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2361 messages, Last post on Nov 18, 2009 at 1:15 PM
You are in the Chrysler/Plymouth Voyager, Dodge Caravan Forum. Your Host is Karens
| if they keep giving out rebates will they still make money? | |
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| ....DC's pricing strategies are great. You know you should never pay over invoice for any of their vehicles. I bought my 2000 DCS in June at invoice less the $2K rebate, which was a good deal then and a good deal now. Am I upset I didn't get the $3K available now? No! I needed the vehicle in June, so I bought it, even though it was obvious that incentives would get better later in the year. You will NOT get a better deal at Honda. | |
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Carleton, DC's pricing method is the most common way to set pricing because it allows manufacturers to adjust pricing for current market conditions. The way Honda sets its pricing does nothing more than fool people into thinking their vehicles have better resale value and adds to the unscrupulous dealer practices for which Honda has become infamous. Even though it's tough to compare prices of two "similarly" equipped products that have a 4-5 year design cycle and which were designed in different years, I will give it a try. 2000 Honda Odyssey current expected selling price: LX $23,400 (MSRP) EX $26,000 (MSRP) 2001 Grand Caravan current expected selling price: Sport $22,150 (Invoice +$300) ES $26,500 (Invoice +$300) Can you imagine the prices Chrysler could command for their minivans if they put a choke hold on supply like Honda? There's no way in the world people would have to pay MSRP for a Odyssey if Honda produced as many minivans as Chrysler. |
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After your marketing class, did you take one on economics? Maybe you skipped the chapter on the effect of substitutes in the marketplace on any seller's ability to control price. As for pricing, all makers have the ability to adjust pricing for market conditions. They simply offer rebates/incentives to dealers. And its pretty easy for dealers to adjust too to changing market. Make/model not selling as well as last month, maybe we should accept offers that are $500 lower than we did last month. Still not selling well? Maybe go $1000 lower. Different makes have different pricing strategies. Some set MSRP high and then discount/rebate to lower selling price. As a matter of marketing, many buyers feel like they got a good deal (just like people who go to jewelry stores and buy at 75% off prices that were 2-4 times inflated). Other makers set MSRP a lot closer to what the selling price is expected to be. As for what "fools" Honda owners into thinking their vehicles will have higher resale value, I believe that is called history. |
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Brianinoh, Yes, apparently Honda "seller's" have the ability to "control" Honda's price, they controlled Mark Roberts invoice pricing of the Honda Odyssey right back up to MSRP. What I said and meant was the "manufacturer" meaning Chrysler Corp etc not the seller/dealer/middleman has sole ability to "adjust" pricing for market conditions. A seller/dealer/middleman doesn't have much ability to adjust price because a seller/dealer/middleman will seldom if ever sell a vehicle for less than they paid the manufacturer, and most sellers/dealers/middlemen are satisfied with receiving no more than their holdback plus something between $0-$500 over invoice. BTW, How about publishing some actual numbers from those history books which show Honda's have better resale value. |
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| Most of the major rental car companies are owned by the auto manufacturers. I suspect that the choice of which van a rental car companies offers has more to do with excess inventory of the manufacturer than depreciation. | |
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I'm thinking about buying one just so that we can have something to talk about that actually pertains to 2001 DC minivans. I'm also thinking about getting one just so that I can drive around town with the new high beams on to blind other drivers out of spite. ----- Here's another question that has nothing to do with 2001 DC minivans. Has anyone ever found themselves driving along in a caravan of Caravans? The other day I found myself in the #4 position in a line of 5 Chrysler minivans. Can anyone top the record? |
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Actually just last week on the I-15 South on the way to San Diego, there were 6. Four NS models ranging from 96-00 DGC and PGV (ours is a 00 GCS), One 94-95 GC and one older 88-90 Voyager. Talk about a Chrysler Minivan Caravan! I've noticed the Mexican tourists who drive their late model Chrysler Minivan up from Mexico is really a Chrysler Voyager, but with Dodge Grand Caravan LE grill, wheels and gray bodyside cladding!!! Since summer tourism is up here in Southern Cali, I've seen quite a few of these vans. Pretty weird to see a Caravan LE but with Chrysler Voyager emblems. Another weird one i've seen recently was a NEW 2-door Dodge Ram CHARGER!!!! It also had mexican plates. If you go visit the Chrysler Mexico site, you can see this pretty odd but cool looking vehicle. |
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I've seen at least 10 montana/trans sport entering the highway togehter one behind another they are from 97 to now generation |
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scanner--First you say that dealers don't have the ability to control pricing then you reference Mark Roberts and say they do. Which is it? In #88, you praise the DC pricing policy because it allows DC to adjust pricing for market conditions. But how do they do that? With dealer incentives/rebates. How is that any different than what any other maker can do? That same model works for sales above and below invoice (with rebates/incentives). Question: If DC dealers could sell the DC minivans for more than the invoice less whatever the current rebates/incentive is, would they? carelton--The info you seek regarding resale value is very difficult to obtain. How will the pricing guides get the info as to how much people paid for the various makes/models when new? For different people at different times in different locations, the pricing will differ. Another reason why the rental car agencies typically stock domestics is that there still are a great number of people out there who will never, ever drive a "foreign" car (despite the fact that many domestics are not built in US and many "foreign" makes are). Certainly, in NE Ohio (strong Ford country) that is very true. |
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