Ongoing Deal Discussion

[Always] WOW ---- New and used cars from US up to 30% cheaper - Read post #1

Poll: Are Canadian cars overpriced

  • Total votes: 335. You have voted on this poll.
I have no voice, Canadian Dealers/Manufacturers are taking advantage of the Canadian consumer
 
112
33%
In most cases, new cars purchased in the US are almost always thousands cheaper
 
149
44%
I owe no one a living, competition is good. Thank you NAFTA!
 
61
18%
With the exchange rate factored in, Canadian prices are roughly the same
 
6
2%
With the exchange rate and financing, Canadian prices are cheaper - Buy Canadian!
 
7
2%

Poll ended at Dec 28th, 2006 1:46 pm

Member
May 30, 2006
296 posts
13 upvotes
Lost Horizon wrote: Let me take a wild a$$ guess.... BMW?? :confused:
It's some stupid dealerships....
when i asked what will they do if i will bought a car in another part of the city and move near them and wanted to change the dealer...they were speechless...

As i said they were pissed because i decided to buy a car in US....bunch of losers....

I think because i live in a area that boomed since few years...theirs business did increase respectively, and they think they can live without an US car client....
Newbie
Nov 26, 2007
10 posts
White Rock, BC
ziploc wrote: they are idiots..(canadian dealers)....i personally was refused by 2 dealerships to service an imported car....

they think they are center of universe and are offend because i dare to buy from us dealer....
I CAN'T understand their behavior. I've always been under the impression that for most dealerships selling the cars is low margin but servicing them is where they make their profits :confused: .

They're obviously letting pettiness get in the way of good business.
Newbie
Nov 8, 2007
61 posts
Whiterock2 wrote: I CAN'T understand their behavior. I've always been under the impression that for most dealerships selling the cars is low margin but servicing them is where they make their profits :confused: .

They're obviously letting pettiness get in the way of good business.
I know, I am thinking the same thing. But if you think about it, it's just another tool they are using to try and discourage people. It is not going to work.

Cheers
Newbie
Nov 8, 2007
61 posts
ziploc wrote: KIA and Hyundai....but i prefer not to disclose the dealer names for now...

Kia when i was inquiring before deciding what to buy..

and Hyundai now when I bought my Hyundai minivan...
Did you check with head office? They may compel them. I would be surprised if they weren't obligated. If this is coming from head office then what a short sited organization.

Cheers
Newbie
Nov 8, 2007
61 posts
Xinc wrote: I can definitely understand where you are coming from, but if Subaru Canada thinks by limiting the import from Subaru America they'll all be enjoying skyrocketing sales, they are kidding themselves.

Subaru Canada pits itself as competition with more luxurious brands, it's pricing is along the lines of intro Lexus/Infinity/European. But I seriously doubt many people who are considering a more luxurious vehicle will pick a Subaru instead of the aforementioned. Truth is, before this whole vehicle import fuzz became the hottest topic of discussion, I rarely saw any Subies on Toronto street. Even today they aren't very common and I can definitely count the number of Subies I encountered/day with one hand (with close to 70KM highway and 20KM local daily, btw did see an Outback and a Legacy with Van Botel plate frames this past month, looks brilliant :cheesygri )

If SOC somehow forced SOA into pushing new policies that limit/prohibit Canadian sales, people will just go to other options or hold out the purchase. But then I imagine SOA will be reluctant to give into SOC's pressure, they know they are "stealing" quite a lot of sales from the other Japanese big threes as well :lol:
Bottom line, someone is always greedy. In this case it is always the manufacturers themselves, not their representing dealerships...Of course the dealerships are going to be as greedy as they possibly can but the scale is immensely different.

Point is, Subaru or any of these other manufacturers could give a crap about their dealers. Seriously. They clearly don't because if they did they would do something to help the Canadian dealers. In the case of Subaru I think what you are saying is exactly true --> The brass at the top of Subaru are looking at this as an opportunity to increase its North American market share...and they are more than willing to do it on the backs of their Canadian dealers. Business is business. They don't care about the Canadian consumer or their dealers any more than the other manufacturers.

