Welcome to the Pints and Polishing podcast with your host, Nick. In this episode, we dive into the current state of the car industry, providing independent analysis based on reputable data from a company that specializes in analyzing the automotive market. Nick shares insights on new car supply, discussing the significant increase in supply compared to the previous year, as well as the average days of supply and its importance to dealerships.
He highlights brands with extremely low supply, such as Honda, Toyota, Kia, and Lexus, and speculates on the reasons behind their low inventory levels. On the other hand, he mentions brands with high supply, including Ford, Audi, Dodge, Jeep, Ram, and Jaguar. Nick predicts that brands with excess inventory might offer major incentives towards the end of the year to clear their stock.
The discussion then shifts to brands that are currently offering discounts, with examples from Jeep, Ram, Nissan, and even Honda, despite their low inventory. Nick emphasizes the return of incentives in the market compared to the pre-pandemic period.
Next, the focus turns to used cars, with a 10% decrease in supply compared to the previous year. Nick explains how the dynamics of the used car market have shifted, making it more advantageous to buy new cars due to smaller price differentials and the absence of manufacturer's warranty in used vehicles. He touches on factors impacting the used car market, such as weaker consumer demand and higher interest rates.
Throughout the episode, Nick advises listeners not to wait for a return to pre-pandemic conditions and discusses various factors influencing the car market, such as supply chain issues, labor costs, and financing rates. He encourages potential buyers to consider purchasing new cars, especially towards the end of the year when incentives might be more prevalent.
If you're interested in gaining valuable insights into the car industry and making informed decisions, this episode provides essential data and analysis. Tune in to the Pints and Polishing podcast for a deeper understanding of the current state of the automotive market.