Cox Automotive Revises Used Car Forecast for 2024, Anticipates Slowdown in Activity
The used car market is always a hot topic in the automotive industry, and Cox Automotive’s latest forecast provides some interesting insights into what we can expect for the rest of 2024 and into 2025.
According to Cox Automotive, there may be a slight slowdown in activity during the third and fourth quarters of this year compared to previous forecasts. However, the total number of transactions is still expected to be marginally ahead of previous predictions, with a total of 7,434,709 transactions forecasted for 2024.
Philip Nothard, Cox Automotive’s insight director, highlighted the resilience of the used car market in the first half of the year despite challenges such as subdued retail demand and margin pressures. However, he cautioned against assuming that this positive performance will continue, citing factors such as tightening supply, price competition in the new car space, and low consumer confidence.
Nothard also pointed out several key factors that will influence the used market in the coming months, including dynamics in the new car market, limited availability of in-demand internal combustion engine (ICE) variants, volatile EV values, and consumer appetite for rising prices.
Despite these challenges, Nothard emphasized that the automotive sector is known for its resilience, and the used sector is no different. He believes that while significant hurdles are expected in the second half of 2024 and into 2025, the volume of transactions indicates that there are still opportunities for profit in the market.
Cox Automotive’s Insight Quarterly update, which includes the revised used car forecast and articles from industry experts, is now available to view. This comprehensive report is designed to help manufacturers, fleets, and dealers make informed decisions in a rapidly changing market.
Overall, the outlook for the used car market may be challenging, but with careful planning and a focus on adapting to changing trends, there are still opportunities for success in the industry. Stay informed, stay agile, and stay ahead of the curve to make the most of the evolving landscape of the automotive market.