In the case of a lot of the other manufacturers they simply aren't willing to give up their padded profits in Canada. Yeah, good luck with that long term. The Canadian consumer is starting to watch you more closely and your business practices are starting to get scrutinized. You can lobby governments all you want but the only lobbying you can do with your ultimate customer is price.

Cheers
Newbie
Jul 19, 2007
35 posts
One thing that I've only recently become aware of is that the new President of SOA also happens to be the General Manager for North American Sales or Operations. I can't remember which. I agree, a poll of manufacturers and their overall grades would be interesting to see!
Karl Lindemuth
Internet Sales Manager
Van Bortel Subaru
http://www.buildyourownsubaru.com
800.724.8872 toll free
585.415.8785 cell
Newbie
Nov 8, 2007
61 posts
karl_at_vanbortel wrote: One thing that I've only recently become aware of is that the new President of SOA also happens to be the General Manager for North American Sales or Operations. I can't remember which. I agree, a poll of manufacturers and their overall grades would be interesting to see!
Karl

With the Tribecas can a dealer simply reprogram something so that temperature displays are in Celcious etc.? Or is there more to it than that? What are the issues with going metric...would like to avoid a cluster change. Don't mind having mph larger than Km/h but it would be nice to have everything else converted...

Cheers
Member
Jan 4, 2006
277 posts
9 upvotes
karl_at_vanbortel wrote: I just had a thought. Sitting here looking for more pics of the new Forester while scanning this thread at the same time. Something popped into my mind that I was thinking about posting earlier but got sidetracked.

Canadian Subaru dealerships have been complaining about the loss of business for some time now, right? I was thinking what if I woke up one morning and the shoe was on the other foot? What if suddenly the phone stopped ringing? What if the e-mails stopped coming? What if the customers in the showroom were replaced by tumble weeds? What I mean is what if suddenly American customers could buy cars in Canada for ridiculous savings over the US market?

Would I be upset? I am sure I would be. However, here is where I really think that these Canadian dealers are missing the boat. We all are aware that they obviously will see an increase in service volume and revenue. I have heard so many of my customers say that when they went into the local dealership in Canada, the minute that importing was mentioned, they got the cold shoulder. WHY?!?!? Wouldn't they think to say, 'You know, you're right. You can save a ton of money buying your car in the US and bringing it back to Canada. Why don't you let me help you out? I can tell you what some of the advantages and disadvantages are.'

Develop a relationship with the customer. If I were the consumer and this happened, I would go back to that dealer with my wallet open every time I was in for service. From what I have heard this isn't the case. These customers are met with crossed rather than open arms along with comments like you're being "un-canadian" by buying a car in the US. What a crock.

Anyway, just my two cents. And, for the record, if I ever get out of line on here just let me know, ok??? ;)
Salespeople are paid on commission, not for revenue from the service dept. So if you're not buying from them, they don't care about you, you're affecting their wallet directly...

A.
Deal Addict
Apr 14, 2004
1191 posts
175 upvotes
Montreal
ziploc wrote: It's some stupid dealerships....
when i asked what will they do if i will bought a car in another part of the city and move near them and wanted to change the dealer...they were speechless...

As i said they were pissed because i decided to buy a car in US....bunch of losers....

I think because i live in a area that boomed since few years...theirs business did increase respectively, and they think they can live without an US car client....

My Subaru Canada delership treats me like a customer. Gives me a free hand wash coupon with every oil change.

They affix the next service sticker on windshield in miles. I like the new Imprezza hatchback. I might buy it in Canada.

However, I haven't had any warranty work to be done yet.
Member
May 30, 2006
296 posts
13 upvotes
showMeAnImport wrote: Did you check with head office? They may compel them. I would be surprised if they weren't obligated. If this is coming from head office then what a short sited organization.

Cheers
Actually i spoke with a Hyundai regional rep who was in the dealership at the time that i passed....what a prick......he was telling me that even US warranty wasn't good......and had such attitude.......
when i told him that he was wrong and ask for his name, he did change his attitude......


