Sales are up so far in 2016 for FCA, and much of the thanks goes to Jeep & RAM as car buyers in North America are buying larger vehicles.
Car buyers are shifting their attention from new and used sedans, compact cars and the other smaller vehicle segments, and placing their true hearts intention on larger vehicles such as; trucks and sport-utility-vehicles.
Unlike Europe, North American car owners tend to go with a vehicle for its luxury, its features, or in some cases their functionality for their work or family situation. So far in 2016 we are seeing a larger % of sales on truck and SUV models than we have seen in years past.
The two contributors to this trend, well the two most likely trends?
- Gas Prices are lowest we have seen in nearly ten years, and people are feeling confident that these prices will stay below $2.50 nationwide.
- Fuel-economy and e-technology in trucks and SUVs are evolving quicker than expected. Trucks are lighter, trucks have better MPG than ever before, and still are capable of handling a workload.
Rest assure though, all good things do come to an end. Many car dealers like Dulles Chrysler which serves the greater Frederick & Leesburg, Virginia areas are seeing increased interest in their RAM trucks and Jeep SUV models, both new and used. The Jeep Compass and Renegade are doing tremendously well.
If the price is right, the fuel economy makes sense, then why not? This is a question that many new car buyers are asking when they are considering a large sedan or SUV with their next new car purchase. Truck buyers on the other hand is just a matter of economic growth, and more importantly the growth of new business startups. There are more people starting their own side or full-time business that requires some form of labor, and a viable work truck or van. This trend has led to increased Fleet sales for many automakers in North America. Even in an election year, which usually bodes trouble for the market, we are seeing there is still some consumer strength and certainty.