Today we take a look at the vehicles with the highest and lowest days’ supply. In other words, which vehicles are sitting on dealer lots the longest, and which vehicles are flying off the shelf?
While you might not think this information is important, trust me it is. The vehicles that are sitting usually have the biggest rebates, but for sure they’ll have large dealer discounts. I talk about dealer’s floor plan on the Car Pro Show often. Floor plan is the credit line car dealers use to stock inventory, rather than have millions of dollars of operating capital tied up.
Dealers pay interest on the floor plan monthly, and currently with interest rates as high as they are, it can cost a dealer a ton of money. The current prime rate is 8.5%, and typically dealers pay one to one and a half percent over that, so some dealers are paying 10% interest. Do the math on a 50 million dollar floor plan line of credit, and you can see why those interest rates accruing on new cars can be a lot of money. This is why I say it is better for a dealer to sell a new car at no profit or even a loss if it has been in inventory a while.
Keep in mind, a 60-day supply of vehicles is considered to be perfect. Put another way, if no vehicles were coming in, the current inventory would be completely gone in two months.
Here are the vehicles with the highest and lowest days’ supply on the market:
Highest Inventory
- Acura ZDX: 599 Days (electric)
- Fiat 500e: 459 Days (electric)
- Dodge Hornet: 384 Days
- Maserati Levante: 344 Days
- Audi Q4 e-tron: 254 Days (electric)
- Audi Q4 Sportback e-tron: 238 Days (electric)
- Lincoln Navigator: 238 Days
- Jaguar XF: 229 Days
- Jeep Gladiator: 225 Days
- Ram 3500: 224 Days
Lowest Inventory
- Toyota Camry: 20 Days
- Honda CR-V: 20 Days
- Honda HR-V: 23 Days
- Toyota Sienna: 26 Days
- Range Rover: 29 Days
- Toyota Highlander: 30 Days
- Honda Pilot: 30 Days
- Toyota Corolla Cross: 31 Days
- Toyota RAV4: 32 Days
- Lexus NX: 33 Days
