Mid-Size Car Retention Falls for First Time in 4 Years
Mid-size car retention rates for model-year vehicles older than two years dropped this year after remaining steady for the previous four years.
by Staff
September 13, 2016
Graph courtesy of Black Book.
1 min to read
Graph courtesy of Black Book.
Mid-size car retention rates for model-year vehicles older than two years dropped this year after maintaining a similar retention rate over the previous four years.
Retention rates for 2014-MY vehicles dropped to 49%, which is 4% lower than the 53% for 2013-MY vehicles last year. Earlier years showed steady retention rate percentages between 53% and 55%, according to the Sept. 12 Black Book Market Insights report.
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The report also spotlighted how sporty cars are currently leading the way for the ongoing drop in depreciation for car segments. The segment depreciated by 1.45%.
“The sporty car segment declined the most, following typical seasonal patterns as summer draws to a close. The car segments continue to experience a steeper decline in values in comparison to pickups and SUVs,” said Anil Goyal, senior vice president of automotive valuation and analytics.
With a volume weighting, overall car segment values decreased by 0.77% for the week ending Sept. 9. This is slightly higher than the depreciation rate of 0.69% seen in the previous four weeks.
Following sporty cars, full-size car (0.96%), luxury car (0.80%), and sub-compact car (0.80%) segments declined the most. Overall truck segment (including pickup, SUVs and vans) values continue to show consistency, decreasing by 0.44% last week.
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