The TechnoMetrica Auto Demand Index (ADI) fell three points, or 1.51%, to 196 in August from 199 in July, the index's all-time high since we began tracking it in February 2007.
The average ADI since the onset of COVID has been 175, compared to 196 this month.
What Is ADI?
TechnoMetrica Market Intelligence developed the Auto Demand Index, or ADI, to measure consumers' intent to buy or lease a new vehicle in the coming months.
Every month, we conduct a national survey with 1,300 adult Americans and ask the critical question, "How likely is it that you will buy or lease a new vehicle within the next six months?" Based on the responses to the question, we compute an index score. For example, 15.8% of respondents said they are very likely to buy or lease a new vehicle in our August survey, and another 16.6% said they are somewhat likely to do so. We index these purchase intent levels to our anchor - i.e., vehicle purchase intent level of 16.5% in the first quarter of 2007 to 100.
TechnoMetrica has been tracking auto demand since 2007, and the data is a good predictor of what will happen in the near future. The index's valuable intelligence can help OEMs, and their suppliers plan production and incentive programs and take proactive measures.