As for both head offices (KIA and Hyundai) they told me that they can't bind a dealer to work on any car as dealerships are entities by them selfs (franchises) and they can do whatever they want....


If You ask me I would more than glad to serve a new client, from whatever and with any car he comes....
Member
May 30, 2006
296 posts
13 upvotes
scouzi wrote: My Subaru Canada delership treats me like a customer. Gives me a free hand wash coupon with every oil change.

They affix the next service sticker on windshield in miles. I like the new Imprezza hatchback. I might buy it in Canada.

However, I haven't had any warranty work to be done yet.
don't worry i will find a dealer that will be more than happy to serve me also.


and exactly by doing that they might gain a new customer for life...
Deal Addict
Apr 14, 2004
1191 posts
175 upvotes
Montreal
showMeAnImport wrote: Bottom line, someone is always greedy. In this case it is always the manufacturers themselves, not their representing dealerships...Of course the dealerships are going to be as greedy as they possibly can but the scale is immensely different.

Point is, Subaru or any of these other manufacturers could give a crap about their dealers. Seriously. They clearly don't because if they did they would do something to help the Canadian dealers. In the case of Subaru I think what you are saying is exactly true --> The brass at the top of Subaru are looking at this as an opportunity to increase its North American market share...and they are more than willing to do it on the backs of their Canadian dealers. Business is business. They don't care about the Canadian consumer or their dealers any more than the other manufacturers.

In the case of a lot of the other manufacturers they simply aren't willing to give up their padded profits in Canada. Yeah, good luck with that long term. The Canadian consumer is starting to watch you more closely and your business practices are starting to get scrutinized. You can lobby governments all you want but the only lobbying you can do with your ultimate customer is price.

Cheers
Dealerships is an integral part of the car business and they need them badly. If dealerships start closing , you will be left with less and less options to get your imported car fixed.

In the 60s, dealerships would get volume discounts on cars. This killed the smaller suburban dealerships. When people went to buy their cars downtown for cheaper, they were left with no option than to go downtown for service. That is why today, all dealerships from most car makers pay exactly the same price for their cars regardless of the volume.

Lowering prices in Canada probably won't make much of a dent overall for North America but it is the solution if they want to support Canadian dealerships.
Deal Addict
Apr 14, 2004
1191 posts
175 upvotes
Montreal
Xinc wrote: Since when did our media became tools of the auto industry? First we had the Stars, now this: http://www.northernlife.ca/News/Lifesty ... 07-carstop
My co-worker sent me this after much discussion about vehicle imports last week. All I see are LIES! LIES! n' more LIES! The guy even has the guts to mention the "O great Canadian rebates", and "O great financing options" then somehow came to to conclusion that Canadians are getting a better deal even though we are paying a heck a lot more money. Needless to say I am quite infuriated by our news sources' allowance for such bull crap, really makes you wonder what else have they been spinning? I know we live in a freedom of speech country, but that's built on the basis of reliable information and sound arguments, I saw neither in this article.

It's a good chuckle, though. In the end I guess anyone dumb enough to believe our media's (a lot of which are sponsored by the auto industry) take on imports deserves to be ripped off.

"Features such as block heaters and heated seats that you take for granted up here are not available down there.
Newbie
Nov 8, 2007
61 posts
ziploc wrote: Actually i spoke with a Hyundai regional rep who was in the dealership at the time that i passed....what a prick......he was telling me that even US warranty wasn't good......and had such attitude.......
when i told him that he was wrong and ask for his name, he did change his attitude......


As for both head offices (KIA and Hyundai) they told me that they can't bind a dealer to work on any car as dealerships are entities by them selfs (franchises) and they can do whatever they want....


If You ask me I would more than glad to serve a new client, from whatever and with any car he comes....
That is bizarre...usually if they are an authorized dealer they are obligated...this is how it works for Toyota for example...if they want to have a licence to sell Toyota cars they have to be willing to honour warranties...

