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  1. #1
    XTC
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    Default Price drops.

    Will we ACTUALLY see them, interesting that Peugeot "claim" that 2005 stock already included it ... but according to price lists I have from 2001 they are the same practically .. what gives ?

    True they don't HAVE to pass on the savings, but with WRX's now walking out the door at 1996 prices ($39,990), Renault's Megane 225 looks over priced at $42,990 (add $4K for leather and sunroof). * all plus on-road costs.

    - xTc -

    http://www.drive.com.au/editorial/article.aspx?id=9046

    The price falls of 2005

    By David Berthon
    The Sun-Herald
    Monday January 10 2005

    The tariff on imported passenger cars dropped from 15 percent to 10 percent at the start of the year but that doesn't necessarily mean cheaper prices, DAVID BERTHON reports.

    Australia is poised for another year of record new-car sales following the import tariff reduction on imported cars on January 1. But not all brands are slashing their prices.

    Some companies are adding equipment to their cars while maintaining the price, while others claim to have already factored the saving into their new models introduced late last year.

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    Some brands have introduced special drive-away offers and dealer incentives to kick off the new year and, thankfully, some have passed on the saving with lower prices.

    The Australian Competition and Consumer Commission says car companies are under no obligation to pass on the saving. Also, fluctuations in the value of the Australian dollar can quickly wipe out any importer benefit from the tariff cut.

    However, the intensely competitive nature of the car industry today means most importers have passed on the saving in one form or another. The tariff reduction applies to the landed price, not the retail price, and industry sources say it should equate to a price cut of about 3.5 percent. Some brands, on the other hand, have used the announcement as an excuse to slash their prices by up to 8 percent on slow-selling models.

    Car companies are generally reluctant to drop prices for fear of eroding resale values adding equipment is a better way of ensuring resale values are maintained.

    Some companies have also benefited from the Free Trade Agreement (FTA) with the United States and countries such as Thailand from January 1, and the zero tariff has brought some real savings to four-wheel-drives, as well as cars, from these regions.

    Here's an A to V guide of how importers have reacted since January 1. All prices quoted are plus on-road costs unless otherwise stated.

    Alfa Romeo: Has not changed prices but has added equipment. It's offering upgraded 156 Ti variants with 17-inch sports alloys, leather trim and leather steering wheel at the same price as the standard 2.0-litre JTS manual and Selespeed pay from $49,950 and save $2500.

    Audi: Has cut prices the entry model 1.6-litre manual A3 Attraction hatch drops $1250 to $33,650. The popular 2.0-litre A4 continuously variable automatic sedan, already benefiting from a $1550 price drop, leather trim and more features on November 1, drops a further $1150 to $48,800, the new 3.0-litre A6 multitronic reduces by $3800 to $89,100. The S4 auto sedan drops $5500 to $127,000 and the flagship A8L 4.2 Quattro reduces by $8700 to $213,100.

    BMW: Has cut prices apart from the new 1-Series sedan launched in October, which already had the cut factored in. However, the manual 1.8 316ti hatch drops $1400 to $40,350, the popular 318i Executive automatic by $1850 to $54,700, the 530i automatic by $4400 to $105,800 and the 645Ci Coupe by $7000 to $196,000. The flagship 760Li gets an $11,100 price drop to $321,300. The Z4 sports car and luxury X5 four-wheel-drive, both built in Spartanburg, South Carolina, benefit from the FTA the Z4 3.0i is now $6000 more attractive at $86,000 while the top-selling X5 benefits by up to $2300 the X5 4.8 is now $155,000.

    Citroen: No price cuts, but big incentives introduced in November apply to the run-out C5 sedan. With a new model due in late February the current 2.0-litre auto C5 offers a $9000 saving at $39,990, the 3.0-litre V6 auto at $52,000 offers a $7090 saving.

    Chrysler: No price cuts on January 1, but the new Mexican-built PT Cruiser, introduced last month with larger 2.4-litre engine and added features from $29,990, has the new tariff factored in.

    Daihatsu: Has cut prices. The 1.0-litre three-door Charade hatch remains our most affordable car, reduced by $460 to $11,490. The 1.0 litre and 1.3 litre five-door Sirion hatches drop by $400 and $540 to $12,850 and $16,450 respectively while the 700cc Copen is reduced by $1000 to $28,990.

