GM increases prices as pickup battle rages
General Motors is adding a twist to the fight for supremacy in the red-hot pickup market: It's raising prices.
GM is adding almost $2,100 to the sticker price of the base 2014 Chevrolet Silverado. That's 8.5 percent above the price when the truck hit showrooms in the spring. Other versions of the Silverado, as well as the GMC Sierra, will undergo similar percentage increases.
Industry analysts suspect it's a marketing ploy. They expect GM to raise incentives next month so dealers can advertise big discounts and make customers think they're getting a deal.
The move comes after GM's pickup sales fell 8 percent in September while its two biggest competitors reported increases. Sales of Ford's F-Series, the best-selling pickups in the country, rose 10 percent and Chrysler's Ram posted an 8 percent increase. The Detroit Three dominate the nation's full-size pickup sales with 90 percent of the market. The Toyota Tundra and Nissan Titan make up the remainder.
GM didn't offer the sweet deals Ford and Chrysler did last month, said Jesse Toprak, an analyst for auto pricing website TrueCar.com. Raising prices and then adding incentives is common in the business. And truck buyers especially like to get deals, Toprak said.
Show commenting policy
TribLive commenting policy
You are solely responsible for your comments and by using TribLive.com you agree to our Terms of Service.
We moderate comments. Our goal is to provide substantive commentary for a general readership. By screening submissions, we provide a space where readers can share intelligent and informed commentary that enhances the quality of our news and information.
While most comments will be posted if they are on-topic and not abusive, moderating decisions are subjective. We will make them as carefully and consistently as we can. Because of the volume of reader comments, we cannot review individual moderation decisions with readers.
We value thoughtful comments representing a range of views that make their point quickly and politely. We make an effort to protect discussions from repeated comments either by the same reader or different readers.
We follow the same standards for taste as the daily newspaper. A few things we won't tolerate: personal attacks, obscenity, vulgarity, profanity (including expletives and letters followed by dashes), commercial promotion, impersonations, incoherence, proselytizing and SHOUTING. Don't include URLs to Web sites.
We do not edit comments. They are either approved or deleted. We reserve the right to edit a comment that is quoted or excerpted in an article. In this case, we may fix spelling and punctuation.
We welcome strong opinions and criticism of our work, but we don't want comments to become bogged down with discussions of our policies and we will moderate accordingly.
We appreciate it when readers and people quoted in articles or blog posts point out errors of fact or emphasis and will investigate all assertions. But these suggestions should be sent via e-mail. To avoid distracting other readers, we won't publish comments that suggest a correction. Instead, corrections will be made in a blog post or in an article.
- Insurers give customers extra time to pay first month’s premium for 2015 under Obamacare
- ExOne Co. moves solidify authority under CEO
- New York farmers lament lost opportunity for gas riches