Tracking the decline of trade-ins
For the last two years, the automotive industry has felt like a WWE wrestling SmackDown event. This current year is turning out to be WORSE than last year. Here are insights into the used car inventory on Dealer Lots:
This graph compares the last 3 years: 2019 (normal), 2020 (COVID), and 2021 (Feb storms and chip shortage)
These numbers show the used vehicles that were first posted for sale on dealers' lots across the country. This includes both franchises and independents.
Typically, these are the vehicles that someone has traded in when purchasing another vehicle.
The lines are a 7-day rolling average
The lines show 2019 with fairly normal cycles which include a slow down towards the year's end.
The COVID shutdown is evident in April of 2020.
The normal industry cycles are evident at the end of 2020, although lower overall.
Finally, we can see the effects of the February storms and now the chip shortage, which has caused a large divergence. Source: Xcelerated Data® I Sold It™ file (compiled daily)