The Value Issue #2: CBB Connect Update

Welcome to the second edition of The Canadian Black Book – The Value. Our goal is to provide our clients and partners with news, event updates, new initiatives and opinions from Canada’s trusted source for vehicle values and automotive insights. In this edition we cover:

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CBB Connect Update

To our CBB Connect mobile users: Canadian Black book would like to apologize for issues that our latest updates may have caused to some users. We launched a necessary mobile app update, on February 5, that resulted in some users having difficulty logging in. Since then the log in issues have been resolved, yet the update will result in the loss of historic lookups, favorites and notes.

Sorry for the inconvenience.

The new CBB Connect mobile app update, is the first stage in a series of improvements and new features that will be introduced shortly.

This update includes:

-New improved VIN Scanner
-Faster & More reliable

-JD Power PIN data integration

-Improved presentation of CBB values for easier legibility

-App available on phone and tablet

Phase 2 updates will include:

-Modern responsive design with easier to use features

-Online version available, will work on all screen sizes

-Data Sync between App and Desktop
-Perform a look up on either your mobile or desktop and it will appear in your history on both your desktop and mobile

-Live Retail Listing Market View & Retail Price Analysis
-Know the estimated retail price of your vehicle and how it compares to other retail prices in your marketplace

-Vehicle Appraisal Tool
-History of Appraisals (available on both desktop and app)

-Customer Appraisal Presentation

-Residual Values

-Introduction of Reporting Features

These new features and improved functionality will be rolled out over the next few months, with the goal of improving your experience with our products and empowering you with useful features.  Canadian Black Book is committed to providing its customers with leading tools and solutions to help drive efficiencies into your business.

We would appreciate your feedback.  Please send any questions, comments or concerns to: creiken@canadianblackbook.com

 

The Value Issue #2: January 2018 Used Vehicle Retention Index

Welcome to the second edition of The Canadian Black Book – The Value. Our goal is to provide our clients and partners with news, event updates, new initiatives and opinions from Canada’s trusted source for vehicle values and automotive insights. In this edition we cover:

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Canadian Black Book Used Vehicle Retention Index For January 2018

Markham, ON, January 9, 2018 – Canadian Black Book releases its third Used Vehicle Retention Index for Canada, covering January, 2018.

This Index serves to offer unbiased and accurate insights and statistics regarding the health of the used wholesale vehicle market in Canada.

With the first month of 2018 behind us, this month’s Canadian Black Book Used Vehicle Retention Index reveals some interesting and notable value trends.  The entire industry shows a gain of 3% from January 2017, which is not surprising given the overall strong values over the course of 2017.  What is more noteworthy is the 0.7% decline for the month of January as compared to values in December 2017.  We have not seen a January decline in the index since 2009 when values fell by 1.2%.

Looking around the segments the biggest decreases of note in the retention index were found in the Full-Size Car (-2.2%), Compact Crossover/SUV (-1.5%) and Sub-Compact Car (-1.6%).

The largest gains were seen in Full-Size Luxury CUV/SUV (+0.3%), Full-Size Van (+0.5%) and Premium Luxury Car (0.4%).

The dollar closed the month 1.5 cents higher than it started, which does

negatively impact the attractiveness of Canadian used vehicles for export.  Canadian Black Book will continue as always to keep our eyes on the dollar, which has direct impact on used values.

The Canadian Black Book Used Vehicle Retention Index is calculated using Canadian Black Book’s published Wholesale Average value on two- to six-year-old used vehicles, as a percent of original typically-equipped MSRP. Canadian Black Book’s Wholesale Average is a benchmark value for used vehicles selling in the wholesale auctions with the vehicle quality in average condition. The index is weighted based on used vehicle sales volume and adjusted for seasonality, vehicle age, mileage, condition, and inflation (MSRP).

Aggregated from daily vehicle value updates, and captured throughout thousands of wholesale vehicle transactions across

the country, the Canadian Black Book Used Vehicle Retention Index represents data across all regions of Canada. The Index is based on a comprehensive list of vehicles included in the Canadian Black Book wholesale database, and includes no bias toward any brand, data source or region, ensuring an accurate report of the used vehicle market.

The Index is posted monthly on http://blog.canadianblackbook.com/ and distributed to automotive media for wider industry consumption.

