1. TRUCKS GAIN MOMENTUM FUELED BY MIDSIZE INTEREST & ECONOMIC CONDITIONS
Truck share of shopper attention is ahead year-over-year and demonstrates a recent upward trend,
aided by favorable economic conditions and increased interest in Midsize Truck product offerings.
Share % Change
2015 VS 2014
GAS PRICES
-29%
+13%
Truck SHARE
OF TRAFFIC
+3%
HOUSING STARTS
+10%
Truck Share Gains on KBB and Autotrader Driven Significantly By Midsize Truck Interest, Midsize Now Claims Larger Share of Overall Truck Traffic
Truck segments
Y/Y share growth
2015 MIDSIZE % of
TRUCK TRAFFIC
Truck segments
Y/Y share growth
2015 MIDSIZE % of
truck TRAFFIC
+53%
Y/Y
+36%
Y/Y
Midsize
+58%
Midsize
+54%
RESEARCH ACTIVITY
shopping ACTIVITY
Fullsize
-10%
Fullsize
+7%
KBB & Autotrader New Car Traffic, Jan 2014 – Dec 2015
Gas Prices: EIA.gov, Jan 2014 – Dec 2015
Housing Starts: Census, Jan 2014 – Dec 2015

2. THE RISE IN MIDSIZE TRUCKS
GM RE-ENTRIES & TACOMA REDESIGN BOOST MIDSIZE SEGMENT
Midsize truck SHARE OF TOTAL NEW CAR TRAFFIC
The Last Time These Four Trucks Were At Play Versus Now…
Colorado &
Canyon re-enter
2016 redesigned
Tacoma introduced
Domestic/GM
Import/Japanese
Colorado and Canyon have
a stronger presence now (compared to the last time they were in production).
Share of Midsize Truck Shopping
GM Re-Entry Shakes Up Rivals; Tacoma Quickly Recovers, Gains Additional Momentum from Redesign
model SHARE OF MIDSIZE TRUCK SEGMENT
Colorado
Canyon
Tacoma
Frontier
RESEARCH ACTIVITY
Shopping ACTIVITY
Colorado &
Canyon re-enter
2016 redesigned
Tacoma introduced
Colorado &
Canyon re-enter
2016 redesigned
Tacoma introduced
KBB.com & Autotrader New Car Traffic, Monthly Averages (Jul 2014 – Dec 2015)

3. HEAVILY BUT NOT EXCLUSIVELY IN-SEGMENT
INTEREST IN MIDSIZE TRUCKS
HEAVILY BUT NOT EXCLUSIVELY IN-SEGMENT
TRADE-IN
midsize truck buyers
TOP 5
Trade-in VEHICLES
increase in
midsize truck sales
2015 vs. 2014
+17%
Attraction to midsize trucks comes from multiple segments outside of trucks (primarily SUVs and small cars). However, strong in-segment trade-ins along with high in-segment consideration and declining interest from other segment owners suggest demand for midsize trucks still lies heavily within the segment.
“I purchased/leased a midsize truck in 2015, what did I trade in?”
sold
of the trade-ins are trucks
half
nearly
NEARLY A
THIRD
of the trade-ins are small
cars and SUVs
Shoppers of which segments most often consider Midsize Trucks?
Has shopping activity shifted among vehicle owners who are considering a trade-in for a Midsize Truck?
Nearly half of used midsize truck shoppers are considering a new midsize truck, far outpacing consideration from other segment shoppers.
Interest from midsize truck owners has increased since last year, while interest from owners of other vehicles has declined.
average decline in midsize
truck shopping from owners of vehicles in these segments
+7%
-7%
MIDSIZE
TRUCK
OWNERS
COMPACT
CAR
MIDSIZE
CAR
MIDSIZE
SUV
COMPACT
SUV
FULLSIZE
TRUCK
Trade-In: KBB Transaction Data, 2015
Conquest: KBB.com Omniture, Q vs. Q4 2014
Autotrader Reverse Cross-Shopping, Q4 2015

4. MIDSIZE TRUCK SHOPPERS
CROSS-CONSIDERATION & PURCHASE DRIVERS
PRICING MAYBE A MOTIVATOR
for SUV Cross-Shopping
Among Midsize Truck Shoppers
TOP ACTIVITIES that
Drive Truck Considerers
to Choose Midsize Trucks
TOP 3
Midsize Truck Shoppers
CROSS-SHOPPED
segments
for
Average new car transaction price, Nov 2015
As consumers research and shop for midsize trucks, they’re most often cross-considering fullsize trucks and small to midsize SUVs.
$26,287
$29,707
$34,136
79%
Urban delivery
for small
business
#1 Fullsize Truck
#2 Compact SUV
#3 Midsize SUV
51%
Compact SUV
Midsize Truck
Midsize SUV
Outdoors –
camping
& surfing
Shopper Perceived Difference/Reason to Purchase
What product or feature had a significant advantage
in choosing a midsize truck over an SUV or fullsize truck?
Leisure
towing/
hauling
31%
Appearance/Style
Gas Mileage
Midsize Truck
SUV
Midsize Truck
Fullsize Truck
Home
Improvement
Contract Projects
16%
Midsize Trucks
Win Over SUVs
Midsize Trucks
Win Over
Fullsize Trucks
KBB.com and Autotrader Cross Shopping, Q4-15 (KBB comparison is versus Q4-14)
KBB.com Transaction Price Data, November 2015
2016 Autotrader Sourcing Study - Significant advantage at 90%
KBB.com Truck Survey 2.0, n-302, Q: Please classify the activities that go best with each category

5. SUMMARY 1. 2. 3. 4. 5. More than a 50% new USED
OVERALL TRUCK TRAFFIC IS UP
Influenced by interest in updated midsize truck
offerings combined with improved economic factors
More than a 50%
increase in midsize truck
segment share 2.
SEGMENT COMPETITION HEATS UP
Colorado and Canyon re-entries strengthen domestic presence, while Tacoma continues to pull ahead with redesign
new
USED 3.
SHOPPING TRENDS POINT TO SEGMENT
LOYALTY & OPPORTUNITIES
While truck shopping traditionally demonstrates segment loyalty trends, trade-in and consideration trends alongside a double-digit increase in sales indicate pent up demand for midsize trucks is not exclusive to segment-loyal shoppers
SUMMARY 4.
IF ATTENTION DIVERTS, IT’S TO SUVS & FULLSIZE TRUCKS
SUVs and fullsize trucks are the segments most often cross-shopped by midsize truck considerers; when midsize trucks win, body style and fuel savings, respectively, are tipping points 5.
SEGMENT EXPECTED TO EXPAND
Segment competition will intensify as new
competitors emerge in the future