Data shows inventory management challenges persist as Lotlinx customers continue to outperform market averages
DETROIT, Feb. 19, 2025 /PRNewswire/ — Lotlinx, the auto industry’s leading VIN-specific data company for dealership inventory management, announced today its Q4 Quarterly Vincensus Report, the most comprehensive monthly/quarterly inventory report in the industry. The report offers accurate, unparalleled insights into the current state of the automotive retail market for both new and used vehicles, inventory risk, vehicle sales, consumer preferences, and markdown/pricing strategies. Click here to access the full Q4 Quarterly Vincensus Report.
Market Outlook:
The automotive industry continues to experience dynamic shifts entering 2025. New and used vehicle inventories both grew in Q4 as dealers prepared for the holiday season. Hybrid vehicles emerged as a standout performer, with sales increasing by 23% quarter-over-quarter (QoQ), now representing 22% of all new vehicle sales. Meanwhile, electric vehicle (EV) sales grew 22% QoQ, reflecting a clear consumer shift towards electrification.
Despite these advancements, internal combustion engine (ICE) vehicles still dominate the used market, comprising over 90% of sales. Dealers continue to be challenged with rising inventory levels and increasing aged inventory, underscoring the need for advanced inventory management and strategic pricing.
Key Findings
Electric and Hybrid Vehicle Growth
- Hybrid vehicle sales grew 23% QoQ, making up 22% of new vehicle sales.
- EV sales rose by 22% QoQ, driven by strong demand for models like the Chevrolet Equinox EV.
- EV day supply for new vehicles dropped by 12 days QoQ, signaling high turnover.
Inventory Trends
- New vehicle day supply climbed to 76 days (+7 QoQ, +20 YoY).
- Aged inventory hit 54%, its highest level of the year.
- Used vehicle day supply increased by 5 days QoQ to 42 days but remained 2 days lower YoY.
Brand-Specific Insights
- Acura saw a 25% decrease in carryover inventory due to significant reductions in QX60 and QX80 stock.
- Jeep Grand Cherokee 4XE sales surged by 86% QoQ, driving a sharp drop in hybrid day supply.
- Chevrolet’s hybrid and EV portfolio expanded, capturing 17% of the electrified market share.
Lotlinx Customer Performance
As the industry faces increasing pressures, Lotlinx customers have continued to excel. On average, Lotlinx dealers carried 3% less aged inventory for new vehicles and 5% less for used vehicles compared to the broader market. Additionally, 74% of new vehicle brands and 85% of used vehicle brands performed above market averages as Lotlinx customers.
“Dealerships are navigating a challenging environment marked by rising aged inventories, evolving consumer demands, and intensifying competition,” said Len Short, Executive Chairman of Lotlinx. “Our Q4 Vincensus Report underscores the necessity of leveraging cutting-edge tools like VIN-specific data and predictive modeling. Dealers equipped with AI-driven insights can better anticipate trends, optimize inventory, and execute pricing strategies that maximize profitability.”
Click here to download the Q4 Quarterly Vincensus Report.
About Lotlinx
Founded in 2012 and based out in Peterborough, New Hampshire, Lotlinx is the automotive industry leader in VIN-specific data solutions for inventory risk management. The Lotlinx platform provides automobile dealers and manufacturers with enhanced operational control over their retail business. Leveraging state-of-the-art real-time data and machine learning technology, Lotlinx provides a precision retailing solution that enables dealers to automatically adapt to market dynamics, mitigating inventory risk through VIN-specific strategies. To learn more about Lotlinx, please visit www.lotlinx.com.