    Ford: No immediate cuts on the imported Fiesta and Focus models but current dealer incentives provide better savings. Armed with a $500 bonus on the Fiesta hatch, dealers are providing free air-conditioning valued at $2000. Pay from $14,490. Also available is the Focus SR hatch and sedan, from $17,490 with free air-conditioning, 15-inch alloy wheels and free roadside assist a saving of $6170. A new Focus due in March will incorporate the tariff reduction.

    Holden: Has cut prices by up to 8.8 percent on the Barina, the Polish-built TS Astra, the Zafira and Vectra. The price of the new AH-series Astra hatch introduced in October has the tariff cut taken into account. The entry 1.4 SXi Barina hatch is $13,990 with free air-con, the 1.8 TS Astra Classic sedan and hatch are $18,990 and the two-door convertible drops by $2000, now from $43,990. The seven-seat 2.2-litre Zafira gets the biggest cut, down by $2990, and now starts from $29,990. Holden has respecified the Vectra sedan and hatch the entry 2.2-litre CD sedan and hatch are $2000 cheaper from $29,990 and $31,990. The V6 CDX auto hatch drops $1500 to $40,990 while the flagship V6 CDXi models remain unchanged, from $47,990.

    Honda: A combination of extra features and price cuts. Best story relates to the Thai-built wide body Accord. Now import tariff-free, the 2.4-litre four-cylinder VTi auto gets the biggest saving, $4250 to $29,990. The 3.0-litre V6 auto drops $3000 to $36,990, the flagship V6 Accord Luxury by $2500 to $43,740.

    The far more popular Japanese-built Accord Euro gets smaller cuts but some welcome specification improvements the entry model drops $750, starting at $33,500 and benefits from a full-size spare wheel. The flagship Euro Luxury drops $300, now from $40,500, and gains 17-inch alloy wheels, a full-size spare and a revised suspension.

    Other good news is a $1000 reduction on the 1.7-litre Civic sedan and hatch now from $19,990 and $24,950 respectively. The S2000 sports car drops $2000 to $72,950. The small Jazz hatch, Integra coupe, Odyssey people mover and CR-V 4WD all receive equipment upgrades for 2005, effectively offsetting the tariff reduction. The large MDX 4WD has been given curtain air bags, a full-size spare tyre, security alarm, rain sensor wipers and auto on-off headlights.

    Hyundai: Tariff cuts are clouded by recent incentives in which the Getz got $1000 in free petrol and the Elantra free automatic valued at $1990. However the two Hyundai volume sellers have new recommended retail prices the small 1.3-litre Getz reduces by $290 and the entry XL three-door hatch is now $13,490, the same price before the addition of remote central locking and an alarm in October. In lieu of the petrol it now gets $1000 in free accessories.

    The 2.0-litre Elantra sedan and liftback reduce by $500 to $18,490 and gain a power radio antenna. The better-equipped Elantra Elite drops by $1000 now from $22,990. The Elite also gains front side air bags and a luggage retaining net in the boot.

    Jaguar: Anxious to lift a poor year for sales, Jaguar applied the tariff cuts early in November to a revamped X-Type, S-Type and XJ model range, at the same time lifting specification.

    Jeep: The latest US-built Jeep Cherokee and Wrangler four-wheel-drives were upgraded in December and took into account the FTA at that time. The entry six-speed manual 2.4-litre petrol Cherokee Sport is $500 cheaper at $34,990, the new more powerful 2.8-litre turbo-diesel auto Cherokee Sport is nearly $3000 cheaper at $42,590. The new 4.0-litre Wrangler Sport, with six-speed manual shift, is $6000 cheaper at $29,990. Both models have considerably more equipment and features for 2005.

    Kia: Has returned to drive-away pricing. The relatively new 2.0-litre Cerato sedan now from $18,990 drive-away represents a $2713 saving. The small Rio sedan and hatch save $2478 at $14,990 drive-away, now with remote central locking, while the 2.7-litre auto/manual shift Optima sedan with leather interior at $27,990 drive-away saves $2900.

