General Motors posted a 7-percent surge in sales in April to 254,076 vehicles despite facing negative publicity brought by its current recall crisis. Stronger demand for pickups and SUVs have allowed GM to post an 8-percent rise in retail sales and a 5-percent surge in fleet sales in the month. The carmaker said its sales for the first four months of 2014 were essentially flat at 903,713 units.
Interestingly, weak demand for pickups and SUVs heaved GM sales for the most part of the four-month period. Kurt McNeil, GM's US vice president of sales operations, said in a statement that retail demand was steady in April while and truck sales and transaction prices were strong.
Sales of the Chevrolet Silverado surged 9 percent in April to 42,755 units, topping closest rival Ram by around 6,000 units. Sales of the GMC Sierra surges 21 percent in April to 17,246 units. GM said was able to recover more than 3 percentage points of market share in the full-sized pickup segment in April to 35 percent.
In comparison, Ford F-series posted a 7-percent rise in sales in April while Ram jumped 17 percent. On the SUV side, GM posted a 22-percent surge in sales, boosted by strong demand for the 2015 Chevy Suburban and Tahoe and GMC Yukon and Yukon XL.
Sales of these 2015 models accounted for around two-thirds of the SUV sales in April, according to a GM spokesman. The carmaker said that its incentive spending declined in April, despite the second month of a promotional supplier-pricing program.
According to estimates from J.D. Power and Associates, GM’s incentives were equal to 10.2 percent of its average transaction price – a bit lower from the incentive spending rate of Ford, Chrysler and Hyundai and slightly higher than that of Honda, Toyota and Nissan. [source: GM]