TRUCKS
GAIN
MOMENTUM
FUELED BY MIDSIZE INTEREST & ECONOMIC CONDITIONS
TRUCK SHARE
OF TRAFFIC
Truck share of shopper attention is ahead year-over-year and demonstrates a recent upward trend,
aided by favorable economic conditions and increased interest in Midsize Truck product offerings.
Share % Change
2015 VS 2014
20%
18%
16%
14%
12%
10%
8%
6%
4%
2%
0%
+13%
GAS PRICES
$4.00
-29%
$3.00
$2.00
$1.00
$0.00
1/14 3/14 5/14 7/14 9/14 11/14 1/15 3/15 5/15 7/15 9/15 11/15
+3%
HOUSING STARTS
1,400,000
1,200,000
1,000,000
800,000
600,000
400,000
200,000
0
+10%
1/14 3/14 5/14 7/14 9/14 11/14 1/15 3/15 5/15 7/15 9/15 11/15
Q1-14 Q2-14 Q3-14 Q4-14 Q1-15 Q2-15 Q3-15 Q4-15
Truck Share Gains on KBB and Autotrader Driven Significantly By Midsize Truck Interest,
Midsize Now Claims Larger Share of Overall Truck Traffic
2015 MIDSIZE % OF
TRUCK TRAFFIC
+53%
Y/Y
Midsize
+58%
Fullsize
-10%
KBB & Autotrader New Car Traffic, Jan 2014 – Dec 2015
Gas Prices: EIA.gov, Jan 2014 – Dec 2015
Housing Starts: Census, Jan 2014 – Dec 2015
29%
TRUCK SEGMENTS
Y/Y SHARE GROWTH
SHOPPING ACTIVITY
RESEARCH ACTIVITY
TRUCK SEGMENTS
Y/Y SHARE GROWTH
2015 MIDSIZE % OF
TRUCK TRAFFIC
+36%
Y/Y
Midsize
+54%
Fullsize
+7%
16%
THE
RISE
IN
MIDSIZE
TRUCKS
GM RE-ENTRIES & TACOMA REDESIGN BOOST MIDSIZE SEGMENT
MIDSIZE TRUCK SHARE OF TOTAL NEW CAR TRAFFIC
THE LAST TIME THESE FOUR TRUCKS WERE AT PLAY VERSUS NOW…
2016 redesigned
Tacoma introduced
Colorado &
Canyon re-enter
Import/Japanese
Domestic/GM
4%
3%
2%
25%
40%
75%
60%
2012
2015
1%
0%
Q3-14
Q4-14
Q1-15
Q2-15
Q3-15
Share of Midsize Truck Shopping
Q4-15
Colorado and Canyon have
a stronger presence now
(compared to the last time
they were in production).
GM Re-Entry Shakes Up Rivals; Tacoma Quickly Recovers, Gains Additional Momentum from Redesign
MODEL SHARE OF MIDSIZE TRUCK SEGMENT
Tacoma
RESEARCH ACTIVITY
80%
70%
60%
50%
40%
30%
20%
10%
0%
2016 redesigned
Tacoma introduced
Colorado &
Canyon re-enter
Q3-14
Q4-14
Colorado
Q1-15
Q2-15
Q3-15
KBB.com & Autotrader New Car Traffic, Monthly Averages (Jul 2014 – Dec 2015)
Q4-15
Frontier
80%
70%
60%
50%
40%
30%
20%
10%
0%
Canyon
SHOPPING ACTIVITY
2016 redesigned
Tacoma introduced
Colorado &
Canyon re-enter
Q3-14
Q4-14
Q1-15
Q2-15
Q3-15
Q4-15
INTEREST IN MIDSIZE TRUCKS
HEAVILY BUT NOT EXCLUSIVELY IN-SEGMENT
TOP 5
Attraction to midsize trucks comes
from multiple segments outside of
trucks (primarily SUVs and small
cars). However, strong in-segment
trade-ins along with high in-segment
consideration and declining interest
from other segment owners suggest
demand for midsize trucks still lies
heavily within the segment.
