• News
  • Guides
  • Reviews
  • Media
  • About
  • News
  • Guides
  • Reviews
  • Media
  • About
Sign up Now (For Free)

Sign up for our newsletter and receive the latest automotive news in your inbox!

Invalid email address
We promise not to spam you. You can unsubscribe at any time.
Thanks for subscribing!
News
Read Now
  • All News
  • Automakers
  • Automobiles
  • Auto Shows
  • Business
  • EVs & Environment
  • Guides
  • Lawsuits/Legal
  • Regulatory
  • Ride-Sharing
  • Safety & Recalls
  • Technology
Recent
  • Ford Halts $3.5B MI Battery Plant; Fain Slams Company
  • An Electric Acura NSX Could Be Coming
  • Jeep Culture is a Real Thing
  • Porsche Cars North America Gets a New CEO
  • Canadian Union Approves New Contract with Ford
  • The Rearview Mirror: Birth of a Legendary Design
  • UAW Ups Pressure, Expands Strikes to Parts Depots
  • Ineos Begins Grenadier Production for North America
  • VinFast Focuses on Europe to Beat Chinese Rivals to Market
  • Honda Establishes Global Motorsports Organization
Editor’s Choice
    Reviews
    Read Now
    • All Reviews
      • Feeder
    • Classic Cars
    • Concept Cars
    • Convertibles
    • Coupes
    • Crossovers/CUVs
    • Diesel
    • Hot hatches
    • Hybrids
    • Luxury Vehicles
    • Minivans
    • Muscle Cars
    • Pickups
    • Sedans
    • Sports Cars
    • Super Cars
    • SUVs
    Recent Reviews
    • A Week With: 2024 Mazda CX-90 Turbo S Premium Plus
    • A Week With: 2024 Mercedes-AMG EQE SUV
    • A Week With: The 2024 BMW i7 xDrive60
    • A Week With: 2024 Alfa Romeo Tonale Veloce AWD
    • A Week With: 2023 Toyota Camry XSE Hybrid
    • A Week With: 2024 Subaru Impreza RS
    • A Week With: 2023 Chevrolet Colorado ZR2 Desert Boss
    • First Drive: 2024 Polestar 2
    • A Week With: 2024 Mercedes-Benz GLE 450 4Matic
    • A Week With: 2023 Mazda CX-50 Turbo
    Editor’s Choice
      Guides
      Car Warranty
      • Endurance Warranty Reviews
      • BMW Extended Warranty
      • Extended Warranty For Cars Over 100k Miles
      • Extended Car Warranty Cost
      • Subaru Extended Warranty
      • CarShield Reviews
      • CarShield Cost
      • Aftermarket Car Warranty
      • CARCHEX Warranty Reviews
      • Reputable Extended Car Warranty Companies
      • Used Car Warranty Companies
      • Best Car Warranty
      • Is CarShield A Scam?
      • Mercedes Extended Warranty
      • CarShield Plans
      Insurance
      • How To Identify A Car Insurance Company
      • Geico Mechanical Breakdown Insurance
      • How Far Back Does A Car Insurance Company Look
      • Mechanical Breakdown Insurance For Used Cars
      • State Farm Mechanical Breakdown Insurance
      • Mechanical Breakdown Insurance From Progressive
      • Dollar A Day Insurance
      • Auto Insurance For SSI Recipients
      • Car Insurance Rates After A Suspended License
      • Auto Insurance For Salvage Vehicles
      • Average Cost of Dodge Ram 1500 Car Insurance
      • Car Insurance Florida
      • Full Coverage Auto Insurance
      • GrubHub Insurance
      • Amazon Delivery Auto Insurance
      Shipping
      • Car Shipping Companies
      • uShip Reviews
      • Auto Shipping From California To Hawaii
      • Montway Auto Transport Reviews
      • Cheap Car Shipping
      • Easy Auto Ship Reviews
      • Auto Shipping Miami
      • Auto Shipping To Alaska
      • Car Shipping Cost
      • Auto Shipping Hawaii
      • Auto Shipping Puerto Rico
      • Sherpa Auto Transport Reviews
      • Auto Shipping Atlanta
      • Auto Shipping Boston
      • Auto Shipping. Chicago
      About
      • About Us
      • Contact Us
      • Terms of Use
      • Privacy Policy
      • Affiliate Disclosure
      • Sitemap
      TheDetroitBureau.com

      More than just “another” place to find news, reviews, spy shots, commentary, features, and guides about the auto industry. TheDetroitBureau doesn’t stop with the press releases or confuse a few lines of opinion with insightful, in-depth reporting.

      Contact Us

      Like what you see? Have some ideas for making The Detroit Bureau.com even better? Let us know, we’d love to hear your voice.

        Media
        Listen Now
        • Headlight News: All Episodes
        More from TheDetroitBureau
        • Guides
        • Latest News
        • Auto Reviews
        • Podcasts
        Headlight News

        TheDetroitBureau.com’s Headlight News offers a look at the past week’s top automotive news stories, as well as what’s coming up in the week ahead. Check out the week’s top story and our latest review…along with a dive into the past with this week in automotive history.

        home > news > Sales > Automakers Expect to Enjoy Positive Results in September

        Automakers Expect to Enjoy Positive Results in September

        J.D. Power and LMC Automotive predict 5.4% sales jump.

