales of new cars and trucks are estimated to have grown by 4.1 percent over the past month, while the average transaction price climbed to $32,482.
"Automakers were keen marketers in November, tapping early into Black Friday magic to boost sales to levels not seen in more than a decade," said John Krafcik, president of TrueCar. "While the deals were good, automakers held the line on incentives while boosting average transaction prices about one percent."
While auto financing, incentives and other deals are drawing in buyers, the rise in transaction prices can be attributed to another area: better pricing. According to Kelley Blue Book's senior analyst Alec Gutierrez, stronger pricing trends are directly related to the increase in transaction prices.
Overall, the auto segment has experienced gains on the heels of a successful Black Friday.