The Front Seat: Taking the Fun and Games Out of Buying a New Car
By Dean Washington, Publisher
While attending the recent new car show here in Vancouver, I had an interesting conversation with Tony Larocca from General Motors’ communications department. Amongst the many topics we discussed were how their new product line is now on the same playing field as their competitors, the truly (as he put it) remarkable technological advancements exclusively found within Chevy Volt (which I agree with), the overall state of the Canadian automotive industry, and how the “Big Three” are now conducting their business. All very interesting indeed, but what I found most intriguing was how GM is now kind of taking a page out of their overseas competitors’ playbook on how they bring their products to market. And if you have purchased a new vehicle recently, you are no doubt aware of what I’m talking about.
In the past, if an American automaker’s model was viewed as a good seller, they would ramp up production and flood the market with them. By contrast, this is a practice that import automakers have rarely subscribed to, which has created demand for many of their models, hence no need to reduce prices dramatically. Up until recently, when one would enter a local American-brand auto dealer, the sticker price was just a formality, as they wanted to just move out vehicles so the bartering would commence with both of you knowing full well there was plenty of room to manoeuvre on price (let me just check with my manager…sound familiar?) Not so much anymore! Sure, there are still “price adjustments” on certain highly profitable models, but on vehicles like the very successful selling Jeep Patriot I recently purchased, not so much.
This may take the fun out of buying a new car for some of us, but in the long run should create a healthier economic situation for the North American automakers and better car-buying experience for us consumers.
But I must tell you, I for one will miss the fun and games!
Until next issue…Keep it Rollin’…
Related Posts
© Copyright RPM Media Inc. All Rights Reserved. Site Designed by JC Design