No 10 Million SAAR, but a Couple Glimmers of Hope
By Michelle Krebs July 17, 2009The annualized rate of car sales failed to hit the magical, hoped-for number of 10 million in June, but a couple of positive signs have come emerged in June, according to an analysis of June sales by Edmunds.com.
The time it takes for new vehicles to sell dropped from May to June as did the incentive spending needed to move the metal.
Moving Off the Lot Slightly Faster...
The days-to-turn -- that is the number of days between a vehicle being delivered to the dealership to the time a buyer drives it away -- dipped to its second lowest level this year at 93 days. Still, the days-to-turn was 28 days higher this June compared with last.
Luxury SUVs, likely purchased by more affluent buyers less concerned with their household budget, had the lowest days-to-to turn at a mere 61 days.
Large cars, less attractive in these days of gas-price sensitivity and budget consciousness, took the longest time to sell with a days-to-turn of 141 days.
With Less-Than-May Incentives Dollars
The average automaker incentive dipped ever-so-slightly from May to June -- $22 or 0.8 percent, according to Edmunds.com's Total Cost of Incentives calulcations. While still the highest ever and higher than last June, incentives are headed in the right direction.
"June incentives had never been higher, but we anticipate that the tide is about to turn," said Jesse Toprak, Edmunds.com's executive director of Industry Analysis. "The effects of recent production cuts are starting to be felt, and as supply dwindles, incentives will fall."
SAAR by the Month
|
Year |
Month |
Total Volume |
SAAR |
|
2008 |
1 |
1,044,238 |
15.30 |
|
2008 |
2 |
1,168,729 |
15.29 |
|
2008 |
3 |
1,351,283 |
15.04 |
|
2008 |
4 |
1,243,213 |
14.46 |
|
2008 |
5 |
1,392,136 |
14.21 |
|
2008 |
6 |
1,187,845 |
13.63 |
|
2008 |
7 |
1,134,985 |
12.51 |
|
2008 |
8 |
1,245,700 |
13.69 |
|
2008 |
9 |
962,186 |
12.46 |
|
2008 |
10 |
834,239 |
10.52 |
|
2008 |
11 |
743,604 |
10.14 |
|
2008 |
12 |
891,081 |
10.27 |
|
2009 |
1 |
654,922 |
9.54 |
|
2009 |
2 |
687,182 |
9.09 |
|
2009 |
3 |
855,146 |
9.83 |
|
2009 |
4 |
817,096 |
9.29 |
|
2009 |
5 |
923,141 |
9.89 |
|
2009 |
6 |
859,420 |
9.66 |
Source: Edmunds.com
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