Kbb.com Names 10 Cars Waving Goodbye In 2012, Explains Impact On Vehicle Values
IRVINE, Calif., June 13, 2012 /PRNewswire/ — Kelley Blue Book’s www.kbb.com, the leading provider of new car and used car information, today announces a list of 10 Cars Waving Goodbye in 2012 (http://www.kbb.com/car-reviews-and-news/top-10/10-cars-waving-goodbye-2012/). In this Latest News story, kbb.com editors name 10 vehicles being discontinued after the 2012 model year, providing commentary about each car and the plans each automaker has to fill the void left by the outgoing model.
“While we don’t necessarily subscribe to the ancient prediction of the world ending later this year, the world will come to an end for several vehicles that will not make it beyond 2012,” said Jack R. Nerad, executive editorial director and executive market analyst for Kelley Blue Book’s kbb.com. “Because 2012 marks the final year of these 10 models, savvy in-market consumers likely can swing really good deals on some of the cars we identify. In addition, the automakers that produce them are making interesting changes in their new-car lineups to fill the space left by these departing models.”
Kbb.com Names 10 Cars Waving Goodbye in 2012 -------------------------------------------- 2012 Dodge Caliber 2012 Kia Sedona 2012 Mitsubishi Eclipse 2012 Mitsubishi Galant 2012 Mazda CX-7 2012 Lexus HS Hybrid 2012 Mercedes-Benz R-Class 2012 Hyundai Veracruz 2012 GMC Canyon 2012 Chevrolet Colorado To read editorial comments about each of these vehicles and to learn what each automaker has planned in their absence, visit http://www.kbb.com/car-reviews- and-news/top-10/10-cars-waving-goodbye-2012/.
Kbb.com Analysts Detail the Affect of Model Discontinuation on Vehicle Values
Every year, a handful of nameplates are shed and existing owners are left wondering how it will impact their vehicle’s value. The 10 vehicles headed for retirement this year fall into two camps of expected depreciation. First, the Dodge Caliber, Kia Sedona and Mitsubishi Galant already are significantly more affordable than comparable vehicles in their segment, and they likely will continue to underperform as time goes on.
“The Caliber and Galant are two models overdue for discontinuation, and with previous model years 10 percent more affordable than their closest competitors,” said Alec Gutierrez, senior market analyst of automotive insights for Kelley Blue Book. “We expect this discount to increase one or two percent each year as they age.”
Kelley Blue Book does not expect a significant drop in value for the Kia Sedona as it also is considerably cheaper than its segment counterparts. In fact, a 2010 Sedona is nearly $5,000 cheaper than a comparable Toyota Sienna or Honda Odyssey. In addition, the used versions of the Mercedes-Benz R-Class and Hyundai Veracruz sit in the same situation being far more affordable than similar vehicles in their respective segments, with little additional drop in value expected as a result of being discontinued. Values will likely remain firm since these vehicles could present buying opportunities for consumers seeking a good deal in the full-size and luxury crossover categories.
It is not all bad news for owners of soon-to-be discontinued models. Owners of the Lexus HS, Mazda CX-7 or Chevrolet Colorado or GMC Canyon likely will see little impact to their vehicle value.
The CX-7 was only discontinued to make room for the smaller CX-5 and had it not been for the introduction of its compact sibling, the CX-7 would have continued as a consumer favorite. Values of a used CX-7 are best-in-class and typically outperform the overall segment. The CX-7 is expected to maintain a strong following with strong values long into the future.
“The Lexus HS never hit the volume targets Lexus needed to keep the vehicle in production; however, it will likely maintain a niche following for consumers seeking affordable green luxury,” said Gutierrez. “The Chevy Colorado or GMC Canyon faithful have nothing to fear in terms of unexpected depreciation once production ends. With the Ford Ranger also ceasing production late last year, consumers seeking rugged, dependable, yet affordable small pickups will have fewer options keeping trade-in and resale values strong.”
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About Kelley Blue Book (www.kbb.com)
Founded in 1926, Kelley Blue Book, The Trusted Resource®, is the only vehicle valuation and information source trusted and relied upon by both consumers and the industry. Each week the company provides the most market-reflective values in the industry on its top-rated website www.kbb.com, including its famous Blue Book® Trade-In and Suggested Retail Values and Fair Purchase Price, which reports what others are paying for new cars this week. The company also provides vehicle pricing and values through various products and services available to car dealers, auto manufacturers, finance and insurance companies as well as governmental agencies. Kbb.com provides consumer pricing and information on cars for sale, minivans, pickup trucks, sedan, hybrids, electric cars, and SUVs. Kelley Blue Book’s kbb.com ranked highest in its category for brand equity and was named Online Auto Shopping Brand of the Year by the 2012 Harris Poll EquiTrend® study. Kelley Blue Book Co. Inc. is a wholly owned subsidiary of AutoTrader.com.
SOURCE Kelley Blue Book