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VW Price increases 1st Dec
Posted: Fri Nov 12, 2021 2:57 pm
by Cherry
VW can happily increase prices many ID.3 models without affecting the EV grant. But will they increase the 150kW Family Pro Performance 58kWh to exclude it from the £2500 grant or offer a lower PCP contribution on this model if they reinstate the PCP finance offer of £1750, given most people view this as a reduction to the RRP anyway?
With inflation on the rise can we expect a 5% price increase or simply not reintroducing PCP contributions?
As it is, I think ID.3 is rather lower cost than cars in the same class.
Re: VW Price increases 1st Dec
Posted: Fri Nov 12, 2021 3:25 pm
by monkeyhanger
I stated on another thread that according to the VW dealership guy on the Golf GTI forum who mentioned the 1st Dec prices rises that the ID3 models will be pretty much exempt from the rises so as not to disturb the grant threshold eligibility. They don't need to put their prices up, they just clawed back £1750 by getting rid of the deposit contribution. The dealership guy ("evo1986", now in lease sales) indicated that price rises (except ID3) will be about 2%
Re: VW Price increases 1st Dec
Posted: Fri Nov 12, 2021 4:00 pm
by Utumno
My opinion, and it is only my opinion, is that
* ID.3 list prices will remain static and won't have the ~2% expected rise for other VW models applied to them
* VWFS deposit contributions will not be made available again to new orders until lead times are under more control (a reasonably reliable 12 weeks, or so). VWFS may fiddle with PCP final values and/or APR though, my tealeaves are unclear on this.
Re: VW Price increases 1st Dec
Posted: Fri Nov 12, 2021 4:53 pm
by durhamlad
Utumno wrote: ↑Fri Nov 12, 2021 4:00 pm
My opinion, and it is only my opinion, is that
* ID.3 list prices will remain static and won't have the ~2% expected rise for other VW models applied to them
* VWFS deposit contributions will not be made available again to new orders until lead times are under more control (a reasonably reliable 12 weeks, or so). VWFS may fiddle with PCP final values and/or APR though, my tealeaves are unclear on this.
This what the salesman we are dealing with also believes. Could be wrong of course.
VW Price increases 1st Dec
Posted: Fri Nov 12, 2021 5:37 pm
by Cherry
5% of £35k is £1750.
This is a temporary 5% price rise for a £35k car by stealth!
All Rishi needs to do now is scrap the EV grant given it is a handout to those wealthy enough to buy an overpriced car!
It should have been means tested (so I do not qualify) or given to scrap old cars (like my 27 year old Mazda MX3 SORN for 7 years)!
But if the government wants to give me money it would be rude to refuse.
Re: VW Price increases 1st Dec
Posted: Fri Nov 12, 2021 6:15 pm
by Chivers
Ok. No one knows why VW does not offer an ID3 in red. No one knows why VW is happy to sell cars cheaper in the US than here. No one knows what VW will do next.
Here's my [complete] guess. As they have already sold every car they can build in the next 6 months why shouldn't they raise their prices?
I guess they will either:
1. Raise their prices a little and let the 204bhp Family go over the £35000 barrier. Maybe delete the 150bhp Family altogether.
2. IN the UK and Eire save the red colour for some special edition edition ID3.
Re: VW Price increases 1st Dec
Posted: Fri Nov 12, 2021 7:02 pm
by Cherry
Chivers wrote: ↑Fri Nov 12, 2021 6:15 pm
Ok. No one knows why VW does not offer an ID3 in red.
Kings Red is available.
Re: VW Price increases 1st Dec
Posted: Fri Nov 12, 2021 8:06 pm
by monkeyhanger
VW sell cars cheaper in the US because they need to sell them cheaper than they do in Europe to compete with their domestic brands like GM, Ford and Chrysler, even though the fit and finish of those is noticeably inferior.
Most American supplied VWs are made in Mexico with assembly workers on about $10ph as opposed to the German guys on €28ph. So there's a big reason why a well specced Mexican built VW can be sold in the US competitively.
Re: VW Price increases 1st Dec
Posted: Fri Nov 12, 2021 8:12 pm
by monkeyhanger
durhamlad wrote: ↑Fri Nov 12, 2021 4:53 pm
Utumno wrote: ↑Fri Nov 12, 2021 4:00 pm
My opinion, and it is only my opinion, is that
* ID.3 list prices will remain static and won't have the ~2% expected rise for other VW models applied to them
* VWFS deposit contributions will not be made available again to new orders until lead times are under more control (a reasonably reliable 12 weeks, or so). VWFS may fiddle with PCP final values and/or APR though, my tealeaves are unclear on this.
This what the salesman we are dealing with also believes. Could be wrong of course.
The VW dealership guy on the Golf GTI forum has said the above pretty much verbatim and he's been right for about 8 years I've known him on there. VW chop and change VWFS deposit contributions all the time to shape demand when it exceeds their capability to supply. They'll also increase GFVs when market forces allow, so that loss of a deposit contribution isn't stinging their PCP customers to the tune of £80 a month and putting them off. One of the selling points of a VW is strong residuals so that an expensive list price needn't also mean overly expensive monthlies on PCP.
Re: VW Price increases 1st Dec
Posted: Sat Nov 13, 2021 10:29 am
by Smitten
monkeyhanger wrote: ↑Fri Nov 12, 2021 8:12 pm
durhamlad wrote: ↑Fri Nov 12, 2021 4:53 pm
Utumno wrote: ↑Fri Nov 12, 2021 4:00 pm
My opinion, and it is only my opinion, is that
* ID.3 list prices will remain static and won't have the ~2% expected rise for other VW models applied to them
* VWFS deposit contributions will not be made available again to new orders until lead times are under more control (a reasonably reliable 12 weeks, or so). VWFS may fiddle with PCP final values and/or APR though, my tealeaves are unclear on this.
This what the salesman we are dealing with also believes. Could be wrong of course.
The VW dealership guy on the Golf GTI forum has said the above pretty much verbatim and he's been right for about 8 years I've known him on there. VW chop and change VWFS deposit contributions all the time to shape demand when it exceeds their capability to supply. They'll also increase GFVs when market forces allow, so that loss of a deposit contribution isn't stinging their PCP customers to the tune of £80 a month and putting them off. One of the selling points of a VW is strong residuals so that an expensive list price needn't also mean overly expensive monthlies on PCP.
Same point about high residuals applies to leasing costs as well. A £38k ID3 is less than 50% of the lease cost of my current £62k Jaguar. The Jag has much lower residual value at end of lease.