    Lexus: Has cut prices. The IS200 sport drops $2000, now starting at $49,500, the IS300 Sports auto drops $3000, now from $65,500, and the ES300 drops $3400 to $76,500. The GS300 gets a $4670 reduction to $100,500, the SC430 coupe a $7000 cut to $156,500, while the flagship LS430 saloon drops $8000 to $170,600.

    Mazda: Applied the 5 percent drop on December 2. The Mazda3 Neo sedan and hatch now start from $20,690, a saving of $800. Model savings run up to $1070 for the highly equipped SP23 sedan and hatch, now starting at $29,120.

    The Mazda6 also benefits the Limited sedan, now $27,690, provides a $1230 saving, the Classic hatch at $32,345 saves $1260 and the Luxury Sport hatch at $39,800 saves $1620. The MX-5 is now $1800 cheaper pay $43,690 for the turbo SE model, while the flagship rotary RX-8 four-door coupe provides a $3010 saving pay $60,100 for the leather pack manual.

    Mercedes-Benz: Added equipment to 2005 models released late last year but maintained price. New SLK, CLK variants already have the new tariff factored in. The M-Class 4WD built in Tuscaloosa, Alabama, does not benefit from the new zero tariff from the FTA. Mercedes-Benz had already imported remaining stock of the current model. And, even though it was held in bond, the Tax Office deemed the 5 percent duty was still applicable.

    MG Rover: The price of the MG ZS released in November had the tariff cut taken into account. Rover 75, MG ZT and MG TF models have received feature upgrades or special offers.

    Mini: The updated Mini range announced in September priced from $29,500 already took into account the tariff reduction, likewise the new Mini Cabrio which arrived only last month, priced from $35,900.

    Mitsubishi: Has cut prices on its 2.0 Lancer range. The entry ES Lancer sedan drops $600, now from $19,390, while the VR-X gets the biggest saving down $790, now from $26,200. The new Colt five-door hatch and Lancer Sportwagon released in October were priced at post-tariff levels.

    Nissan: The tariff cut was applied to the Pulsar sedan and hatch as well as the Maxima sedan range during the latter part of 2004.

    Peugeot: The tariff cut was already factored in on 2005 models. Some special short-term incentives are available including free metallic paint, alloy wheels and leather trim, especially on the volume-selling 307.

    Proton: The tariff drop was already factored in on new Gen-2 hatch models launched in October.

    Renault: Has cut prices on some models. The base 1.4 Clio drops $1000 to $18,990, the 1.6 Privilege and Dynamique by $800 to $23,190 and $22,690 respectively. The 1.6 Megane three-door hatch drops by $1000, now from $24,990, the 2.0-litre three-door by $2000, now from $31,990. Pricing on the Laguna sedan remains unchanged.

    Smart: The Smart Fortwo coupe was cut by $2000 in October to $19,900 when the four-door Forfour model arrived from $23,900. All pricing at that time reflected the impact of the tariff cut. The Fortwo cabriolet was cut by $4000 to $22,900 at the same time.

    Subaru: Most of the tariff cut was already factored in to 2005 model Impreza and Liberty models released in recent months. The WRX is the exception it dropped $2500 on January 1. The sedan is $39,990, the hatch from $40,440.

    Suzuki: Prices remain unchanged.

    Toyota: Price cuts across all imported cars. The Echo models drop $500, now from $14,490 for the 1.3 three-door hatch up to $16,490 for the 1.5 four-door sedan. The extensive 1.8-litre Corolla hatch sedan and wagon range reduces by up to $1125 the popular Ascent hatch and sedan now start from $19,750. The sporty Celica coupe gets a $1700 reduction, now from $39,300, while the MR2 convertible drops $2020 to $47,710. The cuts extend to the environmentally friendly Prius hatch, now $1490 cheaper at $36,500, while the Avensis people mover drops $1730, with the GLX now from $41,600.

    Volkswagen: The tariff cut was taken into account with the new Golf launched in September at $25,490 with more standard features. Likewise the small Polo hatch, which dropped $2000 in November. A decision on reduced pricing for the Bora and Passat sedan and the New Beetle Cabrio will be made soon.

    Volvo: No price cuts.

    Aston Martin: The local distributor says that the new DB9 coupe already had the tariff reduction factored into its price when it was launched late last year, priced from $329,250.

