Topic: Feature: Cheap new cars

[Autos_Editor]

Chris Chase lists the lowest priced new cars in Canada but warns that base models are often unavailable.

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[Jaeger]

Not a lot of profit in the stripper models as compared with their more optioned-up siblings - they are basically a means of advertising a low entry price.  They do exist, but dealers don't exactly want the lots crammed with them, for obvious reasons.

Back when I bought my Altima I flirted briefly with a base model G35.  I asked the dealer to check inventory and he told me there were two.  In Canada.

Jaeger

[richink]

I asked the dealer to check inventory and he told me there were two.  In Canada.

I'd say that qualifies as a bait-and-switch. 

Ever notice too that the advertisements for the base models actually feature a picture of a higher trimline accompanied by the small print disclaimer "optional equipment shown"?

A valid but questionable point, the old addage of "everyone does it" applies here.

My experience in the industry showed me that the lower level cars were quite popular as stripper models. The Honda and Hyundai stores that I sold at were full of basic level cars aimed straight at people who wanted a nothing car. Back in my day the basics didn't even include a radio or power steering. Most folks were happy to buy such a vehicle as their point of view was there was less to go wrong.

Your average luxury car buyer is already after something with the options in it. Something like a G35 without leather or a sunroof (examples) seems a little ridiculous. If you're going to spend $40k on a car, another $2k to $3k to get it with some nice options is well worth it!

[aaronk]

I love these types of articles and actually enjoy the thought of getting a lot of 'value' in a cheap new car. I think this would wear off fairly quickly though, as a lack of amenities would begin to annoy over time.

Wouldn't the most value-conscious shopper buy a used car? Lots of solid rides out there for under $10K, and they have air conditioning!

[northsparrow]

If you want the base model show some patience and do a factory order. I am confident some dealer somewhere will be happy to take your money in exchange for a car that will never take up space on his lot.

Some autos.ca readers will be too young to remember when air conditioning was a rarity reserved for luxury cars.

As for automatic transmissions in small cars, this is probably the best way to destroy any fun factor you would get from a small engine in a light weight car. Do yourself a favour, learn to drive a manual and keep  1 or 2 thousand dollars in your pocket.

 I am confident the Yaris will easily outlast its Mexican and Korean competitors on Chris Chase's list.

[D70]

If you want the base model show some patience and do a factory order. I am confident some dealer somewhere will be happy to take your money in exchange for a car that will never take up space on his lot.

Some autos.ca readers will be too young to remember when air conditioning was a rarity reserved for luxury cars.

As for automatic transmissions in small cars, this is probably the best way to destroy any fun factor you would get from a small engine in a light weight car. Do yourself a favour, learn to drive a manual and keep  1 or 2 thousand dollars in your pocket.

 I am confident the Yaris will easily outlast its Mexican and Korean competitors on Chris Chase's list.

Vancouver drivers can get away with no AC and a manual in some models such as the mazda 2 is a delightful drive

http://www.flickr.com/photos/d70w7/6081557308/

[Jaeger]

If you want the base model show some patience and do a factory order. I am confident some dealer somewhere will be happy to take your money in exchange for a car that will never take up space on his lot.

Same often applies to the purchase of a manual transmission in anything but a compact / subcompact or sports car.  The availability of a manual transmission was a strong selling point for me when deciding between the Passat CC and my Sonata.  Until I found out that actually getting one would mean a long, uncertain wait and likely limited colour choice.

Jaeger

[tpl]

The "cheap car" I'd like to see would be a  Frankfurt taxi   M-B E-class.  4 cyl diesel, rubber mats, wind up windows...at about 1/2 the price of a current E350.  I wonder if they still come with 5MT in that mode? 

I'd add a/c as an option and be a happy camper.

The same argument would apply to a GDM "real" Passat.

[aaronk]

I wish we got the VW Polo...TDI please!

[TopGun]

Until I found out that actually getting one would mean a long, uncertain wait and likely limited colour choice.

And some nice trim options too unfortunately.

I though dealers didn't like factory orders for some reason ... My guess would be they'd want to sell you s car they have on the lot over getting another one ... but that was just a guess.

[Jaeger]

Until I found out that actually getting one would mean a long, uncertain wait and likely limited colour choice.

And some nice trim options too unfortunately.

I though dealers didn't like factory orders for some reason ... My guess would be they'd want to sell you s car they have on the lot over getting another one ... but that was just a guess.

