New car discount/price/promo

[coldboy1357]

E class over trade at 20+k or effective price is 220+k ?

 

Both. Overtrade at 20+k, effective price at 220k+

[Spring]

 

Actually I thought some of the car importers use a different tactic. For e.g Toyota.

 

When I bought mine last yr in June, there was a list price from BM's official website which included the CEV rebate. When you make your way down to the showroom, they start to factor in other discounts like old Toyota owner loyalty discount, in-house financing discount, in-house insurance discount, current stock clearance discount etc etc, which can lower the price by about 10 to 20k, depending on which model you get.

 

I've explained this before in another post, but it's simple behavioural economics. If I look at your price online and I am not deterred by turning up at your show room, it means your listed price is within my reservation price. Throw in a substantial discount at about 10 to 20k , or more, the deal becomes even sweeter and more pple. Even if they didn't initially want to buy, they will be tempted to do so. I'm not sure if all ADs or PIs do this, but it's a rather nifty trick that practised almost everywhere today.

 

I'm not sure why other J/K car don't practise this because their market share is not that high to begin with, so perhaps they need to put a lower listing to attract pple to view the vehicle. To me, it's to their detriment, because if I showed up, I'm far less likely to sign on the dotted line knowing that I have to cough up more beyond my reservation price.

 

Actually for me, it works the other way round. I see the price quoted on line and if it's beyond what I feel is the car worth (compared to other cars of similar range); I won't even bother to consider it let alone turn up at the showroom.

 

Eg Hyundai likes to price their car at least $10k higher in their official price list and thus I never considered it cos I felt it was overpriced compared to similar Jap makes. One day I found out from an ex-colleague that they knock off $10k from their price list when you go down without bargaining!

They could have had me as a possible customer if they had priced it at its actual worth.

[Charmet]

 

Actually for me, it works the other way round. I see the price quoted on line and if it's beyond what I feel is the car worth (compared to other cars of similar range); I won't even bother to consider it let alone turn up at the showroom.

 

Eg Hyundai likes to price their car at least $10k higher in their official price list and thus I never considered it cos I felt it was overpriced compared to similar Jap makes. One day I found out from an ex-colleague that they knock off $10k from their price list when you go down without bargaining!

They could have had me as a possible customer if they had priced it at its actual worth.

 

Yep, unfortunately this approach of marking up prices only works if the brand/model has a reputation that's worth the additional premium. If it's unrealistic, pple won't bite. I don't think K cars have that reputation currently. They have improved, but there's still room. But I also think this approach works a lot better for Conti vehicles which generally enjoys a higher standing amongst Sporeans.

 

Of course, there are other approaches to determine the true worth. I like going to One.Motoring and download their Car Cost XLS. (See link below.)

 

The document lists down nicely the mark up AD/PIs have on specific models, after compensating for OMV, ARF, CEV, COE and other miscellaneous costs. It gives a good sense of the kind of margins they make, and consequently the kind of discounts you can hope to negotiate. As many have suggested, the latter really depends on you.

 

(Link - http://www.onemotoring.com.sg/publish/onemotoring/en/lta_information_guidelines/buy_a_new_vehicle/car_cost.MainPar.67872.File.tmp/Car_Cost_Update.xls)

[Celicar]

 

Actually I thought some of the car importers use a different tactic. For e.g Toyota.

 

When I bought mine last yr in June, there was a list price from BM's official website which included the CEV rebate. When you make your way down to the showroom, they start to factor in other discounts like old Toyota owner loyalty discount, in-house financing discount, in-house insurance discount, current stock clearance discount etc etc, which can lower the price by about 10 to 20k, depending on which model you get.

 

I've explained this before in another post, but it's simple behavioural economics. If I look at your price online and I am not deterred by turning up at your show room, it means your listed price is within my reservation price. Throw in a substantial discount at about 10 to 20k , or more, the deal becomes even sweeter and more pple. Even if they didn't initially want to buy, they will be tempted to do so. I'm not sure if all ADs or PIs do this, but it's a rather nifty trick that practised almost everywhere today.

 

I'm not sure why other J/K car don't practise this because their market share is not that high to begin with, so perhaps they need to put a lower listing to attract pple to view the vehicle. To me, it's to their detriment, because if I showed up, I'm far less likely to sign on the dotted line knowing that I have to cough up more beyond my reservation price.

