Lotlinx, one of the auto industry’s leading VIN-specific data company for dealership inventory management, announced its Q2 Quarterly Vincensus Report, the most comprehensive monthly/quarterly inventory report in the industry. The Q2 report offers a glimpse into how and where the recent CDK Global event had an impact on overall inventory risk and day supply challenges. Click here to see the Q2 Vincensus report.
Each month and quarter, the Vincensus Report offers deep real-time data and insights visibility into the trends shaping OEM-specific and dealership inventory for both new and used vehicles, as well as key data on vehicle pricing and markdowns. It serves as a detailed comparative analysis that shows how each OEM is performing against industry benchmarks, so dealers can see where they rank amongst their competition. This approach not only highlights relative performance metrics but will also demonstrate where buyer demand is. It also shows how their data has changed each month, month over month, and quarter over quarter.
Q2 Executive Highlights
While the CDK Global hack significantly impacted June’s sales, sales rose by 10% for new vehicles and held steady for used vehicles QoQ. The market for new cars shows signs of potential oversupply and softening demand. Inventory levels and sales are both up, but day supply is increasing and demand is decreasing, which could lead to an increased imbalance if the trends continue. Overall, the market conditions from Q1 to Q2 indicate caution, with potential oversupply issues in the new car market and stable yet slightly softening conditions in the used car market.
New Vehicle Q2 Highlights
- Inventory levels continued to climb QoQ and YoY causing day supply to increase by 4 days and 29 days respectively to 72 days.
- Listing prices remained steady QoQ but fell by 10% YoY.
Used Vehicle Q2 Highlights
- Used vehicle metrics held fairly steady QoQ with the exception of aged inventory, which increased by 7%, and carryover that dropped by 9% coming into the start of the quarter.
The Vincensus report was developed using Lotlinx’s proprietary Lexaca data, the largest inventory specific data set with over 24 billion data points, that leverages machine learning models that have been evolving for the past 10 years. Lexaca offers comprehensive, market and competitive data for every vehicle on a dealer’s lot, enabling dealerships to easily inform strategy and decision making for each VIN or vehicle segment (ex: condition, body style, model).
“The recent industry-wide cyber-attack had a significant impact on both new and used vehicle inventory risk levels, disrupting normal business practices across the auto dealership industry,” said Len Short, Executive Chairman of Lotlinx. “This event has compounded existing market challenges, compelling dealers to reevaluate and refine their markdown and pricing strategies to gain a competitive edge. In today’s changing business landscape, it is crucial for dealerships to identify and seize opportunities that enhance their operational resilience and profitability.”
Click here to download the Q2 Vincensus Report.
