Fiat Chrysler and Ram Trucks have become a thorn in the side of the Chevrolet Silverado. The Ram outsold the Silverado by more than 10% in 2019, marking the first time ever the truck has outsold Chevy, and outright sales aren’t the only area where Ram is pulling ahead of the competition.
Data obtained by Automotive News indicates Ram is winning over more buyers than both Ford and GM in the crucial under 35 demographic, as well. Ram recorded 43,282 pickup registrations for buyers under 35 last year, according to data from IHS Markit, while Ford was second with 40,968 registrations in the same demographic. Unfortunately for General Motors, the Silverado came in third with 39,181 registrations to buyers under 35.
Ram’s popularity among young buyers can be attributed to a variety of factors. For starters, Ram is selling its previous-generation Ram 1500 and Ram Heavy Duty models alongside the new redesigned models, marketing them as the Ram Classic. This gives less well-to-do buyers a budget alternative, and seeing as many in the under 35-demographic cannot afford today’s pricy new trucks, this strategy has made Ram particularly popular with younger consumers.
In addition, Ram has offered steep discounts on both the Ram Classic the redesigned Ram, making the trucks more attainable for younger buyers. Last year, GM spokesman Jim Cain accused Ram of “pulling out all stops to win sales,” including offering huge discounts on the newly introduced Ram 1500 and pushing short-term leases for employees and family members to pad its sales numbers.
Ram’s aggressive sales tactics are essentially the inverse of GM’s current strategy for the Silverado and GMC Sierra. While Ram is offering steep discounts in order to bring new customers into the fold and gain market share, GM is laser-focused on wringing as much profit as possible out of each unit of the Silverado and Sierra. As such, GM exercised more restraint with regard to truck incentives throughout most of 2019, though it has begun offering more incentives on the Silverado and Sierra in recent months.
Those incentives helped the Silverado and Sierra gain some retail market share in January. The two GM trucks accounted for 41 percent of pickup market share in January 2020 – a substantial jump from 2019, when it had just a 36.6 percent share of the pie. That was already a considerable jump from 2018, when it had just 35.6 percent of the pickup market share.
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Source: Automotive News
Comments
Because Ram 1500 Classic is dirt cheap. They are 100% buying market share. 35-40% of all half ton Rams on sale in North America are Ram Classic. I’m curious what their long term strategy is. The actually new generation 2019/20 Ram hasn’t exactly been a sales explosion.
Price is king in this group. Hyundai is doing the same thing on price.
The real question is after issues with the trucks will people be return buyers. Lots of recalls and issues.
I’d say VALUE is king, thus Hyundai cannot build the Palisade / Telluride fast enough. Their interiors are better than anything GM currently has on sale and the pricing is great, throw in 5/50K warranty and 100K powertrain = VALUE. THe new Genesis SUV will ruin the XT6
My ATS was recalled 7X and they had to remove the dash one time…. the poor thing is probably a rattle trap by now. No its VALUE and GM is clueless… Ram, they’ve got it down.
Yet they have low resale…. no value.
Ram may sell ore trucks but they enjoy a lower profit margins.
If market share increase is a measure of profits, you’re incredibly wrong… and you are…
https://www.bloomberg.com/news/articles/2019-07-03/fiat-chrysler-s-two-rams-pick-up-load-of-market-share-from-chevy
“They did the product fundamentally right,” Accenture’s Irwin said of Ram. “They have a home run.”
The Ram 1500 ranked No. 1 in interior layout and No. 2 in technology, exterior styling and ruggedness among all non-luxury vehicles — not just trucks — in Kelley Blue Book’s analysis of consumer perception for the first quarter. The Silverado didn’t rank in the top three for any attribute in the survey.
Customers spend their own money and buy what they perceive is the better product, the better VALUE, and the better price… GM might be laser focused on profit but Ram is focused on the others…. RAM is so much better looking too and if you don’t use it for work, guess what its the interior and the exterior appeal that matters. Ram has Chevy in a headlock on those 2 fronts, the Chevy is hideous and the “jet black” interior is 3rd world by comparison and pricing… Ram is just a better value overall… oh and did I say its much, much much better looking .. and sweet interior? GM is pathetic in their laser focus on cheap…
I agree VALUE is king. End of the day value is not cheap plastic brought on a deal. It is good material, quality experience for right cost.
GM still thinks value is case 1. So that ends up looking those people who paid high price before that deals began and looses long term customers, only end up with cheap deal takers and no brand value.