Don't understand the part about if you showed up, you're far less likely to buy knowing that you have to cough up more beyond your reserve price. Didn't you say that if you showed up, it means the listed price is already within your reserve price?

That one is management demo cars. Means second hand cars. Not new.

What will such management demo cars be subject to before? Next buyer will officially be the first or second owner?

[Spring]

 

Yep, unfortunately this approach of marking up prices only works if the brand/model has a reputation that's worth the additional premium. If it's unrealistic, pple won't bite. I don't think K cars have that reputation currently. They have improved, but there's still room. But I also think this approach works a lot better for Conti vehicles which generally enjoys a higher standing amongst Sporeans.

 

Of course, there are other approaches to determine the true worth. I like going to One.Motoring and download their Car Cost XLS. (See link below.)

 

The document lists down nicely the mark up AD/PIs have on specific models, after compensating for OMV, ARF, CEV, COE and other miscellaneous costs. It gives a good sense of the kind of margins they make, and consequently the kind of discounts you can hope to negotiate. As many have suggested, the latter really depends on you.

 

(Link - http://www.onemotoring.com.sg/publish/onemotoring/en/lta_information_guidelines/buy_a_new_vehicle/car_cost.MainPar.67872.File.tmp/Car_Cost_Update.xls)

 

Ya bro, totally agreed on Conti cars more likely to pull off this approach and certainly not K cars!

 

Thks for the link and yes that link is the best to give you an indication of the actual cost of each make so all buyers should use this guide. Call me Ngeow if you want but for me the mark up is a criteria when choosing a car but of course I have to like it first. Eg Jap B&B cars mark up I believe

should be not more than $20k whilst and entry level executive car should be at most $30k and those exceeding those levels I won't consider!

[Civic6228]

In my opinion, buying a new car in Singapore is very transparent ....

 

The cost of a car in Singapore can easily be downloaded from the one.motoring website. All consumers would have a very good estimate of the profit that each ADs are making selling the car.

 

The listed price is there to allow consumers to take a higher loan which also meant a lower downpayment, Win-win for all isn't it.

 

At the end of the day, the final agreed price are clearing indicate in your Sales Agreement.

[Sabian]

Sheet!

 

KM making 47k gross for each Ody sold???

 

and Nissan is making 21k gross for the Elgrand?

Edited February 10, 2015 by Sabian

[Charmet]

Don't understand the part about if you showed up, you're far less likely to buy knowing that you have to cough up more beyond your reserve price. Didn't you say that if you showed up, it means the listed price is already within your reserve price?

 

Yes but the listed price doesn't translate the actual transaction price, right? If the actual transaction price is beyond the listed price, that changes the game indefinitely.

 

I was commenting on Bro Zerobim08's complaint that certain K car ADs' actual transaction price being higher than the listed price and that it's a huge turn-off for him. Let me give an example to be clearer, assuming my reservation price in both Scenarios is 100k:

 

Scenario One: . Car website says 100k all in, I go down to the showroom. SE tells me it actually costs more. Actual price is 110k.

 

Scenario Two: Website says 100k, I go down to the showroom. SE tells me it actually costs less. Actual price is 90k.

 

In Scenario One, the listed price is within my reservation price, but the actual transaction price is beyond it. So it's highly unlikely I would sign on the dotted line. Compare this to Scenario Two, where the actual transaction price is lower than the listed price (which was already under my reservation price). All the more likely I will sign on the dotted line.

 

Hope this makes it clearer.

[Celicar]

 

Yes but the listed price doesn't translate the actual transaction price, right? If the actual transaction price is beyond the listed price, that changes the game indefinitely.

 

I was commenting on Bro Zerobim08's complaint that certain K car ADs' actual transaction price being higher than the listed price and that it's a huge turn-off for him. Let me give an example to be clearer, assuming my reservation price in both Scenarios is 100k:

 

Scenario One: . Car website says 100k all in, I go down to the showroom. SE tells me it actually costs more. Actual price is 110k.

 

Scenario Two: Website says 100k, I go down to the showroom. SE tells me it actually costs less. Actual price is 90k.

 

In Scenario One, the listed price is within my reservation price, but the actual transaction price is beyond it. So it's highly unlikely I would sign on the dotted line. Compare this to Scenario Two, where the actual transaction price is lower than the listed price (which was already under my reservation price). All the more likely I will sign on the dotted line.

