Poor demand for 2014 Chevrolet Silverado, GMC Sierra is unexpected

Article by Anita Panait, on October 22, 2013

The reception for General Motors’ next-generation pickup trucks – the redesigned 2014 Chevrolet Silverado and GMC Sierra – was not as good as expected. Despite being regarded as great trucks -- even receiving critical acclamations -- the Silverado and the Sierra were selling badly, as dealers disclosed.

The reason: the pricing of these full-sized pickups failed to consider the current tagging trend in the auto industry – discounting. Heavy discount offers by rival pickup trucks from Ford and Ram continued to sap demand for GM’s offerings, which were launched in June 2013.

Sam Pilato, General Manager at Dimmitt Chevrolet in Clearwater, Fla., remarked to Automotive News that Silverados are "selling very poorly," with his dealership gaining its first 2014 Silverado sale only on Oct. 16. The dealership typically sells between 10 and 25 of full-sized pickups monthly.

Carroll Smith, president of Monument Chevrolet in Pasadena, Texas, told Automotive News that his supply of Silverado crew cabs reached 170 days, up from the typical 110. He said that while the Silverado is a great truck, GM's position -- that the vehicle stands on its own and doesn't need a bigger rebate – is not compatible with what the market is saying.

Pilato and Smith echo sentiments of other GM dealers who, while raving about the 2014 trucks, are complaining that the lack of ample incentives is affecting demand. The dealers maintain that the carmaker has to make better offers for offsetting Ford and Ram, which are still selling down their 2013 models with incentives of up to $9,000.

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