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1 The New Car Insights Report, brought to you by the AutoTrader.com Trend Engine, provides analysis of new car shopping activity on AutoTrader.com each month. The report takes an in-depth look at which new car models are making big moves, what’s driving segment level changes, which new car models are the most viewed, and what’s happening with asking prices. As a top site for car shoppers with millions of unique visitors each month, AutoTrader.com and its site activity offer a unique, nationwide snapshot of the vehicles shoppers are considering. Big Movers: Luxury and Compact Cars Capture Big Increases in Consumer Interest in October Each month, the AutoTrader.com New Car Insights Report offers a look at the “Big Movers” on the site, which are vehicles that have gained significant increases in consumer interest month-over-month. Although the vehicles on the list may not be among the most viewed, big movers highlight interesting early trends in the industry. In October, the list of big movers was dominated by luxury vehicles, but many new compact car models also made the list. Many of these models that made big moves are driving their corresponding segments forward. In this Issue: Big Movers Pent Up Demand for Luxury New Compact Model Entries Excite Segment Tracker Midsize Cars Poised for Comeback Chrysler Group Models: Segment Movement Most-Viewed Vehicles Eight Models Enter the Top 20 Kia Optima: A Standout Performer Price Tracker Interest Increases for Redesigns Korean Cars Show Big Price Increases

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1

The New Car Insights Report, brought to you by

the AutoTrader.com Trend Engine, provides

analysis of new car shopping activity on

AutoTrader.com each month.

The report takes an in-depth look at which new

car models are making big moves, what’s

driving segment level changes, which new car

models are the most viewed, and what’s

happening with asking prices.

As a top site for car shoppers with millions of

unique visitors each month, AutoTrader.com

and its site activity offer a unique, nationwide

snapshot of the vehicles shoppers are

considering.

Big Movers: Luxury and Compact Cars Capture Big Increases in Consumer Interest in

October

Each month, the AutoTrader.com New Car Insights Report offers a look at the “Big Movers” on the site, which

are vehicles that have gained significant increases in consumer interest month-over-month. Although the

vehicles on the list may not be among the most viewed, big movers highlight interesting early trends in the

industry. In October, the list of big movers was dominated by luxury vehicles, but many new compact car

models also made the list. Many of these models that made big moves are driving their corresponding

segments forward.

In this Issue:

Big Movers

Pent Up Demand for Luxury

New Compact Model Entries Excite

Segment Tracker Midsize Cars Poised for Comeback

Chrysler Group Models: Segment Movement

Most-Viewed Vehicles

Eight Models Enter the Top 20

Kia Optima: A Standout Performer

Price Tracker

Interest Increases for Redesigns

Korean Cars Show Big Price Increases

2

Make Model

Oct 2011

Rank

Sept

2011

Rank

MOM

Rank

Change

Land Rover Range Rover Evoque 36 309 273

Hyundai Veloster 27 141 114

MINI Cooper Countryman 102 216 114

Land Rover Range Rover/Sport 48 147 99

Honda Crosstour 200 273 73

Hyundai Genesis 31 98 67

MINI Cooper 137 197 60

Kia Rio 152 212 60

Volkswagen Beetle 83 138 55

Cadillac Escalade 64 113 49

Honda Pilot 46 92 46

Chevrolet Sonic 67 109 42

Mercedes-Benz E Class 63 103 40

Toyota Camry 28 64 36

Lexus IS Models 120 152 32

Lincoln Navigator 180 210 30

BMW 6 Series 113 140 27

Toyota Sienna 61 86 25

BMW 7 Series 96 121 25

Land Rover LR4 183 208 25

Figure 1: Top 20 Big Movers by New Vehicle Interest

Pent Up Demand for Luxury Vehicles Shows in List of Big Movers in October

Luxury vehicles dominated the list of the top 20 big movers on the site in October, with 10 out of 20 vehicles

being classified as luxury (see Figure 1 above). Five of the luxury vehicles were SUVs, with three of those being

Land Rover vehicles. The Range Rover Evoque, recently named Motor Trend’s 2012 SUV of the Year, was the

biggest mover on the site, leaping an impressive 273 spots to land at No. 36. Two other Land Rover SUVs, the

Range Rover Sport and LR4 also made big moves, increasing 99 and 25 spots, respectively. No other luxury

automaker claimed as many spots in the big movers list as Land Rover.

