Work Truck Solutions: 2024 set record in commercial vehicle sales

Group Of White Trucks From Above

Work Truck Solutions says commercial vehicle sales hit a three-year high last year. 

The company's 2024 Annual Commercial Vehicle Market Analysis showed year-over-year sales of new vehicles was up 14.2% but prices stayed flat. Inventory was up 33.1% over 2023 and the average days to turn for new vehicles climbed 62.9% year over year. 

New Metrics

For used vehicles, sales increased in the fourth quarter, but decreased 2.6% year-over-year. The median mileage of used work trucks and vans rose 9.4% year-over-year. Average used prices were down 10.8% year-over-year and average days to turn dropped 11.4% year-over-year. 

Work Truck Solutions says it's still too early in the vehicle life-cycle for used vehicle on-lot inventory to be increased by trade-ins. It says it will likely be some time for used on-lot numbers begin to creep up; it's likely the availability and prices of used inventory will continue to decline in 2025. 

Used Metrics

For battery electric vehicles, new commercial EV prices fell 8.6% year-over-year and used EV prices fell 21.6%. 

"The commercial BEV sector is still in the relatively early stages," says Aaron Johnson, CEO of Work Truck Solutions. "Many businesses have been struggling with fleet plans as they continue to monitor technological advancements, infrastructure development and recent election results. However, we have seen growth in the alt-fuel commercial segment." 

The company says one of the most striking observations from the report is the flatlining of new vehicle prices. 

"Despite various market dynamics, the cost to purchase new vehicles has remained consistent, reflecting a period of stability amidst fluctuating economic conditions," the company says in a statement. 

An uptick in the availability of new vehicles also suggests manufacturers addressed supply chain bottlenecks, resulting in a replenished inventory of commercial vehicles. That pushed the days to turn up, even though sales are also up. That suggests a longer dwell time on dealer lots. 

"Right now, the commercial vehicle business is where F&I was for dealers 10 or 12 years ago; not all dealers were in it. They weren't depending on F&I for profit," says Jim Press, senior advisor for Work Truck Solutions. "Now they're beginning to see that commercial business is the next big income producer, because it provides revenue, multiple sales and increased fixed operations. This is a time for dealers to embrace technology to increase profit margins, their customer retention and penetration of the commercial business into the market area." 

Learn how to move your used trucks faster
With unsold used inventory depreciating at a rate of more than 2% monthly, efficient inventory turnover is a must for dealers. Download this eBook to access proven strategies for selling used trucks faster.
Download
Used Truck Guide Cover