I think that's a fair guess.  They are incurring costs on their inventory and would prefer to move something off the lot.  But they'd certainly rather a sale by factory order than no sale at all.  The problem very often is that they over-promise on how quickly they can get you that factory order, knowing that if they tell you 6-8 weeks, you might walk. 

Jaeger

[johngenx]

Bait and switch is actually illegal.

[johngenx]

Bait and switch is actually illegal.

Continuing the metaphor, I will bite at this.  Care to elaborate?

It's against the law, and if manufacturers are engaging in it, they should be charged.  We don't enforce commercial crime law.  If you're going to advertise a car for $12,999, then people should have reasonable access to the model.  If no one wants it, then drop it.  Don't make 5 of them and use them as an advertising tool.  That's illegal.  Do I have to elaborate on what illegal means?

[ToyotaDude]

The bargain basement stripper model is of course a marketting ploy...gives the car maker bragging rights for advertising the lowest price vehicle, brings customers into the showrooms and starts the conversation on the car they are looking for.

However, in the dealerships I  have worked at, we would always stock 1 or 2 of these advertised vehicles.  The fact of the matter is that these are the vehicles that usually had a "birthday" on our lot.  Most customers just don't want a vehicle without auto or air, ect.  We would sell the 1 or 2 of these in a year, comparied to the hundreds of other better equipped models. 

[MKII]

It's against the law, and if manufacturers are engaging in it, they should be charged.  We don't enforce commercial crime law.  If you're going to advertise a car for $12,999, then people should have reasonable access to the model.  If no one wants it, then drop it.  Don't make 5 of them and use them as an advertising tool.  That's illegal.  Do I have to elaborate on what illegal means?

If the manufacturer refuses to build that stripper vehicle what is advertised or the dealerships refuse to order then I would think that would be illegal. ( I have read that some brands in Canada will not factory order for consumers, not sure it this is fact or not.

At the same time I do not believe the law can force or determine how many units  a seller or company must sell at the base or lowest price to be viewed as legal or illegal. I don`t see hotel, airline companies who are notorious for this type of advertising being sued for this practice, because the law cannot dictate how many rooms or airline seats must be sold at that advertised price.

I cannot see the law forcing car  dealerships being forced to included a certain amount of stripper vehicles in their monthly inventory.

[johngenx]

http://www.competitionbureau.gc.ca/eic/site/cb-bc.nsf/eng/00258.html

"Under the Competition Act, retailers are prohibited from advertising products at bargain prices that they do not have available in reasonable quantities."

2 for Canada is not reasonable.  This is bait and switch.

[Jaeger]

2 for Canada is not reasonable.  This is bait and switch.

That may be true (life is to short to spend reading the Competition Act, so I'll take your word for it) - but in my case one of the two was in Ontario, and they were willing to get it for me.

I also have a hard time figuring out how this law would be enforced.  Dealers sell out of particularly hot cars all the time - but still advertise them.  Are they doing something ILLEGLAL every time that happens? I can't see government regulation of dealer inventories to ensure "reasonable" access to all models as either practical or  particularly desireable.

Jaeger

[MKII]

http://www.competitionbureau.gc.ca/eic/site/cb-bc.nsf/eng/00258.html

"Under the Competition Act, retailers are prohibited from advertising products at bargain prices that they do not have available in reasonable quantities."

2 for Canada is not reasonable.  This is bait and switch.

The bait is the easy issue to deal with, but try and prove the switch issue ....The switch occurs when a salesperson pressures you into purchasing a higher priced item as a replacement.

[dirtyjeffer]

proving the bait AND switch would be tough...honestly, my beef is the stripper model advertisements with pictures of the top trim shown...they catch your eye with "Ford F150 - $19,995", and show a nice looking one in the photos...then, as you read further down (often buried in fine print), you see the low price is for the bottom stripper model, but the picture shown is of the F150 SuperCrew Premium with every option, and it is $60k...THAT should be illegal...if you are going to advertise a $20k F150, then show a picture of it...if you are going to show the picture of the $60k F150, then put the price of that...that part of the laws needs to be addressed.

[Blueprint]

The cheap cars are usually found in large fleet operators, like cities.  When I was in college in Montreal in the late '80s, the city still had AMC Concords in its lots.  Basic 2-doors with no vinyl roof, revealing the Hornet's 3/4 window shape.  Never saw vinyl-less Concords on the road.  Said city still has swb Ram Vans ... ever seen those?