While CUVs and SUVs continue to dominate the market, sedans remain a popular choice among consumers. According to Experian’s Automotive Consumer Trends Report: Q4 2024, sedans accounted for 18.4% of new retail registrations and 36.9% of used. Comparatively, CUVs/SUVs came in at 59.3% for new and 38.6% for used. For retail sedan registrations, the Toyota Camry made up the most market share for both new and used in the last 12 months, coming in at 10.5% and 6.0%, respectively. Meanwhile, the Honda Civic came in a close second for new sedan registrations at 10.1% and the Honda Accord followed closely for used at 5.9%. Knowing which sedan models are leading in registrations is important for professionals as it helps them understand evolving consumer preferences, enhance marketing strategies, and make informed inventory decisions. Understanding the key generations fueling the sedan segment When examining generational interest in this vehicle segment, data found Gen Z and Millennials over-indexed in new retail sedan registrations. In the past 12 months, Gen Z represented 12.4% of new retail sedan registrations, while their total new retail registration was 8.2%. Millennials had 27.3% of sedan registrations out of 27% total registrations. Understanding who is purchasing and what models they’re gravitating towards can unlock valuable insights as professionals craft their next move and position themselves one step ahead in a competitive market. To learn more about sedan insights, view the full Automotive Consumer Trends Report: Q4 2024 presentation.

The electric vehicle (EV) market continues to see remarkable growth as both new and used registrations rise year-over-year. For the first time, new EVs accounted for 9.2% of all retail vehicle registrations across the U.S. in 2024, according to Experian’s 2024 EV Year in Review Report, and used EV registrations climbed to just over 1%, from 0.7% the year prior. As we dove into the data, we found that Tesla remains the dominant player in both new and used sectors; however, the shift in consumer preferences is extending across various manufacturers with more models hitting the market. For instance, Tesla accounted for 50.7% of new retail registrations in 2024, from 60.6% in 2023. Meanwhile, Ford increased from 4.7% to 6.2% year-over-year and Hyundai went from 4.2% to 5.4%. On the used side, Tesla made up 59% of retail registrations, from 60% in 2023, while Chevrolet grew from 7.1% to 9% and Nissan was at 5.4%, from 8.3%. As the EV market continues to grow, it’s not just the various manufacturers making waves; geographical trends are also coming into play in shaping how these vehicles are being embraced nationwide. While EV adoption is expanding well beyond the traditional EV strongholds, California still holds the highest number of registrations, with Los Angeles accounting for more than 180,000 new retail EV registrations, followed by San Francisco at 91,000+ and San Diego with more than 31,000. Hartford and New Haven, Connecticut experienced the highest growth in new retail EV registrations over the last five years, reaching 110.5% in 2024. Close behind were El Paso, Texas (with a 99% increase), and Colorado Springs, Colorado (with an 85.7% spike). These shifts highlight the rapid expansion of EV adoption across the country as we see more consumers in diverse areas opting for the fuel type. Analyzing and leveraging the broader range of registrations will help automotive professionals as they identify emerging markets to effectively tailor their strategies. To learn more about EV insights, visit Experian Automotive’s EV Resource Center.

Quick Summary: Leasing continues to increase in the electric vehicle (EV) market. EVs accounted for nearly 20% of all new vehicle leases in Q4 2024, up from only 2.11% of new vehicle leases four years ago in Q4 2020. With consumers looking for flexibility—both in monthly payment and model availability—we’re seeing leasing continue to surge in the electric vehicle (EV) market. According to Experian’s State of the Automotive Finance Market Report: Q4 2024, EVs accounted for 19.5% of all new vehicle leases this quarter, up from 11.7% last year and a substantial increase from 2.1% in Q4 2020. Diving a bit deeper, data found EVs accounted for 9.3% of all new purchases in Q4 2024. Of those EVs, 50.1% were leased, while 38.9% were financed through loans. With lease payments for EVs ultimately being more affordable compared to loans and the excitement of driving the latest models packed with advanced technology, it’s no surprise we’re seeing leasing grow in popularity. Top leased EVs: How do lease and loan payments compare? As more consumers transition to EVs and manufacturers introduce new options to their lineup, certain models have become top choices for those opting to lease. Tesla accounted for the top two leased EVs in Q4 2024, with Tesla Model 3 coming in at 12.2% and Tesla Model Y at 9.1%. However, the Honda Prologue followed closely at 8.8% this quarter. Rounding out the top five were Hyundai IONIQ 5 (6.9%) and Chevrolet Equinox EV (5.9%). It’s notable that leasing has traditionally been a value-driven option for consumers, and the same holds true in the EV market. Leasing continues to offer lower monthly payments, making the finance option stand out for those looking to test an EV before purchasing or simply wanting the latest model on the lot. In Q4 2024, the average payment difference between a loan and a lease was $175. Though, the average monthly payment to lease a non-luxury EV was $504 this quarter, noting a $205 difference compared to the $709 loan payment. By comparison, the average monthly payment between a loan and leased luxury EV was $98—coming in at $842 for a lease and $940 for a loan. As more consumers choose to lease EVs, automotive professionals in both new and used markets have a chance to capitalize on this trend. By leveraging this data, those in the new retail market can effectively reach the right audience, while those in the used market can stay ahead of the curve and prepare for the influx of off-lease models in the coming years. To learn more about automotive finance trends, view the full State of the Automotive Finance Market: Q4 2024 presentation on demand.

