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2020 Pickup Truck Sentiment Study

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2020 Pickup Truck Sentiment Study 2020 Pickup Truck Sentiment Study: Measuring COVID-19’s Impact on the Category Methodology In September 2020, CarGurus surveyed 1,081 pickup truck owners on their sentiments towards truck brands, prices, electric trucks, and the impact of the COVID-19 pandemic. Among total respondents, 248 had purchased during the pandemic (from mid-April through mid-September). In early February 2020 CarGurus surveyed 858 pickup truck owners as an earlier iteration of this study, and benchmarked it with the one issued in September. This study has also been run in February 2019 and January 2018. Segment Definitions • Gen Z/millennial represents ages 18-39 years old • Pandemic buyers refers to truck owners that reported buying a truck in the last six months, from mid-April through mid-September • Previous owners refers to truck owners that did not buy during the months of the pandemic and owned a truck already Key takeaways Demand for pickups prompted by pandemic Data shows the COVID-19 pandemic may have helped spur pickup truck sales over the course of 2020. This was especially true among younger buyers, drawn to the sense of escapism trucks offered. • 26% of those who bought a pickup truck during the pandemic had not planned to before. Among them, over half (15%) were originally planning to buy a car, but decided to buy a truck instead. • Younger shoppers helped fuel demand for pickups during the pandemic. Trucks offered these buyers a fun escape from the suburbs or cities. o Pandemic truck buyers were 24% more likely to be Gen Z or millennials compared to previous truck owners. o Pandemic truck buyers were more 10% more likely to live in suburbs and 30% more likely to live in cities compared to previous truck owners. o Gen Z/millennials were 2x more likely than older pandemic truck buyers to had been originally planning to buy a car prior to the pandemic. o Gen Z/millennials that bought during the pandemic were more likely to say they bought a truck for road trips (40% vs. 31% of older pandemic buyers), and to treat themselves (29% vs. 18% of older pandemic buyers). They were also more likely to cite their stimulus check as a driver to purchase (24% vs. 15% of older pandemic buyers). Affordability issues continue Truck owners have been concerned about affordability for years, and that continues today. Comparing September results to pre-pandemic, there were actually little to no changes in key metrics like loyalty to the category and price sensitivity. However, that could change depending on recovery. • Affordability issues have been continuously pushing truck owners out of the category: 17% of truck owners say they probably won’t buy another truck—consistent with pre-pandemic results in February (14%). • Younger truck owners are the most at-risk for leaving the category: 20% of Gen Z/millennial truck owners say they probably won’t buy another vs. 12% of older truck owners. • Two-thirds (66%) of truck owners say if their preferred brand increased prices by $10K they’d switch brands—consistent with pre-pandemic results in February (67%). Excitement for electric trucks remains Looking towards the future of the segment, electric trucks appear to be a bright spot– especially among Gen Z and millennials. They are over 2x more likely to expect to own one in the next five years. • In September about a third (34%) of current truck owners say they will probably/definitely own an electric pickup truck in the next ten years and a quarter (23%) in the next five years. These results are consistent with pre-pandemic results from February, 33% and 22%, respectively. • Younger truck owners are leading the demand for electric trucks: o 18% of Gen Z/millennial truck owners say they will probably/definitely own an electric truck in the next year, compared to 10% of older truck owners. o 30% of Gen Z/millennial truck owners say they will probably/definitely own an electric truck in the next five years, compared to 12% of older truck owners. o 40% of Gen Z/millennial truck owners say they will probably/definitely own an electric truck in the next ten years, compared to 26% of older truck owners. Detailed results Results are reported among all truck owners and from September 2020 unless otherwise noted. 