View Full Version : While big 3 are discounting, Toyota is raising prices
tke711
07-26-2005, 01:48 PM
Story Here (http://www.iht.com/articles/2005/07/25/business/toyota.php)
To me, this is brilliant, and shows exactly why Toyota is kicking the crap out of the big three. Instead of selling at major discounts, which tell consumers that their products isn't worth the original price to begin with, Toyota is raising it's prices moderately. What that says is that we have a superior product and we're not willing to discount it.
ethics
07-26-2005, 01:54 PM
Wow, that IS brilliant. Lower your margin in producing, and you still come out ahead. :)
Wow, that IS brilliant. Lower your margin in producing, and you still come out ahead. :)
They certainly know what they are doing. I drove almost every compact and midsize 2005 model year pickup on the market a few months ago, deliberately saving the Tacoma for last.
It was so far and away the best of all of them that when it came time to pay, I was more in the mindset of "what can I do to drive this truck" than I was "how little can I pay for this truck". It was a fair deal all around, I paid much more than I would have for any other manufacturers vehicle, the dealer made a little money, and I have a monthly payment I can afford.
It was also the best dealer experience Ive ever had and still is.
So far, fantastic. Couldnt be more pleased.
MNeedham73
07-26-2005, 04:55 PM
If the big 3 can get their PR people to do a better job at reporting things like the latest JD Power surveys for initial quality (http://autoblog.com/entry/1234000860043790/) and 3-year quality (http://money.cnn.com/2005/06/29/Autos/jdpower_depend_tops/index.htm), they'd go a long way in getting their image back, IMO.
Too bad years of so-so quality have given them that reputation that won't seem to go away, especially since it's not deserved anymore.
tke711
07-26-2005, 04:59 PM
The problem with initial quality, and even 3 year quality, is that consumers today expect that. They expect cars to be good in the time frame. So, even if they listen to the newest reports, they will simply say to themselves, "it's about time," which likely isn't enough for them to walk in and actually purchase one.
Consumers these days expect good quality. Since they perceive all new cars to have at least decent quality, they start looking at other things when making a decision on what to buy. Resale value and fuel economy tend to up there on the list. In both of those categories, the domestics continue to lag behind.
MNeedham73
07-26-2005, 05:08 PM
At least part of the reason they lag behind in resale value is due to the perceived notion that they are inferior to their imported competition.
Which is not the case anymore.
(And on a side note, it's a moot point in my case anyway. I refuse to buy an import car.
I've had various family members working for both GM and Ford since the 1920's. Just switching from buying Ford's to buying GM's was hard enough lol.)
tke711
07-26-2005, 05:09 PM
In initial and 3-year quality. I'm still waiting to see reports of quality beyond the 3-year, still under warranty mark. Have you seen any data on that?
MNeedham73
07-26-2005, 05:10 PM
Not sure there is such a thing, Gregg. I'll see if I can find something though.
tke711
07-26-2005, 05:11 PM
If you find anything, I'd love to see it, because I too haven't seen much of that kind of data.
MNeedham73
07-26-2005, 05:14 PM
Not much luck so far. I googled "Long term auto quality" and the 3-year quality stuff came up heh.
Here, how about this? I've got a 36 year old Ford in my garage that is still very driveable.
Can you find a 36-year old Honda or Toyota floating around somewhere? lol ;)
tke711
07-26-2005, 05:21 PM
Here, how about this? I've got a 36 year old Ford in my garage that is still very driveable.
And every part in it has been changed, or it hasn't been driven? ;)
See...my experience is not good with domestics. Sure, they do just fine for the warranty period, but then they become a POS. Whereas, all the foreign cars I've owned were great to 100,000 miles plus.
MNeedham73
07-26-2005, 06:08 PM
lol, got me there. It has a different engine in it from what it had originally. However, it is the same era engine, just a bigger one.
Only parts I've replaced personally so far are ones that 1.) I want on the car or 2.) are "wear items" (rubber parts, etc.)
Whereas, all the foreign cars I've owned were great to 100,000 miles plus.
And I've seen domestics with 500k on them. That's a good owner that takes care of their vehicle, more than anything else.
I loooove my toyota. Loved my last one too. I can kick the shit out of a car, trust me, and I haven't been able to kill a toyota yet! Perfect for the person with a lead foot that doesn't pay much attention to maintenance. :)
Copzilla
07-27-2005, 12:17 AM
See...my experience is not good with domestics. Sure, they do just fine for the warranty period, but then they become a POS. Whereas, all the foreign cars I've owned were great to 100,000 miles plus.
I agree, although not all imports are worth spit. I wouldn't own a Kia, and have owned a Hyundai and it was the biggest pile of shit I ever owned and wouldn't buy another one. But the Japanese imports are awesome. I bought my daughter a Honda Civic a couple of months ago, and I have no doubt that she'll get 180k or 200k miles out of it before we gotta ditch it.
Yep, my boss has a now POS Accord that he bought with 65K miles on it. It now has 335K+ miles and all he's done is replace the radiator, one alternator and the AC compressor.