    Bentley: Has cut prices. The new Continental GT coupe gets a $10,000 saving now $375,000 while the Arnage R sedan drops $26,000 to $499,000 and the Arnage T drops $19,000 to $539,000.

    Ferrari: Has cut prices. The most affordable, the 360 Spider convertible, drops by $14,500 to $383,000, while the 612 Scaglietti coupe drops by $19,000 to $556,000. The 575M Maranello coupe remains at $551,000.

    Maserati: The 4.2 GT coupe and convertible drop by $6000 to $202,500 and $214,500 respectively while the GranSport, released in October, already had the tariff drop factored in at launch. Quattroporte prices remain at $258,000.

    Maybach: Mercedes-Benz, the distributor of Australia's most expensive car, says the full 5 percent tariff reduction will be passed on but this is a specialist car priced to individual orders starting at $1 million.

    Prices and details correct at publication
    You're not fooling everyone, or did you forget? .......




    '02 Peugeot 206 GTi / '07 VW Golf GTI
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  2. #2
    1000+ Posts David Shearer's Avatar
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    XTC,

    I couldn't agree more. I've been speaking with renault dealers all day and the first question is of course "How much cheaper is the car now the tax has dropped"? I've gotten the answer "These cars were put out last year due to demand, this included the 2005 price". I aint buying that excuse!!

    I did get a nice price for a 225 today though, over the phone too, only prob is he wants a deposit today and I aint gonna do that.

    I think we just have to keep up the bargaining pressure
    78 Fiat X1/9, Peugeot 406 ST, Peugeot 407 V6 SW

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    XTC
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    Quote Originally Posted by David Shearer
    I did get a nice price for a 225 today though, over the phone too, only prob is he wants a deposit today and I aint gonna do that.
    PM me the price I'm taking one for a spin tonight, like a starting point.

    - xTc -
    You're not fooling everyone, or did you forget? .......




    '02 Peugeot 206 GTi / '07 VW Golf GTI
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    AF'd in PER, MEL, SYD, ADL, CBR

  4. #4
    wielder of the sword Australdi's Avatar
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    Icon14 225 pricing

    Quote Originally Posted by David Shearer
    XTC,

    I couldn't agree more. I've been speaking with renault dealers all day and the first question is of course "How much cheaper is the car now the tax has dropped"? I've gotten the answer "These cars were put out last year due to demand, this included the 2005 price". I aint buying that excuse!!

    I did get a nice price for a 225 today though, over the phone too, only prob is he wants a deposit today and I aint gonna do that.

    I think we just have to keep up the bargaining pressure
    David,
    I can confirm that the sales release bulletin that we received with the renaultsports and the cc all specifically advised us that the pricing was set at post Jan 1 levels and that Renault was absorbing the cost until that time, therefore prices on those vehicles would not change after Jan 1 05.
    we received those bulletins back in November last year.
    regards Di
    Aus
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    deteriorates when the bottom environment cannot support animal life.
    The bottom is the area that runs out of oxygen first, it is where the most oxygen is used........"



    '84 fuego GTX
    '87 fuego GTX
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    XTC
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    Quote Originally Posted by Australdi
    I can confirm that the sales release bulletin that we received with the renaultsports and the cc all specifically advised us that the pricing was set at post Jan 1 levels and that Renault was absorbing the cost until that time, therefore prices on those vehicles would not change after Jan 1 05.
    we received those bulletins back in November last year. regards Di
    Interesting marketing move .. why? Cause most of the other dealers are running around now saying "look our prices have dropped, bonus for you, arn't we good" (which is but people buy it), whereas when I went to Renault last week and was asking about prices they told me the same thing "These cars were put out last year due to demand, this included the 2005 price". .... which doesn't look so good for them (marketing wise) cause as David said, even if it's true, people walk away with a touch of scepticism .

    - xTc -
    You're not fooling everyone, or did you forget? .......




