In an automotive climate where dealer profits are shrinking and vehicle advertising costs remain high, Black Book's new solution aims to reel in advertising campaign costs to help dealers maintain profitability.
In a joint report issued this week, the two firms said increased supply and incentives will drive higher depreciation in 2016. Auto ABS performance will face pressure, but no material concerns, the firms say.
By leveraging Black Book’s pricing information, DRIVIN will create used-car trends and analysis to educate and help dealers make smarter buying decisions.
The vehicle information firm reported that all segments reviewed showed less than 2.7% depreciation except for full-size pickups.
Tom Cross was named executive vice president and deputy group head of transportation for Hearst Business Media. He will retain his title of president of Black Book and will continue to report to Hearst President Richard P. Malloch.
According to the vehicle pricing firm, Volkswagen diesel models are already showing higher depreciation than their comparable gasoline-powered models.
The vehicle-pricing firm reported today that the pace of depreciation in September remained relatively unchanged from August. It expects average depreciation to approach pre-recession levels by year-end.
Ricky Beggs, who previously served as Black Book's senior vice president, was honored as the newest member of the National Independent Automobile Dealers Association's prestigious Ring of Honor.
Data from Black Book shows an increasingly large disparity between car and truck depreciation patterns, with smaller cars experiencing the most depreciation during June.
After showing strong retention in April, compact SUVs exit May with the highest depreciation. The firm expects the annual vehicle depreciation rate to come in at 14.5%, which would sit just below the pre-recession range of 15% to 18%.