On the luxury car front, the Hyundai Genesis was an impressive addition to the list, moving up 67 spots month-

over-month to No. 31. Interest in the Genesis was likely fueled by a $1500 incentive Hyundai placed on the

model beginning October 1. This incentive may signal Hyundai’s attempt to capitalize on the pent up demand

in the luxury segment, according to AutoTrader.com analysts.

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In-Depth Look at Models Leading Luxury Segment

The luxury car segment increased 0.8 points in share of interest month-over-month, and the luxury SUV

segment increased 0.6 points month-over-month (see Figure 5 below), supporting the trend seen in the list of

top 20 big movers that interest in luxury vehicles is on the rise.

In addition to the Hyundai Genesis, which was the biggest mover of the luxury cars in October, the Mercedes

Benz C-Class also showed a significant increase of share of consumer interest in October, continuing on the

upward trajectory that began in September 2011. Based on its gains from August to September, the C Class

landed among the biggest movers in the September New Car Insights Report. Although its move from

September to October wasn’t big enough to land it on the big movers list again this month, its increase in

share is notable nonetheless. Other luxury cars on an upward trend in October were the Cadillac CTS, the

BMW 3 Series and the BMW 5 Series.

Figure 2: Luxury Car Segment - Share of Interest for 10 Most Viewed Models

In the luxury SUV segment (see Figure 3), the Land Rover Range Rover Sport and Cadillac Escalade, which were

both among October’s biggest movers, made positive jumps that contributed to the segment’s overall rise in

interest. Another luxury SUV, the Mercedes-Benz M Class, also showed positive movement during the month.

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Figure 3: Luxury SUV Segment - Share of Interest for 10 Most Viewed Models

Compact New Model Entries also Provide Excitement—but without the Luxury Price Tag

On the flip side, several new compact cars caught the attention of consumers looking for some excitement

without the luxury price tag, with six compacts ultimately making the list of big movers. The Hyundai Veloster,

which was the biggest mover based on rank in September 2011, made another large month-over-month move

in October, moving up 114 spots to No. 27. If the Veloster continues to generate this much excitement and

interest among consumers, it could very well land among the top 20 most-viewed new vehicles next month.

A few other compact new model entries captured significantly more consumer interest month-over-month:

the new Mini Cooper Countryman leapt 114 spots to No. 102; the Kia Rio improved 60 spots to No. 152; the

new Volkswagen Beetle moved up 55 spots to No. 83; and the Chevrolet Sonic jumped 42 spots to No. 67.

Roller Coaster Year for Compact Segment: Exciting Entries Lead Recent Segment Uptick

The compact car segment also showed an uptick of 0.2 points in share of interest month-over-month, although

it is down 2.9 points year-over-year (see Figure 5). As the trend of share lines indicate in Figure 4 below,

consumer interest in compacts has been on quite the roller coaster over the last 13 months, with high interest

this time last year, a drop at the beginning of 2011 (led by Honda Civic), another shift upward during the

precipitous rise in gas prices, and finally another notable dive as gas prices declined over the summer. The

most recent trends, however, pointed to yet another positive shift. The latest uptick was led by exciting new

entries, most notably the new Chevrolet Sonic and Hyundai Veloster, which were both included in the list of

big movers in October.

5

Figure 4: Compact Car Segment – Share of Interest for 10 Most Viewed Models

Segment Tracker

This month, the Segment Tracker section of the New Car Insights Report offers a close look at some other

interesting developments emerging at the segment level: evidence that midsize cars may be poised for a

comeback and some positive indicators for the Chrysler Group across three other segments.

Figure 5: Segment Tracker - All Segments by Share of New Vehicle Interest

Oct 2011

Rank

Segment

Trend of

Share (prev

13 mo)

1 Full-size Truck -0.4 4.2 4.9

2 Midsize SUV -0.5 0.8 1.4

3 Compact Car 0.2 -2.9 -0.5

4 Luxury Car 0.8 -0.9 -1.7

5 Sports Car -1.0 2.9 -0.3

6 Midsize Car 0.4 -2.8 -0.8

7 Luxury SUV 0.6 -1.3 -1.3

8 Compact SUV -0.3 -0.7 0.5

9 Full-size SUV -0.2 0.6 -0.3

10 Compact Truck 0.4 0.4 0.3

11 Full-size Car 0.2 0.6 -0.8

12 Van 0.0 -1.0 -1.0

13 Exotic -0.2 0.2 -0.5

Share Point

Change from

Sept '11

Share Point

Change from

Oct '10

Share Point

Change from

Oct '09

6

Midsize Car Segment May be Poised for Comeback

Beginning in January and February 2011, the midsize car segment began a downward trend in interest on the

new-car front. Driving this decline were the Toyota Camry and Honda Accord, both top selling vehicles in this

segment that were dramatically impacted by production disruptions in Japan. Overall, the segment is down 2.8

points from October 2010; however, it did show a slight uptick from September to October 2011 of 0.4 points.

