TrueCar's ALG Forecasts 17 Million New Vehicle Sales for 2019
SANTA MONICA, Calif., Jan. 14, 2019 /PRNewswire/ -- TrueCar, Inc.'s (NASDAQ: TRUE) data and analytics subsidiary, ALG, projects 17 million new vehicle sales for 2019.
"Heading into 2019, we are anticipating new vehicle sales to dip slightly by 1.3 percent year over year," said Oliver Strauss, chief economist for TrueCar's ALG. "We're expecting the sales pace to remain relatively unchanged compared to previous years reflecting continued consumer confidence, with U.S. auto sales projected to reach 17 million units."
"In addition to the auto industry remaining stable, economic fundamentals do not seem to indicate a pending recession in 2019. Unemployment rates are at a 49-year low, the housing market continues to perform well, the new tax code is likely driving short term growth and the stock market, while volatile in recent months, remains solid. These factors drive our 17 million unit new vehicle sales projection.
"That said, adverse triggers such as interest rate policy, sustained stock market and housing market decline, or the lack of a satisfying resolution to international trade policy could put downward pressure on new vehicle sales," Strauss continued.
TrueCar's ALG Forecast
Total Sales
Forecast 2019
Actual 2018 YOY
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Industry 17,049,661 17,274,250 -1.3%
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Average Transaction Price (Average Transaction Price)
ATP 2019
ATP 2018 YOY
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Industry 34,096 33,427 2.0%
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Incentive per Unit Spending
Incentives 2019 Incentive 2018 YOY
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Industry 3,857 3,740 3.1%
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(Note: This forecast is based solely on TrueCar's analysis of industry sales trends and conditions and is not a projection of the company's operations.)
About TrueCar
TrueCar, Inc. (NASDAQ: TRUE) is a digital automotive marketplace that provides comprehensive pricing transparency about what other people paid for their cars and enables consumers to engage with TrueCar Certified Dealers who are committed to providing a superior purchase experience. TrueCar operates its own branded site and its nationwide network of more than 16,000 Certified Dealers also powers car-buying programs for some of the largest U.S. membership and service organizations, including USAA, AARP, American Express, AAA and Sam's Club. Over one half of all new car buyers engage with the TrueCar network during their purchasing process. TrueCar is headquartered in Santa Monica, California, with offices in San Francisco and Austin, Texas. For more information, please visit www.truecar.com, and follow us on Facebook, Instagram, Twitter and get updates on our blog.
About ALG
Founded in 1964 and headquartered in Santa Monica, California, ALG is an industry authority on automotive residual value projections in both the United States and Canada. By analyzing nearly 2,500 vehicle trims each year to assess residual value, ALG provides auto industry and financial services clients with market industry insights, residual value forecasts, consulting and vehicle portfolio management and risk services. ALG is a wholly-owned subsidiary of TrueCar, Inc., a digital automotive marketplace that provides comprehensive pricing transparency about what other people paid for their cars. ALG has been publishing residual values for all cars, trucks and SUVs in the U.S. for over 50 years and in Canada since 1981.
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SOURCE TrueCar, Inc.; ALG
