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Mazda MX-Flexa / Mazda5

2063 messages,  Last post on Jan 12, 2007 at 11:04 AM

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What is this discussion about? Mazda MAZDA5, Van




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#2004 of 2063
Cruel and unusual punishment? NOPE! by mdaffron
Sep 29, 2005 (8:45 am)
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I'll tell ya what's cruel and unusual! It's my experience with Progressive Insurance after my 1994 Mazda B2300 pickup was hit by a hit-and-run driver at the ripe old age of 2 years old!
 
Progressive insisted on using an aftermarket rear quarter panel -- that was the injury. Now, the insult -- they crammed my 240-pound bod into a 3-cylinder GEO METRO for the week the truck was in the body shop!!!
 
I looked like Fat Albert in a bumper car!
 
Meade
#2005 of 2063
Re: Cruel and unusual punishment? NOPE! [mdaffron] by ateixeira
Sep 29, 2005 (9:17 am)
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Replying to: mdaffron (Sep 29, 2005 8:45 am)

LOL
 
Please stick around, Meade, you keep these threads humorous for us.
 
-juice
#2006 of 2063
Operator Error? by ateixeira
Sep 29, 2005 (9:43 am)
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Credit to Rob for finding this link:
 
http://www.canadiandriver.com/news/050928-4.htm
  
-juice
#2007 of 2063
Re: Operator Error? [ateixeira] by mdaffron
Sep 29, 2005 (9:48 am)
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Replying to: ateixeira (Sep 29, 2005 9:43 am)

Well THERE YA GO!
 
How nice of Mazda to give all of you a redundant heat shield just 'cuz of some crazy folks who prefer to buzz around the interstate at 7,000 rpm! Next thing ya know they'll be warranting the AT for 100,000 miles.
 
Talk about a car company that bends over backward to keep the smiles zoomin' ...
 
Hot coffee, anyone?
 
Ronald McDonald
 
P.S. Recalibrate the ATU? To me that sounds like, from now on, less zoom to avoid boom!
#2008 of 2063
Re: Operator Error? [mdaffron] by chacobleu
Sep 29, 2005 (10:52 am)
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Replying to: mdaffron (Sep 29, 2005 9:48 am)

Pluses and minuses, Meade, pluses and minuses.
 
Ok, less zoom zoom, though more than half the fun is at the 4 corners (until which time they add turbo, awd, & 6-speed mt)
 
On the Plus side: reduction of the ignoramus factor; better fuel economy
#2009 of 2063
Re: Operator Error? [mdaffron] by isda65
Sep 29, 2005 (4:08 pm)
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Replying to: mdaffron (Sep 29, 2005 9:48 am)

Talk about a car company that bends over backward to keep the smiles zoomin'
 
Somehow, I find this hard to believe considering that the amount that they have probably budgeted here is hardly something to smile about. I don't exactly know how the incentives that Mazda has granted to the dealers play out but lets assume for the sake of discussion that Mazda has done this for all dealers for the 2700 units. If each unit has been allocated $1500 plus $50/day for 30 days Mazda is prepared to pay $8,100,000. Now, add to this the labour cost of implementing the fix (warning label, recalibration, heat shield) which let's say is $70/hr for 5 hours. For 2700 + the estimated unsold units of 700 that's $1,190,000. Materials cost, maybe like $100/unit. So 3400 units comes out to $340,000. So far Mazda is in the red for $9,630,000.
 
$9.63 million seems to me a pretty big amount to spend just to avoid bad publicity for something that is obviously "operator error" and keep us smiling. I am more inclined to think based on the haste that Mazda has shown and the scope of the recall that it knows it has screwed up and is just doing damage control.
#2010 of 2063
Re: Operator Error? [isda65] by rideyourbike
Sep 29, 2005 (6:12 pm)
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Replying to: isda65 (Sep 29, 2005 4:08 pm)

Though, let's not forget about profit (real and projected). Though this $9.6 might ache in the short run, take a look at the big picture here. Let's assume a conservative $800 per car net income for Mazda on the Mazda5 (Ford and GM USA have some of the lowest per car profits of around $500, Toyota USA has a nice $1200 per car profit, and I'm sure Mazda falls somewwhere in between). Mazda has 3400 MZ5 units sold or waiting to be sold in the US. Let's assume they all get sold. 3400 units with an $800 net income comes to $3,200,000. $9,630,000 - $3,200,000 = $6,430,000 in the red. Less, but still somewhat significant. Projected 2006 sales for the Mazda5 were a low 15,000 units. Still, let's assume the MZ5 hits only 12,000 units next year. 12,000 x $800 = 9,600,000. First year losses wiped out. Net of $3,000,000 over a year and a half.
 
I love my Mazda5 (as does my better half) and we will be singing its praises for a long time. Is Mazda doing some damage control with this recall? I guess so. What manufacturer doesn't? However, the main advertising force for this auto has apparently been the owners, and if they are kept happy they will continue to rave about this car. Word of mouth is the best way to sell anything. Combine that with a big traditional advertising push next year and all these recall costs will be long gone. I would imagine Mazda sees the cost of putting everyone in an MPV as insurance for good sales next year.
 
A couple other items. Right now, Mazda is offering $4,000 cash back on new MPVs. The $1500 plus $50 per day works out to about $3000 per month. Even if the recall does take 6 weeks, Mazda is still only looking at $3600 per MPV. Mazda corporate still makes out okay. Dealers have what seems to be a few good low-mileage deals on the lot. Puts more MPVs on the road, too!
 
This car is selling like hotcakes everywhere else in the world. Mazda was taking a risk bringing it here. I (and yes, I am a layman) don't think sales are going to be affected at all because of the recall. I mean, come on, Saab just had to recall 300,000 cars the other day because of a possible ignition overheating and subsequent risk of fire. 300,000!!!!!!! Talk about a financial loss! And do you think people will second guess buying a Saab just becuase of it?
 
I dunno. I guess to summarize, If there is anything I'm sure of, it's that for whatever reason Mazda is handling things the way they are, more money for Mazda is the only real reason to do it!
 
 
#2011 of 2063
MPV by ateixeira
Sep 30, 2005 (7:44 am)
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I wonder if you can actually get a base MPV for less.
 
Still, I think I'd rather drive a 5.
 
-juice
#2012 of 2063
Incentives etc by perfectofc
Sep 30, 2005 (7:54 am)
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"However, the main advertising force for this auto has apparently been the owners, and if they are kept happy they will continue to rave about this car. Word of mouth is the best way to sell anything."
 
The sales of this car in the USA and Canada are almost entirely based on word-of-mouth. If Mazda doesn't treat us well, that will stop, rest assured... so I'd hope that they continue to keep us sweet.
 
Like I said, I'll take an extended warranty.
#2013 of 2063
Re: MPV [ateixeira] by backy
Sep 30, 2005 (12:06 pm)
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Replying to: ateixeira (Sep 30, 2005 7:44 am)

Yes, you can (well, I can anyway) get a MPV LX for under $17k, list over $23k. Which would put the MPV under the price of the 5, until some incentives come (and maybe they will in the aftermath of the recent press on the exhaust issue, if sales sputter because of it).

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