Softness persists throughout the wholesale market, but depreciation appears to have slowed down, according to the latest "Beggs on the Market" video report from Ricky Beggs, Vice-President and Managing Editor of Black Book. That is especially true among trucks, according to the report.
"During the past week, the market continues to be soft, but many of the adjustments that had been extremely large have gotten to be smaller adjustments," Beggs noted. "So the market may be stabilizing or catching up with some of the softness (trends) in the marketplace."
Some of the heavier adjustments were among cars, while truck segments tended to show much lighter declines, Beggs said. During the week of Nov. 24, some of the heaviest luxury cars went down an average of $704, and premium sporty cars went down an average of $810. Full-size SUVs, however, went down only $271 and luxury SUVs went down $292, Beggs reported. And full-size cars dipped only $156 in value, while compact cars fell only $163.
On the truck side, full-size vans and wagons depreciated only $50 and compact SUVs went down $162 in value, on average.
Throughout November, the more drastic declines were also concentrated among car segments. Premium sports cars went down an average of $1,623; prestige luxury cars fell $1,465; and entry-level cars declined by $752," he said. On the truck side, full-size pickups went down $764, luxury SUVs went down $719 and full-size SUVs dropped by $666," Beggs said.
Full-size cars (down $458) and upper midsize cars (off $487) showed the least amount of depreciation. Full-size vans and wagons fell $240, minivans were down $326, and compact pickups were off $345.