With the National Automobile Dealers Association (NADA) Show set to kickoff later this week, it seemed fitting to explore how the shifting dynamics of the used vehicle market might impact dealers and buyers over the coming year. Shedding light on some of the registration and finance trends, as well as purchasing behaviors, can help dealers and manufacturers stay ahead of the curve. And just like that, the Special Report: Automotive Consumer Trends Report was born. As I was sifting through the data, one of the trends that stood out to me was the neck-and-neck race between Millennials and Gen X for supremacy in the used vehicle market. Five years ago, in 2019, Millennials were responsible for 33.3% of used retail registrations, followed by Gen X (29.5%) and Baby Boomers (26.8%). Since then, Baby Boomers have gradually fallen off, and Gen X continues to close the already minuscule gap. Through October 2024, Millennials accounted for 31.6%, while Gen X accounted for 30.4%. But trends can turn on a dime if the last year offers any indication. Over the last rolling 12 months (October 2023-October 2024), Gen X (31.4%) accounted for the majority of used vehicle registrations compared to Millennials (30.9%). Of course, the data is still close, and what 2025 holds is anyone’s guess, but understanding even the smallest changes in market share and consumer purchasing behaviors can help dealers and manufacturers adapt and navigate the road ahead. Although there are similarities between Millennials and Gen X, there are drastic differences, including motivations and preferences. Dealers and manufacturers should engage them on a generational level. What are they buying? Some of the data might not come as a surprise but it’s a good reminder that consumers are in different phases of life, meaning priorities change. Over the last rolling 12 months, Millennials over-indexed on used vans, accounting for more than one-third of registrations. Meanwhile, Gen X over-indexed on used trucks, making up nearly one-third of registrations, and Gen Z over-indexed on cars (accounting for 17.1% of used car registrations compared to 14.6% of overall used vehicle registrations). This isn’t surprising. Many Millennials have young families and may need extra space and functionality, while Gen Xers might prefer the versatility of the pickup truck—the ability to use it for work and personal use. On the other hand, Gen Zers are still early in their careers and gravitate towards the affordability and efficiency of smaller cars. Interestingly, although used electric vehicles only make up a small portion of used retail registrations (less than 1%), Millennials made up nearly 40% over the last rolling 12 months, followed by Gen X (32.2%) and Baby Boomers (15.8%). The market at a bird’s eye view Pulling back a bit on the used vehicle landscape, over the last rolling 12 months, CUVs/SUVs (38.9%) and cars (36.6%) accounted for the majority of used retail registrations. And nearly nine-in-ten used registrations were non-luxury vehicles. What’s more, ICE vehicles made up 88.5% of used retail registrations over the same period, while alternative-fuel vehicles (not including BEVs) made up 10.7% and electric vehicles made up 0.8%. At the finance level, we’re seeing the market shift ever so slightly. Since the beginning of the pandemic, one of the constant narratives in the industry has been the rising cost of owning a vehicle, both new and used. And while the average loan amount for a used non-luxury vehicle has gone up over the past five years, we’re seeing a gradual decline since 2022. In 2019, the average loan amount was $22,636 and spiked $29,983 in 2022. In 2024, the average loan amount reached $28,895. Much of the decline in average loan amounts can be attributed to the resurgence of new vehicle inventory, which has resulted in lower used values. With new leasing climbing over the past several quarters, we may see more late-model used inventory hit the market in the next few years, which will most certainly impact used financing. The used market moving forward Relying on historical data and trends can help dealers and manufacturers prepare and navigate the road ahead. Used vehicles will always fit the need for shoppers looking for their next vehicle; understanding some market trends will help ensure dealers and manufacturers can be at the forefront of helping those shoppers. For more information on the Special Report: Automotive Consumer Trends Report, visit Experian booth #627 at the NADA Show in New Orleans, January 23-26.