This uptick could indicate that the trend is beginning to reverse, and AutoTrader.com analysts noted that it is

likely driven by renewed interest in the Toyota Camry, with its redesign for 2012 and production normalizing.

In fact, the Camry garnered a significant enough jump in interest month-over-month to land on the list of the

top 20 biggest movers for October. Currently positioned at No. 28, the Toyota Camry could break back into the

top 20 most-viewed list if it continues its current trajectory.

Other midsize cars driving the uptick are the redesigned Volkswagen Passat and a newly strong contender in

the Kia Optima. Analysts at AutoTrader.com will be watching these models—and this segment—closely. This

segment, which previously was dominated by the Camry and Accord, has become much more crowded and

competitive in shopper behavior in recent months.

Figure 6: Midsize Car Segment - Share of Interest for 10 Most Viewed Models

Positive Chrysler Story Shines through in Segment Tracker

Chrysler, which has been having a stellar year in sales and has gotten positive press for improvements in its

products, also has a positive story to tell on the segment level. A cross-segment analysis shows that numerous

popular models from the Chrysler Group landed at or near the top of numerous segments through October.

7

While the full-size car segment has been flat most of the year, the Dodge Charger and Chrysler 300 stand out

amongst the pack, taking the top two positions in the segment. They have garnered more share than any other

in-segment vehicle for much of the year and have pulled ahead even farther over the past two months.

Figure 7: Full-Size Car Segment - Share of Interest for 10 Most Viewed Models

In the full-size SUV segment, the Dodge Durango has a particularly strong showing. It ended its temporary hiatus

last year, spiked at No. 1 in March and has held on to a strong position since, currently sitting at No. 2.

Figure 8: Full-Size SUV Segment - Share of Interest for 10 Most Viewed Models

8

Rounding out the Chrysler story are the Jeep Wrangler and Jeep Grand Cherokee in the midsize SUV segment.

The Wrangler has held on to the No. 1 position in the segment throughout 2011, only recently taking a dip in

consumer interest. Nevertheless, it remains far above other midsize SUVs in terms of shopper interest. The

Grand Cherokee recently emerged in the No. 2 spot in its segment, following the overall upward trajectory it

has been on since July 2011.

Figure 9: Midsize SUV Segment - Share of Interest for 10 Most Viewed Models

Most-Viewed New Vehicles in October

In looking at the most-viewed models on the site, it appears that rather steady gas prices have allowed

Americans to continue their love affair with big trucks and SUVs. Out of the 20 vehicles on the list, there were

eight full-size trucks, one full-size SUV, three midsize SUVs and one compact truck. However, it was eight

models on the list that were not among the most-viewed vehicles during the same time in 2010 that caught

the attention of AutoTrader.com analysts.

Eight Models Make Year-Over-Year Improvements to Land on List of Top 20 Most-Viewed Models

While the Ford F-150 held onto its No. 1 spot for yet another month, there were eight new entries into the top

20 that were not there a year ago:

Dodge Challenger moved up 16 spots to No. 8

Chevrolet Silverado 2500 moved up 17 spots to No. 12

Ford Explorer moved up 92 spots to No. 13

Dodge Ram 2500 moved up 14 spots to No. 14

Dodge Charger moved up 71 spots to No. 15

Ford F-350 moved up 22 spots to No. 16

Kia Optima moved up 178 spots to No. 19

Chevrolet Tahoe moved up three spots to No. 20

9

Of those eight, five were either trucks or SUVs and seven were made by domestic automakers. These points

are notable because six of the eight that were replaced on the list compared to October 2010 were either

compact or midsize sedans, and seven out of the eight were made by foreign automakers, two of which were

made by Toyota and two of which were made by Honda.

Analysts noted that the dual natural disasters that put a damper on those popular automakers not only made

way for other foreign competitors, such as Hyundai, to take greater market share, but they also opened up

American consumers to the resurgence of Chrysler, as three of the new entrants to the top 20 are from the

Chrysler Group.

