Forum Discussion
otrfun
Dec 09, 2014Explorer II
brulaz wrote:It's possible pricing and the Cummins name (for the Toyota & Nissan Cummins 5.0 V8) could come into singular play. But, I rather doubt it.
Not sure about the average consumer though. The Cummins badge and Price may be more important determinants. If you can get one for significantly less $$ than a similar RAM 2500 Cummins, it will sell no matter if the payload is under 1800#. Unfortunately.
And IMHO, RAM did make a mistake not taking the 5L and putting it in their 2500s.
And by the way, all spy photos show the new Nissan with only 6 lug wheels. That doesn't look like a steel bodied HD with >2000# payload to me. Maybe they'll come up with a HD variant later ...
In terms of pricing, Toyota, and to a lesser extent Nissan, are not known as value leaders. Consumers, typically, pay a premium for Toyotas. Tundras typically cost $2k-$4k more than a similarly-equipped Ram 1500 (realworld pricing, not MSRP). Add in the $4-$6k premium that Toyota & Nissan will certainly demand for the Cummins 5.0 V8 and you've suddenly pushed these trucks into direct price competition with some of the Big 3, 3/4 ton diesels (like the Ram 2500 CTD, a value leader).
Yup, Ram dissed Cummins when they chose an engine for their Ecodiesel. As Turtle n Peeps mentioned, it could have been for any number of reasons. But, the bottom line is: Ram felt they could make more money by not using the Cummins 5.0 V8. Agree, the Cummin's nameplate has substantial worth, but it can't sell trucks by itself--the engine (and truck) has to be matched to an effective marketing plan.
Speaking of marketing, I'm VERY curious how Toyota and Nissan will market these new trucks. One, do they make a standard 1/2 ton with no way to put the Cummins 5.0 V8's 500++ ft. lbs. of torque to practical use (low payload plus a non-competitive MPG compared to other 1/2 tons)? Two, do they enter the 3/4 ton truck segment (with competitive payload) and get killed by the Big 3's, 850 ft. lb. marketing machine? Or, three, go the middle-ground and produce a 1/2 - 3/4 ton hybrid disguised/marketed as a TRUE, heavy-duty 1/2 ton workhorse, and single-handedly create their own market segment? For a lot of consumers, a 1/2 ton is too little--a 3/4 ton too much.
Personally, I prefer option three. IMO, option two creates a marketing problem and could put a dent in future, smaller displacement, diesel roll-outs.
As for option one, Toyota & Nissan could make the choice to bypass the "truck" crowd altogether. They have the opportunity to create a niche market that include folks who only want a heavy-duty grocery-getter---a suburbia-themed (crew max/cab, 5ft bed, 4x4, leather, sunroof), driveway queen. Remember the Hummer? Of course, included with the price of admission is the shiny, Cummins Diesel V8 nameplate and knowing they're doing their part to be Eco friendly by driving a 20++ MPG V8 diesel. Might even take a few sales away from Land Rover and a few other high-end SUV's. Option one may not sell a lot of trucks, but, ironically, it has the potential to still make a lot of money for Toyota & Nissan--the bottom line--by tapping into that highly profitable (per truck), upper middle-class market.
In any case, the next 12-18 months are gonna be an awesome time for truck enthusiasts. More diesels, more aluminium, more MPG's . . . more choices--woo-hoo!!
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