1. When did you buy your last pickup truck? Within the past six months 23% Within the past year 30% Within the past five years 33% Within the past ten years 9% More than ten years ago 6% 2. Before the pandemic, were you planning to buy a pickup truck in 2020? Among those who purchased in the past six months Total Gen Z/Millennial Older Pandemic Buyers Pandemic Buyers Pandemic Buyers Yes, I was planning to buy a pickup truck 74% 73% 77% this year prior to the initial spread of the pandemic No, I was planning to buy a car prior to the 15% 17% 8% initial spread of the pandemic, but later decided to buy a pickup truck instead No, I was not planning to buy any vehicle 11% 10% 14% but decided to buy a pickup truck after the initial spread of the pandemic 3. Did any of these influence your decision to buy a pickup truck this year? Select all that apply. Among those who purchased in the past six months Total Gen Z/Millennial Older Pandemic Buyers Pandemic Buyers Pandemic Buyers I want to have a truck for travel or road trips 37% 40% 31% I want to have a truck for leisure, hobbies, or 36% 36% 38% projects (boating, construction, etc.) I plan to spend more time in my vehicle going 30% 30% 30% forward, so I wanted an upgrade I wanted to treat myself 26% 29% 18% I received a stimulus check 21% 24% 15% I used to rely on public transportation 19% 20% 15% I wanted to take advantage of attractive 18% 15% 25% sales/offers I used to rely on ride-sharing/taxis 16% 15% 17% 4. Which brand(s) of pickup truck do you own? Showing ‘brand I drive most often’, top five results Total Respondents Pandemic Buyers Previous Owners Ford 34% 42% 32% Chevrolet 21% 16% 23% Toyota 14% 9% 15% Dodge 10% 11% 10% GMC 7% 6% 7% Gen Z/Millennial Older Pandemic Buyers Pandemic Buyers Ford 46% 30% Chevrolet 14% 23% Toyota 11% 4% Dodge 12% 8% GMC 4% 11% Gen Z/Millennial Older Previous Owners Previous Owners Ford 34% 30% Chevrolet 21% 25% Toyota 15% 15% Dodge 11% 8% GMC 6% 8% 5. What class is your pickup truck? Midsize (e.g., Tacoma, Frontier) 31% Full-size (e.g., F-150, Silverado 1500, Ram 1500, Tundra, Titan) 55% Heavy duty (e.g., Ford Super Duty, Silverado 2500, or larger) 14% 6. Did you buy your truck new or used? New 44% Used 51% Certified pre-owned (CPO) 5% 7. In which ways do you regularly use your pickup truck(s)? Home improvement projects 56% Daily commuting 55% Recreational hobbies (e.g., biking, fishing, hunting) 50% Road trips/joy rides 49% Recreational towing/hauling (e.g., boat, RV/camper) 35% Commercial/business work 25% 8. Beyond the brand(s) you currently own, what other pickup trucks would you consider purchasing in the future, if any? Total Gen Z/Millennial Older Truck Owners Truck Owners Truck Owners I wouldn’t consider buying another brand. 22% 20% 26% I probably won’t buy another pickup truck. 17% 20% 12% Tesla 25% 32% 14% Chevrolet 22% 22% 23% Toyota 21% 20% 24% GMC 18% 17% 21% Ford 18% 17% 19% Dodge 17% 17% 18% RAM 16% 15% 18% Jeep 14% 15% 13% Hummer 11% 13% 6% Honda 9% 8% 9% Nissan 9% 9% 8% Rivian 8% 11% 4% Sept. 2020 Feb. 2020 Truck Owners Truck Owners I wouldn’t consider buying another brand. 22% 20% I probably won’t buy another pickup truck. 17% 14% 9. What are the reason(s) you would consider purchasing another brand? Price 51% Gas mileage 45% Comfort 42% Reputation 41% Safety 33% Power/engine size 33% Features 29% Tow capacity 27% Bed size 26% Availability 24% AWD v. 4WD 24% Passenger capacity 24% Manual v. automatic 13% Camper shell 6% 10. How likely are you to switch brands for your next pickup truck purchase? Total Gen Z/Millennial Older Truck Owners Truck Owners Truck Owners Not at all likely 19% 12% 28% Somewhat likely 32% 36% 26% Moderately likely 31% 31% 30% Very likely 12% 13% 10% Extremely likely 7% 9% 5% 11. Imagine that the price of your preferred pickup truck increased significantly versus its selling price today. At what point would you consider switching brands? Sept. 2020 Feb. 2020 Truck Owners Truck Owners An increase of $5,000 31% 34% An increase of $10,000 35% 32% An increase of $15,000 15% 13% An increase of $20,000 7% 8% I would not consider switching brands 11% 12% 12. Using the scale below, please indicate how much you agree with each of the following? Showing somewhat/strongly agree “It is a great time to own a truck.” 67% “I am driving my truck more as a result of the pandemic.” 33% 13. How likely are you to own an electric truck...? Showing probably/definitely Total Gen Z/Millennial Older Truck Owners Truck Owners Truck Owners In the next year 15% 18% 10% In the next five years 23% 30% 12% In the next ten years 34% 40% 26% 14. Which brand(s) of electric pickup truck would you consider purchasing in the future, assuming they were available? Among those who say they will probably/definitely own an electric pickup in the next ten years Tesla 53% Ford 33% Toyota 31% Chevrolet 27% GMC 22% RAM 21% Dodge 19% Honda 18% Jeep 17% Nissan 15% Rivian 12% Hummer 11% 15.
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