With sales down 2.1 per cent on the year to date, and with market share off 0.2 per cent, Hyundai Canada has launched a new discounting program described by industry insider as something quite reminiscent of Ford of Canada's successful "Employee Pricing" promotions.
The new Hyundai campaign: "Dealer Invoice Pricing... You Pay What the Dealer Pays" is slated to run through April and perhaps beyond, depending on its success.
"These kinds of campaigns work because consumers feel the auto makers are lifting the veil, in a sense, and providing a level of transparency that is rare and unexpected in the auto industry," says Andrew Tai, CEO and co-founder of the pricing service Unhaggle.com. "The fact that invoice pricing and other data such as incentives are widely available online have made consumers much savvier. Auto makers that embrace this will see success."
Indeed, the Internet puts a number of reliable pricing services at the fingertips of consumers who insist on getting the best price. They include not just Unhaggle.com, but www.carcostcanada.com, Consumer Reports and CarHelpCanada.com. The trick in our information age is to sift through all the available data to find the deal that's right for you.
The car companies in Canada don't make this easy and here's why, as one senior executive notes: sticker prices in Canada are often too high. Yes, that's true. And to bring them into line with economic reality, car companies and their dealers continue to push rich, and often complicated, offers onto the table.
This brings us back to the Hyundai's latest "invoice pricing" program.
"The Hyundai program essentially works as a stackable cash incentive which is equivalent to the difference between MSRP (manufacturer suggested retail price) and invoice price," says Tai.
That's a start, but it's not that simple. An additional dealer discount is also available for those willing and able to negotiate for it. And both types of discounts can be "stacked" or combined with 0.0 per cent financing for 48 months. So as much as $4,500 in cash incentives can be combined with 0.0 per cent financing on a 2014 Hyundai Santa Fe Sport.
Naturally, other car companies are keeping pace. Kia's reinvented Rondo wagon, a truly excellent family vehicle, is on offer with a $3,500 factory sales sweetener. Kia Canada has more than $2,000 of that on offer for those who want 0.0 per cent financing for 48 or 60 months. Deals also noticed a $6,000 factory offer on the Nisan Murano crossover and $2,500 on the all-wheel-drive version of the Infiniti Q60 Coupe.
Deals of the Week consulted with unhaggle.com, carcostcanada.com, and other sources on these offers. As usual, pricing information here is subject to change and dealer discounts vary, so consult your dealer for all the details, including expiry dates for all offers.
2014 Hyundai Santa Fe Sport AWD 4 door 2.0T Limited
- MSRP: $39,899
- Freight, dealer prep, air conditioning tax: $1,895
- Dealer discount (estimated): $2,000
- Factory discount: $2,434 (manufacturer incentive)
- Taxable subtotal: $36,360
- Total price with 13% HST: $41,086.80
- 0.0% financing for 48 months available with manufacturer incentive
2014 Infiniti Q60 Coupe 2 door Auto Sport AWD
- MSRP: $51,800
- Freight, dealer prep and air conditioning tax: $2,130
- Dealer discount (estimated): $2,700
- Factory discount: $2,500 (manufacturer incentive)
- Taxable subtotal: $48,730
- Total price with 13% HST: $55,064.90
- $1,000 factory incentive available with 2.90% financing for 48-60 months
2014 Kia Rondo 4 door wagon Auto EX Luxury w/Nav
- MSRP: $32,295
- Freight, dealer prep, AC tax: $1,800
- Dealer discount (estimated): $1,100
- Factory discount: $3,500 (manufacturer incentive)
- Taxable subtotal: $29,495
- Total price with 13% HST: $33,329.35
- 0.0% financing for 48 or 60 months available with $750 factory incentive, plus $1,280 financing incentive
2014 Nissan Murano AWD 4 door SL
- MSRP: $40,848
- Freight, PDI, AC tax: $1,885
- Dealer discount (estimated): $2,700
- Factory discount: $6,000 (manufacturer incentive)
- Taxable subtotal: $34,033
- Total price with 13% HST: $38,457.29
- Factory incentive not available with 0.0% financing for 48 or 60 months
Pricing information source: unhaggle.com and carcostcanada.com. Calculations based on Ontario customers. Please note that while the information above is accurate at the time of publication, incentives are given at the discretion of individual dealers, and may be changed or discontinued at any time. Where noted, "dealer discounts" are negotiated with the customer on a case-by-case basis. Unhaggle Savings are actual discounts received by Unhaggle customers.
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