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US sales: higher prices, bigger incentives

by Bill Cawthon on

According to Kelley Blue Book, FCA US had the largest increase in its average transaction price of any of the major automakers. From November 2014 to last month, the average transaction price rose by $1,244 and was $50 higher than October 2015.

FCA still lags GM, which now has a stunning $38,297 average transaction price (up 1.2%), and Ford, which stands at $36,533. However, FCA is still well above Toyota (around $31,000), Honda (around $28,000), and Hyundai-Kia (around $25,000). The Volkswagen group is now second to GM, despite having Audi and Porsche, with an average actual price of $38,203.


These prices don’t include incentives and can therefore be a somewhat misleading, since Toyota and Honda tend to have much lower incentives than the American automakers.

TrueCar estimated that FCA spent an average of $3,573 per vehicle on incentives, up nearly 13% from last November, in line with industry trends.  Average spending across automakers was $3,066, making FCA fairly close to the pack; the list was topped by BMW and Daimler ($4,660 and $4,800). GM ($3,739), Nissan ($3,577), and Volkswagen Group (Audi/Porsche; $3,747) also had greater incentives than FCA. Toyota’s incentives were higher than last year ($2,200) as were Ford’s ($3,360, up 3%).

Fiat Chrysler ended the month with an 86-day supply of inventory (659,063 units).

Bill Cawthon grew up in the auto industry in the 1950s. His Dad worked for Chrysler and Bill spent a number of Saturdays down on the plant floor at Dodge Main in Hamtramck. Bill is also the U.S. market correspondent for, a British auto industry publication, and a member of the Texas Auto Writers Association, which has named the Jeep Grand Cherokee the “SUV of Texas” several times and named the Ram 1500 as the “Truck of Texas” two years running.

Bill has owned five Plymouths (including the only 1962 “Texan”), one Dodge and one Chrysler and is still trying to figure out how to justify a Wrangler. He also has owned at least one of every 1:87 scale model of a Chrysler product. You can reach him directly at (206) 888-7324 or by using the form.

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