    '02 Peugeot 206 GTi / '07 VW Golf GTI
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  6. #6
    wielder of the sword Australdi's Avatar
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    Icon12 price drops

    Perhaps they were trying to extend some goodwill....which seems likely, as they dropped the prices on the cars that hadn't been priced accordingly after Jan 1 (ie ones that were priced at pre-tarif drop prices) so it seems genuine.
    They have been quite open about their pricing and have actually passed on more than convention would require.
    I understand that cynisism goes hand in hand with this industry, however I don't see anything underhanded or deceptive in this at all. Their actions point squarely towards the 5% tarif drop being absorbed by Renault in their cars that were released in the months preceding the actual drop.
    Whether that was a good marketing move depends on your veiwpoint...from the vantage of last year, good will can go a long way....new year, people don't see what happened last year.
    Perhaps damned if you do, and damned if you don't.
    Aus
    Aus
    ".....the good health of a pond is held in a delicate balance. A pond's condition
    deteriorates when the bottom environment cannot support animal life.
    The bottom is the area that runs out of oxygen first, it is where the most oxygen is used........"



    '84 fuego GTX
    '87 fuego GTX
    '85 fuego GTX
    ....beginning to look a bit frightning isn't it.

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    1000+ Posts TroyO's Avatar
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    Quote Originally Posted by XTC206
    PM me the price I'm taking one for a spin tonight, like a starting point.

    - xTc -
    How did your drive of the 225 go Guy?

    Troy.

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    Quote Originally Posted by TroyO
    How did your drive of the 225 go
    Awesome, but it can't touch a 206GTi in handling, doesn't rip round corners anywhere near as well - full of understeer even it the slowest speeds (not good at change of direction either), BUT it does have a cracker of an engine , nice 6 speed gearbox and a very compliant ride (even for low profile tyres). Then again there is many cars with GRUNT out there if that's what you're looking for ... straight line speed is only 1/2 the equation. Full write up in the wings.

    - xTc -
    You're not fooling everyone, or did you forget? .......




    '02 Peugeot 206 GTi / '07 VW Golf GTI
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    Quote Originally Posted by Australdi
    Perhaps they were trying to extend some goodwill....which seems likely, as they dropped the prices on the cars that hadn't been priced accordingly after Jan 1 (ie ones that were priced at pre-tarif drop prices) so it seems genuine.
    They have been quite open about their pricing and have actually passed on more than convention would require.
    I understand that cynisism goes hand in hand with this industry, however I don't see anything underhanded or deceptive in this at all. Their actions point squarely towards the 5% tarif drop being absorbed by Renault in their cars that were released in the months preceding the actual drop.
    Whether that was a good marketing move depends on your veiwpoint...from the vantage of last year, good will can go a long way....new year, people don't see what happened last year.
    Perhaps damned if you do, and damned if you don't.
    Aus
    Yes, may be it was in goodwill for the cars released towards the end of the year, especially if they dropped the price of the others that had been on the market for a while. Imagine if you had bought a car just released in November, you would be a bit cheesed off to see a substantial price drop 2 months later - even though it was nothing to do with the manufacturer.

    It seems a bit like the Holden effort last year, when the price of the Adventra was dropped $4000 (due to market conditions - probably the result of the Ford Territory selling so well) and they REFUNDED $4000 to each of the existing owners as a goodwill gesture - after all, they were the loyal customers that had paid up front. I have never seen that sort of deal ever before!

    Fordman.

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    Quote Originally Posted by Fordman
    REFUNDED $4000 to each of the existing owners as a goodwill gesture - after all, they were the loyal customers that had paid up front. I have never seen that sort of deal ever before!

    Fordman.
    Things like changing tariffs levels will make things very difficult for car sales people. No matter what you do you will never be right. Also the change in tariff was something known about for some time, you have the choice either to negotiate a good deal pre-Jan 1 or take a chance post Jan 1 that the price would be cheaper. As Australdi says too, Renault prices were adjusted to the reduced tariff level before the January 1 date, a mate visited the dealer here to look at a Megane in Devcember, with the dealer mentioning the new post tariff price as another inducement to buy.

    Surely if you like the car, and you wish to test your negotiation skills, try your hardest for a good deal. Otherwise if the car is that good, surely you would not begrudge spending the small amount extra. I think it is great that finally Renault have a product that they don't have to discount heavily to get them to shift out the door, and already has that low price to make them go that bit faster.

    As for refunds never to have happened before, in the bad old days of LNC distribution, the Renault 21 was discounted from about $45K to $39K in an effort to shift cars. That thimbleful of buyers who had purchased at the higher price did receive a refund. It didn't buy LNC or Renault any goodwill at that time....

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