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Old 04-21-2009, 10:36 AM   #1
darknightohio
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Default Toyota to take on Insight by cutting Prius base price to $21,000



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With the introduction of the Honda Insight, Toyota is facing the most serious challenge yet to its hybrid dominance since the Prius debuted. While the Insight's hybrid technology is not as sophisticated as Toyota's, it delivers excellent fuel economy, and more importantly, the Insight has a significant price advantage over the Prius. Given the threat and the current difficulties facing the auto market, Toyota has apparently decided to take up the fight by cutting the base price of the Prius by $1,000 to $21,000, only $1,200 more than the Honda.

Toyota's strategy in Japan was to keep the previous generation Prius in production to compete with the Insight on price. However, when we asked a Toyota spokesman in New York if the company evaluated the same option for the US, we were told Toyota decided against it due to new OBD-II regulations that would have required significant updates to the old Prius, negated any cost advantage.
http://www.autoblog.com/2009/04/21/t...ice-to-21-000/
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Old 04-21-2009, 11:14 AM   #2
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Hmmmm $21k and getting 50 MPG... so what are the haters gonna be bitching about now?!?


Also at that price, the new Prius is going to make the Volt that much of a tougher sell (if it really is going to be priced north of $30k).
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Old 04-21-2009, 11:16 AM   #3
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Interesting strategy that will probably work.
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Old 04-21-2009, 11:27 AM   #4
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Well this is without considering the dealers and their markups!
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Old 04-21-2009, 11:31 AM   #5
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not all dealers mark up.
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Old 04-21-2009, 11:40 AM   #6
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Well this is without considering the dealers and their markups!
How does Toyota (or any company for that matter) control their independently owned and operated dealerships?
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Old 04-21-2009, 11:43 AM   #7
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I went and test drove an Insight the other day. It actually drove pretty nice much better than the current Prius that's for sure. The dealer wanted $2000 over MSRP but he offered it to me at it invoice after about 5 minutes. No matter how desirable the car, dealers are still struggling to move product right now.
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Old 04-21-2009, 11:49 AM   #8
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just wished it was more sporty, or sporty looking at least

cant have the cake i guess
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Old 04-21-2009, 11:51 AM   #9
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Originally Posted by Hazdaz View Post
How does Toyota (or any company for that matter) control their independently owned and operated dealerships?
We all know they don't... my point is that if Toyota makes the effort to make the Prius cost competitive to the Insight, the dealers can easily kill Toyota's sale intentions.
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Old 04-21-2009, 11:54 AM   #10
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Originally Posted by Hazdaz View Post
Hmmmm $21k and getting 50 MPG... so what are the haters gonna be bitching about now?!?


Also at that price, the new Prius is going to make the Volt that much of a tougher sell (if it really is going to be priced north of $30k).
The Volt will never be seen on the highway they will never make it. GM was counting on the govt to give a tax break of 10 grand per electric hybrid. So, the Volt priced at 30k, and GM still loosing money to make it, and no tax break, means Toyota and Honda Win, GM FAIL yet again.
the tax break cannot be given to only us manufacturers, it has to go to all manufacturers, and it will never be 10G like the GM plan was hoping for. VOLT is FAIL and DONE

I am waiting for the CRX hybrid, sure the old 84 and 85 CRX HF got 60 mpg, and it was a gas only car. Lets see the 2011 CRX getting 80 mpg, yeah, GM fail
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Old 04-21-2009, 12:03 PM   #11
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Originally Posted by BigElm View Post
...the dealers can easily kill Toyota's sale intentions.
And not just Toyota's either. Unfortunately since no one deals with the carmakers directly, the dealer is the last link that most people deal with when it comes to buying/servicing a car - so even if you like XYZ car, an uneducated, greedy dealership can totally kill your enthusiasm for that model and make you jump to someone else.

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The Volt will never be seen on the highway they will never make it.
Let me guess... you also thought that the Camaro would never get released either?
No chance of the Volt not getting released. The Volt is absolutely coming, but at what pricepoint is the key question.
Oh yea, and just to correct things - the tax break might not be $10k, but it is $7.5k, which is not a huge difference.
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Old 04-21-2009, 12:06 PM   #12
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Originally Posted by Hazdaz View Post
How does Toyota (or any company for that matter) control their independently owned and operated dealerships?
Inventory control. If Prius' are readily available there is much more competition among dealers and price conscious consumers will be still be able to get the car cheaply somewhere.
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Old 04-21-2009, 12:40 PM   #13
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Originally Posted by vapore0n View Post
just wished it was more sporty, or sporty looking at least

cant have the cake i guess
The cake is a lie anyways, so what's the point?
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Old 04-21-2009, 12:46 PM   #14
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Originally Posted by BigElm View Post
We all know they don't... my point is that if Toyota makes the effort to make the Prius cost competitive to the Insight, the dealers can easily kill Toyota's sale intentions.
That's only if Toyota decided to make a limited number. If they are as plentiful as the Camry, it'll sell right around invoice with rebates too.
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Old 04-21-2009, 07:18 PM   #15
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Hmmmm $21k and getting 50 MPG... so what are the haters gonna be bitching about now?!?
Looks, steering feel, highway cruiser suspension, 0-60 in 9.7 seconds.

