Jeep Brand Average Selling Price up 25% Year over Year!!!

[aldo98229]

Luxury brands justify their price premium primarily through brand prestige, and the superior delivery in five areas:

1. ...Craftsmanship
2. ...Design
3. ...Performance
4. ...Technology and innovation
5. ...Customer service

Jeep clearly has brand prestige, albeit different from the typical luxury brand.

Jeep has been elevating its level of craftsmanship, especially in its interiors.

Jeep performance is only "superior" off-road; on-road is on par with --or even below-- other brands.

As good as Uconnect is, Jeep trails the industry in the adoption of new technologies and innovation, and is at the very bottom in customer service. These weaknesses stick out like sore thumbs.

My educated guess is that Jeep is benefiting from the current fad on the market for off-roading and overlanding vehicles. Once the fad dies off, both Jeep sales and prices will find their equilibrium.

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[UniqueUserName]

And I'm still more than 30% above that. My spec was less expensive as a 2022 than it would have been as a 2021.

I think the average spending delta reflects increases in discretionary spending by consumers more than pricing changes by manufacturers. Inflation will correct that disparity pretty soon.

 

[johnnyj]

Yea it's nuts. Traded in my Jeep the other day for 6k more than I paid for it. Dollar value...market...shortage...covidasaurus rex....I dunno what it is but it's bonkers.

 

[Richard_JL]

Yea it's nuts. Traded in my Jeep the other day for 6k more than I paid for it. Dollar value...market...shortage...covidasaurus rex....I dunno what it is but it's bonkers.

But now you traded for what? How was that deal? It's like selling a house in a hot market, to then have to buy a house in a hot market. It's a wash. If you could borrow a car for 6-9 months, you'd be all set.

 

[The_Irish_Weaver]

i think this has to do with the new electric vehicles costing much more upfront, and the Grand Wagoneer and Cherokee XL - they are super expensive vehicles and will bring up the average. Hell the Grand Wagoneer STARTS at $88k.

 

[tampahoosier]

Demand is up, Inflation is disgustingly up and materials are up. Not surprised by the numbers though at some point you have to say when does the increase stop being "expected" based off market conditions and more just money hungry? When you look at the other brands increases you start to wonder if it's more aligned with money hungry.

 

[Pinky Tuscadero]

Dealers are packing on as many options as they can and ordering much higher end models than ever before for the limited number of "lot vehicles" they are allowed during this time. Just try and find a stripped sport JL on a lot today for example as you'll generally see loaded Rubi's and above only and why not ? - If I was only allowed a few sales I'd want to pack them well too.
Last year during coronas first year I bought a new mega cab Ram 4x4 with a Hemi for 29k and the dealer was very happy to have me take it as he had 100 of those. Today he has zero.
The surplus turned into a shortage and eventually will flip again.
The Jeep prices did go up but not nearly what it could have on the same unit, besides, don't we all custom order our Jeeps anyways and only at awesome dealers ?
Not a whole lot of Hemi or 4XE or Xtreme recons a year ago so I suppose we drove the average up too by buying such crazy things as well, not to mention $400 Pink Paint
-And we love them all at any price-

 

[johnnyj]

Absolutely true - my decision was of course particular to my sitution and given much thought. Context: as my for sale post said, for the next 24 months or so we will be doing motorcyle touring. I also do some forest road camping. The big thing is I cant put it off another year: I need to rebuild our dock - and thus need to haul lumber. None of this needs a top of the pile offroad vehicle.

I traded in the Jeep for a 2010 Tacoma access cab 4x4, priced at 20k. Came with a nice leer canopy, KO2s, 5speed, 4cyl. Perfect for haulin some wood and camping/fishing. At 124k on a yota 4cyl - it has lots and lots of life left. 20mpg...not to shabby.

We owed 24k on the Jeep so the trade zeroed the loan and paid for the truck/TTL. Paid nothing and my title otw. Now my jeep payment buys dock materials, and the family fleet is the 2020 renegade, the motorcycles, and the taco - all paid for. Gonna rock this setup for a few years, see how the market/economy does.

If inflation is here to stay and the market keeps going up for a decade like some say, I'm probably done buying new jeeps. They *are* so cool - but I've decided in *my* life they're not "60k tied up in a vehicle" cool. The brutal truth is the Taco is a much more comfortable daily driver and will get to all of my forest road dispersed camping spots just as good as the JL. Might fix up another TJ, too. Who knows.

If the market corrects in a few years, and jeep prices drop and thus used market does too, I can look at other options. Whatever we do we will probably keep the taco parked on the property for those "damnit I wish I had a truck" moments which come up all too often in our life.

Will the Taco depreciate? Sure. Something tells me I will be able to sell it in 5 years for 15k or so. Acceptable loss.

But now you traded for what? How was that deal? It's like selling a house in a hot market, to then have to buy a house in a hot market. It's a wash. If you could borrow a car for 6-9 months, you'd be all set.

 

[MRMDFY]

Mitsubishi at +28% invalidates everything.

 

[gato]

i think this has to do with the new electric vehicles costing much more upfront, and the Grand Wagoneer and Cherokee XL - they are super expensive vehicles and will bring up the average. Hell the Grand Wagoneer STARTS at $88k.

But as I mentioned, they were not sold in November, so no impact on the data. The Grand Cherokee L was on sale, so a small impact there.

 

[entropy]

The US Average Selling Price (ASP) of a Jeep vehicle shot up from $40K to $50K from Nov/2020 to Nov/2021.

I do not think that ASPs have ever risen like that in the history of the automobile. Data for all mannufacturers below. Source KBB.

No it hasnt. This fucking sucks.

I don't want my cars to appreciate. Cars wear out pretty fast, it doesn't make sense. Not only the Jeep brand is becoming more expensive, but at the same time there is inflation. When the time comes for me to buy a new Jeep in the next few years it is gonna be really expensive.

There's nothing good about this imo.

 

[ads75]

Almost every manufacturer is up. Maybe Jeep is up more than others because a lot of people don't commute anymore, so they don't have to worry about driving everyday and the compromises a Wrangler has. I like my Wrangler, but I don't daily drive it either. Maybe people are buying Jeeps as toys because they weren't spending on vacations due to COVID. Could be bitter Bronco preorders who got tired of waiting on Ford buying Jeeps instead (I know one who bought a used Wrangler, his Ford dealer called him the very next day). Maybe the Bronco preorders don't want to wait for a hardtop. I don't look at the chart as a good thing, vehicles (with rare exceptions) aren't investments. I do think manufacturers aren't going back to the way they did sales in the past, with loaded lots. Slimmer dealer lots are probably here to stay (although with more than they currently have), and if you want a new car, you order it and wait. And if you need a new car, you are screwed and pay up for it. MSRP on my 2019 2 door was just above $50k in Dec 2018. A pretty equivalent build now stickers at $55k, up 10% in 3 years. I don't think thats something that should be celebrated.

 

[gato]

I don't think thats something that should be celebrated.

Unless you are Jeep or another legacy vehicle manufacturer, trying to remain profitable as you are faced with converting all your models to EVs in a compressed timeframe.

I think this supply shortage is a lifeboat for the legacy manufacturers.

 

[No IFS]

I got a great deal on my 19 Rubicon. Maybe time to sell , make the profit. Next year take the $12,500 Rebate plus my profit and go EV ?

 

[The_Irish_Weaver]

But as I mentioned, they were not sold in November, so no impact on the data. The Grand Cherokee L was on sale, so a small impact there.

But Jeep has offered the 392 and so many trims of wrangler and Cherokee that can easily be equally as expensive- I think that’s the increase (along with Bidenflation of course)

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