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Discounts demanded even on hybrids

Discussion in 'Prius, Hybrid, EV and Alt-Fuel News' started by theorist, Jul 31, 2006.

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What discount did you receive in the last 3 months?

  1. more than $2000 above MSRP

    0 vote(s)
    0.0%

  2. between $1001 and $2000 above MSRP

    0 vote(s)
    0.0%

  3. between $751 and $1000 above MSRP

    0 vote(s)
    0.0%

  4. between $501 and $750 above MSRP

    0 vote(s)
    0.0%

  5. between $251 and $500 above MSRP

    0 vote(s)
    0.0%

  6. between $1 and $250 above MSRP

    0 vote(s)
    0.0%

  7. exactly MSRP

    0 vote(s)
    0.0%

  8. between $1 and $250 below MSRP

    0 vote(s)
    0.0%

  9. between $251 and $500 below MSRP

    0 vote(s)
    0.0%

  10. between $501 and $750 below MSRP

    0 vote(s)
    0.0%

  11. between $751 and $1000 below MSRP

    0 vote(s)
    0.0%

  12. between $1001 and $1250 below MSRP

    0 vote(s)
    0.0%

  13. between $1251 and $1500 below MSRP

    0 vote(s)
    0.0%

  14. between $1501 and $2000 below MSRP

    0 vote(s)
    0.0%

  15. between $2001 and $3000 below MSRP

    0 vote(s)
    0.0%

  16. more than $3000 below MSRP (paid less than MSRP-$3000)

    0 vote(s)
    0.0%
  1. theorist

    theorist Member

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    Discounts demanded even on hybrids - Chicago Tribune

    "... Discounts are being offered mostly in the Chicago region, Florida, Southern California and the Southeast, Spinella said, where those who wanted to be first in line for the new toy have one by now. So it's time to sway those who see 30 m.p.g. in a gas-powered car as just as good as 40 m.p.g. in a hybrid that costs $5,000 more.

    Yet the discounts aren't huge. In a survey around the country Spinella found discounts of about $750 on a Lexus GS450h, $800 on a Honda Civic, $1,100 on a Prius, $1,200 on a Toyota Highlander, $1,400 on a Honda Accord, $1,600 on a Ford Escape and $1,900 on a Mercury Mariner. ..."
     
    #1 theorist, Jul 31, 2006
  2. cwerdna

    cwerdna Senior Member

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    <div class='quotetop'>QUOTE(theorist @ Jul 30 2006, 11:17 PM) [snapback]294940[/snapback]</div>
    I really wonder if $1100 discounts on Priuses and $800 discounts on Civic Hybrid are true in the regions he mentions, esp. So Cal.

    I accompanied someone car shopping on Saturday who is considering a bunch of cars, some non-hybrids + the HCH and Prius. The Honda dealer we went to in Sunnyvale claimed a 6 month wait for the HCH and that they only get 1-2 a month. The Toyota dealer (Toyota Sunnyvale, I bought my Prius from them) I went to didn't really give us an estimate and the shopper did write deposit check.

    Keep in mind this Spinella character that claims Hummers and Tahoes use less energy in their lifetime than Prius http://priuschat.com/index.php?showtopic=2...58&#entry291058 and http://priuschat.com/index.php?showtopic=1...11&#entry272611, that Chevy Aveos which get 24-25 mpg get the SAME mileage as a Prius and that hybrid sales are falling off http://priuschat.com/index.php?showtopic=2...&st=0&p=291154&.

    I could believe the incentives on the Accord Hybrid, the Ford Escape hybrid and Mercury twin though.

    Maybe this Spinella guy's motive IS to hurt/kill hybrid sales by giving people the impression that that they should DEMAND discounts on worthwhile/high demand hybrids even when they're in short supply or walk away.
     
