We all know that pickups are great cash cows for GM, whether it be the Chevrolet Silverado or GMC Sierra. In order to augment those sales figures even more, cash incentives have become a big part of the process, and for lack of better words, have spoiled truck buyers. But is this all coming to an end? Well, things are at least beginning to change.
We’re firm believers that a vehicle should sell itself, and not require major discounts to put it in your garage. The full-size log haulers never really seemed to call for these discounts, but no one complains about keeping money in the bank, right?Considering record sales figures (thanks to the new generation of trucks), GM realizes that there isn’t much need to continue on with these massive (up to $6,000) discounts. According to reports, these discounts will be “shunned.”
U.S. sales and operations VP Kurt McNeil says, “Our dealers have transitioned to selling the deal on the old truck to selling the value on the new trucks.” These new actions are being done to help the future of GM, not only by increasing profit per unit, but to also help with resale value. To clarify, spokesman Jim Cain said that GM will keep cash incentives around “just enough to drive demand but not so much as to hurt resale value, profitability, etc.”
Meanwhile, the aging truck offerings from Ram and Ford remain heavily discounted.