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CLICK HERE TO DOWNLOAD THE JANUARY 2018 CANADIAN BLACK BOOK USED VEHICLE RETENTION INDEX (PDF)

For interview requests or more information, please contact:
Conrad Galambos, 905-979-7039, cgalambos@canadianblackbook.com

The Value Issue #2: High Profile Auto Industry Golf Day Taking on New Meaning for 2018

Welcome to the second edition of The Canadian Black Book – The Value. Our goal is to provide our clients and partners with news, event updates, new initiatives and opinions from Canada’s trusted source for vehicle values and automotive insights. In this edition we cover:

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High Profile Auto Industry Golf Day Taking on New Meaning for 2018

Canadian Black Book Golf Tournament to Honour Former CEO Kathy Ward

February 6, 2018, Markham, ON – The 21st annual Canadian auto industry golf tournament hosted by Canadian Black Book, is being renamed in honour of the company’s former CEO, Kathy Ward. Moving forward, the tournament will be called – The Canadian Black Book Kathy Ward Memorial Golf Tournament.

Kathy lost her battle with cancer in December of 2017, a loss that struck Canada’s auto sector as a whole.

Kathy was a mainstay at Canadian Black Book for the better part of 30 years. Her list of accomplishments runs long, but perhaps her favourite was the inception of the company’s annual golf tournament, in 1997, in support of Tim Horton Children’s Foundation.

“Kathy loved to golf and mingle. This was her favourite day of the year. She was so happy to support the Tim Horton Children’s Foundation each year,” says Harm DeJonge, Kathy’s husband, “William and I are touched by this gesture, one that I know Kathy would love, to have Canadian Black Book honour her in such a meaningful and appropriate way,” he adds.

After hearing about the idea from Brad Rome, President at Canadian Black Book, DeJonge made an incredible offer. As recognition of the appreciation from him and his family, DeJonge has committed to match any donations made in Kathy’s memory, until the end of this year’s tournament, up to $50,000.

“Harm and the family have been through so much lately.  For him to step up like this just adds to Kathy’s legacy, I can feel her smiling and being proud.,” says Brad Rome. “Making the cheque presentation this year along with Harm to the Foundation will be a proud moment, knowing the amount of money will surely make a meaningful difference to a lot of kids, and that would make Kathy happy,” adds Rome.

For 2018, the Canadian Black Book Kathy Ward Memorial Golf Tournament will be held on September 10th, at one of Canada’s premier private golf courses, Magna Golf Club in Aurora.

Registration is limited and is expected to fill up quickly.  For sponsorship and foursome enquiries please contact Dave Cook (dave@instylepromos.com). To make a donation to Tim Horton Children’s Foundation in memory of Kathy Ward, go to https://www.timhortons.com/ca/en/childrens-foundation/index.php

The Value Issue #2: New Tool Launches to Help Vehicle Owners After a Write-Off

Welcome to the second edition of The Canadian Black Book – The Value. Our goal is to provide our clients and partners with news, event updates, new initiatives and opinions from Canada’s trusted source for vehicle values and automotive insights. In this edition we cover:

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New Tool Launches to Help Vehicle Owners After a Write-Off
Canadian Black Book Teams with Total Loss Report to Help Consumers Uncertain About Insurance Payouts

In Canada, 350,000 vehicles per year are written-off as total losses, by insurance companies after an accident. A total loss situation can be a very emotional and frustrating experience for a vehicle owner, as many have misinformed expectations of their vehicle’s value, largely due to a lack of understanding of depreciation. The problem is compounded with a significant number of claimants who find payouts not sufficient to cover what they owe on the vehicle.

Partnering with Total Loss Report, Canadian Black Book has introduced an industry first tool on their website to provide vehicle owners with the information to help them deal with this stressful situation. The Total Loss Report generates an unbiased third-party report (as a PDF download) that combines accurate value ranges with a cross section of comparable listings taken from the Canadian Black Book website.

“Now for the first time, those experiencing a total loss situation can enter an insurance negotiation equipped with a report containing data about the vehicle in question, from a trusted third-party,” says Brad Rome, President, Canadian Black Book. “The Total Loss Report immediately lets owners know where they stand and will make for smoother discussions with insurance providers,” he adds.

The data is supplied from Canadian Black Book, Canada’s premier provider of vehicle values to banks, insurance companies and car dealers for over 55 years and to consumers through Candaianblackbook.com since 2010.

“Seven years ago, we launched our consumer website and free online vehicle valuation tools changing the way Canadians shopped for vehicles, providing them with data they never had access to” says Rome. “Now we are once again putting our data and technology in the public domain to help both consumers and insurance companies ‘Go In Smart’ when discussing a total loss.”

Although the goal is to better inform the consumer, insurance companies stand to benefit from the launch of this tool as well. In short, the Total Loss Report simplifies a difficult situation. Expectations on both sides are better managed, leading to a more informed negotiation and a higher likelihood of the insurance company retaining the client. More often than not, the insurer loses the customer after a total loss claim, as high expectations may not have been met.

