All signs point to a more normal, although perhaps slightly delayed, spring bounce this year, according to a recent 1Q industry metrics report prepared by AutoIMS, a firm that analyes detailed data from its roster of auction clients nationwide.
Prices remained steady at already-elevated levels, and conversion rate (% sold vs offered at auction) bumped up in March. The data resembles a trampoline -- to go up, you must first go down.
The average vehicle sales price rose to $16,356 in 1Q 2022, compared to $14,341 in 1Q 2021. Meanwhile, over the same period, the quarterly conversion rate dipped to 61%, compared to 71%.
So, what’s down?
- Conversion rates dropped steadily from October through February
- Floor price achievement did the same
- Cycle times (transport; days to sell) both crept up at the start of the year – ie. a drop in performance
Meanwhile, the seller investment in each car also trended down, as evidenced by lower YoY expenses in all auction charge categories except gas (up 54%) and sale fees. These trends seem to confirm what other reliable sources are indicating: