Transaction Prices Rise to Highest Levels While Incentives Continue on Downward Trend in March 2012, According to TrueCar.com

Transaction Prices Up Nearly Seven Percent; Incentives Down Two Percent From Last Year

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Apr 03, 2012, 09:00 ET

SANTA MONICA, Calif., April 3, 2012 /PRNewswire/ -- TrueCar.com, the authority on car pricing, trends and forecasts, estimated today that the average transaction price for light vehicles in the United States was $30,748 in March 2012, up $1,977 (6.9 percent) from March 2011 and up $143 (0.5 percent) from February 2012.

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"The auto manufacturers have finally found their sweet spot, with the production of vehicles meeting the demand of consumers, keeping incentives to a minimum," said Jesse Toprak, VP of Industry Trends and Insights for TrueCar.com. "This led to the highest transaction prices in the industry in March, along with record highs for Chrysler, GM, Hyundai/Kia, and Nissan."

Transaction Pricing Forecast

Manufacturer	March 2012 Transaction Price	February 2012 Transaction Price	March 2011 Transaction Price	Percent Change March 2011 to March 2012	Percent Change February 2012 to March 2012
Chrysler (Chrysler, Dodge, Jeep, Ram, Fiat)	$29,842	$29,458	$28,052	6.4%	1.3%
Ford (Ford, Lincoln)	$31,758	$31,644	$30,524	4.0%	0.4%
GM (Buick, Cadillac, Chevrolet, GMC)	$33,289	$33,086	$32,200	3.4%	0.6%
Honda (Acura, Honda)	$26,249	$26,141	$24,876	5.5%	0.4%
Hyundai/Kia	$21,717	$21,502	$19,857	9.4%	1.0%
Nissan (Nissan, Infiniti)	$28,322	$28,105	$26,364	7.4%	0.8%
Toyota (Lexus, Scion, Toyota)	$27,396	$27,012	$26,214	4.5%	1.4%
Volkswagen (Audi, Volkswagen)	$33,124	$33,159	$31,378	5.6%	-0.1%
Industry	$30,748	$30,605	$28,771	6.9%	0.5%

In addition, TrueCar.com estimated that the average incentive for light-vehicles was $2,440 in March 2012, down $43 (1.8 percent) from March 2011 and down $36 (1.5 percent) from February 2012.

Average Incentives Forecast

Manufacturer	March 2012 Incentives	February 2012 Incentives	March 2011 Incentives	Percent Change March 2011 to March 2012	Percent Change February 2012 to March 2012
Chrysler (Chrysler, Dodge, Jeep, Ram, Fiat)	$3,137	$3,195	$2,971	5.6%	-1.8%
Ford (Ford, Lincoln)	$2,726	$2,833	$2,804	-2.8%	-3.8%
GM (Buick, Cadillac, Chevrolet, GMC)	$3,144	$3,116	$3,314	-5.1%	0.9%
Honda (Acura, Honda)	$2,122	$2,126	$2,309	-8.1%	-0.2%
Hyundai/Kia	$882	$841	$1,270	-30.6%	4.8%
Nissan (Nissan, Infiniti)	$3,115	$3,233	$2,433	28.0%	-3.7%
Toyota (Lexus, Scion, Toyota)	$1,704	$1,619	$1,969	-13.5%	5.2%
Volkswagen (Audi, Volkswagen)	$2,021	$2,077	$1,934	4.5%	-2.7%
Industry	$2,440	$2,476	$2,483	-1.8%	-1.5%

TrueCar.com estimated that the ratio of incentives to average transaction price for light-vehicles was 7.9 percent in March 2012, down from 8.6 percent in March 2011 and down from 8.1 percent in February 2012.

Ratio of Incentives to Average Transaction Price

Manufacturer	March 2012 Incentives/Avg. Transaction Price	February 2012 Incentives/Avg. Transaction Price	March 2011 Incentives/ Avg. Transaction Price	Percent Change March 2011 to March 2012	Percent Change February 2012 to March 2012
Chrysler (Chrysler, Dodge, Jeep, Ram, Fiat)	10.5%	10.8%	10.6%	-0.1%	-0.3%
Ford (Ford, Lincoln)	8.6%	9.0%	9.2%	-0.6%	-0.4%
GM (Buick, Cadillac, Chevrolet, GMC)	9.4%	9.4%	10.3%	-0.8%	0.0%
Honda (Acura, Honda)	8.1%	8.1%	9.3%	-1.2%	0.0%
Hyundai/Kia	4.1%	3.9%	6.4%	-2.3%	0.1%
Nissan (Nissan, Infiniti)	11.0%	11.5%	9.2%	1.8%	-0.5%
Toyota (Lexus, Scion, Toyota)	6.2%	6.0%	7.5%	-1.3%	0.2%
Volkswagen (Audi, Volkswagen)	6.1%	6.3%	6.2%	-0.1%	-0.2%
Industry	7.9%	8.1%	8.6%	-0.7%	-0.2%

For additional data on incentives and transaction prices, please visit the TrueCar Truth Blog. You can follow TrueCar on Twitter (@TrueCar) and become a fan of TrueCar on Facebook and Google+.

About TrueCar, Inc.

TrueCar, Inc. is an online automotive information and communications platform focused on creating a better car buying experience for dealers and consumers. Consumers want a hassle-free car buying experience and dealers want high-quality sales velocity. TrueCar helps achieve these goals by providing unbiased market information on new car transactions and by supplying an online communications platform through which dealers and consumers can communicate with each other. TrueCar's market-based information provides both consumers and dealers with an accurate and comprehensive understanding of what others actually paid recently for similar vehicles, both locally and nationally. TrueCar's communications platform then allows informed, ready-to-buy consumers to communicate directly with participating dealers. Some of the nation's largest and most well respected membership and service organizations rely on websites powered by TrueCar to help educate their members and customers who are in the automotive market. TrueCar is headquartered in Santa Monica, CA, and has offices in San Francisco, CA, and Austin, TX. After experiencing dramatic growth since 2006, TrueCar is developing a suite of products and services centered on radical clarity through the comprehensive analysis of market data and information. TrueCar's participating dealer partners have sold over 500,000 new vehicles to TrueCar users nationwide.

You can follow TrueCar on Twitter (@TrueCar) and become a fan of TrueCar on Facebook and Google+.

Disclaimer

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SOURCE TrueCar.com