As sales of light trucks have continued to increase, they will soon represent over 59% of vehicles 6 to 10 years old by 2025
Fort Wayne, Ind.—Light trucks in the U.S. average more aftermarket product use per year than passenger cars, with differences in product prices, accessory volume and vehicle use among the leading factors that push their annual product volume higher per vehicle, according to the latest Lang Marketing iReport. And this gap in annual product volume between light trucks and cars has widened in recent years.
“Light trucks have steadily increased their share of the new vehicle market over the past 10 years. Consequently, light trucks have expanded their share of the repair-age sweet-spot — vehicles 6 to 10 years old — which represents the highest rates of annual use for many vehicle products,” states the report. “Light trucks’ sweet-spot share growth will help to boost light vehicle aftermarket sales in 2024 and for many years.”
The following are key takeaways from the analysis.
$175 Annual Product Gap
Light trucks averaged over $490 of annual product volume from 2018 through 2023 at user-price. In contrast, passenger cars averaged less than $315 in aftermarket product volume. Last year, light trucks averaged over 60% more annual product volume per vehicle than cars. This is higher than the 50% difference 10 years earlier.
Causes of Product Use Differences
Three factors drive light trucks to have greater annual aftermarket product volume per vehicle than cars.
• Many products for light trucks cost more than comparable car parts. In addition, many light trucks have off-road and commercial powertrain systems, which do not often appear on cars and require expensive replacement products.
• Accessories record greater volume among light trucks than passenger cars. This is especially true of pickups and SUVs, which are the focus of many aftermarket accessories.
• Light trucks have greater commercial use than passenger cars, which helps push their aftermarket product volume higher per vehicle.
Growing Sweet-Spot Position
The repair-age sweet-spot (vehicles 6 to 10 years old) is the vehicle age group that represents the highest annual use of many aftermarket products. Light trucks have expanded their sweet-spot share significantly over the past 10 years.
They represented approximately 54% of vehicles 6 to 10 years old in 2013, up from less than 51% five years earlier. Today, Lang Marketing’s preliminary 2023 estimate is that light trucks accounted for 57% of vehicles 6 to 10 years old; the final analysis will be available in June.
Growing Light Truck Sales Share
Record-high light vehicle annual sales between 2015 and 2019 and the increasing light truck share of the new vehicle market have increased the sweet-spot’s population of light trucks.
Riding the tailwind of their strong new vehicle sales, light trucks are rapidly expanding their share of the new vehicle market. In 2013, they generated 51% of new vehicle sales. By 2018, light trucks’ average share increased to more than 69%. Last year, light trucks topped 78% of the new vehicle market in the U.S.
Future Sweet-Spot Strength
Light trucks will climb to over 59% of vehicles 6 to 10 years old by 2025, up from less than 49% sweet-spot share 20 years earlier. Lang Marketing estimates there were over 46 million light trucks 6 to 10 years old in 2023.
Aftermarket Impact
The increasing aftermarket product gap per vehicle between cars and light trucks, the growing share of light trucks in the repair-age sweet-spot, and the increasing number of light trucks in this age group will provide a strong boost to aftermarket product growth from 2023 to 2025.
Light trucks have generated all light vehicle aftermarket product growth over the last five years, and this trend will continue.
Smaller Sweet-Spot VIO
The sharp downturn in 2020 new vehicle sales, followed by the below-average size of the new vehicle market extending to 2023 (and likely beyond), will reduce the sweet-spot’s population beginning in 2026.
This will make the dominant share of light trucks in the six-to-10-year vehicle age group even more critical to the annual volume of aftermarket products.
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