The automotive industry is constantly changing. Shifting consumer demands and preferences, as well as dynamic economic factors, make the need for data-driven insights more important than ever. As we head into the National Automobile Dealers Association (NADA) Show this week, we wanted to explore some of the trends in the used vehicle market in our Special Report: State of the Automotive Finance Market Report. Packed with valuable insights and the latest trends, we’ll take a deep dive into the multi-faceted used vehicle market and better understand how consumers are financing used vehicles. 9+ model years grow Although late-model vehicles tend to represent much of the used vehicle finance market, we were surprised by the gradual growth of 9+ model year (MY) vehicles. In 2019, 9+MY vehicles accounted for 26.6% of the used vehicle sales. Since then, we’ve seen year-over-year growth, culminating with 9+MY vehicles making up a little more than 30% of used vehicle sales in 2024. Perhaps more interesting though, is who is financing these vehicles. Five years ago, prime and super prime borrowers represented 42.5% of 9+MY vehicles, however, in 2024, those consumers accounted for nearly 54% of 9+MY originations. Among the more popular 9+MY segments, CUVs and SUVs comprised 36.9% of sales in 2024, up from 35.2% in 2023, while cars went from 44.3% to 42.9% year-over-year and pickup trucks decreased from 15.9% to 15.6%. 2024 highlights by used vehicle age group To get a better sense of the overall used market, the segments were broken down into three age groups—9+MY, 4-8MY, and current +3MY—and to no surprise, the finance attributes vary widely. While we’ve seen the return of new vehicle inventory drive used vehicle values lower, it could be a sign that consumers are continuing to seek out affordable options that fit their lifestyle. In fact, the average loan amount for a 9+MY vehicle was $19,376 in 2024, compared to $24,198 for a vehicle between 4-8 years old and $32,381 for +3MY vehicle. Plus, more than 55% of 9+MY vehicles have monthly payments under $400. That’s not an insignificant number for people shopping with the monthly payment in mind. In 2024, the average monthly payment for a used vehicle that falls under current+3MY was $608. Meanwhile, 4-8MY vehicles came in at an average monthly payment of $498, and 9+MY vehicles had a $431 monthly payment. Taking a deeper dive into average loan amounts based on specific vehicle types—as of 2024, current +3MY cars came in at $28,721, followed by CUVs/SUVs ($31,589) and pickup trucks ($40,618). As for 4-8MY vehicles, cars came in with a loan amount of $22,013, CUVs/SUVs were at $23,133, and pickup trucks at $31,114. Used 9+MY cars had a loan amount of $19,506, CUVs/SUVs came in at $17,350, and pickup trucks at $22,369. With interest rates remaining top of mind for most consumers as we’ve seen them increase in recent years, understanding the growth from 2019-2024 can give a holistic picture of how the market has shifted over time. For instance, the average interest rate for a used current+3MY vehicle was 8.0% in 2019 and grew to 10.2% in 2024, the average rate for a 4-8MY vehicle went from 10.3% to 12.9%, and the average rate for a 9+MY vehicle increased from 11.4% to 13.8% in the same time frame. Looking ahead to the used vehicle market It’s important for automotive professionals to understand and leverage the data of the used market as it can provide valuable insights into trending consumer behavior and pricing patterns. While we don’t exactly know where the market will stand in a few years—adapting strategies based on historical data and anticipating shifts can help professionals better prepare for both challenges and opportunities in the future. As used vehicles remain a staple piece of the automotive industry, making informed decisions and optimizing inventory management will ensure agility as the market continues to shift. For more information, visit us at the Experian booth (#627) during the NADA Show in New Orleans from January 23-26.

