New car advertising

[spider]

I was under the impression, bolstered in several locations on the 'net, that new car pricing had to include all charges such as delivery, air tax, PDI etc in the advertised price. This had to be stated in the advertisement. The only additional cost permitted is the HST which varies according to the allowance made for a trade in.

This is apparently not the case. I dropped into a Chrysler dealer here in Toronto because I want to replace my Mini van and Chrysler is the only North American builder of such vehicles left standing.

The test drive and chit chat went well, I asked him what his bottom line was on the Van I drove which brought us into his cubicle where he drew his trusty calculator and started to add stuff up. I questioned some of the entries in his calculations and was informed that they were Freight, PDI, etc.

I reminded him that all this stuff is supposed to be included in the advertised price, he disagreed and offered to show me their advertisement. I replied that his advertising had to comply to the OMVIC guidelines and that I was walking out because I didn't want to deal with dishonest people.

His next move, made as I walked out the door was, well what do you want to pay then?

Am I right?

 

[urbandreamer]

Wrong.

 

[MisterF]

Why does the builder being North American matter? Chrysler is just as foreign as Toyota and Honda, both of which make minivans AFAIK.

 

[spider]

Why does the builder being North American matter? Chrysler is just as foreign as Toyota and Honda, both of which make minivans AFAIK.

Chrysler Minivans are built in Canada and I am a part owner of the firm thanks to my Federal governments bailout policy.

An admittedly cursory review of pricing in the Minivan sector reveals that Toyota and Honda vehicles are approximately 50% more expensive for no good reason.
For example, the entry level Dodge Caravan is commonly advertised below $18,500 while the lowest price I could find for the imports mentioned here was over $30,000.

 

[MisterF]

Honda and Toyota minivans cost more because of build quality and reliability. In short, you get what you pay for. But it's all relative...minivans in general aren't exactly known for their reliability. I only mentioned it because many people still put a higher value on American cars over Japanese, which never made any sense to me.

 

[gabe]

With that toyota recall fiasco last year and another big recall on Corolla 's and the matrix, Toyota's reputation for quality has gone out the window. I own a brand new 2010 Toyota Vensa, fully loaded, I had some minor issues with the hatch weather stripping and the speaker grill popped out from the dash, i got it fixed right away but for a 45 thousand dollar vehicle i expected better quality especially from a company like Toyota! Other than that i love my vehicle and the style. Things have changed at Ford, GM, Chrysler their quality has greatly improved over the last few years, i just wish they would make better looking vehicles, i find them rather bland looking inside and out. Caravan is a great van for the price, Honda van may last longer but in 20 years do you plan on driving the same van? most people i know buy a new car every 10 years or less.

 

[Therion]

Freight and PDI are rarely included in the advertised price. If they are, it's usually during special "all-in" promotions, frequently on out-going models. Most of the time you will see "Freight of $xxxx and PDI of $xxx applies" in the fine print of most car print ads.

 

[spider]

No, in fact Ontario new car dealers are required to include Freight and other costs in all of their advertised vehicle pricing and to state this arrangement in the advertisement as a condition of membership in OMVIC. This requirement does not appear to apply to Factory advertising as it does not pertain to specific dealers although some advertisements do mention "All in pricing".

The gray area seems to be when a person walks in off the street, not in response to an advertisement or the vehicle he is interested in was not advertised, the salesman may add in freight, PDI etc. because the OMVIC "all in one" advertising provisions don't apply.

The experience I had was not in response to an advertisement by this dealer but I asked him to see the model that all the other dealers in town were advertising at a given price and he knew what I was looking for. His attempt to charge me $2000 in add-ons on a van was probably technically legal but insulting to expect me not to know that all the other dealers would sell me the identical vehicle at the same sale price but not add on the extras as stated in the advertisement.

I will be contacting OMVIC tomorrow for clarification.

 

[Gerardo01]

There are so many car advertisements coming up these days, as the competition has increased tremendously among all the automobile brands. Companies are using different and unique car advertising strategies to attract customers and get good sales.

 

[junctionist]

Speaking of car ads, does anyone notice how anti-urban many of them are? Some present bicycles as merely something you rode as a kid, as lower in your personal development. Volkswagen is currently advertising a compact SUV showing a man enjoying his drive through the deserted downtown streets of a North American city. There are no other cars, pedestrians, or transit vehicles. The dead city is thus presented as something to enjoy.

 

[Therion]

Not to mention how every single SUV ad seems to assume that we will drive them up steep mountainsides for some reason. Or deserts, while pulling the handbrake. Very few people buy SUVs for their off-roading capabilities any more.

 

[junctionist]

Not to mention how every single SUV ad seems to assume that we will drive them up steep mountainsides for some reason. Or deserts, while pulling the handbrake. Very few people buy SUVs for their off-roading capabilities any more.

And yet strangely enough, the automakers are returning to advertising SUVs in this way, dodging the environmental unfriendliness of city use.

 

[bahamas]

You are right! American cars are over priced. The problem with American car technology is that its driven by profit not quality!

 

[spider]

You are right! American cars are over priced. The problem with American car technology is that its driven by profit not quality!

Do the shareholders of Volkswagon, Mercedes, Toyota etc know that these companies have no interest in making a profit?