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The Competitive Advantage of Strategic Inventory Visibility
The recent tariff implementations have dramatically accelerated automotive market shifts that were already underway. According to ZeroSum's April...
With tariff announcements shifting consumer behavior overnight and new vehicle pricing slowly climbing, used vehicle acquisition has become essential for maintaining profitability. While dealers navigate policy-driven market disruptions and unpredictable inventory challenges, customers are increasingly turning to used vehicles as their refuge from new car sticker shock.
For dealers, the focus should be on which specific models to target right now to maximize inventory investment and accelerate sales performance.
The latest data from our July 2025 State of the Dealer report shows that while new vehicle sales face headwinds from tariff-related pricing pressures and consumer hesitation, the used vehicle sector continues to demonstrate strength.
Used vehicle prices hit a yearly high in June, reaching an average of $26,740 (up $423 from the previous month). This pricing power indicates increased demand as customers actively seek alternatives to increasingly expensive new cars. Meanwhile, turn rates have remained stable, hovering near 70% for the past three months, and inventory levels have stayed within a consistent range throughout the year.
What's driving this stability? Consumer demand has shifted toward used vehicles for practical reasons. With new vehicle pull-ahead sales totaling near 500,000 units between March and May due to tariff concerns, the market has created an artificial demand spike that's now normalizing. As customers who rushed to buy new vehicles early settle into their purchases, and as new vehicle prices continue climbing, used vehicles have become the practical choice for a growing segment of buyers.
The models that deliver the best ROI share two critical characteristics: high sales volume and fast turn rates. High volume ensures consistent customer demand and easier acquisition through trade-ins and auctions. Fast turn rates minimize carrying costs and reduce the risk of aging inventory during market fluctuations.
Our analysis of ZeroSum's real-time inventory data across thousands of dealerships identifies 21 specific models that are currently outperforming both metrics. These vehicles represent the sweet spot where customer demand meets dealer profitability, providing a roadmap for strategic inventory decisions in an uncertain market.
Based on comprehensive market analysis of inventory movement, turn rates, and customer demand patterns, these are the used vehicle models your dealership should prioritize:
1. Ford F-150
2. Chevrolet Silverado 1500
3. Ram 1500
4. GMC Sierra 1500
5. Toyota Tacoma
6. Chevrolet Equinox
7. Toyota RAV4
8. Ford Explorer
9. Jeep Grand Cherokee
10. Honda CR-V
11. Ford Escape
12. Jeep Wrangler Unlimited
13. Nissan Rogue
14. Toyota Highlander
15. Ford Edge
16. Toyota Camry
17. Honda Accord
18. Honda Civic
19. Toyota Corolla
20. Chevrolet Malibu
21. Nissan Altima
Understanding which vehicles move fastest is only the beginning. The next step is to translate this data into actionable strategies across your operations:
Acquisition Strategy: Focus your trade-in appraisal efforts on customers driving these 21 models. At auctions, prioritize these vehicles even if they command slightly higher wholesale prices because the faster turn rates justify the premium.
Inventory Management: Use this list to guide your used vehicle acquisition targets, but balance it against your local market conditions. A Honda Civic might turn quickly in an urban market while a Ford F-150 dominates in rural areas. Real-time data about your specific market helps optimize this balance.
Marketing Allocation: Redirect advertising dollars toward these high-performance models. Rather than spreading marketing spend equally across your entire used inventory, concentrate promotional efforts on vehicles with proven demand patterns. This approach maximizes your marketing ROI while reducing the time vehicles spend on your lot.
Pricing Strategy: These models' consistent demand gives you pricing power, but it also means competitive pressure. Monitor local market pricing weekly rather than monthly to ensure your pricing remains competitive while maximizing margins.
While this list provides a strategic foundation, the automotive market's current volatility means that real-time intelligence about your specific inventory performance is more valuable than ever. Market conditions that affect these 21 models can shift within weeks, and your ability to respond quickly determines whether you capitalize on opportunities or watch them get scooped up by the competition.
The most successful dealers right now are those with the fastest response times to current conditions. When a particular model starts moving slower than expected, or when competitive pricing shifts in your market, being able to immediately shift strategies makes the difference between maintaining healthy margins and taking markdowns.
This is where real-time supply and demand data becomes your competitive edge. Rather than discovering problems during monthly reviews, you can identify opportunities and challenges as they develop, adjusting your acquisition strategy, pricing, and marketing focus based on actual performance data rather than assumptions.
Want to see exactly how your current used inventory performance compares to these market leaders? Schedule a 15-minute demo to see how MarketAI can help you identify which vehicles in your current inventory need immediate attention and which acquisition opportunities you can prioritize next.
Contributor: Josh Stoll, VP of Dealer Success, ZeroSum
1 min read
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