Electric vehicles (EVs) are the topic of conversation in the automotive industry, but we’re continuing to see another fuel type pick up speed. With consumer demand shifting and drivers exploring more fuel-efficient options, the automotive market is leaning back into hybrids. In fact, new retail hybrid registrations grew to 11.5% through Q3 2024, from 9.5% through Q3 2023, according to Experian’s Automotive Market Trends Report: Q3 2024. Meanwhile, EVs increased from 7.7% to 8.2% year-over-year and gasoline vehicles declined to 70.4% this year, from 72.7% last year. Despite EVs gaining notable attention over recent years, some consumers may be factoring in the benefits of opting for a hybrid, such as the convenience of driving a longer distance without facing challenges as charging stations remain limited. As more manufacturers adapt to consumer needs and roll out additional vehicles, data shows 9.1% of 2024 model year vehicles in operation were attributed to hybrids, while 6.2% of 2024 model years were EVs through Q3 2024. Having more models enter the market has shifted the hybrid and plug-in hybrid electric vehicle (PHEV) market share, with the Toyota Camry making up 12.5% of the market share this quarter, a notable increase from 2.4% last year. On the other hand, the Jeep Wrangler 4xe went from having 4.5% of market share last year to 2.4% through Q3 2024. With many consumers continuing to have some concerns around EVs such as range anxiety and charging times, they’re seeking a more practical solution for their daily driving needs. The balance of fuel options provides more convenience—making hybrids an appealing choice for those wanting an EV alternative. It’s important for manufacturers to stay ahead of the competitive market as it’s constantly evolving. Leveraging the most current data can provide solutions that address both feasibility and consumer preference. To learn more about vehicle market trends, view the full Automotive Market Trends Report: Q3 2024 presentation on demand.

Pickup trucks are a staple of the automotive industry. Their utility and versatility allow consumers to haul heavy loads or tow large trailers, making them ideal for blue-collar workers. At the same time, pickup trucks offer a sleek appearance that can be aesthetically appealing. And now, we’re seeing the next evolution of the pickup truck: EVs. According to Experian’s Automotive Consumer Trends Report: Q3 2024, of the 292.1 million vehicles in operation, more than 54 million were pickup trucks. Furthermore, 17.4% of new retail registrations this quarter were pickup trucks, while pickup trucks made up 19.2% of used retail registrations. Interestingly, we’re seeing more consumer demand for EV pickup trucks. Over the last 12 months, the Ford F-150 Lightening made up 42.2% of the EV pickup truck market share, closely followed by the Tesla Cybertruck at 37.9%. Rounding out the top five were the Rivian R1T (14.2%), GMC Hummer EV (4.8%) and Chevrolet Silverado EV (0.9%). Still room for the ICE pickup Although we’re beginning to see EV pickup trucks gain some prominence, the overwhelming majority of pickups on the road are gas-powered. In fact, over the last 12 months, 14.5% of new retail pickup truck registrations were attributed to the Chevrolet Silverado 1500, followed by the Ford-150 at 13.4% and the GMC Sierra 1500 (9.1%). Though, data found the preference flipped for the used side, with the Ford F-150 leading at 18.1% of retail pickup registrations and the Chevrolet Silverado 1500 at 13.9%, followed by the GMC Sierra 1500 (6.2%). With more consumers not only maintaining a keen interest in gasoline pickup trucks, but also moving into the EV space, the current data can be leveraged in more ways than one as professionals diversify their sales strategies while optimizing dealership inventory. To learn more about pickup truck insights, view the full Automotive Consumer Trends Report: Q3 2024 presentation or The Trade Desk Brochure.

Electric vehicle (EV) registrations are re-gaining momentum as a wave of more affordable models hit the market, pushing more consumers than ever to make the transition. According to Experian’s State of the Automotive Finance Market Report: Q3 2024, EVs made up 10.1% of new vehicle financing this quarter, increasing more than 30% from last year. Furthermore, 45% of EV consumers leased their vehicle in Q3 2024—resulting in EVs accounting for 17.3% of all new vehicle leasing. Of the top five transacted EV models this quarter, Tesla accounted for three—with the Tesla Model Y leading at 31.8%, followed by the Tesla Model 3 (14.3%) and Tesla Cybertruck (4.9%). Rounding out the top five were the Ford Mustang Mach-E (3.9%) and Hyundai IONIQ 5 (3.7%). Interestingly, data in the third quarter of 2024 found that consumers’ financing decisions vary based on the EV model they’re looking at. For example, 76.5% of consumers purchased the Tesla Model Y with a loan and 13.1% opted for a lease; on the other hand, only 8.5% of consumers bought the Hyundai IONIQ 5 with a loan and 78.7% chose to lease. Despite the rising interest in leasing as more incentives and rebate programs roll out, some consumers still prefer to purchase their EV with a loan. Understanding financing patterns based on different models is key for professionals as they cater to the diverse preferences and determine the long-term viability of certain EVs and their potential for leasing renewals. Snapshot of the overall vehicle finance market As the finance market continues to stabilize, it’s notable that the average interest rate for a new vehicle fell year-over-year, going from 7.1% to 6.6%, respectively. However, average new vehicle loan amounts increased $736 from last year, reaching $41,068 in Q3 2024, and average monthly payments went from $732 to $737 in the same time frame. On the used side, average interest rates saw a slight uptick to 11.7% in Q3 2024, from 11.6% last year. Meanwhile, the average loan amount dropped from $1,195 over the last year to $26,091 this quarter and the average monthly payment declined from $538 to $520 year-over-year. With the overall market shifting and EVs re-sparking interest, automotive professionals should leverage how consumers are purchasing their vehicles based on average payments and the fuel type as more incentives are being offered. Monitoring these insights can unlock opportunities for tailored financing solutions that meet the needs of consumers as preferences continue to evolve. To learn more about automotive finance trends, view the full State of the Automotive Finance Market: Q3 2024 presentation on demand.

