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Discussion Starter #1

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If Lexus raises prices on the CT without raising it on other models they will price themselves out - that puts the CT in the same range as an IS and they lose their competitive pricing against the Audi A3 and similar competitors. Having said that, if it is a CT300h (more power/performance engine), that price hike might still be worth it IMO.
 

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I think as is, the CT200h is priced too high already with you are getting compared with other hybrid and ICE cars , there are a lot of other choices out there. If their strategy was to snag new Lexus owners in hopes to build some loyalties for their higher end model, the price needs to be more attractive. They probably lost a lot of potential buyers with not budging from MSRP.

Any Magnepan speaker owners out there? Great markeing strategy in play for decades where they sell their base model probably at cost. They are confident that once you experience their sound, you will upgrade to their higher end model and be hooked for life. Magnepan owners are some of the most loyal to the brand owners out there.
 

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Discussion Starter #5
And Chevy announced they are reducing the price of the Volt
That's because they aren't selling that many Volts...dealer premiums are way too high...I heard dealers are putting up to $5K on top of sticker price....for a Chevy...NO THANKS.
 

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Not that I would like to see the price increases. But in this competitive market, I don't believe the manufacturers would raise the price just because they want to increase profitability. If they have to do so, it's because of the demand/supply of the components.

There is a big shortage of electronic components now. Lead time for many of the components can be up to 9 months. Years ago, appliances used different types of components; now smart appliances share the same components as computers, cell phones, etc. Billions of people walk around with cell phones now too. That does not help ease the global supply much. Modern cars are smart now so they too have to compete for components.

Operations and Supply Chain teams from various companies are constantly looking for ways to reduce the component cost by proper forecasting, negotiating prices, multiple sourcing, etc.

Audi4T mentioned that Chevy is lowering the price for the Volt. It could be that they have gotten over the new product design hump, have recovered some of the development cost, and be able to plan their supply chain better as they now have a more realistic picture of the demands.

Of course, Marketing folks need to price the products attractively too. Selling at cost is not uncommon to seed the market.


Tim
 

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If it goes up for the 2012 model year, it may positively effect the 2011 resale value for current owners. If that's the case I wouldn't mind.

But I don't see them adding much more to the price though if any. The goal seems to be to bring in first time Lexus buyers with the CT200h. Putting the price higher would eliminate the exact segment it seems they want to attract.
 

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Yes thats true

Well yes that's true but not to forget that Nissan is also giving out added equipments like DC fast chargers and extra accessories. We are a nissan dealer based in chicago and we get a lot of upgrade requests from our customers. Don't get me wrong here.....people who have bought leaf absolutely love this car. They simply want more jazz....

Honestly a $3,530 top up price will be worth it as it includes several extra equipments. I also think some of the money will also go in putting fast charge dock stations across the country.

Cheers
Jim

 

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Discussion Starter #9
I think even if they raised the price (which wouldn't bother me at all since I have one already)...people will STILL buy them. If you want the mileage and you don't want a Prius, you will pay the price. And, after stating this fact, I am making a prediction that gas WILL go up much higher in the next year or two. And, once people get comfortable for paying the higher price for fuel, they don't get shocked as much and it becomes the norm...meaning, gas isn't going back down to the $1.50-$2.00 level anytime soon. It wasn't that long ago that we were paying under $2.00/gallon for regular unleaded.
 

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If it goes up for the 2012 model year, it may positively effect the 2011 resale value for current owners. If that's the case I wouldn't mind.

But I don't see them adding much more to the price though if any. The goal seems to be to bring in first time Lexus buyers with the CT200h. Putting the price higher would eliminate the exact segment it seems they want to attract.
I definitely see a price hike coming for 2012. Problem is people buying the CT are not likely gonna switch to or go back to a bigger model getting worse fuel economy. One becomes a bit addicted to the high MPG. There are good number of past RX owners on here including myself and I honestly can't see going back. I might go to the new model being mentioned between the CT and RX though.. CX I think.. Hope they bring it out...
 
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