- The average transaction price (ATP) of a new EV hit a whopping $55,544 in December 2024.
- This number was largely inflated by the increasing number of EV pickups and luxury EV sales.
- Tesla Cybertruck propped up Tesla’s ATP by around 10.5%.
Another year, another hike in the Average Transaction Price (ATP) of new vehicles. EVs in particular saw a year-over-year increase in ATP, hitting a whopping $55,544 in December—proving that while battery-electric is the future of mobility, most nameplates are still parked in the luxury lane.
A new report from Kelly Blue Book highlights an uptick in the ATP for EVs, both year-over-year and month-over-month. Transaction prices in December were up 0.8% from 2023 and 1.1% from November 2024. In case you were wondering, no, it’s not because folks are suddenly willing to shell out more cash for higher trims. Instead, more people are looking towards luxury models and high-dollar battery-powered pickups.
Photo by: InsideEVs
Full-size EV pickups were a blockbuster for automakers in 2024. The Ford F-150 Lightning, for example, sold 33,510 units in 2024—up nearly 37% year-over-year in December alone. Sales volume alone helped to push ATPs across the board to an all-time high. In fact, sales of vehicles over $80,000 were up 37% year-over-year and EVs made up a good chunk of that pie.
The Tesla Cybertruck was a headline act when it came to propping up the ATP for Tesla. Historically, this has been the job of vehicles like the Model S and Model X, both of which have been at the tip of the Tesla pricing pyramid since their inception. But as prices fell on Tesla’s aging lineup, the shiny new truck lured buyers into shelling out nearly six figures for the now-discontinued, $99,990 Foundation Series All-Wheel Drive in October. The launch edition of the Cyberbeast was even more expensive, though both models now start at around $80,000 and $100,000, respectively. The Cybertruck’s higher than average base price helped to push up the ATP of Tesla vehicles by 10.5%.
EVs aside, the ATP for the entire industry has hit an all-time-high of $49,740. This means that, on average, the ATP for an EV is 11.7% higher than other powertrains. Pickup trucks across the industry also helped to inflate that number, with the average model selling for $64,261.
But here’s the kicker: EVs are driving industry averages up, but they still rely on higher than average discounts in order to move volume. December marked the sixth consecutive month where incentives on EV sales exceeded 12% of the vehicle’s ATP. On average, 2024’s incentives equaled out to about $6,700 per vehicle, which is an increase of 41% year-over-year. Think of it as the EV equivalent of dangling a carrot—and, yes, buyers are biting.
Now, sure, we’re seeing record-breaking sales here. The U.S. moved 1.3 million EVs in 2024, which is a new record in both volume and market share. But it did so with sky-high prices and heavy incentives. The question remains: When will EVs reach parity with combustion cars?
With federal subsidies like the EV tax credit on the chopping block, going electric could soon be a tougher sell, especially as the ATP for EVs remains higher. Automakers will need to find a way to make EVs more appealing to justify the higher price tag in the short-term. For now, the trick seems to be marketing towards more upscale buyers (like those who buy trucks) and the luxury market—both of which help to prop up the ATP. And while those types of cars might grab your attention on the road, many are still a far reach for the average car buyer.