By Erik Hjermstad, VP of Product Management for Experian Automotive In today's digital landscape, where consumers increasingly turn to connected TV and addressable TV for entertainment, precision targeting has become more critical than ever for automotive advertisers. By delivering highly relevant ads to the most likely potential customers, advertisers can maximize campaign effectiveness, increase conversion rates, and ultimately drive a better return on investment (ROI). The following is a summary from a recent article I wrote for Ad Age. The Power of Precision Targeting Precision targeting allows advertisers to focus their efforts on the right people with the right message at the right time. This targeted approach helps minimize wasted ad spend and ensures that every dollar invested makes a meaningful impact. By understanding an audience's demographics, interests, and behaviors, automotive marketers can tailor their messaging to resonate with specific consumer segments and pointedly reach those ready to purchase. Leveraging Data Intelligence for Competitive Advantage To stay competitive, automotive marketers must stay on top of the latest data intelligence. Agencies and marketers have turned to data-driven strategies to set their campaigns apart and increase the likelihood of a consumer purchasing a vehicle. When choosing their consumer audiences, automotive marketers turn to companies like Experian Automotive for data like license, registration, and title. They utilize models based on actual vehicle sales and ownership to target the right audience and measure effectiveness more accurately. Measuring Success: Key Metrics and Omnichannel Measurement To ensure that advertising campaigns deliver results, automotive marketers must have a robust measurement strategy. This involves tracking key metrics such as: Sales: Did the buyer purchase a vehicle? Impressions: The number of times an ad is seen. Clicks: The number of times an ad is clicked on. Conversions: The number of people who take a desired action, such as purchasing. Cost per acquisition (CPA): The cost of acquiring a new customer. Return on ad spend (ROAS): The revenue generated by an ad campaign divided by the cost of the campaign. Experian Automotive offers advertisers a robust measurement solution that provides omnichannel measurement, connecting website visitation and ad exposures to automotive sales. Analysis includes make, model, and vehicle class reporting, competitive analysis, and 30-, 60-, and 90-day vehicle sales projections. The Importance of Omnichannel Measurement In today's interconnected world, automotive consumers interact with brands across multiple channels, including TV, digital, social media, and in-store. Advertisers must adopt an omnichannel measurement approach to truly understand their audience and measure the effectiveness of their campaigns. By tracking consumer behavior across all channels, advertisers can gain a more complete picture of the customer journey and identify opportunities for optimization. Omnichannel measurement integrates data from various sources, such as website analytics, social media metrics, and point-of-sale data. This allows advertisers to understand how consumers interact with their brand at different stages of the buying process and attribute conversions to specific channels and touchpoints. By leveraging omnichannel measurement, advertisers can make more informed decisions about their marketing investments and deliver a more cohesive and personalized customer experience. Measurement is critical to advertising success for several reasons: Optimization: By tracking key metrics, advertisers can identify what is working versus what is not and make necessary adjustments to improve campaign performance. Attribution: Measurement helps determine which marketing channels and tactics drive the most conversions. ROI analysis: By measuring the ROI of their campaigns, advertisers can justify their marketing investments and demonstrate the value they bring to the business. Navigating the Challenges of the Streaming Era While precision targeting and measurement are essential in the streaming era, advertisers face unique challenges. The fragmented nature of the streaming landscape, with its multiple platforms and devices, can make it challenging to track consumer behavior and measure campaign effectiveness. However, advancements in data technology and measurement tools provide advertisers with many new opportunities to overcome these challenges. By leveraging data intelligence, using deterministic data models to understand their audience, and tracking key metrics, advertisers can deliver highly relevant ads that drive results and maximize their ROI.

