Navigating the New and Pre-Owned Inventory Landscape

While it may seem like new vehicles are stacking up and pre-owned vehicles are playing hard to get, the reality is a bit more complex. The 2025 inventory landscape is still full of twists, turns, and a few surprise dips. If you’re a dealer trying to make sense of shifting supply trends, you’re not alone – and you’re not imagining things. New vehicle supply might appear strong at first glance, but factors like fluctuating sales pace, model year transitions, and brand-specific inconsistencies are complicating the picture. Meanwhile, pre-owned inventory remains limited, in high demand, and continues to sell quickly. Let’s dissect what’s happening so you know what your next move should be.

New Vehicle Inventory: Larger Numbers, Conflicting Signals

Yes, new vehicle inventory is increasing more in 2025 than in 2024. But that doesn’t necessarily mean that vehicles are sitting on the lot gathering dust within the current inventory landscape. Some months have had surprisingly good sales, especially December of 2024 and March of 2025, which sold best-selling models off the lot faster than expected.

This is where things get interesting; inventory levels may be higher, but days’ supply hasn’t moved linearly. Some months? It went down. That means vehicles were selling quicker, not lingering. So, your lot may appear fuller, but customer demand is still keeping things in motion.

What’s behind it?

• New 2025 model shipments have padded out inventory levels, especially for brands putting out multiple updates.
• Tariff talk has pushed some sellers to front-load their inventories ahead of planned price hikes.
• And then there was the June 2024 cyber-attack, which made sales and supply data briefly unreliable, perfectly timed to put a wrench in forecasting.

Add in brand-specific quirks, and it’s clear that “more vehicles” doesn’t always mean “slower sales.” Each rooftop is unique.

Pre-Owned Vehicle Market: Still Tight, Still Competitive

If your pre-owned department feels like it’s working with fewer options, that’s because it is.

Pre-owned inventory was already squeezed in 2024, with days’ supply dropping to an average of just 38 days. By early 2025, that number edged up to 48, but that’s still well below pre-pandemic norms. According to vAuto Live Market View data, inventory levels in early February 2025 were lower than those at the same time last year.

So, while there’s been a small bump, it’s hardly a flood of fresh inventory. Dealers are still competing aggressively for quality trades, and auctions remain hot zones for high-demand units. Expect this market to remain tight, fast-moving, and margin-sensitive through the rest of the year.

What This Means for Dealers Navigating the Inventory Landscape

This isn’t the time to get comfortable. It’s time to stay sharp when navigating the new and pre-owned inventory landscape.

• New vehicle departments should stay agile, watching days’ supply closely and being strategic about pricing, incentives, and turn rates.
• Pre-owned vehicle managers need to keep their sourcing networks strong and think fast when good inventory hits the auction lane or shows up for a trade.
• And every dealer should be ready to pivot because, from tariffs to tech glitches, the unexpected continues to shake up inventory dynamics.

That’s Where Strong Automotive Steps In

Strong Automotive helps dealers turn all this complexity in the inventory landscape into opportunity. From custom marketing strategies that help move your high-supply models faster, to smart digital campaigns that target pre-owned-vehicle buyers in your zip code, we’ve got the tools and the team to help you thrive, regardless of what the market throws your way. Ready to stop reacting and start driving the conversation? Let’s talk.