Are Pickup Buyers Affected by High Prices? Forum Members Disagree
Steadily increasing pickup truck prices are a growing epidemic or a nothingburger, depending on who you ask.
Ford sells a staggering amount of F-Series trucks per year. In 2018, the company moved just over 900k of them. Unfortunately, Ford doesn’t specify the exact number of F-150 and Super Duty models sold. If they stopped production on every non-pickup model they’d still do well financially. Basically, pickup trucks are Ford’s crown jewel.
But does all that success come at the cost of some customers? A recent thread created by “Andy George” seeks to answer that question. The discussion that followed sparked a pretty even split between those who feel prices have become unreasonable and others who believe it’s not that much different than past practices. It’s an interesting debate that even Ford is probably having right now.
OP started the thread with some skepticism about the current state of truck pricing. His post is extensive and covers a lot of ground. Here are the most relevant bits:
Now, in ‘97 the diesel was a $4000 option, and XLT was the cream of the crop deluxe truck (of the 2 trims lol). Today the STX is the second-to-bottom rung of what, like 6 different trim levels? BUT, when you compare the trucks apples-to-apples as far as output and comfort they are very close. The interior is cloth, with similar seating (manual 40/20/40), similar radios and creature comforts, etc. The torque numbers are in the same ballpark, but today’s trucks have just become immensely more capable when it comes to payload and towing. Not to mention the incredible NVH (noise, vibration, harshness) improvements and safety advancements.
When I enter the 1997 price of $26000 into an inflation calculator is says my truck should have been bought for $41,500. Which was the sticker. But again I bought it for $34,000. So a “comparable” truck only increased in price roughly 50% the rate of inflation over 22 years.
I know there’s the difference in the gas vs. diesel and it’s the highest trim in ‘97 vs. the almost lowest trim in 2019, but I just think it’s interesting. It tells me that the price of the trucks hasn’t skyrocketed but the price and availability of options sure has. Along with unfathomable capability increases. And luckily we live in a country where we have the option to buy such amazing trucks…whether they are basic work trucks or amazingly comfortable loaded trucks, these are good times lol.
The pickup truck game changed over the course of twenty years. Even if you didn’t know it, you could gather as much from OP’s comprehensive post. Have things radically changed, or does the song remain the same? It really seems like anyone could make an argument one way or the other.
“Drjcw24” responded so well to OP’s post that the discussion could have stopped right there:
Certain trim levels may not have increased much over inflation, but the higher trim levels have exploded in price because they haven’t found a price ceiling yet at which people won’t buy them.
For example, the loaded Navigator in 2001 was about $45,000. Our black label Navi was $100k in 2018. Inflation calculators say it should only cost $63,000. We all keep buying them so they will keep raising them.
The 2020 limited F450 is $4,400 more than last year! That’s double the inflation rate.
Every American automaker currently offers a range of light and heavy duty pickups equipped with amenities that are on par with what buyers can get in a comparably priced Mercedes E-Class or BMW 5 Series. The Lincoln Navigator is priced similarly to the Mercedes GLS. There are plenty of less expensive trucks for value-conscious buyers, but at the higher end, it’s abundantly clear they’re attempting to woo wealthy individuals.
That doesn’t mean much to members like “FractureCritical” though:
I had a 2001 F250 standard cab 4×4 XL with a 5.4 gas motor and a vinyl bench. It stickered for $21k. Adjusting for inflation, that’s $28k in today’s money. I just replaced it with a nigh-identical 2019 (this one has power windows) and the sticker was $42k. Not cool.
“FractureCritical” isn’t alone in feeling aggravated by truck pricing. CarGurus conducted a survey last year that showed rising discontent among truck owners. The survey revealed an increased willingness among owners to switch brands if their preferred automaker raised prices.
But what happens if price increases are an industry wide trend that fails to subside? In all likelihood, that’s what will probably happen. “Ben Elliott” explained why rising truck prices aren’t as crazy as they seem:
if you take out the price of the engine / transmission the price built is more but not astronomical from a 97 xlt to a 2018 xlt.
the engines/ transmissions basically allow to tow double from 20 years ago.
