May 21st, 2020
Cox Automotive Canada Reports Used Car Market Insights for Q1 2020
- Ram 1500, Honda Civic and Hyundai Elantra finish as Top-3 Retail Funded Used Vehicles in the first quarter of 2020
- Average Retail Used Vehicle Prices up slightly compared to Q1 2019
- Volume of Retail Funded Used Vehicles dropped by 15% year-over-year (YOY) in March and 1.5% YOY for the first quarter
- Despite an 8.9% rise since Q4 2019, Average Wholesale Used Vehicle Prices only rose by 2.6% in the first quarter of 2020 on a Year-Over-Year basis
Mississauga, ON—April 27, 2020— After a strong start to 2020, the Retail and Wholesale Used Car markets experienced mixed results to finish the first quarter of 2020 (Q1 2020), according to data collected by Cox Automotive Canada’s Dealertrack portal and Manheim auctions.
“When looking at both the Wholesale and Retail Used Car Markets in Canada, our data shows a first quarter that began with positive signs but ended with the unprecedented impacts from Covid-19,” said Maria Soklis, President of Cox Automotive Canada. “During times like these, we hope that insights from our data can help the industry find a path to recovery quickly and efficiently so we can all get back to providing Canadians with the vehicles they need while also helping drive our economy forward.”
Dealertrack Retail Used Vehicle Value Index Highlights
Based on data from Cox Automotive Canada’s Dealertrack Online Credit Application Network, the volume of Funded Used Vehicles decreased by 1.5 per cent in the first quarter when compared to same period last year. More specifically, the volume of Funded Used Vehicles was down 15.4 per cent in March year-over-year.
Average Retail Prices of Funded Used Vehicles in the first three months of 2020 experienced a 3 per cent increase and 6 out of the top 10 had slight price increases compared to the same period in 2019.
Following the trend of 2019, the Ram 1500 full-size pickup was once again the top funded used vehicle in Canada during Q1 2020. Runner-up to the Ram pickup in volume, the compact Honda Civic remained the Top Funded Used Passenger Car in Q1 2020, holding on to its position from the end of 2019.
Compared to the first quarter of last year, the Q1 2020 Top-10 Funded Used Vehicles list sees the addition of the Toyota RAV4 replacing the Chevrolet Cruze. The fifth-place Dodge Grand Caravan minivan has dropped down from its third-place ranking in Q1 2019, and the Hyundai Elantra and Ford F-150 each moved up one place within the Top-10 list.
“When looking at our data and comparing the first quarter of 2020 and 2019, we see SUVs and Trucks taking an even stronger hold on the Retail Used Car market. The only small cars to make the top 10 were the Civic, Elantra and Corolla,” added Soklis. “The data also shows that 6 out of the top 10 experienced slight price increases while the total average Retail Prices of Funded Used Vehicles saw a slight year-over-year increase.”
* values listed are an average price of all vehicles of that model sold, regardless of model year, trim, condition, etc.
Manheim Wholesale Used Vehicle Value Index Highlights
During the first three months of 2020, Cox Automotive Canada’s Manheim Canada Used Vehicle Index—a measure of average wholesale used vehicle prices based on a mix, mileage, and seasonally-adjusted data—recorded a small increase compared to the last quarter of 2019 but only a slight year-over-year increase.
“Despite the impact of Covid-19, our data shows that Wholesale Used Car prices still experienced slight increases in the first quarter of 2020 when compared to both the first and last quarters of 2019,” concluded Soklis. “Also of note, while several segments experienced price increases from the last quarter of 2019, SUVs once again showed their strength in Canada as the only segment to achieve a year-over-year increase. With the industry now experiencing what we hope is the worst of the pandemic, it will be interesting to monitor further impact to the average prices as we move into April and the remainder of the second quarter.”
In the first quarter of 2020 (Q1 2020), the Manheim Canada Used Vehicle Value Index recorded an 8.9 percent rise to 150.9 percent, compared to the last three months of 2019. However, based on a year-over-year basis, the Used Vehicle Value Index only saw a 2.6 percent increase. Compared to its highest peak of 157.7 percent in Q2 of 2019, the current Q1 2020 Index is down 6.8 percent.
For a more comprehensive view of Cox Automotive Canada’s Q1 2020 Wholesale Used Car Market data and insights, please download the PDF HERE.
Looking for more insights?
For access to more detailed data sets, including the ability to compare your performance against regional and demographic trends, please contact the Cox Automotive Canada Data Team at CACDataRequest@coxautoinc.com.
About Cox Automotive Canada
Cox Automotive is transforming the way the world buys, sells, owns and utilizes cars with industry-leading digital marketing, software, financial, wholesale and e-commerce solutions for consumers, dealers, manufacturers and the overall automotive ecosystem worldwide. In Canada, the Cox Automotive family includes Dealer.com®, Dealertrack®, Kelley Blue Book®, HomeNet®, Manheim®, NextGear Capital®, Ready Logistics®, RMS Automotive®, vAuto®, VinSolutions® and Xtime®, along with a host of other brands in other countries. The global company has 34,000 team members in more than 220 locations and is a partner to more than 50,000 auto dealers, as well as most major automobile manufacturers. Cox Automotive is a subsidiary of 120-year-old Cox Enterprises, Inc., and serving the automotive industry since 1926, which has revenues exceeding $20 billion and approximately 55,000 employees. Cox Enterprises’ other major operating subsidiaries include Cox Communications and Cox Media Group. For more information about Cox Automotive Canada, visit coxautoinc.ca.
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Mark James, Senior Manager, Corporate Communications & Public Relations, Cox Automotive Canada email@example.com | 647-522-8377