About Our Values
Learn About Our Range-based Pricing >
The Kelley Blue Book Values Story
About Our Values
Learn About Our Range-based Pricing >
Fresh
- We update our pricing weekly to give dealers and consumers the most up to date pricing.
- Our values include current Transactions & Macroeconomic data to reflect retail and wholesale trends.
Local
- KBB.com understands the importance of providing pricing that is geographically relevant to dealers and consumers. In order to better meet the needs of the industry, we produce values based on 101 geographic regions.
- Each region is analyzed individually to reflect local pricing and local economic conditions.
Relevant
- We leverage massive amounts of data, including actual transactions - then adjust for local market conditions and seasonal trends.
- Our values reflect both wholesale and retail transactions to provide a 360 degree view of the market.
- We analyze over 100,000 auction transactions each week, representing over 60% of all auction transactions occurring accross the U.S. This insight, coupled with detailed auction transaction data from our sister company, Manheim, allows dealers to make confident buying decisions.
Source of our Values
Dealership Sales Data
Based on tens of thousands of new and
used sales per week
Kelley Blue Book maintains relationships with large and small dealers and dealer groups. The data they provide is critical to our valuation methodology. This data is not customer-specific or confidential.
Auction Transactions
Over 100k transactions per week, including
Manheim transaction data
Kelley Blue Book analyzes over 60% of all auction transactions occurring across the USA each week. Additionally, our special relationship with Manheim allows Kelley Blue Book to secure Manheim auction data at an extremely detailed level, contributing to the accuracy of our values.
Macroeconomic Factors
Takes into account regionality, fuel prices, GDP, unemployment and other data
Companies such as Moodys.com provide Kelley Blue Book with forecasts for macroeconomic indicators such as unemployment, fuel prices, gross domestic product (GDP) and the consumer price index (CPI). This information is critical to our forecasts since vehicle prices and sales are highly correlated to the health of the economy. Kelley Blue Book's statistical models also adjust weekly for large and small fluctuations in supply or demand caused by natural disasters, seasonality, regionality and macroeconomic changes.
Listing Data
3.4+ Million Avg. Listings Per Day*
Kelley Blue Book receives data on an average of 3.4+ million new and used listings from AutoTrader.com per day*.
Data Aggregators
Over 200k Sales
Transactions per Week
Several data companies have access to dealership DMS data and provide Kelley Blue Book with vehicle level transaction information, including retail transaction price at the year, model and trim level. As with the information provided by Dealer Groups, this data is not customer-specific or confidential.
Consumer Behavior
Attitudinal trends and vehicle preference demand, as captured by KBB.com
We leverage the over 19 million unique visitors to KBB.com to gain insights into their vehicle preferences at the year, model and trim level when they visit KBB.com. The information is then used to determine consumer demand. This market intelligence improves the quality of our values.
Vehicle Inspections
Over 500k hands-on inspections by
auction field analysts
Field Analysts perform extensive inspections on hundreds of thousands of vehicles each year, gaining unparalleled insight into how vehicle conditions impact vehicle values, resulting in a depth of vehicle attribution data not available through standard auction reporting.
OEM Vehicle Data
Vehicle Configuration, Incentive
and Production Level Data
Manufacturers provide vehicle configuration information, new vehicle incentive data, vehicle production levels and MSRP.
Our trusted valuations just keep getting better
More Local Pricing Granularity
We've refined our valuations to 101 regions, encompassing the 50 largest markets in the nation.
Enhanced Treatment of Mileage
We've improved the way we adjust values for mileage on vehicles of different ages, makes, categories and more.
The Value of Color
We've analyzed the top 15 colors in the marketplace and turned this knowledge into market-reflective valuations.
Improved Condition Adjustments
Our new valuations look more closely at age and scarcity when determining the impact of condition on value.
A balanced approach
Combining Art & Science to Create Unparalleled Values
Vehicle Valuation Team
- Review Forecasts
- Set Values
- Team of Automotive
Industry Analysts
Predictive Analytics Team
- Develop Models
- Produce Forecasts
- Team of Statisticians
and Data Technologists
Kelley Blue Book provides vehicle values that are consistent, reliable and predictive of current market conditions.
Powered by nearly 90 years of providing vehicle valuations to consumers, we've channeled our unparalleled abilities for evaluating market data into one of the industry's most reliable and relevant resources for dealers.*
As a result, Kelley Blue Book can help your dealership make valuation decisions with confidence.
*Our data analysis shows that Kelley Blue Book provides valuations that most consistently and closely track real-time market pricing.
