Why the Stingray's $52K sticker should come with an asterisk Read more: http://www.a
04-30-2013, 12:56 PM
#1
Le Mans Master
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Why the Stingray's $52K sticker should come with an asterisk Read more: http://www.a
AUTOWEEK: By: Mike Colias, Automotive News on 4/30/2013
General Motors resisted the urge to jack up the price on the 2014 Corvette Stingray, despite major enhancements on the seventh-generation sports car.
The $51,995* sticker for the coupe, which is expected to hit showrooms by September, is just 1,400 bucks more than the current model, even with its more powerful engine, better fuel economy and vastly improved interior.
Why the asterisk? Because buyers will be hard-pressed to find one at that price.
The gouging is expected to be rampant.
"I'd say $5,000 to $10,000 will be a typical markup, at least during the first several months," says Steve Hurley, dealer principal at the fortuitously named Stingray Chevrolet in Plant City, Fla., near Orlando.
Hurley, one of the nation's top Corvette dealers and chairman of Chevy's national dealer council, says he will sell his Vettes at sticker. But he suspects many dealers won't show the same restraint.
Price gouging on buzzed-about launches is nothing new. From the 2000 Chrysler PT Cruiser to the 2011 Chevy Volt, dealers have commanded -- and eager buyers have paid -- thousands above sticker.
But the gouging on the Corvette could be worse than on past Vette launches because a much narrower network of dealerships -- just 900 of the nation's 3,000 Chevy stores -- will be selling them.
Less competition usually equals stiffer pricing.
Savvier dealers might conclude that it's better to stick to the sticker than rake customers just because they can.
Gouging Corvette customers is an especially bad idea. They're more likely than most to return for service. And they probably drive another car for everyday use.
That's how Chevy dealer Harry Criswell sees it. The dealer principal at Criswell Chevrolet in Gaithersburg, Md., already has taken $5,000 deposits on about 150 Stingray orders. He's selling all of them at sticker.
Criswell admits to pricing above sticker on hot launches in the past. But it's not worth it, he concludes.
"It creates too much controversy," Criswell says. "And consumers are so smart today, they'll be blogging and tweeting about what a jerk you are before they even drive off the lot."
http://www.autoweek.com/article/2013...#ixzz2RxzXIFAq
General Motors resisted the urge to jack up the price on the 2014 Corvette Stingray, despite major enhancements on the seventh-generation sports car.
The $51,995* sticker for the coupe, which is expected to hit showrooms by September, is just 1,400 bucks more than the current model, even with its more powerful engine, better fuel economy and vastly improved interior.
Why the asterisk? Because buyers will be hard-pressed to find one at that price.
The gouging is expected to be rampant.
"I'd say $5,000 to $10,000 will be a typical markup, at least during the first several months," says Steve Hurley, dealer principal at the fortuitously named Stingray Chevrolet in Plant City, Fla., near Orlando.
Hurley, one of the nation's top Corvette dealers and chairman of Chevy's national dealer council, says he will sell his Vettes at sticker. But he suspects many dealers won't show the same restraint.
Price gouging on buzzed-about launches is nothing new. From the 2000 Chrysler PT Cruiser to the 2011 Chevy Volt, dealers have commanded -- and eager buyers have paid -- thousands above sticker.
But the gouging on the Corvette could be worse than on past Vette launches because a much narrower network of dealerships -- just 900 of the nation's 3,000 Chevy stores -- will be selling them.
Less competition usually equals stiffer pricing.
Savvier dealers might conclude that it's better to stick to the sticker than rake customers just because they can.
Gouging Corvette customers is an especially bad idea. They're more likely than most to return for service. And they probably drive another car for everyday use.
That's how Chevy dealer Harry Criswell sees it. The dealer principal at Criswell Chevrolet in Gaithersburg, Md., already has taken $5,000 deposits on about 150 Stingray orders. He's selling all of them at sticker.
Criswell admits to pricing above sticker on hot launches in the past. But it's not worth it, he concludes.
"It creates too much controversy," Criswell says. "And consumers are so smart today, they'll be blogging and tweeting about what a jerk you are before they even drive off the lot."
http://www.autoweek.com/article/2013...#ixzz2RxzXIFAq
04-30-2013, 12:59 PM
#3
Le Mans Master
I don't see this as any big deal. Like anything, shop around. My local dealer will sell you one at sticker.
Michael
Michael
04-30-2013, 01:11 PM
#4
Haha, Criswell is funny, that is exactly what happens. Corvette owner demographics spell it out in black and white. Its like biting the hand that feeds you. Good for the dealers who sell at sticker.
While I personally agree with Criswell, you have to put a lot of the blame on the buyer for paying over sticker though. Its more the greed and stupidity of the buyer than the dealer even though the latter bears the brunt of the negativity.
While I personally agree with Criswell, you have to put a lot of the blame on the buyer for paying over sticker though. Its more the greed and stupidity of the buyer than the dealer even though the latter bears the brunt of the negativity.
04-30-2013, 01:30 PM
#5
Race Director
I never understood the problems some people have with "gouging."
