Since the 2007-2009 economic recession, the automotive retail market displayed a drop in new car-sales and the increased demand for used vehicles. For 2012, data indicates that it will be more of the same.

Jonathan Banks, Executive Auto Analyst for the NADA Used Car Guide, explained, “The average trade-in value of a 3-year-old used car is 8 percent higher in January 2012 compared to last January. We expect this trend of higher trade-in values to continue throughout the year.”

Essentially, Banks noted there were two reasons for the ongoing trend in used car value. First, NADA analysts predict a 7 percent decline in used vehicle supply for 2012. The off-lease supply, which accounts for a large number of pre-owned vehicles, is estimated to have fallen by 22 percent for 2012.

“Banks says, “The depreciation rate of used vehicles this year will be slower than it has been at any other time in recent history because of reduced inventory, which will keep prices on used models in demand at a premium.”

The second factor attributing to the value of used vehicles is the continuing demand for them. The average age of vehicles currently on the road are at nearly 11 years old. However, Jonathan Banks believes the demand for both new and used cars will increase for 2012.

“Strong consumer demand for late-model used vehicles and a continued reduction in supply will drive up prices this year. For many car buyers who are concerned about cost and economic uncertainty, the used-vehicle market will remain a viable option.”

Acura closed the year on a sour sales note with the new year resolution to move on with their brand despite most car companies being on the rebound.

This year, Acura fans and new customers alike can look forward to a refreshed and redesigned Acura, less focused on competing with the luxury segment and more focused on a mid-market segment between what Honda already offers and the premium car market. So why the change?

The Acura MDX only sold 4,588 units this year, down more than 22 percent over last year. Total sales also dropped eight percent, marking a bad year for the brand.

Honda has often been criticized for stepping too closely within their comfort zone with the Acura variations on their cars, as many owners felt like they were driving slightly fancier Civics.

That doesn’t mean the horse is ready for the glue factory just yet, though. Honda has a plan to make Acura more competitive, including a new NSX, set to debut at next week’s North American International Auto Show.

While supercars are nice, they have never sold in high volume and can’t come close to rescuing a lame duck brand. However, writing Acura off as a lame duck, despite comparatively poor sales, is probably rash. The company plans to debut a line of totally redesigned cars starting this spring in an effort to rethink the brand.

“Acura will start off 2012 strong with the debut of three all-new products at the North American International Auto Show. Although we still had low inventory in December, our production levels are now back to normal. With a great line-up of products and all-new ILX and RDX models coming in the spring, 2012 will be a very good year for Acura,” said an Acura representative.

Stay in touch with us next week as we unveil more details about Acura’s new models and their plan for the coming year.

We’re 75 percent there! Well not really, you can probably guess what’s hiding behind the last square in Buick‘s little puzzle-style picture of their Encore small SUV. In case you’re missing the joke, it’s a wheel.

GM hasn’t released details about the Encore yet, though we can make a couple of educated guesses to tide you over until the North American International Auto Show in Detroit, where it will officially debut.

We do know that it will take advantage of the sub-compact Chevrolet Sonic‘s architecture. We are expecting to see GM’s new 1.4-liter and maybe 1.6-liter turbocharged four cylinder engines, as well as options for front- and all-wheel drive choices.

We’ll be in Detroit for the show, offering up-to-date information starting a week from today. Until then, see AutoGuide’s complete Detroit Auto Show Preview here.

Things aren’t just “made in China” anymore, in fact the country’s surging economy is significantly supporting industries like the luxury car market. BMW, Audi, Mercedes-Benz and more are all aiming their crosshairs at the Chinese economy, hoping it can be the saving angel capable of salvaging growth.

That’s still likely to be the case, though not with the breakneck speed we saw a year ago when light vehicle sales grew 33 percent. China is taking steps to shush their screaming economy by restricting residential property purchases in an effort to avoid a housing bubble. Despite that, IHS Automotive and LMC expect car sales to grow between eight and 10 percent next year.

That growth will be slower thanks to restrictions and disappearing subsidies. The Chinese government removed incentives after 2010 meant to encourage new car buyers into the market while Beijing, this year, imposed a strict quota on new car purchases to cut down on traffic congestion and pollution.

Despite that impediment, Chinese car sales are still expected to grow, which is good news for luxury car makers. Demand for German luxury cars is actually eclipsing the European market, which traditionally consumes the most. With money looking tight across the globe, a 10 percent growth margin is sure to look good for any automaker.

[Source: Automotive News]

Keep an eye on Lotus over the next six years, they just won a bid for this round of the Regional Growth Fund (RGF).

Lotus CEO Danny Bahar said in a press release that the money will help the company refresh its line of sports cars with best in class performance and emissions.