KBB Resources by the Numbers:
250+
Sources
256 Million
Observations
1.5 Million
Vehicle Inspections
2.9 Trillion
Data Points
30
Valuation Experts
Definitions of Our Values
The MSRP, or Manufacturer's Suggested Retail Price, is the price set by the manufacturer. MSRP includes destination charges and minimum required equipment, but excludes service and handling fees and state and local tax, title and license fees. MSRP is a reference point for negotiations, however dealers can choose to sell a vehicle above or below its listed MSRP.
Source: OEM
The Invoice price is the price the manufacturer charges its dealers for a new vehicle, but it does not necessarily reflect the total price actually paid by the dealer for the vehicle. The Invoice price includes destination charges, but doesn't include dealer advertising costs or costs for selling, preparing, displaying or financing the vehicle. Also, Invoice price does not include factory-to-dealer incentives and other factors which can reduce what the dealer pays for the vehicle.
Source: OEM
In vehicle leasing, the Kelley Blue Book® Residual Value is Kelley Blue Book's forecast of a vehicle's future market value. In particular, the residual value is used to establish the value of a vehicle at the end of its lease term. Lease terms usually range between 24 and 60 months.
Updated weekly, the Kelley Blue Book® Fair Purchase Price for new cars is generally the midpoint of the Fair Market Range. It is Kelley Blue Book's estimate of what a consumer can reasonably expect to pay this week in their area for a new vehicle configured with their selected options, excluding taxes, title and fees. It's based on actual new-car transactions, plus data from other reliable third-party sources as well as market conditions.
Source: Dealership Retail Sales Transactions
The Fair Market Range for new cars is Kelley Blue Book's estimate of what a consumer can reasonably expect to pay this week in their area for a vehicle configured with their selected options, excluding taxes, title and fees. Each dealer sets and controls its own pricing.
Source: Dealership Retail Sales Transactions / Economic Data / Consumer Search Analytics / OEM Incentive, Production, Search Data
The Kelley Blue Book® Trade-in Value is Kelley Blue Book's estimate of what a consumer can expect to receive from a dealer for a trade-in vehicle assuming an accurate appraisal of condition. This value will likely be less than the Kelley Blue Book® Private Party Value because the reselling dealer incurs the cost of safety inspections, reconditioning and other costs of doing business.
Source: Auction Sales Transactions / Trade-In Marketplace Offers / Dealership Appraisals
The Trade-In Range is Kelley Blue Book's estimate of what a consumer can reasonably expect to receive this week based on the style, condition, mileage and options of the vehicle when they trade it in to a dealer. However, every dealer is different and values are not guaranteed.
Source: Dealership Retail Sales Transactions / Auction Sales Transactions / Trade-In Marketplace Offers / Dealership Appraisals
The Kelley Blue Book® Suggested Retail Price is representative of dealers' asking prices. It assumes that the vehicle has been fully reconditioned and takes into account the dealers' profit and costs for advertising. The final sale price will likely be less, depending on the car's actual condition, popularity, warranty and local market factors
Source: Online Vehicle Listings
Updated weekly, the Kelley Blue Book® Fair Purchase Price for used cars is generally the midpoint of the Fair Market Range. It is Kelley Blue Book's estimate of what a consumer can reasonably expect to pay this week in their area for this year, make and model used vehicle with typical miles and configured with their selected options, excluding taxes, title and fees, when buying from a dealer. It's based on actual used-car transactions, plus data from other reliable third-party sources as well as market conditions.
Source: Dealership Retail Sales Transactions
The Fair Market Range for used cars is Kelley Blue Book's estimate of what a consumer can reasonably expect to pay this week in their area for this year, make and model used vehicle with typical miles and configured with their selected options, excluding taxes, title and fees, when buying from a dealer. Each dealer sets and controls its own pricing.
Source: Dealership Retail Sales Transactions / Auction Sales Transactions / Economic Data / Consumer Search Analytics / Online Vehicle Listings / Trade-In Marketplace Offers / Dealership Appraisals
The Kelley Blue Book® Certified Pre-Owned (CPO) Price is representative of dealers' asking prices for a used car covered by the automaker's CPO program. It includes certification program costs, dealer profits and retail costs. The CPO sales price will depend factors such as the car's actual condition, popularity, warranty and local market factors.