Kia Optima: A Standout Performer in October

Additionally, there was a Korean car that stood out from the pack in the most-viewed list: the recently

redesigned Kia Optima moved up 16 spots month-over-month to No. 19. This is up 178 spots from October

2010 and up 151 spots from October 2009. In October, the Optima was supported by a new round of

advertising, the start of U.S. production at Kia Motors Manufacturing Georgia, and Esquire naming the midsize

sedan the “most gorgeous car under $20,000.” Being the only midsize car to crack the top 20 in October, the

Kia Optima will certainly be a car to watch in the coming months.

Figure 10: Top 20 Most-Viewed Models by New Vehicle Interest

Oct 2011

Rank

Make Model

Trend of

Share (prev

13 mo)

1 Ford F-150 0 0 1

2 Ford Mustang 0 0 1

3 Chevrolet Camaro 0 4 2

4 Jeep Wrangler 0 7 5

5 Chevrolet Silverado 1500 0 0 1

6 Dodge Ram 1500 0 0 7

7 Ford F-250 0 6 2

8 Dodge Challenger 1 16 3

9 Jeep Grand Cherokee 4 7 71

10 Chevrolet Corvette 2 5 4

11 Toyota Tacoma 10 9 1

12 Chevrolet Silverado 2500 2 17 4

13 Ford Explorer 2 92 79

14 Dodge Ram 2500 0 14 32

15 Dodge Charger 5 71 50

16 Ford F-350 0 22 15

17 GMC Sierra C/K1500 2 0 1

18 Volkswagen Jetta 3 8 10

19 Kia Optima 16 178 151

20 Chevrolet Tahoe 3 3 8

Rank

Change from

Oct '10

Rank

Change from

Oct '09

Rank

Change from

Sept '11

* N/A - Vehicle was not available in reported month

10

Price Tracker: Redesigned Models and Korean Vehicles Command Price Premiums

Consumer Interest Increases for Redesigned Models Despite Higher Asking Prices

An examination of the asking prices for the top 20 most-viewed vehicles on the site in October showed that

consumer interest can be greatly influenced by exciting redesigns, even in the face of hefty price increases that

often follow.

In this regard, redesigns for three of the most-viewed models on AutoTrader.com in October turned out to be

excellent investments for their respective automakers, as they boosted not only the asking price year-over-

year but also the level of consumer interest.

The new Ford Explorer showed an 8.9% ($3,160) increase in its median asking price year-over-year, but it still

managed to jump 92 spots in that time to become the 13th most-viewed vehicle on AutoTrader.com in

October. The second biggest price increase came for the new Dodge Charger, which moved up 71 spots year-

over-year to the No. 15 position, despite the fact that its asking price increased 15.5% ($4,328) during that

time. Topping the list was the Kia Optima, which moved up 178 spots year-over-year to No. 19, even though it

comes with a 28.2% ($5,725) asking price premium—the biggest price jump of any of the most-viewed vehicles

in October.

Figure 11: Price Tracker – Top 20 Most-Viewed Models by New Vehicle Interest

Oct 2011

RankMake Model

Median

Inventory

Listing Price

1 Ford F-150 $37,865 -0.2% 2.4% 5.5%

2 Ford Mustang $32,195 -3.1% -2.4% 1.3%

3 Chevrolet Camaro $35,989 -1.8% 6.8% -1.0%

4 Jeep Wrangler $31,400 0.3% 7.1% 9.7%

5 Chevrolet Silverado 1500 $34,499 0.7% 1.5% 0.8%

6 Dodge Ram 1500 $35,150 -0.3% -1.6% -0.4%

7 Ford F-250 $48,445 -0.9% 3.2% 4.8%

8 Dodge Challenger $31,000 1.6% -6.8% -19.1%

9 Jeep Grand Cherokee $38,430 -1.0% 6.1% 10.4%

10 Chevrolet Corvette $63,464 0.2% -0.5% 3.5%

11 Toyota Tacoma $29,364 -0.7% 3.9% 5.6%

12 Chevrolet Silverado 2500 $42,216 -1.3% 0.6% 5.0%

13 Ford Explorer $38,845 -0.9% 8.9% 10.6%

14 Dodge Ram 2500 $47,336 0.2% 0.7% 5.9%

15 Dodge Charger $32,318 -1.8% 15.5% 14.0%

16 Ford F-350 $51,665 0.2% -1.2% 3.2%

17 GMC Sierra C/K1500 $36,370 0.8% 1.9% 2.8%

18 Volkswagen Jetta $23,290 0.0% -0.9% 3.9%

19 Kia Optima $26,040 3.8% 28.2% 31.6%

20 Chevrolet Tahoe $49,372 0.8% 0.4% 1.2%

Price Change

from Sept '11

Price Change

from Oct '10

Price Change

from Oct '09

* N/A - Vehicle was not available in reported month

11

Korean Vehicles Show Big Price Increases Year-Over-Year

In addition to examining pricing trends for vehicles included in the top 20 most-viewed list, the New Car

