Why Are Trucks So Expensive?

If you’ve thought about buying a truck but suffered from sticker shock when you perused the market, you’re not alone. Here are a few reasons why trucks are so expensive. 

1. Versatility  

The new family sedan, a job site workhorse, a weekend warrior’s best friend, or your daily driver: a pickup truck plays various roles in many people’s lives. Consumers expect more from their trucks, whether traversing backcountry roads or arriving at your business meeting in style. 

Consider how many trim levels a given pickup truck has. The RAM 1500 comes in over 50 configurations, from engine size and creature comforts to technological components and manufacturer packages. That’s to say nothing about RAM 1500 reliability ratings, making it one of America's best-selling trucks. 

2. Size

There’s no denying that pickups are larger and require more materials to build than your average four-door sedan. In addition, most trucks are built with higher-quality materials than passenger cars due to their workhorse nature. As inflation continues, material costs rise accordingly. 

Suspension and handling are even more critical on a large vehicle. Manufacturers know that consumers require comfort in their passenger cars for long commutes. That same demand translates to pickups. When off-road capabilities rank high on a truck's list of selling points, a bouncy, uncomfortable ride won’t help any brand reach its sales quotas. 

3. Supply and demand 

One of the biggest reasons pickup trucks are so expensive goes back to the old economic adage of supply and demand. If anything, the need for pickups has increased across the board. The lack of supply drives prices through the roof and costs consumers more if they want their share of a valuable commodity. 

The reality of the truck world is that the country’s infrastructure depends on them more than many admit. Pickups help millions of drivers traverse hazardous road conditions, haul the goods even the smallest communities can’t do without, and support countless service and technical businesses connecting with existing and future customers. 

The pandemic put a screeching halt to production, limiting the entire automotive market for quite some time. Those delays continue with a need for more electrical components for outfitting pickups with competitive technological equipment. 

Beyond impacting sales figures for years yet to come, a lack of influx of new pickup models means the ones already on the market are worth more. Even used pickups can fetch higher prices now because getting a new model anytime soon could be asking too much. 

4. High resale value 

With increased versatility comes a high resale value, so most pickup trucks still sell for more, even if they have higher mileage. In addition, many consumers have chosen to repair existing trucks rather than wait on the chance they might be able to obtain a new one. 

Even if a pickup needs a new engine, that cost can be much less than waiting for an available new model and delaying any money-making processes already in place. Many business owners have had to make do with older models to keep their businesses alive. 

5. Power

Most consumers don’t equate truck powerplants with the horsepower of your typical sports car. However, some customers want their 4x4 to have the giddy-up necessary to give any muscle car a run for its money. Then some prefer their truck to sip gas rather than guzzle it. 

With the recent addition of several electric pickup trucks, the range of engine types has increased. You can purchase an eco-diesel, a traditional diesel, a gas-powered pickup, and an electric one. You can also buy several hybrid trucks if you’re on the fence about electric vehicles. 

Many brands offer several engine options on their pickup lineup. Take the Blue Oval (Ford): the F-150 Lightning represents one of the best-selling trucks in America in the electric arena, while the Raptor holds its own off-roading. The Maverick and F-150 also come in hybrid variants, and V8 has always powered the F-150 and continues that tradition. 

The bottom line? Trucks are fuel-efficient and versatile, making them an even more potent choice for many consumers.  

6. Safety systems

It doesn’t take watching a crash-test video to know that larger vehicles like trucks pack a punch in most car accidents. However, manufacturers have seen to it that the truck segment receives just as many safety systems as passenger cars and SUVs. A higher driving position doesn't necessarily mean increased chances of living through any motor vehicle collision. 

As with technological advancements, safety systems have progressed. New models must continue to meet safety standards set by the National Highway Traffic Safety Administration (NHTSA) and the Insurance Institute for Highway Safety (IIHS). With more sophisticated onboard instruments and diagnostic programs, trucks cost more to make. 

7. Technological advancements

Technology and luxury often go hand-in-hand. Beyond the latest infotainment centers, Bluetooth and app connectivity, and advanced safety features, technologically advanced trucks take towing to the next level. For example, multiple cameras provide the view you need to better operate your truck and trailer and make the best trucks for towing even more of a smart buy.   

8. A new luxury class

Features like heated and cooled seats, premium sound systems, and panoramic roofs might make a pickup stand out like a sore thumb on a construction site. But you can find these same features on many pickups from brands that offer everything from your bare-bones work truck to the prize pony of the paddock. 

With these fancy features comes a high price tag. Upgrades across the board consistently add to the bottom line, meaning you could drive away with a $100,000 pickup with the same underpinnings of a work truck selling for only $50,000. 

In normal market conditions, truck profit margins are higher than passenger cars. This fact incentivizes most dealerships to push pickup sales and gives them leverage to work deals. Post-pandemic, the automotive market is undergoing unprecedented fluctuations that constitute a seller’s market. Dealerships must make up for lost time (and sales), so the truck deals of pre-2019 were likely the best the market will see, at least for the foreseeable future. 

Why are used Silverados so expensive?

Any used truck on the market within the last three years likely saw a near-plateau depreciation. Chevrolet and its sister GMC trucks are no exception. The Chevrolet Silverado 1500 and GMC Sierra 1500 continue to crush reliability ratings and are among the best-selling trucks you can buy. 

Why do Ford trucks cost so much? 

Kelley Blue Book awarded the Ford Lightning and Maverick models with the title of Best Resale Value Truck for 2023. The F-150 Lightning has a 57% resale value, while the Maverick tops it at 61.7%. Ford ranks among the best full-size trucks and continues to set the bar within the segment, so it’s no surprise an F-150 costs so much.

As automotive manufacturers recover from pandemic shutdowns, the market has begun recuperating. However, most consumers aren’t seeing a corresponding price reduction, perhaps due to inflation and an imbalance of supply and demand. Supply remains low, and many models sell before they even drive their first mile.

Waiting for the market to cool down could be your best bet if you can’t afford a truck at today’s prices. In the meantime, consider a truck subscription with FINN. Instead of asking yourself if you need a truck, you could be pondering which model you’ll subscribe to, even if it’s only for six months. 

Your monthly payment includes registration, insurance, maintenance, and depreciation. All you have to do is pay for the gas to get where you want to go. If you’re on the fence about which model to buy, a car subscription can also give you a shot at an extended test drive to help inform your decision.