Industry Analysis & Industry Trends
The Truck Dealers industry has benefited since 2010 from recovering demand from the manufacturing, construction and trucking sectors, and industry revenue has inched toward prerecession levels in recent years. The economic recovery released pent-up demand from the industry's primary markets, resulting in a strong increase in sales of heavy-duty trucks. However, new federal fuel-efficiency regulations will be a double-edged sword for the industry going forward; in the short-term, dealers may experience pre-buying activity as customers move to preempt impending price hikes, while in the long-term, higher purchasing costs from manufactures will likely constrain profit margins. Nevertheless, positive economic trends are expected to sustain industry growth in the next five years.... purchase to read more
Industry Report - Industry Locations Chapter
In 2015, the Southeast, West and Great Lakes regions make up an estimated 60.9% of industry establishments. Industry facilities are often located near consumers, and to a lesser extent, near their suppliers. According to Ward's Automotive, six of the top seven heavy-duty truck manufacturers have assembly plants in these regions. Locating a dealership near upstream manufacturing hubs and downstream markets helps lower distribution costs and increases operational efficiency.
Industry establishments are also dispersed according to population, given that many of the industry's products include fire trucks, garbage trucks, school buses and tow trucks. The state with the highest number of truck dealers is California, which also has the nation's largest population... purchase to read more