+17%
increase in
midsize truck sales
2015 vs. 2014
MIDSIZE TRUCK BUYERS
11%
Used Fullsize Truck
10%
New Subcompact SUV
8%
Trade-In: KBB Transaction Data, 2015
Conquest: KBB.com Omniture, Q4 2015 vs. Q4 2014
Autotrader Reverse Cross-Shopping, Q4 2015
14%
11%
Compact SUV
10%
Midsize SUV
9%
NEARLY
HALF
of the trade-ins are trucks
NEARLY A THIRD
of the trade-ins are small
cars and SUVs
Has shopping activity shifted among vehicle owners who
are considering a trade-in for a Midsize Truck?
Nearly half of used midsize truck shoppers are
considering a new midsize truck, far outpacing
consideration from other segment shoppers.
New Fullsize Truck
34%
Midsize Truck
Compact Car
46%
“I purchased/leased a midsize
truck in 2015, what did I trade in?”
TRADE-IN VEHICLES
Fullsize Truck
Shoppers of which segments most often consider
Midsize Trucks?
Used Midsize Truck
TRADE-IN
Interest from midsize truck owners has increased since
last year, while interest from owners of other vehicles
has declined.
+7%
MIDSIZE
TRUCK
OWNERS
-7%
COMPACT
CAR
average decline in midsize
truck shopping from owners of
vehicles in these segments
MIDSIZE
CAR
MIDSIZE COMPACT FULLSIZE
TRUCK
SUV
SUV
MIDSIZE TRUCK SHOPPERS
CROSS-CONSIDERATION & PURCHASE DRIVERS
PRICING MAYBE A MOTIVATOR
TOP ACTIVITIES that
TOP 3
for SUV Cross-Shopping
Drive Truck Considerers
CROSS-SHOPPED
SEGMENTS for
Among Midsize Truck Shoppers
Average new car transaction price, Nov 2015
Midsize Truck Shoppers
As consumers research and shop for midsize trucks,
they’re most often cross-considering fullsize trucks
and small to midsize SUVs.
#1
Fullsize Truck
#2
Compact SUV
#3
Midsize SUV
79%
Urban delivery
for small
business
Compact SUV Midsize Truck
Midsize SUV
Shopper Perceived Difference/Reason to Purchase
What product or feature had a significant advantage
in choosing a midsize truck over an SUV or fullsize truck?
Midsize Truck
SUV
Midsize Truck
51%
Outdoors –
camping
& surfing
31%
Gas Mileage
Appearance/Style
to Choose Midsize Trucks
Fullsize Truck
Leisure
towing/
hauling
16%
Midsize Trucks
Win Over SUVs
Midsize Trucks
Win Over
Fullsize Trucks
KBB.com and Autotrader Cross Shopping, Q4-15 (KBB comparison is versus Q4-14)
KBB.com Transaction Price Data, November 2015
2016 Autotrader Sourcing Study - Significant advantage at 90%
KBB.com Truck Survey 2.0, n-302, Q: Please classify the activities that go best with each category
Home
Improvement
Contract Projects
SUMMARY
1.
OVERALL TRUCK TRAFFIC IS UP
Influenced by interest in updated midsize truck
offerings combined with improved economic factors
More than a 50%
increase in midsize truck
segment share
2.
3.
Colorado and Canyon re-entries strengthen domestic
presence, while Tacoma continues to pull ahead with
redesign
SHOPPING TRENDS POINT TO SEGMENT
LOYALTY & OPPORTUNITIES
While truck shopping traditionally demonstrates segment
loyalty trends, trade-in and consideration trends alongside a
double-digit increase in sales indicate pent up demand for
midsize trucks is not exclusive to segment-loyal shoppers
4.
5.
SEGMENT COMPETITION HEATS UP
IF ATTENTION DIVERTS, IT’S TO SUVS & FULLSIZE TRUCKS
SUVs and fullsize trucks are the segments most often crossshopped by midsize truck considerers; when midsize trucks win,
body style and fuel savings, respectively, are tipping points
SEGMENT EXPECTED TO EXPAND
Segment competition will intensify as new
competitors emerge in the future
new