The Total Loss Report launched on canadianblackbook.com in December 2017. If early numbers are any indication, this is a product that is in high demand by Canadian consumers.

The service can be accessed by consumers in one of two ways. It can be provided for free, if the consumer is willing to provide some basic contact details that will be shared with dealers in their area, as they will most likely be in the market for a new vehicle, taking a step out of the car shopping process. If the consumer would rather not provide their contact details, the report can be purchased.

Remembering Kathy Ward – An Industry Icon: Celebration of Life Details

Welcome to the first edition of The Canadian Black Book – The Value. Our goal is to provide our clients and partners with news, event updates, new initiatives and opinions from Canada’s trusted source for vehicle values and automotive insights. In this edition we cover:

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Kathy Ward, November 16, 1957 – December 24, 2017

At the age of 60, surrounded by family and close friends on Christmas Eve, past President and CEO at Canadian Black Book, Kathy Ward passed away.  After a courageous fight, she eventually lost a multiyear battle against cancer.

Kathy, a Canadian auto industry icon, retired from Canadian Black Book in September of 2016.  She was a mainstay in the company for 36 years and President and CEO for the last ten years of her storied and pioneering career.

Please find below details for the Celebration of Life for our dear friend Kathy Ward.

Date: Tuesday January 23, 2018

Location: Universal EventSpace, 6250 Hwy 7, Vaughan, ON, L4H 4G3

Time: 2:00pm – 6:00pm  (A Tribute will begin at 3:00pm)

As the family prepares for Kathy’s celebration of life, they have asked that if anyone has any pictures they wish to share please send them to info@tada.ca along with any note you wish to extend and they will be passed along to the family.

As an expression of sympathy contributions may be made to Kathy’s favourite charity that she has supported for years…Tim Horton Children’s Foundation. Please click here to donate in memory of Kathy Ward.

Sincerely,

Brad Rome

THE VALUE – Issue #1: The effect of Hurricanes on Canadian used vehicle values

Welcome to the first edition of The Canadian Black Book – The Value. Our goal is to provide our clients and partners with news, event updates, new initiatives and opinions from Canada’s trusted source for vehicle values and automotive insights. In this edition we cover:

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Rising Waters and Rising Dollars

By Brian Murphy, VP Research & Editorial, Canadian Black Book

I’ve recently written about the rise of interest rates, and the Canadian dollar’s recent impressive climb above the eighty cent plateau. As I write this article our dollar has backtracked to just below that mark. With more rumored interest rate hikes on the horizon, I expect it will strengthen once again.

As a reminder, with rising interest rates and a stronger dollar, we at Canadian Black Book expect that will apply significant downward pressure on wholesale, and ultimately retail used vehicle prices domestically. This is primarily due to the amount of exporting of Canadian vehicles made possible by a lower Canadian dollar, and lower Canadian prices over the last few years. A higher value Canuck-buck means that Canadian used cars are less attractive to U.S. exporters. The result will be lower demand and lower prices as those exports slow.

All of that seems relatively straightforward, but then 2017’s hurricane season happened. Hurricanes Harvey and Irma were both incredibly destructive monsters of nature. Irma was the strongest Atlantic storm, outside of the Gulf of Mexico or Caribbean Sea, on record. Harvey produced over 1.6 meters of rain in Texas, the highest-ever rainfall total for any tropical cyclone in the U.S. The loss of life and damage to property was truly horrific and the clean-up will take many, many years.

When massive storms like these make landfall, one of the many consequences include the destruction of vehicles of all types on a large scale. Damage is typically either through flooding or damage caused by high winds and flying debris. Insurance companies and owners of vehicles are still in the process of working through claims and efforts to repair or replace vehicles. At this point, it is very difficult to get a clear picture on how many vehicles were actually destroyed.

If Hurricane Harvey wanted to destroy cars he really could not have picked a better target than Houston, Texas. Houston is sprawling metropolitan area with a high rate of vehicle ownership. Harris County (where Houston is located) alone has 3.6 million vehicles registered. To put that in perspective that is one tenth of the number of cars registered in all of Canada. It is very close to the number registered in all of B.C. The average household in Houston had just shy of 2 cars.

Initial estimates of how many vehicles were destroyed still remain imprecise. Anything from 500,000 to 1,000,000 cars have been widely reported as destroyed,from Harvey alone. Given that there wasn’t an evacuation order issued many cars just sat in driveways during the peak of the storm. If vehicles were parked in a particularly low lying areas, chances are that is the end of the road for most of those vehicles. Modern cars with all of their various electronics and computer driven components typically don’t mix well with flood waters.