The article states the obvious. Just look at the drivers of the trucks. Same is obvious that 60 something’s are they guys with the reg cab short box trucks. Townships and contractors drive reg can long box. Ram is winning over the under 40 crowd. Is it price or looks or both?
In my my sphere of influence I am not the lone Chevrolet hold out but I am definitely now in the minority. The others have all bought new Rams over the past 24 months I have yet to order a new Chevy. I want to, it is what I have always known and what I have always liked but this last truck is not GM at their best. so even though I have been to the lot many times Ican’t make myself like it. I don’t like the front end ( squinty eyed headlights and those awful looking stubby bumpers and “gills”). The interior is not so much cheap as it is bland. Only 2 interior color choices and both are dark?? And one of those is only offered on certain trims??? The truck has been de-contented, I mean really?? No storage in the center fold down seat back……my 2006 had that!!! No option for body side molding?? No two tone offerings. I can go on and on. No wonder younger buyers are’t looking their way.
This is NOT the best Chevy truck ever! Far from it in fact!
Do you sell Vehicles then you have to idea what you are talking about ! The Custom Trailboss and Lt Trailboss cant stay on the lot! And the Dem is young and old!
I used to preach to my kids, buy GM, but no more. The only decent GM vehicle is the C8.
My son-in-law just bought a Subaru Outback, a sharp looking vehicle and not de-contented like GM garbage. Until GM gets their act together, if ever, count me out as a buyer.
Good luck with the paper-thin head gaskets the boxer engines have…
As for Ram, FCA is DOA at this point, the Ponzi scheme Wall St. is about to expose many debt laden companies balance sheets, hell I might buy a new truck at a liquidated price..
Well I think we know who Guestt really is… Mary Barra? If RAM is DOA I’d hate to have any GM stock, MB is a disaster…
Lol, that’s rich. I guess you’re Rick Wagoner still looking for work in the automotive industry, I heard O’Reilly’s is hiring parts runners, that’s a start.
I do bomb on GM here and there for some mistakes but a constant crying festival like the “other” GM site please go there or buy the competition and hang with them.
Nah… this is a great site to complain about a once great monster of a company that is being mismanaged. Appreciate the compliment, Rick Waggoner was a phenomenal CEO by comparison. Long before anyone (cept VW) was looking at China he was moving in that direction. He also managed the company at its most desperate time then got fired by an unqualified community organizer who installed the current PC CEO. He grew the company and expanded its market and footprint and she continues to shrink it. GM went into bankruptcy due to the legacy costs for labor and the UAW. She buckled at yet another UAW stranglehold which IS going to come back on the company. Yet, his legacy is still keeping the company alive…
And how many alias do you use?
Yea GM is not trying at all to get the under 35 market. Besides the “Elevation Package” on Sierra that they have explicitly said is targeted toward the younger demographic (and last year they only had in a double cab??) . Other than they they explicitly say in marketing they are after the 55 and over crowd, don’t care about anyone else. I can’t say much on the Chevy side but they are really screwing the pooch.
Have they fixed the long standing sheared exhaust manifold bolt issue on the 5.7L “not-a-HEMI” yet? Service manager (bro-in laws truck) said it keeps them busy when I dropped him off to pick up his truck.
Some starts A/C doesn’t work either!😰 until restart.
Of course. That age group wants everything. Mostly infotainment systems, Tech and the Ram is the best at it.
http://www.msn.com/en-us/autos/research-guides/2020-editors-choice-the-best-cars-trucks-suvs-and-minivans/ss-BB10EhRo?ocid=ientp#image=1
GM gets the Camaro which they’re going to probably kill and the new Vette which is niche and dang near perfect… Everything else doesn’t rate… Lots of Kias and the Outback is there… GM is pathetic…
The Ram is a good looking truck, its also a cheap pos.
Chevy guy hit the nail on the head : Jet black crap interior, walnut black interior, blown plastic interior, thin seats,
exterior has 90% dark colors to blend in with all the cheap black plastic on wheel wells, cheap black plastic mirrors, plastic black bed steps, front end is ugly with cheap black plastic, bumper steps are cheap black plastic, no two tone paint, black wall tires, 80K for a cheap truck. its sad, Ram is dam good looking inside and out. if you took the denali emblem off the doors of a white truck , you would think its a work truck. Junk
Yeah , no surprise GMs Trucks now perform bad i wont say worst in segment in terms of MPG and towing due to there size and wight specially compared to FORD i wasnt big fan of these extra inchs here in there without an alumium construction
And ppl in this age group know about how diffcult to deal with ECMs and TCMs for little tunning .