Insights Report offers a look at the vehicles with the biggest price increases overall. Figure 12 below looks at

the top 20 largest median asking price increases on the site year-over-year.

Analysts noted that some popular Korean vehicles took four of the top 10 spots on the list. Among those are

the Kia Optima, as noted above, with a 28.2% ($5,725) increase in median asking price year-over-year; the

Hyundai Accent with a 16.4% ($2,380) increase; the Hyundai Elantra with a 12.3% ($2,181) increase; and the

Hyundai Sonata with a 12.2% ($2,790) increase.

Figure 12: Price Tracker – 20 Largest Increases by Percent Change

Oct 2011

RankMake Model

Median

Inventory

Listing Price

19 Kia Optima $26,040 3.8% 28.2% 31.6%

74 BMW M Series $93,975 4.4% 20.4% 14.4%

116 Hyundai Accent $16,890 0.2% 16.4% 13.5%

15 Dodge Charger $32,318 -1.8% 15.5% 14.0%

86 Nissan GT-R $96,980 0.0% 14.5% 14.5%

33 Dodge Durango $39,305 0.5% 13.2% 8.2%

53 Hyundai Elantra $19,891 -6.2% 12.3% 12.1%

39 Hyundai Sonata $25,595 1.4% 12.2% 21.6%

32 Ford Focus $21,134 -0.7% 10.9% 13.6%

21 Chrysler 300 $37,230 0.0% 10.9% 10.1%

191 Porsche Cayman $69,710 11.6% 10.5% 18.4%

114 Volkswagen Touareg $50,460 -0.3% 9.7% 12.9%

58 Ford Ranger $24,465 0.1% 9.3% 11.9%

113 BMW 6 Series $99,275 -0.5% 9.0% 7.7%

105 Dodge Journey $27,285 0.0% 9.0% 3.2%

81 Nissan Juke $24,615 -0.1% 8.9% N/A N/A

13 Ford Explorer $38,845 -0.9% 8.9% 10.6%

110 Audi A6 $57,470 0.0% 8.2% 9.2%

98 Volkswagen Golf and Rabbit Models$23,990 -2.2% 8.0% 25.0%

4 Jeep Wrangler $31,400 0.3% 7.1% 9.7%

Price Change

from Sept '11

Price Change

from Oct '10

Price Change

from Oct '09

* N/A - Vehicle was not available in reported month

12

About AutoTrader.com

Atlanta-based AutoTrader.com, created in 1997, is the Internet's ultimate automotive marketplace and

consumer information website. AutoTrader.com aggregates in a single location millions of new cars, used cars

and certified pre-owned cars from thousands of auto dealers and private sellers and is a leading online

resource for auto dealers, individuals and manufacturers to advertise and market their vehicles to in-market

shoppers. The company also provides a robust suite of software tools for dealers and manufacturers to help

them manage and market their vehicle inventory and display advertising on the Internet. AutoTrader.com

continues to grow key business metrics, including revenue, profitability and site traffic. Today, AutoTrader.com

attracts more than 15 million unique monthly visitors who utilize the site to review descriptions, photos and

videos of vehicles for sale; research and compare vehicles; review pricing and specials; and read auto-related

content like buying and selling tips and editorial coverage of major auto shows and automotive trends.

AutoTrader.com operates one other auto marketing brand, AutoTraderClassics.com. AutoTrader.com also

owns used vehicle management software company vAuto, Kelley Blue Book (Kbb.com), HomeNet Automotive,

a leading provider of online inventory management and merchandising solutions for the automotive retail

industry and VinSolutions, a leading provider of end-to-end solution platforms for dealers. AutoTrader.com is

a majority-owned subsidiary of Cox Enterprises. Providence Equity Partners is a 25 percent owner of the

company and Kleiner Perkins Caufield & Byers is also an investor. For more information, please visit

www.autotrader.com.