Edmunds.com Sees Truck Wars Heating Up; Automakers Offer Unexpected Incentives on New Trucks
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--Edmunds.com:
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Before its launch last month, the 2007 Toyota Tundra threatened to displace valuable truck sales from the domestic automakers. Surprisingly, Tundra sales have not been as strong as expected, so Toyota has begun offering incentives on this virtually brand new vehicle. Other automakers have responded with incentive programs of their own. | |
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"Toyota is doing whatever it takes to meet its sales targets for Tundra - 200,000 units this year," noted Michelle Krebs, Senior Editor of Edmunds' AutoObserver.com. "So far, most new Tundra buyers are previous Toyota Tundra owners, not 'conquests' from other brands as Toyota had hoped and other automakers had feared." |
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"The Tundra's relatively high price seems to have alienated many potential buyers who might otherwise have been swayed to consider a well-equipped, Texas-built truck produced by an import automaker with a solid reputation," said Edmunds.com's Senior Analyst Jesse Toprak. "With a market share battle in full force, we expect the truck incentive war may continue throughout the year." |
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"Truck shoppers would be wise to take advantage of this unexpected opportunity to get a great deal on a new truck," remarked Phil Reed, Consumer Advice Editor for Edmunds.com. "There are many terrific new vehicles on the market, and yet market conditions are forcing the automakers to offer dueling incentives that will allow consumers to save a lot of money on the purchase." |
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| Feb-07 | Mar-07 | |||||||||||||||
| Year | Make | Model | Average Transaction Price |
True Cost of Incentives (TCI)(a) |
Dealer Cash Incentives | Customer/ Bonus Cash Incentives |
and/ or |
APR Incentives | ||||||||
| 2007 | Chevrolet |
Silverado 1500 |
$31,010 | $1,529 | $1,000 | and | 0% - 4.9% | |||||||||
| 2007 | Dodge |
Ram Pickup 1500 |
$30,185 | $5,655 | $3,000-$5,000 | or | 0% - 5.9% | |||||||||
| 2007 | Ford | F-150 | $29,591 | $3,792 | $3,000 | or | 0% - 2.9% | |||||||||
| 2007 | GMC |
Sierra 1500 |
$32,340 | $1,893 | $1,000 | and | 0% - 4.9% | |||||||||
| 2007 | Nissan | Titan | $29,887 | $3,540 | $3,000-$3,500 | or | 0.9% | |||||||||
| 2007 | Toyota | Tundra | $33,151 | $1,647 | $2000 Regular Cab, $1000 Double Cab | and | 3.9% - 5.9% | |||||||||
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(a) Edmunds’ True Cost of IncentivesSM (TCISM) takes into account all manufacturers' various U.S. incentives programs, including subvented interest rates and lease programs, as well as cash rebates to consumers and dealers. |
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For more background on today’s news, please visit http://www.autoobserver.com/.