www.freep.com/ story/ money/ cars/ 2018/ 10/ 04/ pickup-truck-prices-vehicles/ 1455588002/
Demand has been surging among regular buyers who are opting out of sedans and coupes and replacing their luxury vehicles with pickups and SUVs.... Officials with Detroit's Big Three suggest they are struggling to keep up with demand for their new pickups, especially the higher-priced offerings.... Drivers are increasingly shelling out $70,000 to $100,000 and more for tricked out pickups.... While trucks have traditionally been the sort of vehicles you'd expect to see on a farm or at a work site, demand has been surging among regular buyers who are opting out of sedans and coupes and replacing their family vehicles with pickups and SUVs. And some of the biggest demand is coming at the high-end of the truck spectrum, with luxury buyers favoring lavishly outfitted pickups like the Silverado High Country. In fact, that $70,000 for a fully loaded Chevy truck might seem like chump change to fans of the Ford F-Series, long the nation's best-selling pickup line....Last year, the automaker added a new Super Duty Limited version that can nip $97,000 out of the factory, with aftermarket options sold by Ford dealers pushing it into six figures....And as Doug Scott, the long-time head of Ford truck marketing told CNBC before his recent retirement, "every time we add a new premium edition, buyers tell us they want more."
Bloomberg reported Tuesday that buyers are more often trading in their premium sedans and crossovers for luxury pickup trucks. At General Motors, the GMC Sierra and Chevrolet Silverado see trade-in rates of 15 and 9 percent, according to Edmunds data. At Ford, its 13 percent of F-150 buyers, and Ram sees 9 percent of buyers trading in cars from established premium makes. And we're talking BMW, Mercedes-Benz and Audi. At Ram, the division said it even gets some Cadillac owners stepping into luxury pickup trucks like high-end Ram 1500 models.
Big pickups mean big profits for automakers, especially the current crop of luxury-equipped haulers. Opulently equipped with hand-stitched leather interiors and an opulent assortment of comfort, convenience and safety features, upscale pickups start in the $50,000 range and can extend well beyond $60,000 and even $70,000 when fully loaded. Reports suggest that one out of every five pickup truck sold these days is of the luxury variety. The sky is literally the limit here....the Ford F450 Super Duty pickup....starts at $88,000, approaches the $100,000 mark when fitted with all available options, and can easily reach beyond with a few added dealer accessories. That's Mercedes-Benz S-Class money.
...Mike Herron....decided to keep his garage to one vehicle: a pickup. (Herron, 65, lives in Durant, Oklahoma, about 50 miles north of Dallas. He owns four businesses and is a real estate investor who has driven BMW sports cars for the past decade). He sold his 2017 BMW X6 sports coupe in late August to buy a 2019 GMC Sierra Denali pickup for $70,000. "I wanted it because it's got a sweet-looking body and has every feature imaginable. It's luxurious on the inside and drives like a German luxury car," said Herron. "The technology on this truck does more than the BMW technology does." Herron said he believes he got a good price because the Denali trim level will hold its resale value better than his BMW did. Herron paid $84,000 for his BMW when he bought it new 23 months ago. He sold it for $44,000. Herron, whose son has dubbed the pickups the "new urban limousine," admits he would pay up to $100,000 for a pickup "if I thought it was worth it." Edmunds' data shows, through September, the average transaction price for a full-size pickup is $48,377, a 48-percent boost from 10 years ago and a 19-percent hike from 2013 for the same period. For that price, a person could buy a Mercedes-Benz or BMW luxury sedan......"A 48-percent increase in price is the highest price increase for that time period out of all vehicle categories," said Ivan Drury, senior analyst at Edmunds. "Even at $45,000, it prices a lot of people out." Most buyers expect to pay $26,699 for a new midsize pickup, Cox data show. But, the average transaction price through August 2018 is actually $33,275. Similarly, the expected price of a full-size pickup is $38,529, but the average transaction price for the year through August is $47,987. Last month, the average transaction price for the Ford F-series was $46,591. The Chevrolet Silverado was $42,162 and the Ram came in at $42,484, according to J.D. Power's Power Information Network data. Those figures include 2018 and 2019 model-year pickups. Taking a look at the median purchase price rather than the average purchase price, the numbers land a little differently, although still climb higher. The median purchase price for a pickup nine years ago was $31,000. It rose to $37,000 in 2013. Today, it is $43,000, said Alexander Edwards, president of consultancy Strategic Vision in San Diego.