The average manufacturer automotive incentive in the United States was $US2,434 per vehicle sold in April 2005, up $67, or 2.8%, from April 2004, and down $121, or 4.7%, from March 2005, according to Edmunds.com.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more


The industry’s aggregate incentives spending bill totaled $3.6 billion in April. Domestic manufacturers spent $2.8 billion, or 77%, of the total cost; Japanese manufacturers spent $528 million, or 14%; European manufacturers spent $178 million, or 5%; and Korean manufacturers spent $128 million, or 4%.


Overall, combined incentives spending for domestic Chrysler, Ford and General Motors nameplates averaged $3,339 per vehicle sold in April, down $133 from March 2005. Average domestic incentives have never been higher in any prior April. This month, Chrysler became the biggest spender by increasing incentives spending $28 to $3,535 per vehicle sold. At the same time, its market share increased by 0.2%, up to 13.8%. Ford decreased incentives spending by $78 to $2,986 per vehicle sold in April while its market share decreased by 0.6% to 17.3%. General Motors decreased incentives spending by $255 to $3,477 per vehicle sold while its market dropped by 1.4% to 25.0%. The combined market share of the Big Three reached an historic low of 56.1% in April 2005.


From March to April, European automakers decreased incentives spending by $48 to $1,919 per vehicle sold and increased its market share .05%, up to 6.2%. Japanese automakers decreased incentives spending by $45 to average $1,065 per vehicle sold and gained 0.9% market share, climbing to an all-time high: 33% of the U.S. market. Korean automakers increased incentives spending by $148 to $1,885 per vehicle sold and gained 0.4% market share to a total of 4.5%.


Comparing all brands in April, Mini spent only $14 on incentives, while Scion spent $136 and Porsche spent $161 per vehicle sold.  At the other end of the spectrum, Lincoln was the biggest spender at $5,284, followed by Cadillac at $5,063 and Jaguar at $4,113 per vehicle sold. Looking at incentives expenditures as a percentage of MSRP for each brand, Pontiac spent the most, 15.4%, while Mini and Porsche spent the least, 0.1%.and 0.2%, respectively.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Among vehicle segments, large SUVs continued to have the highest average incentives, $4,352 per vehicle sold, while sports cars had the lowest average incentives per vehicle at $93. Looking at incentives expenditures as a percentage of MSRP for each segment, large cars were the highest, 11.1%, while sports cars were the lowest, 3.2%.