XPost: alt.autos.toyota   
   From: scharf.steven@geemail.com   
      
   On 8/7/2013 10:36 AM, SMH wrote:   
      
   > Normally I would have bought something better, but I just returned to the   
   > United States, and there is a lot of uncertainty about personal financial   
   > security right now.  In fact, I was thinking if getting a low-mileage used   
   > car, but the prices in many cases were higher on those car types than buying   
   > the new Toyota:  apparently Toyota was willing to take a bath [?] and   
   > unloading unsold 2013 inventory at cheaper prices than for certified pre-   
   > owned cars, same model, color and features!  I looked at 2013 Corolla L with   
   > 900 miles that was certified pre-owned, and it was about $500 more expensive   
   > than the new 2013 Corolla L.  And that was true at two dealerships in the   
   > city.   
      
   LOL, it's because Toyota itself makes no money if someone buys a used   
   Toyota (unless the seller goes and buys another Toyota). The high resale   
   value of used Toyotas very often make buying a new one a much better option.   
      
   BTW, it's often not just for the same model year that you're better off   
   buying new versus used (for Toyotas), but also for one model year older.   
   Besides the lower price on the new car, you're also getting more   
   warranty (unless it's a Toyota Certified Used Car).   
      
   My theory is that there are a sufficient number of buyers that believe   
   that they must pay MSRP for a new Toyota so they opt for buying a used   
   one. These people never even look at a newspaper, or look online, to see   
   how low a non-negotiated street price can be. It's not the dealer's   
   obligation to say, "oh, didn't you see our "All Corolla L Automatic in   
   Stock for $15.5K" ad in the newspaper?"  On the flip side, there are the   
   more savvy buyers that are getting much lower prices for new vehicles.   
      
   I recall, many years ago, answering an ad for a one year old Camry and   
   the seller simply would not believe me as to what a new Camry cost. He   
   expected to get $1000 more for the one year old model than we ended up   
   paying for a new one because he paid way too much for a new one.   
      
   Toyota is not taking a bath when they cut prices, they are just taking   
   less profit per vehicle in order to keep production levels high (and   
   sometimes they want bragging rights as to the "best selling car)."   
      
   Toyota keeps saying that they want to get out of the endless incentives   
   and discounting cycle, but IMVAIO they will be as successful as JC   
   Penney was in this regard. The dealers are pressured to sell more volume   
   and do it by cutting their own margins, hoping that they'll be able to   
   sell more extremely high margin stuff like paint guard, fabric guard,   
   extended warranties, maintenance agreements, and my new favorite "dent   
   and ding insurance."   
      
   --- SoupGate-Win32 v1.05   
    * Origin: you cannot sedate... all the things you hate (1:229/2)