Summary:  Gen Z, Millennials, Gen X, and Boomers each have unique automotive buying preferences and your strategies to reach each generation should reflect these preferences. The automotive landscape is shaped by the distinct preferences of different generations. From Gen Z to Boomers, each generation brings unique buying habits that automotive marketers must understand to stay competitive. Below is a brief overview of the key insights from the latest reports on Gen Z, Millennials, Gen X, and Boomers. To learn more about how to market to each generation, download the respective playbook. Gen Z (Born 1996–2015) Gen Z buyers are digital natives who prefer compact vehicles. The Honda Civic leads in market share for this group, showcasing their preference for smaller, fuel-efficient cars. They rely heavily on digital platforms for their research, with 73% of impressions delivered through Connected TV (CTV). Millennials (Born 1981–1995) Millennials value technology and eco-friendly options. Crossovers (CUVs) are their top choice, making up 50.2% of new vehicle registrations. Electric and hybrid vehicles are also popular, reflecting their environmental consciousness. Popular models include the Honda Civic and Toyota RAV4. Gen X (Born 1965–1980) Gen X buyers favor practicality and reliability, gravitating toward SUVs and trucks. The Ford F-150 is the top model among this group, and they are more likely to invest in luxury or exotic vehicles than younger generations. Boomers (Born 1946–1964) Boomers remain loyal to traditional brands, with a strong preference for non-luxury and luxury cars, such as the Honda CR-V and Ford F-150. They also favor gas-powered vehicles over electric, though hybrid options are gaining ground. Summary Understanding generational differences is crucial to developing effective marketing strategies that resonate with each group’s unique preferences. For a more detailed generational analysis, download the full report. Experian Automotive is here to help you with your marketing needs. If you’d like to learn more about our solutions and how we can support you, contact us below.

As the desire for flexibility and affordability continues to grow across the overall vehicle market, it seems the trend is carrying over into the electric vehicle (EV) space—resulting in more manufacturers rolling out new models as the number of consumers opting for the electric fuel type rises. According to Experian’s Automotive Consumer Trends Report: Q2 2024, non-luxury EV registrations grew to 26.6%, from 22.7% last year, while exotic and luxury declined from 77.3% to 73.4% year-over-year. Furthermore, of the 291.1 million vehicles on the road in Q2 2024, EVs accounted for over 3.5 million, an increase from more than 2.7 million last year. Historically, EVs were often viewed as luxury vehicles that offered limited model availability to choose from. Though, it’s notable that as more non-luxury models are introduced, the EV market share is witnessing a shift in consumer preference. For instance, Ford led the new retail non-luxury EV market at 21.9% in Q2 2024, from 24.0% last year. Hyundai increased from 15.2% to 19.3% year-over-year, Chevrolet decreased from 24.2% to 13.2%, Kia went from 9.2% to 12.5%, and Volkswagen declined to 11.2% this quarter, from 15.8% in Q2 2023. Consumers continue to embrace EVs While understanding the current EV market share allows automotive professionals to assist in-market shoppers more effectively, leveraging multiple data points allows for a more nuanced perspective while helping them prepare for the future as the market continues to evolve. It’s notable that 77.4% of EV owners replaced their current EV with another one in the last 12 months. Meanwhile, 16.2% transitioned to a gasoline fuel type and 3.2% switched to a hybrid. With the EV model lineup expanding, consumers are potentially intrigued by the new options or holding steadfast to a manufacturer. Regardless, the majority of current EV owners are remaining loyal to the fuel type. However, data found that 81% of households with at least one EV also own a gasoline-powered vehicle, 14% also own a hybrid, and 12% own an additional EV. There are a number of factors that can play a role in owning another vehicle alongside an EV—such as range anxiety or tasks that require a larger and more versatile vehicle—so having a secondary option allows consumers to maintain the flexibility to meet diverse transportation needs. To learn more about EV insights, view the full Automotive Consumer Trends Report: Q2 2024 presentation.

