Volkswagen typically shies away from massive rebates, but tough sledding on the sales floor had led the German automaker to take drastic measures. All 2008 models can be had with 0% financing for a limited time, which should help VW dealers clear inventory before the '09 models arrive. The 0% deals vary in duration depending on the model, with most models receiving the special financing for 60 months. You can even get a GTI interest free for five years.
Almost every automaker is breaking the bank with incentives to keep declining sales and increased inventories in check. VW is one of the few automakers that fared fairly well in August sales, so something as drastic as 0% financing is a bit of a surprise. Given that the competition is doing it, though, the German automaker may just be keeping up with the Joneses. Thanks for the tip, Jay!
Sales figures for the month of August aren't out quite yet, but analysts predict they won't be good. Apparently they could have been worse for General Motors if not for the employee pricing deal that began on August 20th. Though scheduled to end yesterday, the employee pricing deal has now been extended through the end of September and most 2009 models have now been included. The original deal extended to all 2008 models and only the 2009 Chevy Cobalt and HHR, Pontiac Vibe and G5 and Cadillac CTS. Dealerships are reporting that employee pricing helped clear out their inventories, especially trucks and SUVs, which were the most heavily discounted. We've already wasted hours perusing this web page that details what each GM vehicle will cost with employee pricing and any other incentives available. Looks like we'll be wasting a few more.
Click image for a hi-res gallery of the Holden Commodore SS-V
Despite the fact that capping the cost of gas didn't work out so well for Chrysler in the U.S., General Motors' Australian arm, Holden, is launching a new incentive that guarantees gas will be 99¢/liter for two years after your vehicle's original date of purchase. The system works much like the one Chrysler used: buyers get a debit card that they use when filling up their tanks. That debit card will be tied to the purchasers bank account, which will be debited a few days later for the reduced rate, regardless of how much the fuel had actually cost. If all of this sounds a bit confusing, click here for the details from Holden. We've also pasted GM's official press release after the break.
As we mentioned, a similar promotion wasn't too successful for Chrysler. There are a few differences, though. Chrysler's vehicles aren't quite class-competitive while Holden's generally are. There were also more fuel efficient vehicles to choose from in the U.S., thereby making the gas card savings a bit irrelevant. In Australia where the V8 is still king, that's not really the case. Will this new scheme make Holden's V8-powered, rear-wheel-drive vehicles sell quicker? We don't know... but we're positive that a similar deal could go a long way towards putting an Pontiac G8 GT in our own personal garages.
The long-time comeback for inquiring creditors has always been the once fail-safe "The check is in the mail." That oldie but goodie won't work anymore if you've purchased a new vehicle from Ford or Toyota's credit arm. The two automakers have adopted bar code scan technology that tells each company whether or not your check actually is in the mail. The same technology is used by Netflix to determine when a subscriber has sent back a DVD, which enables the cloud-based DVD rental service to send that customer another DVD before the first actually arrives back.
Though the bar code scan technology can be a hassle for people trying to get credit companies off their backs, it actually helps them, as well. If a payment was lost in the mail or some unforeseen natural disaster like a hurricane puts your check under five feet of water, the credit companies will know and you won't have to pay a late fee. Also, if your check really is in the mail then they won't bother with the annoying phone call all together, as they'll already know it's headed their way.
We recently received a note from an anonymous source indicating that there's a mildly strained relationship between VW and some of its dealers. The source of the consternation seems to be the highly anticipated Jetta TDI, which was just recently released in the U.S. market. Apparently, Volkswagen of America has gotten complaints that some dealers are adding a significant markup on the new and desirable model -- a big problem for many automakers when a new model makes its initial introduction. The dealers are eager to make some money on the new cars while VW is concerned that customers may just look elsewhere because they feel they're being treated unfairly. What's more, some VW dealers may not be all that excited by the new model as there aren't that many available quite yet.
This is a situation that's frustrating for the dealers, VW and, most importantly, prospective customers. Volkswagen promises that the situation will improve, and we hope it does. If the clean diesel engine is truly capable of returning the kind of fuel mileage that VW says it can, the Jetta TDI sedan and Sportwagen may indeed offer an ideal alternative to gasoline-sipping hybrids, that is, if customers can put up with the buying process.
