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GM's Engle touts pickups' transaction price gains

2019-05-16

General Motors is losing market share in the light-duty pickup segment this year, but it's hauling in thousands of dollars more on average for each model.

GM, citing J.D. Power PIN data, reports average transaction prices for the 2019 GMC Sierra are up $4,300 from a year earlier to $48,500 through April. The 2019 Chevrolet Silverado is up $3,000 during the same period to $41,700.

"Our market performance is exactly where I would expect it to be at this point in the launch with good results in the places where we've focused," said Barry Engle, GM president of the Americas, during a presentation Wednesday at the Goldman Sachs Industrials & Materials Conference in New York City.

The Sierra, according to GM, leads the full-size pickup segment in average transaction price, while Silverado trails Ford F series, up $300 to $43,000. Fiat Chrysler Automobiles' Ram pickup has increased $3,700 - the second most behind Sierra - but its average transaction price remains below its American competitors and Toyota, at $39,700.

'Crown jewel'

Sustaining such high transaction prices could be challenging as GM continues to move away from the initial launch of its redesigned full-size pickups, which began last fall.

Likely assisting in the pricing power will be the introduction of a new inline-six diesel engine for the light-duty models in the coming months and the introduction of GM's redesigned heavy-duty models. Also assisting the pricing is GM's decision to increase capacity of more profitable crew cab models with the redesigned pickups.

Production of the Sierra and Silverado HDs is expected to begin in June, according to Engle.

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