Total sales over the first six months of the year reached 3.41 million units, an 8% increase compared to 2023’s YTD total.
Graphic: AuctionNet
AuctionNet wholesale vehicle auction sales came at about 522,000 vehicles in June, up a small 1.4% versus June 2023 but down nearly 14% from May 2024, according to data released July 12 from the National Auto Auction Association.
But there were two fewer selling days this year than in June 2023 and May 2024, and after accounting for this difference, sales were 11.5% higher on a prior-year basis and were down a lesser 5% compared to May.
For the first time, monthly figures reflect all sales, not just fleet/lease sales, as they did in the previous monthly releases due to underlying changes in how the data is reported, said Larry Dixon, vice president of Auction Data Solutions/AuctionNet.
Total sales over the first six months of the year reached 3.41 million units, an 8% increase compared to 2023’s YTD total. Auction sales of later model units (up to 5 years old) also rose through June by a smaller 6.5%.
Dealer and commercial sales finished the month up 2% and 29%, respectively, compared to last June (selling day adjusted). Year-to-date, the first half of the year closed with commercial sales up 28.7% and dealer sales down 4.2%.
Following the pandemic-era supply constraints, starting in late 2022 commercial fleets were able to acquire more new vehicles, which in turn means they have been remarketing more such vehicles over the past six-plus months, Dixon said. And rental fleet companies have been working to right-size their fleets based on current demand levels, which has contributed to the number of vehicles they’ve remarketed, he said.
Due in part to the growth in new vehicle lease originations that occurred over the first part of 2021, nearly 15% more 3-year-old vehicles were sold over the first half of the year relative to 2023.
Off-lease auction sales have been temporarily spiking this year because of the high volume of leases in the first half of 2021, Dixon said. That said, lease originations fell acutely over the second half of 2021, which means that 3-year-old off-lease volume will follow a similar pattern over the back half of this year.
Not accounting for differences in selling days, later model sales were higher year-over-year in June for all vehicle types save for mainstream cars where volume was down by 13.7% (the selling-day adjusted difference was 5.1%). Conversely, CUV and SUV sales continued to trend higher, led by a more than 15% rise in luxury CUV/SUV sales.
Ford and Nissan dominated the top selling fleet models in June, while Tesla and Cadillac prevailed in the luxury segment.
Graphic: AuctionNet
Collectively, later model crossover and SUV auction sales were up 18.6% over the first half of 2024, while full-size pickup sales moved 5.4% higher. Reflecting the long-running decline in new vehicle sales, there was an 8% drop in later-model mainstream car sales over the period.
As for EVs, data shows continued strong growth in the number of electric vehicles rolling through the lanes in June, with sales up nearly 95% compared to last year. More than 39,800 later model EVs were sold at participating AuctionNet auctions over the first half of the year, representing a nearly 19,600 unit, or 97%, increase versus 2023.
“Because new electric vehicle sales have grown acutely from a low floor over the past several years, the trend is now occurring in the used/auction markets, as new sales beget used sales,” Dixon said. “Since EVs are heavily leased, they will enter the used market sooner than if they were purchased.”
Monthly AuctionNet data is derived from 265 NAAA member auctions that use AuctionNet. It is considered the most comprehensive source of wholesale auto auction sales data in the U.S.
Originally posted on Automotive Fleet