43
Black Friday deals expected to up November sales
By Kalea Hall
Black Friday auto deals are expected to up the sales this November, analysts say.
“I think we are expecting very strong sales,” said Tim Fleming, analyst for Kelley Blue Book. “With this last weekend, it could push even higher.”
Kelley Blue Book analysts estimate an increase of 2.2 percent in new-vehicle sales with 1.27 million units expected to be sold, and TrueCar projects an increase of 4.1 percent with about 1.3 million units sold. Edmunds foresees a 1.6 percent increase in sales from November 2013 with an expectation of 1.26 million units to be delivered.
All three expect an increase in sales volume for General Motors from November 2013 to this month. TrueCar projects the highest increase of sales, 6.1 percent. Kelley Blue Book analysts project an increase of 1.4 percent, and Edmunds estimates a 0.6 percent increase.
Kelley Blue Book analysts break down projections for each segment and estimate an increase of 1.4 percent from last year for the compact-car segment — the segment that includes the Lords-town-built Chevrolet Cruze.
Don Brady, general manager of Columbiana Buick Cadillac Chevrolet, said all three of the dealership’s brands are running specials.
“We are still going to have record selling in November,” Brady said.
Some of the Black Friday and Cyber Monday deals include 20 percent off the manufacturer’s suggested retail price, which, on some vehicles, means $10,000 off. One of those deals is on the 2015 Buick Regal. The 2014 models also come with deals.
Kelley Blue Book’s list of Black Friday deals includes lease specials on the 2014 Cadillac ATS, 2014 Cadillac CTS and the 2015 Chevrolet Malibu. The ATS includes a 36-month term lease at $299 a month and $749 due at signing; the Malibu comes with a 36-month lease term at $189 a month and $2,119; and the CTS comes with a 36-month lease term at $409 a month and $1,500 due at signing, according to Kelley Blue Book.
Brady, who has been in the auto business for 20 years, thinks jumping on the Black Friday bandwagon is a smart idea for auto manufacturers.
“That is when people are shopping,” he said. “There is a lot of hype around it.”
Larry Dominique, executive vice president of industry insights for TrueCar, said the Black Friday excitement in the auto industry has excited consumers.
“If you look back over the last 20 to 30 years, August was always the best time to buy, but close to 10 years ago you started to see a shift,” he said.
After that, manufacturers started with year-end sales, and within the past five years started to leverage the Black Friday and Cyber Monday trend. Dominique “absolutely” foresees another strong month of sales for the auto industry.
Manufacturers will release November sales figures Tuesday.