Friday, November 19, 2010

Income space between pickup truck income and automobile sales expands

October had been a fantastic month for vehicle manufacturers as income picked up, however the space in between pickup truck income and auto sales has increased. The gap widening is kind of shocking. It would make sense that in a down economy, people would purchase cheaper cars with great mileage. trucks really outsold automobiles significantly.

More want trucks over cars

Auto sales in Oct were really great. 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. In fact, 54 percent of new auto sales were trucks remarkably. USA Today reports this. If you purchased a new pickup from Ford, there had been zero-percent financing on auto loans when if you bought a Dodge Ram pickup you could get the "60-Day-Handshake" which meant you can return the truck in 60 days if you didn't like it. These incentives probably helped a lot. The figure includes pickups, but additionally autos that technically use a “truck” chassis. SUV's, minivans and other vehicles were in the figure too.

Buying despite gas prices

Fuel consumption is something that car buyers are aware of. Small cars and hybrid sales are increasing though. That hasn’t slowed the sale of full size pickups. Gas is around $2.80 a gallon right now. Back when the truck and SUV craze was going, it was less than $2 per gallon. Work vehicles are what most of the purchases were for. Most companies haven't been able to afford to replace work vehicles such as trucks and vans because they don't have the auto credit needed.

Trucks galore

Trucks are the bread and butter of domestic automakers. Ford makes the best selling pickup in the world, the F 150, set to debut with a turbo-charged V6 soon. There is a lot sold by GMC, Chevrolet and Dodge too. They aren't behind that much.

Info from

USA Today

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



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