None of which I ever really notice from inside the car. All the subie drivers I passed in snowstorms coming back from Sugarloaf most every weekend last winter ought to be ashamed of themselves (or should buy winter tires...)
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Old 04-21-2009, 07:42 PM   #16
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So, the Volt priced at 30k, and GM still loosing money to make it, and no tax break, means Toyota and Honda Win, GM FAIL yet again.
Let's see ... the Volt is a generation newer than either the Toyota or the Honda, and it's GM fail? Turn off your fanboy blinders.

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the tax break cannot be given to only us manufacturers, it has to go to all manufacturers
Don't be silly, of course it can. The gov't can and will do anything it likes, and just like Japan and other countries have given their local auto manufacturers special benefits in the past, the U.S. can absolutely do it now.

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Lets see the 2011 CRX getting 80 mpg, yeah, GM fail
Put down the crack pipe sir.
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Old 04-22-2009, 06:54 AM   #17
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Never driven a Prius.. but I want to.

Test drove an Insight last night. They didn't have any LX (base) models.. just three EX models which were all priced around $23k MSRP. Worst $23K car ever. We took it up a steep hill. Bad idea. Even the salesman's positive pitch turned sour at that point... despite my comments remaining fairly positive (We weren't expecting an STI.. just something that could keep up with my old Ford Escort). We then test drove a new base model Fit... and were much more impressed with it. I'm sure the Insight is great for the hypermilers.. but even some of them are complaining about how pathetic the powertrain is in the Insight compared to their 1st gen Insights.

http://www.insightcentral.net/forums...t-stellar.html
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Old 04-22-2009, 10:16 AM   #18
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/\ /\ /\

I want to test drive a Prius and Insight now..
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Old 04-22-2009, 01:53 PM   #19
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they will be lucky if anyone buys these right now. toyota is hurting bad because of the economy and consumers are not as "green" as they were when gallon of gas was twice as it is now
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Well this is without considering the dealers and their markups!
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Old 04-22-2009, 01:57 PM   #20
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the government is doing what it likes right now, spending your grand-childrens money

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Let's see ... the Volt is a generation newer than either the Toyota or the Honda, and it's GM fail? Turn off your fanboy blinders.

Don't be silly, of course it can. The gov't can and will do anything it likes, and just like Japan and other countries have given their local auto manufacturers special benefits in the past, the U.S. can absolutely do it now.

Put down the crack pipe sir.
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Old 04-22-2009, 02:17 PM   #21
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I don't think they need to lower the price. The Prius got bigger, and I've sat in the new insight...it is cramped inside! Much smaller car, the Insight is.




With this Economy, markups?

I'd walk away, or call another dealer right in front of the salesman.

Last edited by Skylab; 04-22-2009 at 02:26 PM.
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Old 04-22-2009, 03:30 PM   #22
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the government is doing what it likes right now, spending your grand-childrens money
Pfft. The national debt we built back up over the last 8 years we have to pay back. The money they're printing for the bailouts just makes it harder to pay back.

*Doesn't have any idea what he's talking about.*
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Old 04-22-2009, 04:22 PM   #23
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...or call another dealer right in front of the salesman.

Ouch! That's COLD!!
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Old 04-22-2009, 04:58 PM   #24
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Originally Posted by bheinen74 View Post
I am waiting for the CRX hybrid, sure the old 84 and 85 CRX HF got 60 mpg, and it was a gas only car. Lets see the 2011 CRX getting 80 mpg, yeah, GM fail
uh, did you miss the whole first-gen Honda Insight? it was that. and it failed in the marketplace.

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Old 04-22-2009, 05:28 PM   #25
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The money they're printing for the bailouts just makes it harder to pay back.
On the contrary, printing money makes it much easier to pay back. Debt deflation can be a wonderful thing . On the other hand, if you piss off the Chinese too much by deflating the value of the debt, they may quit financing our spending spree, or worse...
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