The Lexus brand is worth nearly $3.5-billion (U.S.). This means Toyota's luxury arm is the 10th most valuable automotive brand on the planet, according a new brand study from the market research firm Millward Brown. The Toyota brand is worth another $24.5-billion (U.S.) and is ranked No. 1 among car brands in the world.
Yet even mighty Lexus must from time to time enjoin the discounting game (welcome to the real world, Lexus). So it is with the remaining IS 250 sedans you will find sitting on Canadian dealer lots – the all-wheel-drive version, in particular. As one Lexus dealer puts it, "Every once in a while a deal comes along that makes you say, 'Oh, wow,' and this is it."
The "oh, wow" cash Lexus is putting on the barrel is a healthy $5,000 on a $38,050 Lexus four-door sedan. Of course, that 2013 IS is being replaced this summer by an entirely new 2014 IS and the 250 AWD version is getting a healthy price increase – to $39,900.
So if you go for the deal, the 2013 car you're buying will not have the new version's fatter price tag, now the "all-new, bolder design, dynamic handling and performance, and a host of new luxurious standard features," as Lexus puts it in promoting the 2014 IS.
Meantime, sales of Ford Canada's Escape compact utility surged 26.4 per cent in April. That should surprise no one. For the right buyer, Ford has up to $5,500 in discounts on the Escape. That's pretty healthy, given the Escape arrived only last year as an all-new, totally renovated model.
To get the biggest chunk of cash – $4,000 – buyers will need to let their Ford dealer arrange financing outside of Ford Credit and the term must be for 73 months or longer. Pile on the $1,000 discount to Costco members and a $500 auto show bonus and voila -- $5,500 sliced of the price of a new Escape.
Just to complicate things further, Ford Canada also has a variety of other deals for those who aren't interested in the 73-month offer. Among them are 0.0 per cent financing for up to five years, a bonus that can be combined with up to $1,250 in a factory rebate.
Want to lease? Ford has rates at 0.99 per cent for three years and it can be combined with the $1,250 factory rebate on the 2.0-litre engine or $500 on the 1.6-litre engine. The obvious advice: take your time sorting through the deals.
Honda's on the Odyssey is a simpler deal: $4,000. The Odyssey is an excellent minivan, arguably the gold standard in its class. Honda has not discounted the Odyssey to any great extent during its lifetime. The problem is, Chrysler is selling Grand Caravans for less than $20,000. Thus, the Japanese car company appears to have little choice but to sweeten the deal.
Mazda Canada seems to be faced with the same issue. The Mazda2 is being pushed with a $2,000 discount, which is quite rich for a sub-$15,000 runabout. But with the similarly-sized Ford Fiesta being pushed with a $3,500 factory offer, Mazda seems to have little choice here. The Mazda2 is incredibly fuel efficient and quite entertaining for a small car, though it's a somewhat aging design. The cash rebate helps, then.
As usual, pricing information here was supplied by www.carcostcanada.com, among other sources. Consult your dealer for all the details, including expiry dates for all offers.
2013 Lexus IS 250 AWD
- MSRP: $38,050
- Freight, dealer prep, air conditioning tax: $2,095
- Dealer discount (estimated): $1,700
- Factory discount: $5,000 (Non-stackable Trading Dollars factory-to-dealer rebate)
- Taxable subtotal: $33,445
- Total price with 13% HST: $37,792.85
2013 Honda Odyssey LX
- MSRP: $29,990
- Freight, dealer prep and air conditioning tax: $1,740
- Dealer discount (estimated): $900
- Factory discount: $4,000 (Non-stackable Trading Dollars factory-to-dealer rebate)
- Taxable subtotal: $26,830
- Total price with 13% HST: $30,317.90
2013 Ford Escape SE 4WD
- MSRP: $29,099
- Freight, dealer prep, AC tax: $1,700
- Dealer discount (estimated): $900
- Factory discount: $4,000 (73-month Term or Greater Extended Term Finance Allowance factory-to-dealer rebate)
- Taxable subtotal: $25,899
- Total price with 13% HST: $29,265.87
- Factory discount: $1,000 (Costco factory-to-customer rebate)
- Factory discount: $500 (Ford/Lincoln Auto Show $500)
- Final price: $27,765.87
Note: Note: Ford also has 0.0% financing for up to five years that can be combined with up to $1,250 in a factory rebate. Lease rates at 0.99% for three years, also, and that rate can be combined with the $1,250 factory rebate on the 2.0-litre engine or $500 on the 1.6-litre engine.
2013 Mazda2 GX
- MSRP: $14,450
- Freight, dealer prep, AC tax: $1,495
- Dealer discount (estimated): $350
- Factory discount: $2,000 (Mazda Retail Cash factory-to-dealer rebate)
- Taxable subtotal: $13,595
- Total price with 13% HST: $15,632.35
Note: The $2,000 incentive is for cash purchases only, but Mazda Canada has a number of other offers in play. They include 0.0% financing for up to 72 months, a 1.99% lease rate for three years, a $300 Grad Award, $500 for first-time Mazda2 owners, and a $500 owner renewal program.
Pricing information source: www.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. Dealer discounts are negotiated with the customer on a case-by-case basis.