The car industry has not been doing so well over the last few years. After seeing a big surge in sold vehicles leading up to 2015, sales have fallen off and the industry has been in a slump. If demographics are any sign, things aren’t going to get much better any time soon. New data shows that the average car buyer is getting older, and worse, cars are staying on the road longer, hurting companies’ all important replacement cycle. In terms of the total number of cars sold in October, the US is back in the same territory as it was in 2002.
FINSUM: There is no point denying it—a lot of car prices have risen dramatically over the last two decades (versus salaries), so it is no wonder average buyers are getting older and cars are being held longer. More than half of buyers are now over age 55!