 

Hope this makes it clearer.

Yes, clear now, thanks. I misunderstood that whichever scenario, the price you are quoted at the showroom is lower than list price, so was confused.

[Enye]

Sheet!

 

KM making 47k gross for each Ody sold???

 

and Nissan is making 21k gross for the Elgrand?

New ody owners will tell you value for money and worth the money spent

 

😈

[kmttan]

Sheet!

 

KM making 47k gross for each Ody sold???

 

and Nissan is making 21k gross for the Elgrand?

 

For Chevrolet Orlando:

Cost price = $111K - 4K = $107K (Cat B was $74K in December)

Listed price = $139K

Discounted price = $116K

Alphine's profit margin = $9K!

[Andyclhui]

Hi bros,

 

From my observation, list price of VW cars tend to go up and down according to fluctuation of COE. From time to time, VW holds "roadshows" and VW usually gives further discount during the roadshow period. For BMW, the list price doesn't change with the fluctuation of COE. Performance Motors gives higher or lower discounts / rebates with the fluctuation of COE. One can only know the "discounted price" by asking the SE.

 

I am looking at a couple of VW and BMW cars in the SGD130K-160K price range. Any insight on the additional discounts and freebie one can get from VW and Performance Motors (assuming no overtrade and no car loans)?

 

Thanks in advance

 

 

[Kho686]

Any idea what is cost price for Volvo?

AD $139k for s60.

Got further discount??

[coldboy1357]

Any idea what is cost price for Volvo?

AD $139k for s60.

Got further discount??

 

dont think so. I think this is the lowest it has ever been. u wont get the same price with any other car like A4, C-Class or 3-series. Even smaller CLA is more ex.

Hi bros,

 

From my observation, list price of VW cars tend to go up and down according to fluctuation of COE. From time to time, VW holds "roadshows" and VW usually gives further discount during the roadshow period. For BMW, the list price doesn't change with the fluctuation of COE. Performance Motors gives higher or lower discounts / rebates with the fluctuation of COE. One can only know the "discounted price" by asking the SE.

 

I am looking at a couple of VW and BMW cars in the SGD130K-160K price range. Any insight on the additional discounts and freebie one can get from VW and Performance Motors (assuming no overtrade and no car loans)?

 

Thanks in advance

 

 

 

no overtrade then u cant get much disc from PML alr. their disc is primarily inside overtrade component. car loan gives another few k. if take out these 2 i very much doubt they will give u any good bargain

 

VW same story, but not as big overtrade disc as PML

[Sgspurs]

 

Both. Overtrade at 20+k, effective price at 220k+

OK. Thanks. Called over weekend. They giving 10+k. Looks like they trying to pull a fast one.

[Sgspurs]

 

dont think so. I think this is the lowest it has ever been. u wont get the same price with any other car like A4, C-Class or 3-series. Even smaller CLA is more ex.

 

 

no overtrade then u cant get much disc from PML alr. their disc is primarily inside overtrade component. car loan gives another few k. if take out these 2 i very much doubt they will give u any good bargain

 

VW same story, but not as big overtrade disc as PML

What's the approx overtrade and effective price of 520 ? Does overtrade affected by the car you trade in ?

[tyco_kia]

OK. Thanks. Called over weekend. They giving 10+k. Looks like they trying to pull a fast one.

 

For CnC you need to go down to the showroom and speak to the SE then they will give you a better discount. Over the phone they won't really reveal the actual amount.

[Andyclhui]

 

dont think so. I think this is the lowest it has ever been. u wont get the same price with any other car like A4, C-Class or 3-series. Even smaller CLA is more ex.

 

no overtrade then u cant get much disc from PML alr. their disc is primarily inside overtrade component. car loan gives another few k. if take out these 2 i very much doubt they will give u any good bargain

 

VW same story, but not as big overtrade disc as PML

 

Thanks coldboy1357.

 

Can you please explain further how to get more discount from overtrade? For example... my old car is worth $40K if I were to sell it to a second hand dealer. The offer from the PML SE is $36K trade-in value + $4K overtrade rebate (total also $40K). I end up topping up the same amount to buy the new car. Any other tricks in this overtrade that I miss? Thanks.