I built a 3500 xl 4×4 last year and paid less then $45k
so In 21 years I get a back up camera/ shift on fly 4×4- automatic windows , step rails , airbags / parking sensors/ Bluetooth / vehicle info ..ect. Which some of those items doesn’t come on the 97 xlt
I just think we get caught up in the options with the lariats/ king ranch/platinum/limiteds
A modern F-150 boasts payload and towing capability similar to or greater than a twenty year old Super Duty. And advances in technology have resulted in safer, quieter, and more fuel efficient trucks. Plus, automakers equip their vehicles with tech that didn’t exist back then. Bluetooth capable touchscreens with more computing power than a PC from 2000 are available in most of the F-Series lineup. It takes a considerable amount of resources for Ford to develop those systems. They didn’t even have to think about that stuff until about ten years ago.
“Tseekins” offered a valuable perspective on things:
I’m not too familiar with how Ford prices the superduty and then offers incentives on the various trim levels, but, in the F-150 stable, Ford sells more XLT’s than nay other trim. With that comes more robust factory incentives from Ford leaving the buyer to wiggle the dealer down the rest of the way.
So, you could get an XLT with the 302a package which gets you very similar equipment to an entry level Lariat for a heck of a lot less money. Add your own negotiating skills and you could strategically buy a truck for a pretty good value.
If you’re the type of person who has to have it all, then this wouldn’t apply. I love the choices that Ford offers us and if none of these work, you have the choice to walk away.
There is no other automotive segment that offers as much choice as the full-size and heavy duty pickup truck segments. For example, the upgraded engine in the Escape is only available on the highest trim. By contrast, F-150 customers can get the 3.5 liter EcoBoost in an XL model. That’s impressive.
Have purchasing trends contributed to higher prices? It’s an interesting theory, and “George C” posted a possible reason as to why trucks are more expensive than they used to be:
IMO, The reason trucks have skyrocketed without affecting sales is that most now choose to lease. Personally, I do not. Obviously, leasing is a tool that just sells part of the truck life and reduces the cost since you really are purchasing a small portion/usage of a vehicle instead of an actual vehicle. If there was no lease option, just how much of blue collar America could afford a full vehicle purchase?
Obviously, leasing works.
Leasing is definitely a popular trend for the entire industry. We’ll never know how many F-150 buyers purchase their vehicles. But it’s important to note that leasing drives the majority of sales for luxury automakers. Ford wants a slice of that market and residuals for trucks are most likely very favorable too. It’s a plausible theory.
“Nikerret” offered another reason as to why pricing might be an issue for an increasing number of buyers:
The problem isn’t the price of trucks, it’s the paychecks. In a lot of areas, the pay people are receiving isn’t keeping up with inflation. Obviously, this doesn’t apply to certain markets, but it applied to many.
This is a rather unfortunate reality for some Americans. The rent in some major urban areas is no joke, and that impacts a lot of people.
After a bit of back and forth about the value proposition of a modern pickup, “tseekins” again offered a solid outlook on things:
So let’s be honest here, of all of us who truck shop, which of you see an XL truck on the lot and keep on walking, or look at it real quick then move along?
The XL trucks of today are getting you as much equipment as the XLT trucks of the 80’s and yet it’s not good enough?
Someone stated want vs. need and that’s all it is. If you’re willing to pay for it then you really can’t complain about the price. You only have three choices when it comes to heavy duty trucks, the price is bound to be high.
Anyway, choices are great and if you want a particular truck then you should have said truck.
The full-size pickup truck segment is far different than it used to be. At some point in the F-Series lineup, the trucks cease to be everyday workhorses, and morph into legitimate luxury vehicles. Where exactly that happens is anyone’s guess, but luxury trucks are here to stay. Got a something to say about that state of pickup pricing? Head over to the thread to contribute.
Photos: Ford
