Within the United States, a combination of high inflation, increasing fuel prices, and the prospect of rising interest rates are likely to influence consumer behavior, with shoppers likely to consider more fuel efficient or electric vehicles.  -  IMAGE: ZeroSum

Within the United States, a combination of high inflation, increasing fuel prices, and the prospect of rising interest rates are likely to influence consumer behavior, with shoppers likely to consider more fuel efficient or electric vehicles.

IMAGE: ZeroSum

GRAND RAPIDS, Mich. – The ZeroSum Market First Report  is the automotive industry’s first source to predict month-end vehicle movement, providing vital supply and demand trend data to automotive marketers and dealers. ZeroSum uses predictive modeling to accurately estimate new vehicle inventory, pricing trends, and market share.

ZeroSum’s Take: What You Need to Know 

Supply chain constraints continue to contribute to inventory shortages, and as noted below, many brands found ways to increase inventory levels in March 2022. Current events in Ukraine may further constrain the supply chains of European automakers, possibly adding further constraints to those brands abilities to resupply the American market. Within the United States, a combination of high inflation, increasing fuel prices, and the prospect of rising interest rates are likely to influence consumer behavior, with shoppers likely to consider more fuel efficient or electric vehicles.

Here are your key takeaways:

  • Dealers with increased levels of new inventory should take advantage of their position to maximize unit sales volume and gain market share.
  • Dealers with increased inventory should also look to price vehicles competitively, as consumers find more options in the market. 
  • Used car prices continue to climb. For dealers, this means the ability to stock and move in-demand used inventory remains a critical strategy to attract consumers and maintain overall gross.
  • Additionally, with an increase in inventory-based marketing through tools like Google Vehicle Ads, dealers are now able to dynamically market their new and used inventory to in-market consumers much more efficiently, in real time.

To read the full ZeroSum Market First Report with end-of-month inventory data, pricing, sale forecasts, and supplemental infographics, visit:https://www.zerosum.ai/blog/zerosum-market-first-report-2022-3

Originally posted on P&A Magazine

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