toyota's u.s. pricing problem
#1
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their 'distributors' and dealers are outright crooks. i have NEVER had a positive experience visiting a toyota dealer and i will likely never buy one.
apparently toyota makes less profit in the u.s. than other markets. i don't know if they use distributors elsewhere too, but they're hugely detrimental in the u.s., controlling availability and pricing completely.
apparently toyota makes less profit in the u.s. than other markets. i don't know if they use distributors elsewhere too, but they're hugely detrimental in the u.s., controlling availability and pricing completely.
Last edited by bitkahuna; Yesterday at 04:20 AM.
#3
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Those guys who made that video are all doom and gloom clickbait about the auto market. I wouldn't take anything they say at face value. I totally agree with you about the Toyota purchase process, since COVID its been ridiculous, but Toyota is not "F%&ed" lol.
#4
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The problem is that Toyota's supply chain never fully recovered after COVID, meaning they still lack sufficient batteries to even build hybrid vehicles in the necessary amount. This obviously becomes incredibly problematic when they decide to convert most of their lineup into hybrids, because they didn't plan for the COVID supply disruptions when they were in the product planning phase. Dealers jacking up prices are merely taking advantage of Toyota's continuing supply chain woes. It's quite ironic to see the company be in this situation when it pioneered Kaizen and Just-In-Time manufacturing that everyone else copied.
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#6
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Toyota has plenty of vehicles to sell, don't let them fool you. They know exactly what they are doing. Losing a sale doesnt matter if they make 3 times the profit on each sale they do make.
#7
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Topical:
Now, this is more a dealership problem than a Toyota problem, but I can't say this is the first time I've seen markup on a basic, run-of-the-mill Toyota hybrid model.
Now, this is more a dealership problem than a Toyota problem, but I can't say this is the first time I've seen markup on a basic, run-of-the-mill Toyota hybrid model.
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#8
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#9
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High demand won't necessarily help you if you simply don't have enough vehicles to sell. Sure, you can charge more for each one (and sometimes get it)...but you can only raise prices so much before customers resist, and you are still losing a potential sale, especially if those customers go to another dealer (or to another brand) that DOES have vehicles in stock.
where I am, Toyota wants 7.39% on hybrid Tundras, 5.99% on gas models whereas Ford is offering 0% financing on the F150
Toyota isn’t really making 3X the profit though, they don’t take any money of the mark up.
Last edited by Toys4RJill; Yesterday at 06:02 PM.
#10
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And it works. The F-150 has outsold everything else on the road for the last 40 years. And it probably makes more money for Ford in the U.S. than any other single vehlcle.
#11
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Toyota has saved all the dealer cash etc though which dramatically increases their bottom line too.
#12
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Toyota makes far more added on profit per truck and pretty much all of their models. Toyota wants 7.49% on their Corolla Hybrid. 8.19% on a RAV4 Prime.
Last edited by Toys4RJill; Yesterday at 06:26 PM.
#13
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With all due respect, Jill, it's hard to argue with the kind of money that Ford makes on the F-150....and the rest of the F-Series. It basically keep them in buisness.....although recently the Bronco and Bronco Sport have also been significant. You probably can't say that about any single vehicle in the Toyota line up...its profits come from a mixture of several different high-selling vehicles like Corolla, Camry, RAV-4, Highlander, etc....
#14
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With all due respect, Jill, it's hard to argue with the kind of money that Ford makes on the F-150. It basically keep them in buisness. You probably can't say that about any single vehicle in the Toyota line up...its profits come from a mixture of several different high-selling vehicles like Corolla, Camry, RAV-4, Highlander, etc....
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#15
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This is not the Toyota of the 1990s. They are also having their quality issues today.....although, to be fair, you bought one of their most bulletproof products, the 4Runner. It has always had a good reliability record even with Toyota's recent quality issues, and I see people routinely driving them 200-300K miles.
Last edited by mmarshall; Yesterday at 06:41 PM.