Vehicle News Update: General Motors unveiled redesigned versions of its GMC Yukon and Yukon XL SUVs Tuesday night, including new off-road AT4 models and more premium versions of its top-end Denali vehicles.
The upscale Denali models include a new exterior design and, for the first time, an exclusive interior with open pore woods, hand-stitched leather and other features. The AT4 vehicles feature darker exterior accents as well as 20-inch all-terrain tires and a two-speed transfer case. Both are available with a new power sliding center console for flexible storage.
The addition of AT4 to the Yukon models is part of a two-pronged approach with Denali to increase profitability for GM’s GMC truck and SUV brand. Denali is a highly profitable sub-brand for GMC that debuted on the Yukon in 1999 and has since expanded across its lineup. GM plans to do the same for AT4 this year.
“The real key thing is we’ve really pushed Denali even more up market. As much as I think the AT4 is outstanding, I think we’ve taken Denali to a level it’s never been to before,” Duncan Aldred, global head of GMC.
Denali is particularly important for Yukon and GM as Denali represents 60% of Yukon sales — the highest among any vehicle in GMC’s lineup. Across GMC’s lineup, Denali represented 30% of all sales in 2019 — a record for the brand. By increasing the uniqueness of the vehicle, GMC aims to increase those very profitable sales even further, according to Aldred.
“We’ve tiptoed over 60% at certain times, and to be honest I expect to do that with this one,” he said. “I still think there may be upside in there as well as strengthening AT4.”
The vehicles are expected to begin arriving in U.S. dealerships this summer. Pricing was not announced. Starting prices of current 2020 Yukon models range from about $50,000 to $70,000. Prices for the 2020 Yukon XL, a larger version of the standard model, start between about $53,000 and $72,000. Both vehicles can sell for more than $80,000.