🗑️ January 8: Used Prices Settle, CES Highlights, and Electric-Trash-Bots

The Gist

• 📉 Used Prices Settle Down: Wholesale used-car prices dropped 0.8% in December but wrapped 2024 up 0.4%. Trucks held their value best, luxury cars took a hit, and EVs climbed 3.4% month-over-month.

• 🚗 CES Brings the Future to Retail: BMW’s Alexa Assistant, Amazon-Qualcomm collabs, and AWS mapping tech are cool—but will your buyers care?

• 🧐 AFEELA, or Just a Feeling?: Sony and Honda’s $90K EV is here, and California gets first dibs. It’s fancy but has less range than its rivals.

• 🔧 Trash Day Goes High-Tech: Oshkosh’s AI garbage trucks and autonomous trash bots wowed at CES. Not retail, but the electrification wave marches on.

• 🚀 Rolls-Royce Gets Fancy: With £300M poured into bespoke builds, ultra-lux buyers are proving they’ll pay extra for holographic paint and gold accents.

• 🔥 Honda’s 2026 EV Rollout: Two "0 Series" EVs are coming, built in Ohio for that "Made in America" shine.

• 🎧 V-10 Lullaby: Toyota dropped a Lexus LFA V-10 soundtrack because, apparently, someone needed that. Pro tip: Use nostalgia to make test drives legendary.

Fuel for Thought

• 📉 Wholesale Prices Cool in December

• 🚗 CES 2025: Tech Hits, Retail Impacts

• 🧐 "Are EV Buyers Overpaying for Hype?"

  • Is it worth the hype?

  • Why California only?

  • Will it disrupt Tesla?

• 🔧 Oshkosh Brings EVs to the Neighborhood

  • What’s New?

  • Dealer Angle?

• 🚀 Rolls-Royce Bets Big on Bespoke

• 🔥 Honda’s “0 Series” EVs Launch in 2026

• 🎧 Toyota and Lexus Turn Up the Volume

  • What Dealers Can Do

📉 Wholesale Prices Cool in December

The Manheim Used Vehicle Value Index (MUVVI) closed 2024 up 0.4% year-over-year, signaling a much-needed return to normalcy for depreciation trends after years of market turbulence. While prices dipped slightly in December, the decline aligned with seasonal expectations and broader industry patterns.

• Month-to-Month Changes: Wholesale prices, adjusted for mix, mileage, and seasonality, fell by 0.8% from November. Unadjusted values mirrored this trend but showed a modest 0.3% year-over-year increase.

• Market Segments: Trucks performed best, with only a 0.5% drop compared to December 2023, while luxury vehicles bore the brunt of the decline at -1.5%. SUVs and compact cars followed, slipping 0.7% and 1.1%, respectively.

• EV Strength: Used EV values rose 3.4% month-over-month, outperforming the industry and underscoring growing consumer interest in electric options. However, year-over-year, EV values were still down by 7.6%.

Jeremy Robb, senior director of Economic and Industry Insights at Cox Automotive, described the year as “our most normal for depreciation trends in five years.” While values softened in early 2024, the second half saw stabilization closer to historical patterns, buoyed by tight retail supply and lower lease maturities.

• Retail Days’ Supply: December’s retail supply ended at 48 days, up slightly from November’s 47 days but well below 2023’s 58 days.

• Seasonal Trends: December saw consistent weekly MMR value declines, with sharper drops in the latter half of the month—typical for year-end activity. The average daily sales conversion rate fell to 53.8%, a slight seasonal dip compared to the three-year December average of 51.9%.

With new vehicle tariffs still uncertain and retail supply constrained, dealers can anticipate continued normalization in wholesale pricing trends throughout 2025. The year-end data reinforces the industry's slow but steady shift back to predictability.

🚗 CES 2025: Tech Hits, Retail Impacts

CES 2025 dazzled with futuristic unveilings, but what does it mean for dealers? Here’s a rundown of innovations that might (eventually) hit your showroom or service bay.

• BMW's AI Co-Pilot: Alexa integration is rolling out with conversational LLM capabilities in select models this year. Buyers will get smarter trip planning—think "find me the best burger joint nearby."

• Amazon x Qualcomm: The partnership promises cutting-edge in-vehicle experiences powered by AI. Translation: more personalized features to upsell.

• HERE and AWS Team Up: Their mapping solutions could reshape navigation, ADAS, and software-defined vehicles—tech your buyers will expect in the coming years.

🧐 "Are EV Buyers Overpaying for Hype?"

Sony and Honda’s AFEELA 1 made waves at CES, but its $90K price tag is raising eyebrows. Our dear friend, Steve Greenfield, had some very clear words for the AFEELA 1 in the video above.

Is it worth the hype?

With a limited range and slower charging than competitors, this "luxury tech pod" might not be practical in the real world.

Why California only?

It’s a compliance move. Starting small in the EV-friendly Golden State makes sense for a niche launch, but it leaves other markets in the cold.

Will it disrupt Tesla?

Unlikely. Tesla’s head start and stronger specs keep it ahead, but AFEELA’s entertainment-driven approach could carve out a niche for gadget-obsessed buyers.

🔧 Oshkosh Brings EVs to the Neighborhood

Defense contractor Oshkosh is branching out, unveiling EV garbage trucks, autonomous trash robots, and even EV fire engines at CES.

What’s New?

The McNeilus Volterra ZFL garbage truck features AI for precision pickups, while HARR-E, a trash robot, offers on-demand collections.

Dealer Angle?

While these aren’t retail vehicles, the tech signals the growing role of AI and electrification across all vehicle segments.

🚀 Rolls-Royce Bets Big on Bespoke

The luxury automaker is investing £300M into its Goodwood HQ, driven by soaring demand for custom builds.

• What It Means: Bespoke services—think holographic paint and gold sculptures—are a growing revenue stream.

• Retail Takeaway: Even outside ultra-luxury, personalization is king. Highlight premium packages and customization options for retail buyers.

🔥 Honda’s “0 Series” EVs Launch in 2026

Unveiled at CES, Honda’s new EV prototypes (an SUV and a sedan) are part of a multibillion-dollar push to electrify its lineup in North America.

• Key Features: Sleek designs, advanced automation, and a new Asimo OS promise to redefine Honda’s offerings.

• Dealer Impact: U.S. production in Ohio keeps inventory local, a selling point for buyers who value domestic manufacturing.

🎧 Toyota and Lexus Turn Up the Volume

Can’t sleep? You’re in luck!

Toyota released a three-hour soundtrack of the Lexus LFA’s V-10 engine. Sure, it’s niche—but it’s also brilliant marketing.

What Dealers Can Do

Use stories like this to build excitement for test drives and brand nostalgia. Buyers love connecting with a car’s soul. Or… you know… make jokes?

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