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2001 AUTO SALES OFF TO SLOWEST START IN 7 YEARS

LongIsland.com

January provided some dismal indicators for the auto industry in general as sales remained painfully slow. Off to a similar pace February thus far is singing much the same tune. In an attempt to boost ...

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January provided some dismal indicators for the auto industry in general as sales remained painfully slow. Off to a similar pace February thus far is singing much the same tune.

In an attempt to boost sales and gain market share manufacturers are offering large amounts of lease cash (a rebate that is used as money down on a lease but not taxable) and additional sums for owner loyalty.

For example, Jeep Grand Cherokee offers $4,000. In lease cash and if you are driving their product now you qualify for an additional $2000 in lease loyalty.
Can you remember the last time a SIX THOUSAND DOLLAR incentive applied to you?

If you are considering remaining loyal to a specific brand you must always ask if their are additional incentives for you, lease or buy.

I don't understand why automakers pay this extra money to their existing customers,
you would think if they did a good job and made a great vehicle at a fair price you would not have to bribe customers to come back! It just makes more sense to me to offer a customer you don't yet have to give your product a try at a discount.

I really think its going to take some time for things to level out. I see the hesitation in some of my own clients whom I have quoted recently they seem to be on the fence, displaying more than the usual amount of deliberation. Maybe it's because the economy is a bit sluggish, may be disposable income is just now not so disposable,
possibly lease deals are just not as attractive as they were last time around, what ever the actuality great deals do exist keep your eyes and ears open key word is incentives.

by JOE SPIRIO