Great American Group Reports Domestic Auto Market Posts Continued Growth
LOS ANGELES -- Aug. 27, 2014: Analysts with GA Advisory and Valuation Services LLC, a division of Great American Group, Inc. (OTCBB: GAMR), report that despite getting off to a slow start in 2014, the domestic automotive industry has proved to be a consistently strong sector of the U.S. economy, with sales continuing to rebound from recession-era lows.
As the first half of 2014 witnessed an increase in unit sales of approximately 4.5 percent over the same period in 2013, the auto industry continues to face high expectations from analysts. While industry experts originally anticipated sales to total 16 million vehicles by year-end, the industry has already surpassed this level and is projected to reach even higher totals.
The increasing sales bode well for other industry participants, particularly as manufacturers and distributors of original equipment manufacturer (OEM) parts continue to experience a rise in demand from major automobile manufacturers. Additionally, although new cars require less maintenance than older cars, increases in disposable income position manufacturers and distributors of aftermarket parts for growth as well.
"The automotive industry has experienced strong sales thus far in 2014," said Ken Bloore, Chief Operating Officer of GA's Advisory and Valuation Services division. "Several months of consistent sales increases indicate that the industry is performing well and Americans are willing to make discretionary purchases. Going forward, we will continue to monitor market conditions and their impact on our automotive sector appraisals."
In its latest Automotive Monitor, GA also notes that although automotive sales in July were not as robust as originally expected, summer incentives are projected to propel sales in the coming months. In July, sales increased 9 percent from the previous year, short of the 11 percent gain anticipated by many experts.
GA's newest Automotive Monitor about industry trends in OEM and aftermarket parts, accessories and tires is available on the company's website at Montior August 2014 .