Market Snapshot

USED AND NEW TRUCKS MAKING A COMEBACK

According to CNW Research, the first 15 days of September have shown a continuing decline in the days’ supply of used trucks on franchised and independent used-car lots. Used-truck inventories on car lots reached a high of 88.64 days in July. In the first two weeks of September, that period has dropped to 75.34 days.

It may not seem like a big deal and some will think it’s only because the car dealers are just not taking trucks as trade-ins. But for dealers, it has become a difficult problem balancing between car-to-truck inventory. CNW reports that used-vehicle floor traffic is miserable, but a growing number of shoppers are heading for 4WD SUVs and F-250/F-350-equivalent pickups.

This is good news for the light-truck side of the specialty-equipment industry, as any increase in vehicle sales provides opportunities for consumers to customize that vehicle that is new to them. According to AutoTrader.com, consumers have increased their level of online searches for certain trucks. The Ford F-150 showed signs of improvement, however, with an increase of 18.45% in searches.

CNW also reported that buyers looking for new trucks for work purposes have started showing up in new-car showrooms. According to CNW, contractors, farmers and ranchers have shown increased interest in purchasing new pickups since June 2008. In August, fullsize pickups represented 13.2% of all sales, the highest level of the year.

Again, that’s good news for the light-truck specialty-equipment market. There may be light at the end of the tunnel after all.