Only a mere 15 days after Harvey, Hurricane Irma set her sights on Florida. The story was similar there, where Irma is estimated to have destroyed 200,000-400,000 vehicles.

It will take many months for insurance adjusters just to see each vehicle and determine if it can be repaired or if it will be a total loss. Given the amount of flooding and the height of the water there likely won’t be many survivors. The insurance damage from Irma alone, according to JPMorgan, is in the range of $20 to $40 billion dollars.

So what does this have to do with the Canadian auto industry? As it turns out, quite a lot. It’s important to note, that previous to hurricane season prices in the U.S. market were falling, which makes it less attractive to come to Canada to snap up bargains here. My colleagues at Black Book in the U.S. have observed that prices have been dropping consistently, month over month, an average of almost 5% this year so far. Much of this has to do with a boom in U.S. supply. Around half a million more vehicles are expected off lease this year in the U.S. versus last year, and a trend expected to continue next year as well.

If not for the hurricanes, a downward price trend here in Canada was a sure thing. With easily over a million cars likely to be written off, Canada becomes a convenient source of supply to fill all those replacement vehicles needed down south. This huge spike in demand, in a very short period of time, means that our domestic prices are expected to be temporarily propped up. We expect this to be a short-lived phenomenon, and after a few months’ time is expected to wear off. The hurricanes, in a rather brutal fashion, have carved out some temporary price protection for Canadian used vehicles, but it won’t last long. For those of you in the business of buying cars, be vigilant for anything that has been registered in Florida or Texas, and buyer beware!

THE VALUE – Issue #1: Getting ready for the 11th annual Best Retained Value Awards for 2018

Welcome to the first edition of The Canadian Black Book – The Value. Our goal is to provide our clients and partners with news, event updates, new initiatives and opinions from Canada’s trusted source for vehicle values and automotive insights. In this edition we cover:

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Getting ready to Announce the 11th annual Canadian Black Book Best Retained Value Awards for 2018

Just before the onset of the hype and excitement that surrounds the 2018 Canadian International Auto Show, Canadian Black Book is set to announce its 11th annual Best Retained Value Awards. The 2018 edition of the awards will follow the same format as last year, when winners were announced in 20 vehicle categories and three overall brand awards.

The Canadian Black Book Best Retained Value Awards acknowledge vehicles that retain the highest percentage of their original MSRP after four years. This is extremely valuable information for the consumer, given that depreciation is the single largest expense of vehicle ownership. For 2018, the awards program analyzed model year 2014 cars and trucks.

As this is being written, data is beginning to be compiled to finalize the winners for 2018 and Canadian Black Book is excited to let you all know what models and what brands are excelling at retained value.

To see the list of winners from 2017 go to: http://www.canadianblackbook.com/cbb-awards.html

THE VALUE – Issue #1: 2017 TalkAUTO Canada Exceeds Organizer’s Expectations

Welcome to the first edition of The Canadian Black Book – The Value. Our goal is to provide our clients and partners with news, event updates, new initiatives and opinions from Canada’s trusted source for vehicle values and automotive insights. In this edition we cover:

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2017 TalkAUTO Canada Exceeds Organizer’s Expectations
Sixth Annual is the Largest Event Yet with over 435 in Attendance

The sixth annual TalkAUTO Canada Conference, hosted by Canadian Black Book and J.D. Power, commenced November 8th and was the largest event in terms of attendance since its inception in 2012. Well over 435 auto industry executives came to the Toronto Congress Centre to take in some high-end presentations and mingle with Canada’s auto industry elite.

The 2017 edition of TalkAUTO Canada was themed ‘Customer Engagement in a Digital World’, and seemed to hit a chord with the attendees, sponsors and presenters alike.

“What a day! The presenters were phenomenal, the content was right on topic. We could not have asked for a livelier group, all discussing the issues that face auto retailing today,” says Brad Rome, President, Canadian Black Book.

Attendees come from a wide variety of automotive industry segments, with strong representation from manufacturers, retailers, financial providers, data providers, marketing agencies, aftermarket suppliers, and media.

“It’s hard to imagine how we can offer a better line-up of speakers and continue to grow this event for the years to come. But this momentum is surely a good sign and we look forward to getting to work to make next year’s TalkAUTO just as exciting, and even bigger” says Tim Braley, Sr. Director, JD Power.