Just last week we revealed official images and specifications for the updated 2009 Honda Civic in sedan and hybrid body styles. Lest you coupe fans feel left out, we've finally found information on Honda's newish two-door in DX, LX, EX/EX-L and Si levels from a PDF brochure and the brand's U.S. website. As with the sedan, the front and rear of the Civic Coupe see the most change, though it'll take a trained eye to spot the differences out back. The front grille, though, looks more aggressive and sports a new honeycomb pattern, and the lower bumper has been redesigned with new air intakes. We likey. Also of note are the new clear turn signal lenses. On the inside, the available navigation system flips down to reveal a slot-loading CD player and inputs for digital audio cards, whatever those are. There's also a new USB music interface in the center console so you can just plug a flash drive full of tunes into the dash. A 140-hp, 1.8-Liter i-VTEC® engine powers the standard coupe and offers up to 36 highway mpg. Honda hasn't released any of this information through its media website, and the consumer website still isn't showing any 2009 Si models, so expect the big H to release more information on its '09 coupes in the coming weeks. In the meantime, take a look through our gallery below to chart all the changes. Thanks for the tip, Ricky!
The Genser General Motors dealership in Moscow is in an enviable – if not frustrating – position. The outlet moves between 600 and 900 vehicles each month. But if supply could keep up with demand, the dealer's director of sales, Nataliya Ignatova, insists they could sell around 1,200 vehicles per month during the busiest sales season.
2008 has been a historically woeful year for the auto market, but Ford dealers have been in the crosshairs of a sales decline for over a decade. That brutal reality, along with financial incentives of up to $700,000 or more from the Blue Oval, has lead to the closure of over 500 dealers since mid-2006, and over 150 so far in 2008. To close still more dealers while giving remaining stores a heads-up of future happenings, Ford is embarking on a series of meetings with Ford and Lincoln Mercury dealers. Among the topics of discussion will be future products, product volume and market conditions.
Though Ford isn't stating publicly how many dealerships it wishes to close, the Blue Oval is hoping to have enough departures to make the remaining dealerships healthy. Ford would like to see Ford brand dealers with 1,500 sales per month and Lincoln Mercury dealers with 600 sales per month, which is far higher than what Ford's 3,900 stores are averaging now. To help entice dealers to hang up their plaid sport coats, Ford will be offering cash incentives, but Ford Market Representation Director David Kelleher is hinting that those deals won't last long.
[Source: Automotive News - sub. req'd, Photo by Scott Olson/Getty]
Is it possible to buy a car that's both inexpensive and ultra cool? Can a $22,000 Toyota Prius really get you the same respect from the valet as a $70,000 BMW? That's what "Wired Magazine" wants to know, and they're asking readers to decide which of five relatively cheap cars they would feel coolest driving.
So far, the most expensive of the bunch, the Prius, is in third place with only 18% of the vote. Behind it with 11% is an early-'90s Volvo and a 25-year-old Mercedes 300 SDL. In first place, with a big lead over a used Ford Mustang, is a 1995-1997 Jaguar XJ6.
Really? Those are the only choices we get? For the price of that 2005 V6 Mustang, you could get yourself a real tire-smoking, V8-powered 1966 Mustang. Sure it'll need some paint, probably some fresh Bondo and maybe a transmission overhaul, but that builds character in both owner and car.
Or if you're not into power, don't even think about that wheezy Volvo. Go German instead, and get a classic VW Beetle. You'll pay more than what that boxy sedan cost, but the cool factor of the Bug will more than make up for it.
So what say you, Autoblog fans? What cheap transportation would you choose for its cool-boosting properties? Or is "Wired" right on the money?
BMW made it official today, after we told you about it "unofficially" last week. As expected, the German automaker is raising prices across its model range an average of 2.1 percent for the 2009 model year due to "...significant structural and economic changes in the marketplace." Regardless, the direct price increase of vehicle MSRP doesn't tell the whole story. BMW has also increased pricing on popular options (the Sport Package is up $450 on the 335i sedan and coupe) and removed some standard features (the premium Logic 7 audio system is no longer standard on the 335i -- now it's an $875 option) driving the consumer's cost even higher than it initially appears. If that isn't bad enough news for those hoping to put a Roundel in their driveway, we are also hearing rumors that BMW's latest lease residuals and money factors aren't as sweet as they were over the summer. Check out all the pricing details in BMW's press release after the jump.