I guess this is the key here...Toyota transfers warranty...Hyundai does not...

Cheers
Jr. Member
Jul 13, 2007
131 posts
38 upvotes
A few weeks ago I brought my LGT (bought from Karl) for its 1st oil change and winter wheels swap to DT Subaru. I wasn't sure what kind of reception I would receive but it turned out to be very cordial. I volunteered it was my 1st time there and I had bought the car in the US, whereupon the service advisor mentioned they were seeing a lot of them lately. We had a brief chat about the warranty claim procedure and the wheels I was installing. The experience was problem free and very business like, absolutely no cold shoulder or hostility. After going through the future routine maintenance schedule with me, I thought "Wow, these guys are smart, although they didn't make the sale, they're working at getting my service dollars".

It gets better. Last week my car had a weird problem where the car thought the driver's door was open and would flash the warning in the dash, turn on the dome light, etc. while driving. I took the car back to DT Subaru, they already had a fully booked up day but were willing to have a go at it if I could leave it with them. Around 4 PM I get a call my car's ready, problem fixed. It was a "minor adjustment"; NO CHARGE, free, on the house. The service advisor said it was fairly minor and not enough to warrant me paying and having to file a claim with SoA.

With that experience, they will certainly see me and my service $$ again. Excellent business smarts, turning a negative (lost sale) into an future revenue stream.

karl_at_vanbortel wrote: This is FALSE. Subaru of America is glad to provide you with a 3 year or 36,000 mile bumper to bumper warranty and a 5 year or 60,000 mile powertrain warranty. They also happily give you 3 years or 36,000 miles of roadside assistance. What Subaru of CANADA won't do is administer your claim for you if you have a 2008 or newer Subaru. This means that you will have to go to your local dealer and say "My car was purchased in the US and imported into Canada. I need to have a warranty repair completed on my car." The repair will be completed by your local authorized Subaru dealer. You will be charged WARRANTY RATE for the repair which is less than normal customer pay. Ask your service adviser for two copies of the repair order. You will submit one copy to Subaru of America and keep one for your records. Subaru of America will send you a check for the warranty portion of the repair (ie no oil changes, etc.) in US dollars. What does not require pre payment and reimbursement is the roadside assistance. That is covered immediately.

Part of the package that I give to our Canadian customers is a letter from SOA detailing this along with the address to mail your claim to. One thing that a lot of people are NOT aware of is that the Subaru extended warranty, Subaru Added Security, eliminates the need for this once the original 3/36 is done. AWESOME investment if you're planning on keeping the car for an extended period of time.
Member
May 30, 2006
296 posts
13 upvotes
showMeAnImport wrote: That is bizarre...usually if they are an authorized dealer they are obligated...this is how it works for Toyota for example...if they want to have a licence to sell Toyota cars they have to be willing to honour warranties...

I guess this is the key here...Toyota transfers warranty...Hyundai does not...

Cheers
They were transferring the warranty till 22nd November when they just decided to change their policy......I was told by head office, numerous dealerships that they were......and i bought the car before that date....and when I called after that date, to register with them they told me that the warranty is no more honoured....

apparent they are waiting for a bulletin to come out on that issue....and they don't care if the car was bought before or not....

I wrote a letter to them and waiting for an answer....
Member
May 30, 2006
296 posts
13 upvotes
lightbulb wrote: A few weeks ago I brought my LGT (bought from Karl) for its 1st oil change and winter wheels swap to DT Subaru. I wasn't sure what kind of reception I would receive but it turned out to be very cordial. I volunteered it was my 1st time there and I had bought the car in the US, whereupon the service advisor mentioned they were seeing a lot of them lately. We had a brief chat about the warranty claim procedure and the wheels I was installing. The experience was problem free and very business like, absolutely no cold shoulder or hostility. After going through the future routine maintenance schedule with me, I thought "Wow, these guys are smart, although they didn't make the sale, they're working at getting my service dollars".