    #2 cwerdna, Jul 31, 2006
  3. theorist

    theorist Member

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    <div class='quotetop'>QUOTE(cwerdna @ Jul 31 2006, 03:03 AM) [snapback]294947[/snapback]</div>
    Thank you for the heads up about the article's primary source, Art Spinella. Looking at his sad website, it seems that he may be looking to gather attention by sending absurd attention grabbing press releases to lazy automotive editors. If enough BS is published with his name attached to it, perhaps some automotive execs might pay to go fishing and golfing at his cabin with him.

    I am also highly surprised and skeptical of the $1,100 discount. I heard of a few cases at one time in the DC area, but doubt that such large discounts are common. This is why I attached a poll for those who bought a Prius in the last 3 months.

    I'm sure any discount depends on many things including
    • profit from a trade-in
    • profit from financing
    • profit from dealer add-ons
    • profit from options
    • profit from service contracts
    • trim level of the car -- varying MSRP - invoice differences
    • undesireable, damaged, or demo vehicles
    • relative urgency or patience of the buyer and seller
    • geographic market
    • flexibility of the buyer
    • etc
    A smart dealer will satisfy a customer demanding a $1,100 discount while making their profit elsewhere by paying too little for the trade-in, charging higher interest rates, or attaching overpriced dealer add-ons, options, or service contracts.
     
    #3 theorist, Jul 31, 2006
  4. FireEngineer

    FireEngineer Active Member

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    Pure rubbish in Chicago, there are no discounts in this area. Aside from Spinella, Jim Mateja is known to be anti-hybrid in his writings.

    Wayne
     
    #4 FireEngineer, Jul 31, 2006
  5. cwerdna

    cwerdna Senior Member

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    <div class='quotetop'>QUOTE(FireEngineer @ Jul 31 2006, 06:19 AM) [snapback]295026[/snapback]</div>
    I figured as much. I was in the Chicago area a few weeks ago. Although I didn't see many hybrids on the road, I found that gas prices were even higher than in Nor Cal (by ~15-20 cents).
     
    #5 cwerdna, Jul 31, 2006
  6. dipper

    dipper Senior Member

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    Maybe we should have these reporters negoicate under MSRP as quoted for us buyers. That should shut their pie hole. :lol:
     
    #6 dipper, Jul 31, 2006
  7. nerfer

    nerfer A young senior member

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    Over the past couple years I checked out 3 dealerships in the Chicago region, all were charging MSRP and that's what I paid (I didn't answer the above survey because I bought my car 5 months ago). I wrote to Jim Mateja (the columnist) with that basic information, adding that he was misleading his readers. I don't doubt that someplace in the country a dealership is offering $1100 discount on a Toyota Prius, but it's not commonplace, and I told him a more meaningful statistic would be the _average_ discount given on a Prius in the Chicago region. Which I'm sure is a big zero. Kinda remarkable for a car nearly 3 full years into the current model design.
    I'm not really expecting a personal response, but I'll let you know if I do get one.
     
    #7 nerfer, Jul 31, 2006
  8. donee

    donee New Member

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    <div class='quotetop'>QUOTE(FireEngineer @ Jul 31 2006, 10:19 AM) [snapback]295026[/snapback]</div>
    Jim Mateja is a luddite twit. He is one of the main reasons I have not even looked at the Sunday Tribune in 10 years. Sorry for the name calling, but that guy just burns me up. I find his writing cynical and nostalgic for a reality that never existed. If he was the transportionation writer for the tribune in 1910, Chicagoland would STILL be occupied with clydesdales and draft wagons! Henry Ford would have never had a chance in this town!
     
    #8 donee, Jul 31, 2006
  9. LowCO2

    LowCO2 New Member

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    Jim Mateja is an automotive dinosaur - although the Trib devoted a full section to the ills of the oil economy this past Sunday, the paper is Republican trash - I wish Sr. Mateja would soon go the way of the Hummer (down the oil drain)...

    PS: I work in the same building as the Tribune Media Center in Oak Brook, IL. Even though they print a nice green recycle logo on the front page of their daily paper - you should see how much newspaper they dump in the non-recyclable dumpsters!!! We're talking tonnage here!
     
    #9 LowCO2, Aug 1, 2006
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