According to reports, Used Car SAAR for 2019 appears to be up about half a percent, with annual total sales looking to peek just above 40.4 million, compared to 40.2 million in 2018. Effectively, sales have held steady.
What’s behind this? Well, it’s something we have discussed month-over-month here on the Used Car Marketing Roundup, and we’re bringing it up again on this month’s session.
Used Car Marketing Dealer Strategy Session
Aired January 2020
Used Car SAAR for 2019
While still currently an estimate, it appears that the used-vehicle market eclipsed 40.4 million sales in 2019, according to Edmunds, whose projected pre-owned tally would be up from 40.2 million used-car sales in 2018.
Specifically, Edmunds estimates that there were 40,415,175 used sales last year, continuing a long line of annual gains in the used-car market.
Below is data showing used-car sales from the past six years, including the estimate for 2019, courtesy of Edmunds:
- 2014: 36,241,800
- 2015: 37,254,854
- 2016: 38,602,466
- 2017: 39,203,694
- 2018: 40,232,959
- 2019: 40,415,175
Sonic’s EchoPark focuses on shopper experience, F&I products
Aggressively priced, nearly new vehicles are driving sales volumes and profits at Sonic Automotive Inc.’s EchoPark used-vehicle-only stores, including its outlet in Raleigh, North Carolina where Automotive News correspondent Melissa Burden reported on in November of last year, where the store sold 17 vehicles on a hot Monday late in June.
The Charlotte store, which opened in October 2018, is just a few miles from Sonic’s corporate headquarters and has been profitable since its first full month. Built on the site of a former strip mall, the new store, decked out in green and earth tones, features a parklike entrance and 250 vehicles on the lot.
It doesn’t feel like a car dealership. And absent the lifestyle-experience pictures featuring a topless Jeep full of friends or the happy dog leaning out a car’s window into the wind, you might not know EchoPark sells cars.
Importance of Shopper Experience
In a recent conversation I had with auto shopper Sheri from Nashville, Tennessee, a ton of great insight came out of the conversation.
For starters, Sheri was not familiar with any of the major third-party listing sites prior to her shopping quest, with exception to one – Carvana.
And while she didn’t go into the shopping quest with her “dealer experience” in mind, she came to find from our conversation how much importance that experience has played in her quest.
Catch the entirety of Sheri’s story in my conversation with her from about 17 minutes into this conversation of the Auto Shopper Experience Webcast earlier this week.