Posted: Jul 22 2004 at 3:25pm | IP Logged

You won't hear about Toyota or Nissan doing the big numbers b/c they don't have to.  The big 3 are overpriced for what you get and they need to incentivise customers into buying.  In actuality, they are just crushing their own resale.  How do you feel about a $40k truck that you get for $29k ... like it was over priced in the first place (IMO).  Without the incentives, a F150 comparable to my LE/CC/4x4 would cost more and have less resale value in the long run. 

I feel that Nissan is only running the $1k to get more trucks on the street b/c the more people see them, the more the demand will rise.  They also want to make 1st year numbers and take 5% of the market, which is their target.

   ... besides, at $30,500 for what I got ... its a good value.  IMO.

Posted: Jul 27 2004 at 12:16am | IP Logged

I will address this from my personal situation with Ford and Nissan.  My situation is probably very similiar to many folks so I think alot of people can relate here. 

Ford is overpriced because they are the number one selling truck.  In other words, they are the price makers.  The price takers are all of the other left-overs (Toyota, Nissan, Dodge, Chevy).  The price maker can move...but why...because they set the price.  They are the strongest seller.  Supply and demand are in their favor.  Dont forget if you have the supply you have to move it!  This is a simple supply and demand.  Ford has to move 6 times more the amount of vehicles (F-Series) than Nissan. 

Most people are coming in with little money down...This helps for that.  Also helps them avoid talking about their high price.  They figure they can sell you into the fact they are giving you $5,000 rebate.  When in fact that money is being made back on the finance arm.  It was recently published in the Wall Street Journal that the Fords financing arm was very profitable.  It only makes sense.  I was offered to finance a F-150 for 12.9% financing.  WTF?  My auto credit has been squeeky clean for over 5 years now.  And my overall credit has been squeeky clean for over 5 years also.  So the Ford dealer was really trying to use my old credit history against me and make up the difference.

I financed with Nissan for 3.9%.  Plus it was 8K cheaper than the cheapest Ford F-150.  Need I say anymore?

Does Ford need to be worried?  Very worried.  Especially when the finance department of the dealership tells you to go shopping elsewhere.  When finance rules sales...your in for alot of problems!