Canadian Black Book 2020 Best Retained Value Awards Reveal Best Ever Results
February 11 2020
13th Annual Awards Edition Sees EVs Making Ground in Retained Value
Just released today, the 13th annual Canadian
Black Book Best Retained Value Awards results are highlighted by the best ever
industry average retained value, since the awards began in 2007. The retained
value for all vehicles in Canada measured for this year’s Awards, showed four
year old vehicles (2016 model year) held an astounding 57% of original MSRP,
The previous record year was in 2018, which saw 53% value retention across all 2014 vehicles in Canada. Last year’s awards also proved strong at 52% industry average, now standing at third all-time.
“Overall we are seeing a very positive trend in vehicle depreciation over the past few years. That is simply to say, in general, vehicles today are better at holding value than they were in years past,” says Brian Murphy, VP Research & Analytics at Canadian Black Book. “Our Best Retained Value Awards are our way of making these trends in depreciation public knowledge,” he adds.
The Canadian Black Book Best Retained Value Awards quantity retained value for every model of four year old vehicles in Canada, in 23 segments. There are also three ‘Overall Brand Awards’, presented to OEMs that hold the most value amongst their full product line. For 2020 the ‘Overall Brand Awards’ for Car go to Toyota; for Truck to Toyota; and for Luxury Brand to Porsche. “Our awards can help Canadian consumers to make educated vehicle purchase decisions by illustrating which brands and models hold value the best,” says Murphy. “This is crucial information when considering what to budget for, negotiating a loan, knowing the value of your trade-in or understanding the equity positon of an existing vehicle loan.” Canadian Black Book’s motivation for publishing these awards is to remind consumers that depreciation is by far the number one cost of vehicle ownership, more than fuel, insurance or maintenance.
This year’s awards point towards positive signs for EVs. This segment has only been measured in the awards for two years. The winner in the ‘Zero Emission’ category was the Ford Focus, holding 51% of its MSRP, higher than winners in other categories. Across the category all models on average held 45% up a percentage point from last year. As a new technology, EV’s initially lagged in terms of retained values, however, as more selection has become available the market, consumers are becoming more comfortable and EV retained values are strengthening.
The 2020 edition of the Best Retained Value Awards are also highlighted by Japanese brands taking 10 category wins and 32 total mentions (placing 1st, 2nd or 3rd). European models took 8 wins and 22 total mentions; Domestics accounted for 5 wins and 21 mentions; and Korean models with 3 mentions.
Leading the way, as in every previous year, with the most
Awards is Toyota/Lexus with 9 Category wins, slightly off pace versus 2019,
where the Japanese automaker won 12. Porsche
and Mercedes-Benz each secured 4 wins; followed by Honda with 3 versus last
year with none; FCA and Ford both locked
up 2 trophies; and GM captured 1 award.
For 2020 the vehicle that held the most amount of MSRP over
the last four year is the Toyota Tacoma at 77%, in the ‘Small Pick-up’
category. This win for the Tacoma is the
11th straight victory, which is also the longest win streak of any
vehicle since the awards began. The
Tacoma was followed closely by the Mercedes-Benz GLE-Class in ‘Full-sized
Luxury Crossover/SUV’ at 75% of original MRSR. Both models unseated the Jeep
Wrangler at 73% in ‘Compact Crossover/SUV’, a model which for many years has
held the honour of highest retained value and smashed the all-time record in
2018 holding 91% of its MRSP.
The Ford F250’s win in ‘Full-sized Truck’ for the first time
ever, upset the reigning champ Toyota Tundra, after 10 years on top. The Toyota Avalon wins 4 straight giving it 9
wins in the past 11 years; Toyota’s Sequoia wins its eighth award in the last
11 years; while the Porsche Panamera secures its seventh straight victory.
In terms of category dominance, RAM vans won 1st,
2nd, 3rd in the ‘Full-sized Van’ segment, a feat matched
by Porsche in the ‘Premium Sports Car’ category and Toyota in ‘Compact Car’. Domestic automakers dominated the ‘Full-sized
Pickup’ and ‘Compact Van’ categories, while European OEMs took the top three
spots in ‘Mid-sized Luxury Car’ and Sub-Compact Luxury Car’. Japanese brands controlled the ‘Mid-sized
Crossovers’, ‘Sub-Compact Car’ and ‘Sub-Compact Crossover’.
“Canadian Black Book would like to extend sincere
congratulations to all those winners of the 2020 Best Retained Value Awards,”
CanadianBlackBook.com maintains a database of car and truck
values dating back to 2006 widely used in the Canadian auto industry. The recently redesigned consumer website
offers four free values calculators - one that allows consumers to look up
trade-in values before they head to the dealer; another that shows future
values; a third that shows average asking price; and the Equity Calculator,
which calculates a vehicles equity position related to a particular loan.