If 50 people want something, and there's only 20 of that something, seems raising the price until only 20 people want it makes a lot of sense, particularly in the short run. Now when the inevitable occurs, and it appears that only 20 people want that something, but there's 50 of them laying around, pricing works pretty well there also.
We can debate the merits of "gouging" by someone who wants to stay in the business for the long run, but if they run all other aspects of their business well (i.e. good service, low prices when the market demands such) then why wouldn't customers return? Every deal needs a buyer and a seller, and, if you are well-off enough to afford a new Vette, then presumably you enter the transaction knowing what's going on -- and willing to pay what you and the dealer agree on.
The word "rip-off" only exists in my dictionary to define when critical information is withheld (i.e. fraud), or somehow one party in the transaction can literally force the other party into a bad deal. None of that in the case of "price gouging" on new cars...
If 50 people want something, and there's only 20 of that something, seems raising the price until only 20 people want it makes a lot of sense, particularly in the short run. Now when the inevitable occurs, and it appears that only 20 people want that something, but there's 50 of them laying around, pricing works pretty well there also.
We can debate the merits of "gouging" by someone who wants to stay in the business for the long run, but if they run all other aspects of their business well (i.e. good service, low prices when the market demands such) then why wouldn't customers return? Every deal needs a buyer and a seller, and, if you are well-off enough to afford a new Vette, then presumably you enter the transaction knowing what's going on -- and willing to pay what you and the dealer agree on.
The word "rip-off" only exists in my dictionary to define when critical information is withheld (i.e. fraud), or somehow one party in the transaction can literally force the other party into a bad deal. None of that in the case of "price gouging" on new cars...
04-30-2013, 02:09 PM
#7
Le Mans Master
My solution, wait a while, I have the patience to wait a year or so, let all of this BS end before I will even talk to a dealer. There is no way I will ever pay above sticker for any car. If I do not get the deal I want on a new Corvette, I will look around at other sports cars of the same caliber. I love Corvettes, but I am not going to pay more than what is fair on any car.
Besides, I still think its better not to buy a first your production car. I don't car what people say, I rather wait and know what I am buying and let everybody else beta test it for me.
Besides, I still think its better not to buy a first your production car. I don't car what people say, I rather wait and know what I am buying and let everybody else beta test it for me.
04-30-2013, 02:37 PM
#8
Team Owner
My solution, wait a while, I have the patience to wait a year or so, let all of this BS end before I will even talk to a dealer. There is no way I will ever pay above sticker for any car. If I do not get the deal I want on a new Corvette, I will look around at other sports cars of the same caliber. I love Corvettes, but I am not going to pay more than what is fair on any car.
Besides, I still think its better not to buy a first your production car. I don't car what people say, I rather wait and know what I am buying and let everybody else beta test it for me.
Besides, I still think its better not to buy a first your production car. I don't car what people say, I rather wait and know what I am buying and let everybody else beta test it for me.
Being a Beta tester is another thing though.
04-30-2013, 02:44 PM
#9
My solution, wait a while, I have the patience to wait a year or so, let all of this BS end before I will even talk to a dealer. There is no way I will ever pay above sticker for any car. If I do not get the deal I want on a new Corvette, I will look around at other sports cars of the same caliber. I love Corvettes, but I am not going to pay more than what is fair on any car.
Besides, I still think its better not to buy a first your production car. I don't car what people say, I rather wait and know what I am buying and let everybody else beta test it for me.
Besides, I still think its better not to buy a first your production car. I don't car what people say, I rather wait and know what I am buying and let everybody else beta test it for me.
The only drawback here is you don't have complete control of the options selected - but you save a ton of money.
04-30-2013, 03:35 PM
#12
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St. Jude Donor '12, '15
301 212 4420 Mike Furman Criswell Chevrolet off Fridays and Sundays
AUTOWEEK: By: Mike Colias, Automotive News on 4/30/2013
That's how Chevy dealer Harry Criswell sees it. The dealer principal at Criswell Chevrolet in Gaithersburg, Md., already has taken $5,000 deposits on about 150 Stingray orders. He's selling all of them at sticker.
http://www.autoweek.com/article/2013...#ixzz2RxzXIFAq
That's how Chevy dealer Harry Criswell sees it. The dealer principal at Criswell Chevrolet in Gaithersburg, Md., already has taken $5,000 deposits on about 150 Stingray orders. He's selling all of them at sticker.
http://www.autoweek.com/article/2013...#ixzz2RxzXIFAq
Mike Furman
301 212 4420 desk direct
Criswell Chevrolet
Gaithersburg, MD
http://criswellcorvette.com/mike_furman.aspx
Last edited by Mike Furman@Criswell; 04-30-2013 at 03:44 PM.
04-30-2013, 03:38 PM
#13
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I'm thinking it does have something to do with the list price. Allow me to explain. If Chevy had decided to price the C7 $5k to 10k more than then the C6, and they might well have considering the vast improvements, it would have backed off some eagerly potential buyers. But since the price increase was so conservative, it generated the reverse effect and imho amplified the number of eager buyers. That move places the dealers in a 'better' position to price gouge if they so choose. More eager buyers = more dealer price gouge opportunity.
