Companies that have a portfolio of vehicles held as assets – rental and fleet companies, manufacturers, captive finance companies and commercial lenders – or companies with a vested interest in tracking industry health (e.g., investment companies) can use the indices to gain insight into used vehicle price performance and how price movement could impact business performance.
Note that price indices provide a good overall barometer of the movement in prices for a fixed pool of vehicles, but frequently it’s better to take a closer look. For example, a subprime lender would find more relevant information by looking at an index or aggregated price series weighted to match their portfolio of loans on older vehicles, while a rental company would need to focus more on 1- and 2-year-old vehicles. J.D. Power can support specific needs such as these through a one-on-one consulting engagement with clients.