Tuesday, November 16, 2010

Pickup truck income outpace auto income

A larger gap grew in between auto sales and truck sales over October. The nature of the divide is a bit interesting though. It would make sense that in a lower economy, individuals would buy cheaper cars with good mileage. Pickup trucks, nonetheless, dramatically outsold vehicles.

More want trucks over cars

October auto sales made for a banner month. The month had gains posted for nearly all auto makers. Toyota on the other hand, because of lawsuits and recalls losing respect from the public, reports losses. Truck sales made up 54 percent of new auto sales according to USA Today. There are incentives offered by Ford and Dodge where Dodge has its "60-Day Handshake" promotion so anybody who buys a Dodge Ram pickup can return the truck in 60 days while Ford had its zero-percent financing on auto loans for new pickups. The figure includes pickups, but also autos that technically use a “truck” chassis. There were also included within the figure SUV's and minivans. Anything under the heading could go there.

Forget about the price of gas

The majority are aware of fuel consumption. This is especially true of modern car buyers. There has been a boost in small cars and hybrids. This is a fact. Full size pickups are still being sold. The rate is still the same. When the truck and SUV craze had been going, gas was less than $2 per gallon while now it is more than $2.80 a gallon which is more expensive. As a result of auto credit being damaged, many businesses weren't able to replace older work trucks and vans which is why the majority of the purchases were for work cars.

Keep on trucking

Selling trucks is great for automakers. They love to sell them. Ford makes the best selling pickup within the world, the F 150, set to debut with a turbo-charged V6 soon. Chevrolet, GMC and Dodge are not too far behind.

Citations

USA Today

content.usatoday.com/communities/driveon/post/2010/11/trucks-outsell-cars-by-widest-margin-in-five-years/1



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