Source: Dealership Retail Sales Transactions
The Kelley Blue Book® Auction Value is Kelley Blue Book's estimate of what a vehicle is expected to sell for at a wholesale auction. It assumes the seller has properly disclosed the condition of the vehicle. It does not include buyer's fees or the buyer's transportation costs and assumes the vehicle has not yet been fully reconditioned, inspected, and prepared for retail sale.
Source: Auction Sales Transactions
The Kelley Blue Book® Lending Value is Kelley Blue Book's benchmark value for wholesale and retail lenders. Based on the Kelley Blue Book® Auction Value, the Kelley Blue Book® Lending Value assumes that the vehicle is in good or better condition, fully reconditioned, inspected, and prepared for retail sale.
Source: Auction Sales Transactions
The Kelley Blue Book Instant Cash Offer is an actual offer for the customer's car based on the car's specific features and condition. The Offer is valid for 72 hours and redeemable today at your dealership once the car's condition and features are verified.
There may be instances where the Kelley Blue Book Instant Cash Offer and the Kelley Blue Book Trade-In Value vary. The Kelley Blue Book Trade-In Value is typically the mid-point of the Trade-In Value Range, which is a range of values for similar vehicles of the same year, make, model, style and general condition. In some cases, there could be hundreds or even thousands of similar vehicle configurations that are used to determine a Trade-In Value Range for similar cars.
On the other hand, the Instant Cash Offer is a quick and easy way for the customer to trade in or sell a car without having to negotiate, though they sometimes may choose to do so. There's probably only one car with the customer's specific car's exact combination of mileage, installed options, and precise condition, considering both mechanical and physical conditions like scratches, dings and dents. Also, unlike the Trade In Value, the Instant Cash Offer lets the customer choose to use the Offer toward the purchase of another vehicle or walk away.
Vehicle Values in Your Market
One of the key components of KBB.com vehicle pricing and valuations is retail market data.
Since this data is based on actual retail sales transactions, more sources allow us to better reflect the conditions in a given market.
Kelley Blue Book is providing an opportunity for dealers to share vehicle transaction data. No Personally Identifiable Information will be accessed.
If you are interested in more information on how you can provide your transaction data to be included in KBB.com pricing and valuations, or to start the process, please contact:
Jim Sapia
Manager, Data Acquisition:
949-268-4223
Jim.Sapia@kbb.com
For an in-depth look into our value story, please watch our video
Watch the Video ›To learn more about the KBB.com Price Advisor and range-based pricing, please click here.
For any questions you may have, please contact us at: values@kbb.com
Range-Based Pricing
Learn About Our Values >
The KBB.com Price Advisor
As consumers gain more and more visibility into the car shopping process, new opportunities have been created for dealers to differentiate themselves by understanding the needs of today's shoppers.
Our research has consistently demonstrated that shoppers want a fair price, not necessarily the lowest. We also know limiting valuations to a single price-point doesn't take into account all of the variables associated with structuring a car deal. This led us to our range-based pricing tool, the KBB.com Price Advisor.
The Price Advisor reduces tension during pricing discussions by giving shoppers realistic pricing expectations with a range that shows what they can expect to pay. It's pricing that gives shoppers the confidence they need and the flexibility you require.
How Does It Work?
The KBB.com Price Advisor reflects the current market for a selected vehicle. Statistical models utilize actual transactions at the retail level to validate or revise the Fair Purchase Price every week as market conditions and consumer trends shift.
The Results
The KBB.com Price Advisor helps build trust and credibility between dealers and consumers. It effectively prepares consumers with realistic expectations, giving them the confidence to take the next step into your dealership.
How powerful is it? 86% of users are likely to engage with a dealership after viewing the Price Advisor.
OVERVIEW
Video overview of the KBB.com Price Advisor.
PRESENTATION
A more in-depth presentation.
CONSUMER TESTIMONIALS
"I'll be very confident going into the dealership."
- Jill C, Consumer
CONSUMER TESTIMONIALS
"...makes me more likely to go visit the dealership."
- Richard M, Consumer
DEALER TESTIMONIALS
"...brings fair pricing to the dealership."
- Tom Dempsey,
Dempsey Chrysler Jeep Dodge Ram
DEALER TESTIMONIALS
"We can now reach shoppers the moment they price a new car."
- Dan McMillan, Rizza Auto Group
For any questions you may have, please contact us at:
values@kbb.com
An Overview of the Cox Automotive Family of Values
The immense resources of Cox Automotive allow brands such as Kelley Blue Book, Manheim, Autotrader and vAuto to share trillions of proprietary data points. The resulting synergy helps produce valuation products that benefit the entire automotive industry.