Quick Answer: A new consumer survey reveals that 90% of survey respondents would like to have more than one Vehicle History Report when shopping for a used car. Offering an Experian AutoCheck® VHR as a second Vehicle History Report is a smart, simple strategy to help you close more deals.   In today’s used car market, standing out from the crowd is more important than ever. As buyers become savvier and more informed, dealerships need to find new ways to build trust and close sales. One simple yet effective strategy? Offering a second Vehicle History Report (VHR) to your customers. Why VHRs Matter So Much Let’s face it—buying a car is a big deal. Most people don’t just walk onto a lot and pick the first car they see. They do their homework, and a big part of that research involves Vehicle History Reports. In fact, a recent survey found that 70% of people used a VHR the last time they bought a car. And it’s not just a one-time thing—83% of buyers say they’ll use a VHR for their next purchase too. Why? Because these reports provide crucial details like accident history, mileage accuracy, and service records that give buyers confidence in their decisions. The Case for Offering Multiple VHRs Here’s something that might surprise you: 90% of surveyed car buyers said they’d like to see more than one VHR when shopping for a used car. Think about that for a second. People want that extra layer of reassurance that only comes from cross-checking information. This is especially true for those who prefer buying from dealerships—these customers expect comprehensive, reliable data before they make a decision. How Multiple VHRs Can Give Your Dealership an Edge So, what’s the big deal about offering more than one VHR? It’s all about trust and transparency. Just like banks look at multiple credit reports before approving a loan, offering multiple VHRs can help you provide a fuller, more accurate picture of a vehicle’s history. This can reduce your liability and protect your dealership’s reputation. We have done some digging into this, and the results are eye-opening. For instance, in one case study, a dealership found additional damage events through an Experian AutoCheck® VHR that weren’t picked up by other VHRs. This kind of discrepancy shows just how valuable it can be to provide that second report—it helps ensure that all the facts are on the table, which protects both you and your customers. Meeting and Exceeding Customer Expectations Here’s something else to keep in mind: people expect dealerships to go the extra mile. The survey found that 86% of used car buyers believe VHRs should be provided for free by the dealership. By offering multiple reports at no additional cost, you’re not just meeting their expectations—you’re exceeding them. And that’s a surefire way to boost customer confidence, satisfaction, and, ultimately, your sales. What You Can Do Today Offering a second Vehicle History Report is a smart, simple strategy to help you close more deals. It shows your customers that you’re committed to transparency and that you care about providing them with all the information they need to make a confident decision. In a competitive market, it’s the little things like this that can make a big difference. Your customers—and your bottom line—will thank you. Experian Automotive is here to help you with your vehicle history data needs.  If you’d like to learn more about our AutoCheck solution and how we can support you, click below to have someone from our team contact you.

Driven by a range of appealing factors including lower monthly payments and a wider array of models—due to the continuous rise in new vehicle inventory—leasing has reappeared as an optimal choice for consumers who are in the market for a vehicle. According to Experian’s State of the Automotive Finance Market Report: Q2 2024, leasing increased to 25.35%, up from 21.14% in Q2 2023 and 19.30% the year prior. While the average monthly payment and interest rate for a new loan modestly increased year-over-year, leasing is increasingly becoming a more attractive option for those leaning towards flexibility and affordability. For example, the average monthly payment on a leased vehicle was $148 less than a loan this quarter. What’s more, it seems consumers are leaning towards larger vehicles. For instance, the Honda CR-V (2.98%) continued to lead the top leased models in Q2 2024, and it was followed closely by the Tesla Model Y (2.61%). Rounding out the top five were the Honda Civic (2.29%), Ford F-150 (2.02%), and Chevrolet Silverado 1500 (1.86%). Prime financing grows and lease payments decline across all segments When looking at risk distribution trends in Q2 2024, prime consumers accounted for nearly 70% of the total finance market—with prime coming in at 37.82%, down from 39.84% last year and super prime increasing from 28.98% to 31.59% year-over-year. Subprime also saw a slight increase, going from 13% to 13.06% during the same period. It’s notable that all risk segments experienced a decrease in average monthly payments for leased vehicles, as super prime went from $601 in Q2 2023 to $586 in Q2 2024, prime declined to $583 this quarter, from $596 last year, and subprime was at $597, from $611. With the average monthly payments declining year-over-year for majority of shoppers, it can potentially create a more competitive market and drive more consumers towards this finance option—something automotive professionals should keep a close eye on. New and used vehicle finance market overview Data in Q2 2024 found that new vehicle loan amounts increased slightly, reaching $40,927, up from $40,743 last year, and the average interest rate went from 6.78% to 6.84% year-over-year. Despite the increases, the average monthly payment for a new vehicle only experienced a $1 growth to $734 this quarter. On the used side, the average loan amount declined from $27,316 Q2 2023 to $26,248 in Q2 2024, and the average rate grew from 11.47% to 12.01% in the same time frame. Though, the average monthly payment declined to $525 this quarter, from $536 last year. As the automotive industry continues to adapt to the changing market conditions and consumer preferences, it’s important for professionals to leverage the most current data—this will allow them to effectively assist consumers by meeting their financial needs with the available options. To learn more about automotive finance trends, view the full State of the Automotive Finance Market: Q2 2024 presentation on demand.

