Anybody with half a brain knows that today’s GMC truck line is essentially identical to what we see from Chevrolet, sans the big red letters in front telling them apart from the Bow Tie models. Thankfully, we know this will change. But the latest rumor swirling about claims that we may see more of a change than many predicted.
According to Automotive News, General Motors North American president Mark Reuss is fully aware that the two-tier full-sized product offering between GMC and Chevrolet has not been executed as well as it could be.
“When you do that, and you don’t do it right, and you’ve got price overlap and identical incentives and go-to-market strategies,” Reuss told AN, “then you’re going to get dilution (of the GMC brand.)”
True, as both the GMC Sierra and Chevrolet Silverado have identical starting MSRP’s, but the Sierra line touches a higher price when topped out thanks to the Denali variant. The same goes for the GMC Yukon and Chevy Tahoe, as they are nearly identical in a starting price, but the Yukon Denali goes above and beyond what is offered by Chevy. Because of this, Reuss believes that GMC can move its models further upmarket, while Chevy continues to occupy the more affordable market space.
The GM Authority Take
A great idea in terms of giving GMC more much-needed identity, but how consumers react to such a change may play to the disfavor of future sales results. As we like to say, only time will tell.
Source: Automotive News
Comments
I support this idea, because i get so many people that cross shop. And honestly they should have done this a long time ago, GM is finally realizing that they are being cross shopped with their own brands. GMC should be more of a luxury/upmarket truck. I think it’s a good move
Just slash the base models and for the SUVs, raise the price of the mid-level models while offering the Denali brand accross the line, except the Terrain, which should get a Denali like package. Same should go for the Acadia since Buick has the Enclave.
Moving to crossovers, if the next Acadia is downsizing, its price should not be that much cheaper than the current model. As for the Terrain, just increase the price on the current model. If customers are that scared by these changes they will either pay more or go to Chevy. Simple as that. This plan will also avoid GMC going into Buick territory with it crossovers. But GMC’s SUVs will essentially be BOF alternatives to the Buick brand. Also, GMC’s BOF products will leave where Cadillac picks up with the Escalade.
-iluvamcars
This has been done before; ‘Beau James’, ‘Gentleman Jim’, ‘All Terrain’ & ‘Denali’. GMC was the first to have leather interior. Fit & finish and touch of materials is a little lagging. Never thought I would miss the feel of luxury in a WT 2500, but I do. So when I replace my HD it will have the amenities I require from leather to a sun roof. I am not willing to pay Denali pricing for a drive in the mud truck, but I see many business owners who do.
So please do not forget about your next SLE owner GMC.
RAD – what made you go with a Sierra over a Silverado? Just wondering 🙂
I was raised in a Chevy store, sold Chevy’s for a minute, and when my business required an HD, I wanted the most working bang for my dollar. TOYota Tundra, & Nissan Titan, which were quickly removed from list. Dodge had too many limits for towing and Ford would win by spec numbers but too many were in service bays with its cab six feet in the for engine replacement. With that said it left Silverado and Sierra HD Two things set me to GMC. You can option a GMC via packages, that seem to be more work than play. Second there seemed to be a more solid truck feel. At the time Chevy had those stupid chrome plastic bumper end caps. That really removed the value from Chevy for me. The truck I needed had to equipped for everyday 6klb towing and GM just does not over build this optioned HD. Between the Atlantic & Mississippi River there were only 9 Chevy & GMC 2500HDs. I got more of what I needed for better price with GMC. I just bought a second GMC 2500HD due to same scenario.
After selling at the same Auto Group for 17 yrs. I’ve come to this realization, What revelence does GMC have? We continually beat up the GMC store down the street every month on truck sales and have for years! We also double up on our GMC store which is 22 miles away. Can someone tell me why we kept the GMC brand during the restructure?
How many upscale trucks compete with the GMC? “ONE” the Toyota … It makes better sense to get a little leaner and meaner and get rid of the GMC line completely and implement the “GMC” package on a Chevrolet. We already have the #1 platform truck in the world, it makes sense to combine them and advertise as the #1 selling truck in the world!
I know their could be a downside to this with GMC “lovers” and dont get me wrong I am a GM guy through and through, plus I sell all of the product, however other than the Sierra numbers the other GMC products lag considerally behind the Chevrolet product.
we get the best of both worlds with one platform, “honor” the GMC name with a uplevel package on the Chevy, we wont sacrifice jobs, and we would have the #1 selling truck period. (The Acadia,Canyon and Terrain as well)
There would need to be drastic and I mean drastic changes to the GMC product for it to have this “opinion” change my mind. Listen, “if it walks like a duck,quakes like a duck, then its a duck!”
R.J. Willey