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GMC Has A Portfolio Full Of Cash Cows

2021 GMC Yukon Denali GM SUV T1 Platform
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Dealers say that the 2021 GMC Yukon AT4 isn’t in their showrooms yet, but customers are already ordering them sight unseen. Meanwhile, the GMC Denali sub-brand continues to be the storied cash cow that it’s known for. These sub-brands are so successful, in fact, that Automotive News reports that they’re outselling Cadillac, accounting for 40 percent of GMC’s total retail sales in 2020. It’s estimated that future sales charts could see AT4 and Denali accounting for as much as 50 percent of total GMC retail sales volume.

It’s not low-end Denali or AT4 models that make up the majority of this mix, either. Average transaction prices are 30 percent higher than the industry overall, at $57,218 for a Denali and $53,989 for an AT4. These figures are said to be higher than ATPs enjoyed by the likes of BMW, Audi and Jaguar.

2020 2021 GMC Sierra 2500 HD Denali

In the first nine months of 2020, sales of the GMC Sierra pickup truck rose 6.8 percent, vs. an 8.8 percent decline for other full-size pickups, per the report. Meanwhile, sales fell 17 percent for Chevy and 25 percent for Buick and Cadillac. The 2021 GMC Yukon is just getting to market, and dealers are already seeing pent-up demand, selling them sight unseen. The 2021 GMC Yukon starts at $51,995, while the range-topping four-wheel-drive Denali model starts at $72,695. The Yukon AT4 starts at $66,095. Analysts opine that these price differences between models goes directly into GM’s coffers to fund ambitious business ventures like future electric vehicle programs. Vehicles like the upcoming Hummer EV, which will be technically counted as a GMC product.

With high-margin full-size trucks like the Sierra 1500 and Sierra HD, utility vehicles like the Yukon AT4 and Yukon Denali, and even an upcoming “all-electric supertruck” with the Hummer EV, GMC currently enjoys a vehicle portfolio that’s absolutely stacked with vehicles where the only thing greater than their profit margins is the demand for them. As for Cadillac, the 2021 Escalade family stands out in a lineup of low-selling sedans, and ho-hum crossovers. Perhaps the future of the Cadillac lineup will rely on expanding the Escalade portfolio as much as possible.

2021 Cadillac Escalade Platinum
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Written by Manoli Katakis

Muscle Cars & Trucks was founded by Manoli Katakis - an automotive media veteran that has been covering the latest car news since 2009. His journalism has uncovered dozens of major product changes, updates, plans, and cancellations long before automakers were ready to make things official.

Some highlights over the years of his reporting include the uncovering of the Zora trademark before anybody else reported on the coming of a mid-engine Corvette, as well as the dead-accurate reporting of the coming of the Chevrolet Colorado ZR2, two years before it hit the market, and even before the debut of the concept vehicle. This type of reporting has immediately continued here, with reports of the original seventh-generation Camaro plans being shelved, as well as what's in store for the Chevrolet Silverado.

Some of his work can be found on massive automotive media outlets, such as Motor1. He also has been a guest on the 910AM Radio Station with Detroit News auto critic Henry Payne, as well as the enthusiast-oriented Camaro Show podcast.

Over the years, Manoli has interviewed various automotive industry titans, leaders, and people that make things happen otherwise. These include figureheads such as GM CEO Mary Barra, GM President Mark Reuss, automotive aftermarket icon Ken Lingenfelter, Dodge firebrand Tim Kuniskis, along with various chief engineers of vehicles such as the Ford F-150 & Mustang, Chevrolet Camaro & Corvette, and many more.

At MC&T, Manoli is taking his journalism expertise, deeply planted sources, driving abilities, and automotive industry knowledge to new levels, covering more vehicles and brands than ever before. This is the place where you will continue to read groundbreaking stories about American performance vehicles, pickup trucks, and sport utility vehicles. Here is where you’ll also read insights and quotes from various automotive subject matter experts on the latest relevant products, as well as some of the latest official news from their manufacturers.

Fun facts: he also once beat Corvette Racing driver Tommy Milner in an autocross with a Chevrolet Bolt EV. The biggest vehicle he’s ever driven is a John Deere mining truck. Besides a go-kart, the smallest vehicle he’s driven has been a Hyundai i10. He’s also spent time in the cockpit of various American performance vehicle icons, including the fifth-generation Chevrolet Camaro Z/28, Dodge Challenger Demon, and Ford Mustang GT350R. He has reviewed dozens of trucks, SUVs, and performance vehicles over the years.

One of his favorite new vehicles on the market today happens to be the Chevrolet Colorado ZR2 Bison. He is also a card carrying member of the Sports Car Club of America, and regularly participates in Detroit Region autocross events.

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  1. I always thought the Yukon Denali was better than the Escalade. Now that the Ultimate Denali is coming it’s no contest IMHO

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