The economics of new car sales
Discussion
cj2013 said:
He said similar to what you have - Vauxhall discount the crap out of them. He said you'd get £2k off just by walking in the dealer, another 1-2k if you work for certain companies (MOD etc.). Apparently they literally give them away.
I don't know how big the discounts are, but their partner list includes such as Waitrose, Rolls Royce and the Civil Service. As it's open to relatives too, pretty well everyone probably qualifies somehow.Edited by Sheepshanks on Tuesday 18th November 20:40
I got a hefty discount on my corsa when I bought brand new in march this year, with the options I had retail was 15,540, I payed 11,800(finance) they make sense these days for young drivers because they offer a years insurance for -8-20 year olds for £99, 21 and above it's free, no deposit, no balloon payment and 0% finance! Not to mention the lifetime warranty that is being phased out currently!
Very interesting figures.
I'm surprised Mercedes is behind BMW and Audi but still a lot of cars.
Jaguar also surprises me. It's been quite a few years since the Purchase by TATA and they threaten to produce some good numbers but I'd say 16,000 is dissapointing considering the investment and marketing. Lease deals on Jaguars are nowhere near as good as the German brands so perhaps there goal is profit per unit rather than outright volume.
I'm surprised Mercedes is behind BMW and Audi but still a lot of cars.
Jaguar also surprises me. It's been quite a few years since the Purchase by TATA and they threaten to produce some good numbers but I'd say 16,000 is dissapointing considering the investment and marketing. Lease deals on Jaguars are nowhere near as good as the German brands so perhaps there goal is profit per unit rather than outright volume.
liner33 said:
"Since 2004, avg CO2 has fallen from 179g to 122g, and mpg risen from 42.4 to 59.0mpg"
Really?? Average mpg 42.4 - 59.0?
I find that astonishing but perhaps I drive gas guzzlers
In 2004 I had an escort 1.8 tdi 48 mpg on a run 33 urban, earlier this year I had a new shape focus 1.6 tdci 51 mpg on a run 36 urban so not in that particular case. Really?? Average mpg 42.4 - 59.0?
I find that astonishing but perhaps I drive gas guzzlers
cj2013 said:
Yup. Most new cars can do 50mpg easily these days.
Even the Fiesta ST can nudge that and more, driven in eco-mode. Hard pushed to find a hatch that could do that in 2004, they pretty much all do it now.
Achieve and average are two different things , our diesel Skoda can achieve 60+mpg however it averages 42-44mpg . That's by far the most economical we have , across three cars are average economy is 34 mpg Even the Fiesta ST can nudge that and more, driven in eco-mode. Hard pushed to find a hatch that could do that in 2004, they pretty much all do it now.
minghis said:
They bang 'em out to hire companies and fleets at half the cost of retail, that's most of them. The rest are sold to the older generation who for some reason aspire to them. Weird.
Almost as weird as those who insist on driving nothing but a car with a German badge so as they can bask in the glory of their superior dashboard plastics and think that they can fool the Neighbours in to thinking that they are doing well in life.dwol said:
In 2004 I had an escort 1.8 tdi 48 mpg on a run 33 urban, earlier this year I had a new shape focus 1.6 tdci 51 mpg on a run 36 urban so not in that particular case.
The biggest increase in MPG since then is with petrol engines more than diesel, anyway, as you could get 60+ mpg from AX's and 50+ from the old XUD peugeot/citroens 20+ years ago, but you can get closer to 50mpg from a 1.6 petrol which was unthinkable 15 years ago
thelawnet said:
Scousefella said:
HP or Heinz. 
Sorry but that stood out more than the figures.
http://www.urbandictionary.com/define.php?term=SauceSorry but that stood out more than the figures.
http://www.oxforddictionaries.com/definition/engli...
Scousefella said:
http://www.urbandictionary.com/define.php?term=my%20arseandburg said:
amazes me that vauxhall sell so many cars.
Because they are excellent well made cars with a 100,000 warranty...(to the original owner)..That is eight years average mileage.Yes, I accept they depreciate, but you have to bear in mind they can be bought at extremely good prices, if you factor in all the available discounts.
Our last six cars have been Vauxhalls, and without exception they have been 100% trouble free.
I suspect many people slagging them off have never even driven one in the last five years....
I have had 3 new Vauxhalls in past 10 years. Two for the kids learning to drive and one for a daily commute to the station. Good discounts new (used my GM Card points), minimal running costs and decent resale prices selling at 3 years old. No shortage of buyers on resale so something must be working for Vauxhall.
thelawnet said:
Obviously Vauxhall churn out a lot of fleet cars!
And how do a million people a year afford to pay £10k+ on new cars?
They can't. 75% are on finance, most of these on PCP, with hire purchase now something of a relic. £200 a month and the sticker price is basically irrelevant.
Add in leases (which are owned by fleets)and you end up with a very small proportion of people actually buying their new vehicle.....
Whether these deals are actually good for the consumer is going to be a mystery to most people, and I doubt they care. Certainly 'personal finance education' is not really something the government wants to encourage when those millions of new cars a year are pumping billions into the economy....
Don't underestimate how many people work in dealer groups where staff run demonstrators, usually these are changed 2-4 times per year. All the courtesy cars again changed annually, the parts delivery vehicles, the PRE registrations to reach target that end up on the pitch. Add these up for each retailer in the franchised dealer network.And how do a million people a year afford to pay £10k+ on new cars?
They can't. 75% are on finance, most of these on PCP, with hire purchase now something of a relic. £200 a month and the sticker price is basically irrelevant.
Add in leases (which are owned by fleets)and you end up with a very small proportion of people actually buying their new vehicle.....
Whether these deals are actually good for the consumer is going to be a mystery to most people, and I doubt they care. Certainly 'personal finance education' is not really something the government wants to encourage when those millions of new cars a year are pumping billions into the economy....
Then add up all the motability cars that are registered. For the volume manufacturer these are massive business and most reasonable sized retailers will probably hope to shift inexcess of 20+ cars a month through this channel.
It all adds up.
edit: Currently there are over 600,000 motability cars registered.
Edited by H100S on Tuesday 18th November 22:53
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