As we head into 2023, we can expect to see certain trends in the auto industry. Some will be challenging for both car dealerships and consumers, while others will present opportunities. We’ve compiled the top five auto trends you should expect to see this year, as predicted by themanual.com and revolutionparts.com.
1. Auto Parts Supply Chain Issues Will Continue
Here at Glass America, we will always do our very best to have the parts you need available when you need them. Whether it's your front windshield, rear window, driver's, or passenger's side window, Glass America services every make and model with OEM (Original Equipment Manufacturer) quality glass to ensure a perfect glass-to-frame fit. Even during these challenging times with supply chain issues, we will never sacrifice quality or safety.
2. Electrical Vehicle Sales Will Rise
The number of electric vehicles and hybrid models is expected to increase, which will likely impact the profitability of the parts department. Electric vehicles require less maintenance as they require fewer parts to operate. Dealers will need to pivot by finding ways to sell more parts, service more used cars, and cater to EV owners. Luckily, all vehicles need auto glass - even electrical!
3. Lower Prices for Used Vehicles
Disruptions in the supply chain have caused havoc for dealers this past year, leading to a shortage of new vehicles and a price hike for new and used cars. Fortunately for car buyers, the price of used vehicles is expected to come down in 2023, and sales are expected to rise. According to J.P. Morgan, the prices of used vehicles are expected to drop by 10% to 20%.
4. Higher Prices for New Vehicles
Pricing for new vehicles was expected to decrease in 2022. With the pandemic winding down, experts believed that the semiconductor chip shortage wouldn’t be an issue anymore. While that’s partly the case, automakers are still struggling with supply chain issues and materials are more expensive than they were last year. Unfortunately, it looks like shoppers will be paying more for vehicles in 2023.
5. More Off-Road Vehicles
Off-roading and Overlanding became very popular during the pandemic. Overlanding is a new hobby in which people upgrade their four-by-fours to be able to tackle different types of terrain, but in a way that allows them to also live in their vehicles! Think of it as camping, but using your car as a tent. Overlanding has become such a huge success that automakers with no reason to offer off-road versions of models are selling rugged vehicles of practically everything.
Here at Glass America, we like to keep up with trends as a way to better serve our customers!