It’s a good time to own a car dealership: Canadian car dealers sold a record two million new cars in 2017, and the country’s average used-vehicle resale value is at an all-time high of 53 per cent.
That latter statistic comes to us from Canadian Black Book (CBB), which has announced the winners of its 11th annual Best Retained Value Awards, recognizing vehicles that boast the strongest resale values four years after being driven out of the showroom.
Typically, an increase in new-car sales comes with a commensurate drop in used-vehicle values, as the marketplace is saturated with cars that have either been traded in or returned at the end of a lease term.
But this year’s record resale numbers follow eight straight years of new-vehicle sales jumps following the recession that marked the end of the previous decade. CBB’s Brian Murphy said those record new-car sales will start to push resale values back down in 2018, but that evidently hasn’t happened yet.
This year, CBB gave out retained-value awards in 20 vehicle categories. The highlights include some predictable results and a couple of twists.
The Jeep Wrangler could be categorized as both, with the 2014 model retaining an unbelievable 91 per cent of its value four years on. Black Book says that’s a new overall record, besting the 83 per cent set by the Toyota FJ Cruiser last year. That Toyota off-roader saw its value rise to 86 per cent this year.
Generally, trucks and SUVs were this year’s strongest performers, reflecting the general popularity of those vehicles, while numbers for most car categories were well below the industry-wide average.
Murphy said that among this year’s pleasant surprises was the Chevrolet Corvette’s first-ever win, which he said reflects the work General Motors did to make the current seventh-generation ‘Vette (introduced four years ago, in 2014) notably better than the design that preceded it.
Black Book also gave out awards to recognize brands that excel in terms of retained value. Toyota won in both the car and truck/crossover/SUV arenas, thanks to eight of its models finishing first out of the 20 vehicle segments: Prius C (subcompact car); Prius V (compact car); Camry (mid-size car); Avalon (full-size car); Tacoma (small pickup); Tundra (full-size pickup); Sienna (minivan); and FJ Cruiser (mid-size crossover/SUV).
Meanwhile, Porsche was named best luxury brand, with its Panamera taking first place in the premium luxury car category and the Cayenne winning the mid-size luxury crossover/SUV segment.