04-30-2013, 03:55 PM
#14
Drifting
I never understood the problems some people have with "gouging."
If 50 people want something, and there's only 20 of that something, seems raising the price until only 20 people want it makes a lot of sense, particularly in the short run. Now when the inevitable occurs, and it appears that only 20 people want that something, but there's 50 of them laying around, pricing works pretty well there also.
We can debate the merits of "gouging" by someone who wants to stay in the business for the long run, but if they run all other aspects of their business well (i.e. good service, low prices when the market demands such) then why wouldn't customers return? Every deal needs a buyer and a seller, and, if you are well-off enough to afford a new Vette, then presumably you enter the transaction knowing what's going on -- and willing to pay what you and the dealer agree on.
The word "rip-off" only exists in my dictionary to define when critical information is withheld (i.e. fraud), or somehow one party in the transaction can literally force the other party into a bad deal. None of that in the case of "price gouging" on new cars...
If 50 people want something, and there's only 20 of that something, seems raising the price until only 20 people want it makes a lot of sense, particularly in the short run. Now when the inevitable occurs, and it appears that only 20 people want that something, but there's 50 of them laying around, pricing works pretty well there also.
We can debate the merits of "gouging" by someone who wants to stay in the business for the long run, but if they run all other aspects of their business well (i.e. good service, low prices when the market demands such) then why wouldn't customers return? Every deal needs a buyer and a seller, and, if you are well-off enough to afford a new Vette, then presumably you enter the transaction knowing what's going on -- and willing to pay what you and the dealer agree on.
The word "rip-off" only exists in my dictionary to define when critical information is withheld (i.e. fraud), or somehow one party in the transaction can literally force the other party into a bad deal. None of that in the case of "price gouging" on new cars...
04-30-2013, 04:18 PM
#15
Banned Scam/Spammer
Does the asterisk alert us to short term sticker prices or is it just simply a reminder of the huge discounts that have always been the norm for decades. Lets not get stupid and forget hitory just because a new generation is on deck.
04-30-2013, 05:49 PM
#16
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2020 C8 of the Year Finalist - Unmodified
That article is such BS. Honestly, the state of journalism today....
Mike did mine at $1K with no issues whatsoever and at MSRP. Took about 1 minute.
You rock, Mike!
I have no problems with dealers "gouging". It's a free market. People like Mike will reap the rewards and the lazy and uninformed will pay more than they need to if they go elsewhere.
That's capitalism at it's finest!
Mike did mine at $1K with no issues whatsoever and at MSRP. Took about 1 minute.
You rock, Mike!
I have no problems with dealers "gouging". It's a free market. People like Mike will reap the rewards and the lazy and uninformed will pay more than they need to if they go elsewhere.
That's capitalism at it's finest!
Last edited by Sin City; 04-30-2013 at 05:52 PM.
04-30-2013, 06:16 PM
#17
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I can only speak for myself but when I go car shopping I use multiple sources and I shop nationwide. I never look for the cheapest car just the best value. I would never pay more than MSRP].
In 2011 I was looking for a 2010 Altima Coupe for my wife. I found a 1 owner nice coupe for 15k OTD which is still a great price even today. I added 100k bumper2bumper warranty and it has been a great car. Most places were asking 20k to 24k. I searched long and hard but I got the best bang for my bang.
I will be doing the same for my C7. If I can get everything I want for 70K I will be a happy camper! Need about a 3k discount so I want be first on the block or maybe is third but I really don't care.
In 2011 I was looking for a 2010 Altima Coupe for my wife. I found a 1 owner nice coupe for 15k OTD which is still a great price even today. I added 100k bumper2bumper warranty and it has been a great car. Most places were asking 20k to 24k. I searched long and hard but I got the best bang for my bang.
I will be doing the same for my C7. If I can get everything I want for 70K I will be a happy camper! Need about a 3k discount so I want be first on the block or maybe is third but I really don't care.
Last edited by ed1; 04-30-2013 at 06:28 PM.
04-30-2013, 06:22 PM
#18
Sorry, but whoever pays more than MSRP for any auto is a sucker. 
But hey, there's a sucker born everyday...
But hey, there's a sucker born everyday...
04-30-2013, 06:24 PM
#19
Team Owner
I agree to some extent but have additional thoughts:
I'm thinking it does have something to do with the list price. Allow me to explain. If Chevy had decided to price the C7 $5k to 10k more than then the C6, and they might well have considering the vast improvements, it would have backed off some eagerly potential buyers. But since the price increase was so conservative, it generated the reverse effect and imho amplified the number of eager buyers. That move places the dealers in a 'better' position to price gouge if they so choose. More eager buyers = more dealer price gouge opportunity.
I'm thinking it does have something to do with the list price. Allow me to explain. If Chevy had decided to price the C7 $5k to 10k more than then the C6, and they might well have considering the vast improvements, it would have backed off some eagerly potential buyers. But since the price increase was so conservative, it generated the reverse effect and imho amplified the number of eager buyers. That move places the dealers in a 'better' position to price gouge if they so choose. More eager buyers = more dealer price gouge opportunity.