Black Friday should be hit with great car deals according to TrueCar that estimates total new vehicle sales, including fleet deliveries, will reach 1,352,500 units in November, a 3.9 percent increase from a year ago and the highest ever for the month. Incentives are as high as $3,066 per vehicle. TrueCar estimates are similar to Edmunds.com prediction that 1,331,415 cars to be sold at an in crease of 2.5% over the last year.
TrueCar offers a price certificate that your print out before you go to the dealer to insure there is no haggling. Sometimes the certificate offers hundreds of dollars off the advertised price. Previously we found some of the best deals on new cars through their program. The dealers usually were a little further away. On some used cars, TrueCar offered the lowest price out of any service any where especially on electric cars including the Nissan Leaf.
General Motors is currently running a Black Friday promotion for its Buick, Chevrolet and GMC brands, promoting savings of as much as 20 percent off MSRP. FCA’s Chrysler, Dodge, Jeep and Ram brands are all running Black Friday promotions advertising no-interest financing for up to 75 months. Hyundai is also participating in the early Black Friday promotions with customer cash offers.
The expected growth will push the seasonally adjusted annualized rate (SAAR) for total light vehicle sales to 18.6 million units, the strongest pace of any month so far this year and up from a 17.1 million-unit SAAR year ago. Solid consumer demand coupled with Black Friday campaigns may boost retail sales by 3 percent to 1,157,800 units.
November sales will likely set a monthly record because car buyers excited about Black Friday promotions and these month-long events appear to be resonating with car buyers. Brands that advertised early, Chevrolet, Hyundai, Jeep and Ram, are expected to outperform the industry.
Hyundai may lead the charge in year-over-year sales gains with a 6.2 percent rise in volume, resulting in a best ever November for the brand. GM will likely follow with a 5.7 percent increase in sales. Ford and Toyota tie for third place, with both manufacturers expecting a 4.2 percent increase in sales.
Non-luxury volume will likely expand by 3.6 percent versus last year. Luxury cars and truck sales may grow by 5.2 percent compared to a year ago. Compact crossover vehicles remain very popular this month and will be among the industry’s biggest segments by volume.
Automakers are offering great deals due to unchanged interest rates, low unemployment and consumer-friendly gas prices, manufacturers are willing to spend slightly more to reap large rewards.
Incentive spending by automakers averaged $3,066 per vehicle in November, up 6 percent from a year ago and down 1.1 percent from October 2015.
Interest rates remain unchanged and overall U.S. economic conditions are still strong. The unemployment report in October was 5 percent, the lowest for the month in eight years. Gasoline prices also remain favorable, falling to a national average of $2.07 per gallon on November 23 from $2.82 a year earlier. However, the Conference Board’s Consumer Confidence Index® declined by 5 points in October from a month earlier to 97.6.
Other key findings for November:
- Expected registration mix of 85.6 percent retail sales and 14.4 percent fleet versus 86.3 percent retail and 13.7 percent fleet last November.
- Total used auto sales, including franchise and independent dealerships and private-party transactions, may exceed 2,704,873, up 1 percent compared to November 2014.
Forecasts for the 12 largest manufacturers by volume:
Total Unit Sales
|Manufacturer||November 2015 Forecast||% Change vs. November 2014||% Change vs. November 2014 (Daily Selling Rate)|