Quick Answer: New research on generational buying habits can help the auto industry better understand target audiences and improve marketing.  The automotive industry is undergoing a rapid transformation, driven by technological advancements, changing consumer preferences, and a diverse marketplace. To navigate this complex landscape, understanding your target audience is key. This is where generational insights are indispensable.     Why Generations Matter  Each generation brings unique values, preferences, and buying behaviors to the table. Ignoring these differences can lead to ineffective marketing campaigns and missed opportunities.  Different Needs and Priorities: Baby Boomers, Gen X, Millennials, and Gen Z have distinct needs and priorities when it comes to vehicles. For example, Baby Boomers may purchase more luxury vehicles, while Gen Z purchases a higher percentage of non-luxury vehicles.  Communication Styles: Each generation responds differently to marketing messages. Traditional advertising might resonate with Baby Boomers, while social media and influencer marketing could be more effective for younger generations.  Purchasing Behavior: The way people research and purchase cars has evolved significantly across generations. Understanding these differences can help you optimize your sales process.  Leveraging Generational Insights  To effectively leverage generational insights, consider the following:  Conduct In-Depth Research: Gain a deep understanding of each generation's values, preferences, and buying habits. Use data analytics, surveys, and focus groups to gather insights.  Create Targeted Messaging: Develop tailored messaging that resonates with each generation. Highlight the features and benefits that matter most to them.  Choose the Right Channels: Select the most effective marketing channels for each generation. For example, television advertising might be less effective for Gen Z compared to social media.  Personalize the Customer Experience: Offer personalized experiences that cater to the specific needs and preferences of each generation.  Embrace Technology: Utilize technology to reach and engage different generations. For example, virtual showrooms or augmented reality experiences can appeal to younger consumers.  Special Report: Generational Insights  We've conducted in-depth research on generational buying habits for new and used vehicles. These insights can revolutionize your automotive marketing and sales strategies. Gain a competitive edge with our Automotive Consumer Trends Special Report: Generation Insights. Discover how to tailor your approach for maximum impact. Conclusion  In today's competitive automotive market, understanding your target audience is essential for success. By incorporating generational insights into your marketing strategy, you can create more effective campaigns, build stronger customer relationships, and drive sales growth. Remember, a one-size-fits-all approach is unlikely to work. Embrace the diversity of your audience and tailor your message accordingly.  Experian Automotive is here to help you with your marketing needs.  If you’d like to learn more about our solutions and how we can support you, contact us below.

Quick Answer: Dealerships can avoid purchasing flood-damaged vehicles with Experian AutoCheck's Free Flood Risk Check. The used car market is tough right now. Unfortunately, recent floods in several areas have added another challenge: flood-damaged vehicles. These cars pose a big risk to dealerships. Buying one can lead to expensive repairs, unhappy customers, and damage to your reputation. Experian AutoCheck's Free Flood Risk Check can help. We've updated it with data from recent floods to give you a head start. Here's what the Free Flood Risk Check does: Quickly checks any car's flood risk with just the 17-digit VIN. Provides you with two levels of reporting: See if the car was registered in a region hit by a major FEMA disaster. Find potential flood damage based on Experian data (flood titles, auction records, etc.). Important things to remember: A "Yes" in the first report doesn't confirm flood damage, just that the car was in a flood zone. Even a clean second report isn't a guarantee - some flood damage goes unreported. For extra protection: Run a full Experian AutoCheck Vehicle History Report to uncover other issues like accidents or recalls. Have a mechanic thoroughly inspect any car before you buy it. By using Experian AutoCheck's Free Flood Risk Check and following these tips, you can dramatically reduce the risk of buying a flood-damaged car and protect your dealership. Ready to safeguard your dealership? Not an Experian AutoCheck subscriber?