The 2025 ALG Residual Value Awards emphasize the importance of disciplined pricing and incentive strategies for maintaining vehicle resale value. Honda and Lexus received accolades for their approaches, which focus on long-term affordability and value retention.

By avoiding excessive MSRP hikes and limiting incentives, these brands have ensured stronger resale potential, benefiting both consumers and the brands themselves, said Danny Battaglia, managing director of ALG customer success at J.D. Power.

“Honda stayed disciplined with pricing in 2024, avoiding the aggressive manufacturer’s suggested retail price (MSRP) increases that diminished affordability at other brands, while Lexus’s restraint with incentives paid dividends, as incentives have a direct negative effect on the resale values of older models,” Battaglia said. “Additionally, the top brands consistently employ a balanced strategy with regard to trim levels, powertrains and pricing, which helps bolster residual performance and long-term value for consumers who are shopping in a highly competitive market.”

Read more at J.D. Power