Residual Value Projections for New York Auto Show Launches
As the New York International Auto Show gets under way, new rides are being launched right and left. To give dealers and others in the industry an idea of how these vehicles will hold up against time, price-wise, ALG’s Eric Lyman offered a bit of commentary from the show.
Here’s what the ALG vice president of editorial had to say about the potential residual value impact on some of those models hitting the floor of the NYAS showrooms:
Acura MDX
“Traditionally a top performer in ALG’s residual value forecast for the Premium Midsize Utility segment, the MDX has felt the pressure of an increasingly competitive segment with new entries like the Infiniti JX and redesigned Cadillac SRX. A well-received redesign should catapult the MDX back into contention in a highly competitive segment.”
Audi A3
“The all-new Audi A3 demonstrates their focus on capturing younger buyers. A3 will compete with BMW’s upcoming 1 Series and Mercedes’ CLA-Class in a quickly emerging segment. These smaller premium compact cars signal that Americans are willing to pay more for smaller cars, as long as there is robust technology and well-executed design.”
BMW 328d
“If priced right, the BMW 328d has the potential to command a significant percent residual value premium over the already strong 328i. We expect diesel volume to more than double in the next three years, and the 328d is part of that trend.”
Chevrolet Camaro
“When Camaro was resurrected for 2010, it immediately took the muscle car sales crown away from Mustang. While the Mustang has had a few upgrades since then, Camaro only had minor engine tweaks. This time around Camaro has some new visual cues that will keep it desirable in the used market.”
Chevrolet SS
“The SS is a compelling example of GM’s determination to elevate the Chevrolet brand. If priced right, the SS could be a residual value success given the limited production.”
Infiniti Q60
“The Q60 will face strong competition from the all-new 4 Series and refreshed A5. Infiniti’s heritage of offering breakout technology features such-as steer-by-wire will help Infiniti regain top residual value positioning among its competition.”
Jeep Cherokee
“The Cherokee will be a visible player in the sizeable compact utility segment regardless of differing expert opinions the design. Chrysler’s UConnect system to be one of the best in the industry, and the strength of the Cherokee name will elevate the vehicle on consumers’ shopping list.”
Range Rover Sport
“The current generation Range Rover Sport represents an anomaly among aging vehicles – incentives actually dropped as it aged. Proper pricing and a strong redesign along with capable on-road dynamics will continue to position the Range Rover Sport as among the most desirable vehicles in the industry.”
Subaru XV Crosstrek Hybrid
“The XV Crosstrek Hybrid is the right vehicle for the right brand. Given that Subaru’s eco-conscious customers have been begging for a hybrid, Subaru’s first-ever production hybrid vehicle combined with the XV Crosstrek’s sales success seems like we think it’s a perfect match.
Toyota Highlander
“The all-new Highlander couldn’t come soon enough for Toyota. More than half segment’s numerous entries are new or have been refreshed in the past two years. Keeping product relevant is important for strong residuals, particularly given the high volume of this model.”
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