Welcome to 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:
- New Dealer Tool Helps Bridge Gap Between Sales and Service
- September 2018 Used Vehicle Retention Index
- TalkAUTO: Canada’s Premier Automotive Industry Conference – By Rui Nunes
- We Live in Electric Times – By Brian Murphy
The Canadian Black Book Used Vehicle Retention Index for September tied the all-time record from the previous month at 103.6. This is a definite indicator of just how very strong retained values for Canadian used vehicles continue to be. The all-time lowest level of the index was set back in February 2009 of 74.8, in the midst of the recession. Since that time values have climbed 28.8 points to the current record level. These record levels have been propelled by very favorable economic conditions, a tight supply of used vehicles, and more recently, a dollar that continues to favour a large volume of exports of used vehicles to the U.S. market.
Compared to the same time last year the compact luxury SUV segment is one of the biggest gainers, with an impressive leap of 29.5. Mid-size car is showing renewed signs of strength with a gain in retained value of 4.8, and subcompact moves up by 7 points.
On the downside, full-size vans (-3.7), luxury cars (-2.7) and mini-vans (-5.3) saw weaker values compared to a year ago. Compared to last month, premium sporty cars saw one of the biggest retreats at a little over 1.5 points and subcompact cars lost almost 4 points from last month.
The recent agreement on the USMCA free-trade agreement will provide some much needed certainly for the industry at large, and specifically used vehicle prices as it relates to this index. If the U.S. administration had put significant tariffs on used vehicles, this would have created some major swings in used vehicle pricing.
The upwards trend in vehicle values has had an impressive eight year positive trend, watch this space as we continue to monitor and report on this key indicator for the Canadian used vehicle market.
To download the Septembrer 2018 Index Click Here.