Despite a strong base of loyal customers, full-size truck sales declined in 2005. And based on early indications, 2006 also looks to be a down year. That’s a bad sign for all automakers, but especially for Ford, GM and Dodge, because trucks count for a larger share of their sales – and they’ve lost enough market share to the imports, thank you very much. Domestics claim that the decline is to be expected, after a record-breaking sales year in 2004. While that may be the case, all automakers are having trouble today: truck inventories are at all-time highs, and manufacturers are cutting production – Nissan, for example, recently cut back on their Titan truck. Analysts say that that slow sales are due to a number of reasons, including wariness about gas prices and the increase of crossover SUVs.
It makes one wonder why Toyota is just now bringing out the bigger-than-ever Tundra. Perhaps they see a different picture, like the one GM is enjoying with the revival of the 2007 Chevy Tahoe. In January, Tahoe sales were up 50 percent, thanks to exposure during the Super Bowl, Olympics, and widespread favorable reviews. Buyers are apparently taking notice of the improved fuel economy, nicer interior materials and smooth operation of the Tahoe. Not only are sales up, in fact, but so are sale prices -- a sunny sign that there’s still a market for big SUVs.