It gets better. Last week my car had a weird problem where the car thought the driver's door was open and would flash the warning in the dash, turn on the dome light, etc. while driving. I took the car back to DT Subaru, they already had a fully booked up day but were willing to have a go at it if I could leave it with them. Around 4 PM I get a call my car's ready, problem fixed. It was a "minor adjustment"; NO CHARGE, free, on the house. The service advisor said it was fairly minor and not enough to warrant me paying and having to file a claim with SoA.

With that experience, they will certainly see me and my service $$ again.
That's how the business should be done...


I think the problem here is the Quebecers mentality....there aren't looking into the future and acting on what they believe in their heads.....
they think that I ''attacked'' them personally by buying from another country, and they think that acting like that the will just prevent more people from importing cars....


that's why Montreal were overtake by Toronto and Quebec by Ontario...
they are selfish and close minded....


I know if I will go and see the owner, it might change...but what kind of relation i will then have with the service guys....i prefer change the dealer and think that they just don't deserve my money....
Newbie
Jul 23, 2007
7 posts
Montreal
ziploc wrote: That's how the business should be done...


I think the problem here is the Quebecers mentality....there aren't looking into the future and acting on what they believe in their heads.....
they think that I ''attacked'' them personally by buying from another country, and they think that acting like that the will just prevent more people from importing cars....


that's why Montreal were overtake by Toronto and Quebec by Ontario...
they are selfish and close minded....


I know if I will go and see the owner, it might change...but what kind of relation i will then have with the service guys....i prefer change the dealer and think that they just don't deserve my money....

Ziploc, ... this has to be the most narrow minded dumb statement I have read in the 600+ pages !! :rolleyes:
Newbie
Nov 3, 2007
90 posts
I don't know about you guys, but i have such a bad taste from talking to the Car manufacturers in this country that i am willing to drive my car into the ground before i purchase another.

And when i do purchase a car, it will be from the States, even if i only save 5K on it, i will not do any business in Canada, this country needs to wake up, we need to act, not talk about things, enough is enough already, a united front against greedy bastard car manufacturers is needed.

In fact my whole goal in life will be to spread the truth about these dirty rats, to anyone within earshot.
Newbie
Nov 25, 2002
73 posts
16 upvotes
Toronto
lightbulb wrote: A few weeks ago I brought my LGT (bought from Karl) for its 1st oil change and winter wheels swap to DT Subaru. I wasn't sure what kind of reception I would receive but it turned out to be very cordial. I volunteered it was my 1st time there and I had bought the car in the US, whereupon the service advisor mentioned they were seeing a lot of them lately. We had a brief chat about the warranty claim procedure and the wheels I was installing. The experience was problem free and very business like, absolutely no cold shoulder or hostility. After going through the future routine maintenance schedule with me, I thought "Wow, these guys are smart, although they didn't make the sale, they're working at getting my service dollars".

It gets better. Last week my car had a weird problem where the car thought the driver's door was open and would flash the warning in the dash, turn on the dome light, etc. while driving. I took the car back to DT Subaru, they already had a fully booked up day but were willing to have a go at it if I could leave it with them. Around 4 PM I get a call my car's ready, problem fixed. It was a "minor adjustment"; NO CHARGE, free, on the house. The service advisor said it was fairly minor and not enough to warrant me paying and having to file a claim with SoA.

With that experience, they will certainly see me and my service $$ again. Excellent business smarts, turning a negative (lost sale) into an future revenue stream.
The truth is that a dealership will see $5 or more in service profit for every $1 they might have made in sale profit. They want you to become a regular service customer even if they don't get the initial sale. Too bad BMW isn't seeing it this way and are taking it out on their informed customers rather than accepting that 5/6 profit is better than 0 profit to keep their 'high end' customers happy.

Dealerships should be taking the message up the chain to the manufacturers rather than guilt-tripping and getting pissed at the informed consumer that wants a fair deal. The truth is, I don't think they're used to Canadian consumers fighting back.

One of the main excuses manufacturers have used for current pricing is that they price for the market, in other words "what the market will bear". I think it's obvious that the market is speaking now, and it's not willing to bear this any longer.

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