        Michael Strong
        Michael Strong , Managing Editor
        Sept. 28, 2022

        Automakers have been suffering through a tough year in terms of new vehicle sales. However, the tide began turning a bit in August, completes the transition to a year-over-year increase of 5.4% for retail sales, according to a new prediction.

        February car sales
        J.D. Power and LMC Automotive analysts predict new retail vehicle sales will rise 5.4% in September.

        The analysts at J.D. Power and LMC Automotive released their monthly sales forecast Wednesday, which predicts the uptick in sales for automakers in September. Overall sales are expected to jump 11.8% to a total of 1.12 million vehicles.

        The seasonally adjusted annualized rate for total new-vehicle sales is expected to be 13.6 million units, up 1.5 million units from 2021.

        “Traditionally, September is a high-volume sales month as manufacturers implement promotions for Labor Day to clear out old model-year vehicles and start sales of the new model-year products,” said Thomas King, president of the data and analytics division at J.D. Power. “This September, while holiday promotions were nearly nonexistent, modest improvements in vehicle production allowed manufacturers to tap pent-up consumer demand. 

        “The result is a retail sales pace that shows a modest increase from a year ago but still falls below its potential due to tight vehicle availability. Although rising interest rates are putting pressure on affordability, transaction prices still rose and consumers spent more money on new vehicles this month than any previous September on record.”

        Strong finish helps quarterly numbers

        Depending upon which numbers you’re using, automakers are going to have encouraging news to share for the entire quarter. However, the retail side isn’t going to be the happy part of the report for car companies in the third quarter.

        Car dealers sales area
        Overall new vehicle sales are going to jump 11.8%, according to the forecast.

        New-vehicle retail sales for Q3 2022 are projected to reach 2,900,300 units, a 4.2% decrease from Q3 2021 when adjusted for selling days. Retail sales for year-to-date Q3 2022 are projected to reach 8,710,600 units, a 14.9% decrease from year-to-date Q3 2021 when adjusted for selling days.

        However, if the measurement is just amount of metal moved, things get a little rosier as overall new-vehicle total sales for Q3 2022 are projected to reach 3,374,500 units, just a 0.2% increase from Q3 2021. New-vehicle total sales for year-to-date Q3 2022 are projected to reach 10,156,000 units, a 13.3% decrease from year-to-date Q3 2021.

        Still short on vehicles

        While sales are up, the number of vehicles available for purchase are expected to remain well below the norm, coming in below 1 million units. This marks the 16th consecutive month that’s happened and with Ford and Toyota recently revealing they’re unable to produce completed vehicles at a regular rate, expect more of the same going forward.

        According to Power and LMC, 53% of vehicles will be sold within 10 days of arriving at a dealership, while the average number of days a new vehicle is in a dealer’s possession before being sold is on pace to be 20 days — down from 23 days a year ago.

        AutoNation car buyer 2021
        Car buyers are still setting new records for what they’re paying for new vehicles, with the average transaction price setting a high-water mark in September.

        The two also noted September 2021 was the second month where inventory shortages had a significant influence on new-vehicle sales. Hence, while sales this month will increase compared to prior year levels, the annualized sales rate remains well below historical norms.

        Fewer vehicles means more money

        However, the upside is that the law of supply and demand appear to be working their magic on what consumers are paying for new vehicles. In September the average transaction price will set a new record, coming in at $45,622. 

        The increase in sales volume, coupled with the near record level transaction prices, is resulting in consumers being on track to spend nearly $43.7 billion on new vehicles this month—the highest level ever for the month of September and a 12% increase from September 2021.

        For Q3 2022, average transaction prices are expected to reach $45,971, a 10.3% increase from Q3 2021 and the highest for any quarter on record. This increase in pricing was more than enough to offset the 4.2% decline in sales volume as retail consumers are on track to spend $133.3 billion on new vehicles in Q3 2022, a 5.6% increase from Q3 2021.

        “The lack of inventory, coupled with strong demand, continues to allow manufacturers to maintain a low level of discounting,” King said in a statement. “The average incentive spend per vehicle is tracking toward $936, a decrease of 47.8% from a year ago. This will mark the fifth consecutive month under $1,000.”

        How to Care for Your Car

        Cheap Car Warranty

        Editor's Choice

        Best Extended Car Warranty

        Editor's Choice
        Recently Published
        Bill Ford at MI EV battery plant event

        Ford Halts $3.5B MI Battery Plant; Fain Slams Company

        Today
        2022 Acura NSX Type S smoking tire teaser

        An Electric Acura NSX Could Be Coming

        Today
        Jeep ducking on grille

        Jeep Culture is a Real Thing

        Yesterday

        Leave a Reply Cancel reply

        Your email address will not be published. Required fields are marked *

        Share this article:
        © The Detroit Bureau 2023
        • Guides
        • Privacy Policy
        • Terms of Use
        • Affiliate Disclosure
        • Contact Us
        • Sitemap
        Follow Us: