MORE NEWS ON MARKUPS/AVAILABILITY/WAIT

Hello Prions:
I sent a letter to my first dealer last week wanting to know if the handwritten paper was an actual order , etc, etc. Mostly, I wanted to know that there were human beings on the other end of this process. My salesperson is a sweet guy from some Baltic country whose command of English, I thought, was fine, but who felt he wanted his manager to respond to me.
So, the manager calls me. Also a very nice guy (aren't they all??). He was pretty straightforward. Toyota has really screwed their dealerships by not giving them accurate production information. To backup, Toyota screwed up by totally underestimating the demand to begin with. Many dealers are giving unfounded information about the wait times in order to secure orders; some are promising cars in as little as 60 days. According to my guy, the wait could be 8 months and many of us will probably get 2005 models.
Because of the interim shortage, many dealers are tacking on 995 bucks to the MSRP, and, as this seems to be standard practice anytime there is an extreme shortage and high demand, most of us on the waiting list who are willing to pay the 995 surcharge would have a better chance of getting a car that came in out of sequence, i.e. the first claimant on the car rejected it because of color or option package and the car was now "available". Those unwilling to pay the (temporary) surcharge, will probably have to wait until the production numbers come up. Eventually, the car will be available at more reasonable prices.
Consider, however, that the 2005 model year will also see a price increase (usual) of 3 or 4 percent over this year's model, with probably very few changes in the car itself over the 2004 model. We are in a kind of limbo here. I told my first dealer that I would pay the surcharge if it meant getting into one in less than 6 months.
The 2005 model year production begins around July.
I suggested to the sales manager that he check the Prius chat line to get some idea of the anger and frustration out here. He didn't know about our chatline, but was very interested. He said that Toyota is likely monitoring it as well because this is turning out to be a major public relations bomb for them.
Toyota is being very Japanese about this and trying to "save face". BUT, kids, here's some more news from my dealer: Toyota has taken over the ordering process from the dealerships and requested the computer print outs of those of us who ordered cars. Toyota will be contacting each of us directly with (hopefully) an apology for the screw up, and some idea of when we can get cars and what they are going to do to make that possible. Ah so, grasshopper, I believe when I see.
There have been several stages in the introduction of the new Prius: Owners of classic Prii were given the first chance to order new ones. Toyota made it clear to dealers that these folks would not have to pay above MSRP; no gouging, no surcharges. That accounted for about a third of the original production numbers. Then the car was released to the rest of us. An initial and fortunate group of buyers ordered their cars very early on and were getting them at MSRP in reasonable time. That accounted for the second third of the production numbers. Now, we are into the scramble for the remaining Prii and it is turning into a free for all, with some dealers taking high advantage of what is clearly a very lopsided buyer-seller see-saw.
Hope this gives you some light on the situation. We are in for a long wait, I think.
Bob

 

Bob responds: The choice of "prions" was made intentionally. We are all affected by "mad car disease", I think.

 

Bob responds: The dealer didn't say that Toyota was going to sell cars directly to us, but that they wanted to see the names of those who had placed orders. My understanding is that T of A will write some pathetic, smarmy, face saving nonesense to us as "valued customers" (it wouldn't take much thought to imagine what they would say) in an attempt to smooth over this public relations fiasco. The dealers would still be selling the cars. So, unless Toyota ups production and deliveries, we'll still be where we are now. What I WOULD like to see, though, is some intervention on the part of Toyota to stop dealers from selling already ordered cars at hijack prices to people off the street.....unless, possibly, Toyota is in kahoots with the dealers and they are together gouging us.
Bob

 

p.s. My car finder dealer told me that dealers across the US tried to convince Toyota early on that this car would be a blockbuster. Toyota originally planned to produce 200% of the 2003 Prius numbers, but the dealers said that was not nearly enough. Toyota blew it by not listening to the guys selling the cars. I think they will finally even it all out by upping production, but it will take a few months before we see the increased flow of cars.
Meanwhile, we should all have patience and not say (too many) bad words about the people making and selling these nice cars.......Does anyone else feel slightly ridiculous getting all hyped up about a...well, a car? There's a god awful lot wrong in the world and somehow being all bent out of shape about a car seems like too narrow a focus. Just a thought as I regain balance.
Enjoy the day. Flowers are starting to bloom in my neighborhood.
Bob