Supplies of the GMC Sierra pickup are at all-time lows, with new stock trickling in as a result of a shutdown for GM’s North American production operations following the COVID-19 pandemic. However, despite the low inventory, demand has stayed surprisingly strong.
Per a recent report from CNBC, which cites statements made by the head of the GMC truck brand, Duncan Aldred, GMC Sierra inventory is now at 20 days or less at dealers, far below the typical supply of 75 to 90 days. Meanwhile, supplies of the Sierra’s corporate cousin, the Chevy Silverado, are also low, now at 26 days or lower.
“We’re continuing to sell faster than we build,” Aldred said this week. “That’s not a comment on the build schedule, that’s a comment on how fast we’re selling them.”
Although low supplies can result in higher transaction prices and more profit, they can also discourage impatient buyers, forcing them to turn elsewhere for new sales. Nevertheless, Aldred said that the GMC Sierra currently enjoys “its highest segment share in recent history,” despite having its “lowest stock in history.”
Aldred also said that the GMC Sierra have the highest average transaction prices, including roughly $47,500 for 1500 models, and more than $65,000 for heavy duty models.
Dealers are still clamoring for more trucks. Citing data from J.D. Power, CNBC reports that dealers stocked a little over 500,000 pickups heading into Labor Day weekend, far below the 900,000 units seen on lots during the same time period in 2019.
Still, GMC Sierra sales are just 8.8 percent off year-over-year through August, as compared to the 22-percent sales decline for the market overall. Sierra retail sales are down just 3.5 percent through August, while the industry is 18.9 percent off the mark.
For now, most GMC Sierra pickups continue to be sold before they even arrive on dealer lots.
“I don’t know if that’s a case across the industry, but it certainly is with us,” Aldred said. “My challenge is to keep selling them quicker than manufacturing can ever build them. Some nice, healthy competition there. We’re never going to let off the gas.”
Subscribe to GM Authority for more GMC Sierra news, GMC news, and around-the-clock GM news coverage.
Comments
Being that GMC inventory is that low does that mean GM will stop making the 2020’s and fill the orders they already have and begin making the 2021’s ? Also, are they going to upgrade the interior for 2021 or wait until 2022 ? If not I will be looking at the 2021 Ford F-150’s they upgraded the interior. I have also read that GMC’s safety standards are somewhat below some other pick up trucks in the industry such as Ford, Ram. I own a 2015 Sierra SLT loaded and love it but I’m looking at both the safety and interior upgrades. Thanks
The refresh is planned for the 2022 model. Which means this time next year.
My understanding is production has started on the 2021 and should be able to see pricing this week. I would assume there will be no incentives on the 21 and there is on the 2020 now.
I work at Fort Wayne assembly. We changed over to the 2021 this week, unfortunately due to covid the interior upgrades are not coming until 2022 but the interior is very functional and I personally like it. Safety and features are top notch. If you get the ford be ready for the cam sensors. If you buy the GMC check the vin and make sure the first number is a 1. If it’s a 3 it’s made in Mexico thanks.
Unfortunately in my immediate area, there is a group of dealerships that are advertising 5k over msrp!! Sorry but this is not a rare sports car, its a pickup truck… thats already over 60k in terms of the AT4. Thats ridiculous , on principle alone I wouldn’t buy a truck from that dealer. They have called me a couple times now to try and sell the most loaded AT4 you can get and still want to charge me over msrp…thats been on the lot for 2 months… NOPE.. I will drive 100 miles out of my way to buy from a diff dealer!!
Come to Houston, we’re pretty much getting AT4’s out at under $50k
I work at a GMC dealer, Weld County Garage in Greeley, Colorado. We have a few 2020 Sierra 1500 models remaining. If you are in the market, I would ask your nearest dealer about special discount programs, specifically, the GM Supplier Discount in which there are hundreds of companies on the list that qualify as well as active duty, retired military, national guard, teachers, first responders, and health care professionals. I ask each and every time I get a customer. Average discount ranges from $2,500 to $4,000 off msrp depending on the trim level. Your dealer is not going to ask you if you qualify for any of the above programs in an attempt to hold profit since inventory is low. I’m non commissioned, it does not matter to me how much profit is on the deal because I make a flat amount of commission on every deal regardless of the selling price. I will go above and beyond to help anyone looking for a new Sierra!
Not since the debut of the new CK pickups in the spring of 1987 has interest been this high in GM’s light trucks.
This is the type of news you want, demand is extremely strong for a vehicle and is outstripping production.
I ordered a GMC 2500 on april 4,still no delivery date.
I ordered a 20 1500 SLT X31on 6/9. Dealer just informed me last week that it will now be a 21. Hoping to see it by the end oct or beginning of nov. I hope that the vin will start with a “1”. Does anyone know if Mexico changed over to 21’s yet?
I was lucky to find my loaded SLT up in NJ. Got a great deal and love the truck. Drove it back to Florida and got over 20 mpg with my 6.2.
Shout out to Freehold GMC and the general sales manager, Mike Matt. Only negative is its too long for my garage. Time to move.
thats great mpg for the 6.2 glad to hear some deals out there. maybe when the 21 start rolling in… there is enough towing changes to maybe wait.
Not sure if this was bad management or Planned. GM had a fire sale during the first half of the year. I mean, they were offering end of the year discounts in January. Now, inventory is low. Seems like GM is looking for a higher than normal average transaction price for this time of year in order to put a positive spin on things.
What is wrong with a pickup truck made in Mexico?
Because it doesn’t make sense to claim to be an American truck if it’s not directly built in America like Ford , Toyota, and Ram do
Hmmm…….if only we had another truck plant somewhere……. maybe like Oshawa……. Oops, make than an award winning truck plant…..