The event featured an impressive list of auto industry expert speakers, highlighted by keynote addresses from Larry Hutchinson, President and CEO, Toyota Canada Inc. (“Setting a Course to the Future of Mobility”); and Josh Bloom, Automotive Practice Leader, Facebook Canada (”Mobile Moves Metal”). For more TalkAUTO Canada details go to http://www.talkauto-canada.com and on Twitter follow the hashtag #TalkAUTOCanada.

THE VALUE – Issue #1: Canadian Black Book Unveils Used Vehicle Retention Index

Welcome to the first edition of The Canadian Black Book – The Value. Our goal is to provide our clients and partners with news, event updates, new initiatives and opinions from Canada’s trusted source for vehicle values and automotive insights. In this edition we cover:

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Media Release:

Canadian Black Book Unveils its First Used Vehicle Retention Index for Canada

Monthly Index To Provide Canadian Auto Industry with Neutral Commentary on Used Vehicle Pricing Trends

Markham, ON, December 8, 2017 – Canadian Black Book announces today the release of its first Used Vehicle Retention Index for Canada.

The Index will serve to offer unbiased and accurate insights and statistics regarding the health of the used wholesale vehicle market in Canada. This inaugural edition covers the month of November, 2017.

“We’ve used this type of index data internally for many years, and are now packaging it up to provide Canada’s auto industry a free monthly resource to help monitor the ongoing vital signs of used vehicle pricing domestically,” says Brad Rome, President, Canadian Black Book. “This information is impartial to any brand, and can help guide decision makers with accurate figures regarding the strength or weakness of used vehicle prices,” he adds.

The Canadian Black Book Used Vehicle Retention Index is calculated using Canadian Black Book’s published Wholesale Average value on two- to six-year-old used vehicles, as a percent of original typically-equipped MSRP. Canadian Black Book’s Wholesale Average is a benchmark value for used vehicles selling in the wholesale auctions with the vehicle quality in average condition. The index is weighted based on used vehicle sales volume and adjusted for seasonality, vehicle age, mileage, condition, and inflation (MSRP).

Aggregated from daily vehicle value updates, and captured throughout thousands of wholesale vehicle transactions across the country, the Canadian Black Book Used Vehicle Retention Index represents data across all regions of Canada. The Index is based on a comprehensive list of vehicles included in the Canadian Black Book wholesale database, and includes no bias toward any brand, data source or region, ensuring an accurate report of the used vehicle market.

The Index will provide automotive industry professionals and watchers with insight regarding trends with comparisons year-over-year and month-over-month. From a more macroeconomic perspective it will illustrate pricing performance since the index commenced with data from 2005.

“We are always being asked about the overall state of used vehicle value retention, which we are happy to answer. This new regularly published index will just make it easier and provide a more visual means to get those answers and see the direction of prices in Canada,” says Brian Murphy, Vice President Research and Editorial, Canadian B lack Book.

This first Index illustrates the effects of the economic pain of 2008-2009 in the index. This becomes even more visible after examining full size trucks during that time as prices fell more than 15% nationally. Late 2009 saw a false recovery of prices, followed by falling prices again, however since the middle of 2010 there has been a remarkable and steady growth in prices overall. Today the Index is currently at its highest level (102.4) since it was first calculated using 2005 data.

The strongest segments are full size luxury crossovers/SUVs, midsize crossovers and small pickup trucks. The segments with weakest performance are the near luxury cars and subcompact cars, both perform considerably below the market average. Both however have strengthened in recent months. A more detailed index at the more granular segment level will be made available for Canadian Black Book clients upon request.

The Index will be posted monthly on CanadianBlackBook.com and distributed to automotive media for wider industry consumption.

About Canadian Black Book:
For more than 55 years, Canadian Black Book has been the trusted and unbiased Canadian automotive industry source for vehicle values. Canadian Black Book tools and information are considered ‘The Authority’ for vehicle values not only by car dealers and manufacturers, but also the leasing, finance, insurance and wholesale sectors. For the past seven years, consumers have also benefitted from the same expert insight. In 2010, Canadian Black Book introduced their consumer website that includes free online tools for calculating a vehicle’s Trade-in Value, Future Value and the Average Asking Price. The popularity of these tools has taken off with the website seeing an average of over 170,000 value lookups monthly. Canadianblackbook.com offers unique vehicle valuation tools and is a distinctly Canadian resource for car buyers and sellers.

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Click to view the Canadian Black Book Retention Index – 2017_11

For more information or interview requests, please contact:
Conrad Galambos
Media Relations
Canadian Black Book
905-979-7039
cgalambos@canadianblackbook.com