The RGF is meant to support projects and programs in the UK that will support private sector growth. A long list of companies competed for a share in the discretionary fund worth about $2.25 billion. Lotus got official confirmation from the Department for Business, Innovation and Skills that they are among the accepted.

Bahar said that “this is a very significant boost to local communities, and the Regional Growth Fund will help businesses like Lotus to drive local growth.”

The funding will help Lotus further development of its new line up sports cars, including a next-generation Elise and Exige, as well as the new Esprit (above).

GALLERY: New Lotus Esprit

AutoGuide.com would like to announce that Charles Britt of Butler, Tn., is the recipient of a $500 Discount Tire gift card. Britt was randomly selected from the thousands of entries to the AutoGuide.com/J.D. Power Audience Survey.

Polling members of AutoGuide’s Forum Network, the survey asked questions to find out how social media and other online tools help to influence new car buying decisions.

The staff at AutoGuide.com would like to thank all those who participated. And congratulations to Charles Britt!

Shop for your new car at AutoGuide.com

If you’re looking to buy a car this year, chances are it’s going to be a used one… at least, that’s what a new survey by the Consumer Reports National Research Center says.

According to the 2011 Car Brand Perception survey, 65 percent of people who responded said that they were more likely to consider buying a late-model used car, while 30 percent stated that they would be less likely to consider a used car. Other numbers show that 71 percent were likely to consider a late-model used car instead of a new car, and almost half of that number was very likely to head in the used car direction. In terms of the gender divide, 75 percent of men are likely to buy a used vehicle, while about 67 percent of women were considering buying used. On the flip side, 28 percent of respondents said they were unlikely to consider a used car.

Are you buying a car this year? Will you be going with used or new? Tell us in the comment section below.

[Source: Consumer Reports]

We’ve all seen those commercials where a lucky recipient is surprised by a new car complete with a festive bow waiting for them in the driveway on Christmas Day. But do you know anyone that has actually received one as a holiday gift? You’ll be surprised to know that it happens a lot more than you think.

According to CNW Marketing Research, this holiday season a total of 14,994 new car purchases will be vehicles that will be given as gifts (out of an estimated 980,000 new car sales this holiday season).

That number grows considerably when you take into account used cars being given as gifts. Of an estimated 2,950,000 used vehicle sales this holiday season, 41,890 of them will be earmarked as gifts. That’s a total of 56,884 big expensive presents, or a 1.45 percent share of all car sales during the holidays).

Possibly a sign of the improving economy, that’s roughly 4,000 more cars given as gifts compared to last year. Still, it’s roughly half the all-time record for vehicular gift giving, with a total of 138,269 cars and trucks being bought as presents in 2005.

Who says the best presents come in small packages?

[Source: ConsumerSearch.com]

Would you go an extra mile to save an extra buck on a new car purchase? According to a new survey released by Consumer Reports, you’d be willing to go 55 miles.

Thanks to the Internet, it’s easy to compare prices, and armed with all this valuable research, it’s a great way to haggle with dealerships for a lower price. The web also offers consumers a greater range of dealerships that will fight for your business and allow you to compare prices across a larger geographic area. And if you’re willing to drive out of town, you can save a lot of cash.

Consumer Reports wanted to see just how far new car buyers would go to get the best price, so they polled 1,700 adult s whose households owned at least one car. It turns out the median distance car buyers would to drive to get the best deal on a new car is 55 miles.

But the results of the telephone survey offer a wide range of responses.  For example, about 14 percent of respondents wouldn’t drive 20 miles for a deal, but 26 percent would go the distance – at least 100 miles – to save some money. And then there’s the dedicated eight percent willing drive over 200 miles to get the best deal possible.

So if you’re in the market for a new car, go online to get quotes from the dealerships and look outside your immediate area for the best offers. Taking the scenic route could save you a few hundred dollars – totally worth the extra time on the road.

[Source: Consumer Reports]

AutoGuide.com has just relaunched its New Cars section with a great new user-friendly format to help make your car shopping experience easy. And to celebrate we’re giving away $1,000.

Integrated with our forum network, AutoGuide understands the online world and so we want to give readers like you the opportunity to share your experiences and opinions of the latest vehicles through a little citizen journalism.

For your chance to win $1,000 all we’re asking is for you to visit our New Cars section and write a review of your car (2009 model year or newer). We’re not asking for War & Peace, but it has to be longer than a Tweet. Then just add a few Pros and Cons and submit it. Oh, and don’t forget to sign up for the weekly AutoGuide newsletter to get the biggest news in the auto industry, plus the latest reviews of new vehicles.