Mexican Media Brands
U.S. Discounts on Big Pickups Soar to $16,000
Detroit’s traditional carmakers are propping up demand for their high-profit fullsize pickups with sales incentives worth $12,000-$16,000.
#economics
Share
Detroit’s traditional carmakers are propping up demand for their high-profit fullsize pickups with sales incentives worth $12,000-$16,000.
Incentives from $12,000 on the country’s best-selling Ford F-150 to $13,000 for the Chevrolet Silverado and $16,000 for the Ram 1500, according to a dealer survey by Reuters. Such models, which enjoy the mass market’s highest profit margins, fetch an average transaction price of about $43,000.
The discount blitz reflects the desire of carmakers to sell off inventories of 2018 models to ensure a strong launch of their 2019 models.
LMC Automotive forecasting chief Jeff Schuster says the boom was triggered by a supplier facility fire that hurt Ford’s output of F-150s in June. He tells Reuters the disruption prompted rivals to pile on the incentives to gain market share.
RELATED CONTENT
-
Inside Ford
On this edition of “Autoline After Hours” Joann Muller, Detroit bureau chief for Forbes, provides insights into what she’s learned about Ford, insights that are amplified on the show by our other panelists, Stephanie Brinley, principal analyst at IHS Markit who specializes in the auto industry, and Todd Lassa, Detroit Bureau Chief for Automobile.
-
On Urban Transport, the Jeep Grand Wagoneer, Lamborghini and more
Why electric pods may be the future of urban transport, the amazing Jeep Grand Wagoneer, Lamborghini is a green pioneer, LMC on capacity utilization, an aluminum study gives the nod to. . .aluminum, and why McLaren is working with TUMI.
-
Enterprise Edges into Self-Driving Car Market
U.S. rental car giant Enterprise Holdings Inc. is the latest company to venture into the world of self-driving vehicles.