Car makers have great deals for buyers who don't qualify for the scrappage scheme, writes PADDY COMYN
IN LAST week’s Motors we dealt with the options available to customers who were going to avail of the Government’s scrappage scheme. Buyers of new cars who were trading in qualifying models of 10 years and older are being offered generous manufacturer top-ups in addition to the €1,500 Government VRT reductions.
But what if your car doesn’t qualify for the scrappage scheme, as it hasn’t yet reached its 10th birthday, yet still has seen better days? While many car manufacturers are offering scrappage add-ons, the same is also true for regular buyers. Tie this in with the huge discounts that took place at the end of 2009 and the increases in specification given to many slow-selling models, and it becomes apparent that the bargains are not available only to those who are putting their banger to the sword, or in this case, crusher.
Before the end of 2009, the premium car makers were among those quickest out of the blocks in offering generous discounts on new cars, greatly altering the benchmark for new-car prices in the executive segment. Mercedes-Benz’s radical overhaul of the pricing structure of the E-Class model, in particular, sent out a strong message to the rest of the segment, showing that for just over €41,000, you could own a large executive car that would previously have cost you more than €60,000. Thanks to low- emissions engines that dramatically lowered VRT on the car, and a hugely aggressive pricing approach by the brand’s distributor, the E-Class was to become the executive car against which all would be measured in 2009/2010, and the rest of the brands simply had to react.
And they did. BMW, itself combating a dramatic reduction in sales and the relative failure of the Sterling collection nearly-new used car policy, slashed the prices of the entire range last October. The 5-Series GT was reduced by €15,485, the X1 by €4,045, the 3-Series 318i ES by €5,900, the 520d by €7,020 and the 730d SE by €16,030.
Audi had reduced prices by an average of 9.8 per cent a month before that, and added higher equipment levels to their cars at no extra cost. They have also added S-Line upgrade packages to their range of cars, with reductions of up to 70 per cent.
Volvo, which had already offered significant price reductions on its model range last October, with savings of up to €11,000 on key models and specification enhancements, has given non-scrappage customers generous discounts in the form of “Eco Enhancements” of €3,630 on all C70, XC70 and XC60 models, €2,420 off the XC90, €3,025 off the C30, €2,420 off the S40 and V50, €3,630 off the V70 and €3,630 off the S80.
Other brands that significantly dropped their prices in 2009, way before the announcement of the Government scrappage scheme, included Lexus and Toyota, the latter offering €2,170 off the Corolla as well as €10,000 worth of prize bonds to each customer, a policy that appears to be paying dividends, with the model proving to be Toyota’s biggest-selling car this year, ahead of the diesel Avensis. Volkswagen cut the price of Golf models by 10 per cent, and Passat by 11 per cent, and Ford cut the price of the Kuga by €5,000, as well as adding improved specification to the Focus and Mondeo.
Kia in November announced generous price reductions off its Picanto, Rio and Cee’d models. Picanto has been reduced by €1,850, Rio by €1,500 and Cee’d by €2,000. These are huge reductions on what were already inexpensive cars. The Kia Cee’d diesel had come down in price by €1,850 in July 2008.
Peugeot in November announced price reductions of on average €845 on the 207 and €2,330 on the 308, and it will still offer a €500 “eco bonus” to non-scrappage customers on all 207s and 308s until the end of this month.
Renault, a brand intent on making its mark on the Irish car market in 2010, this week announced details of a new five-year warranty on its new car, but it also offers serious discounts, even to non-scrappage customers. Firstly, if your trade-in is eight years or older you get at least €1,500 off your new Renault. There is a trade-in allowance on all cars, in fact, which varies from €1,000 to €3,300, regardless of the year, make or model of the car.
Chevrolet this week announced price reductions to the Aveo range of up to €1,000, and €5,000 off the Epica range. The Captiva SUV gets a price chop too, with €6,000 off the seven-seater version, with prices now starting at €35,995. Meanwhile, over at Mitsubishi, the Colt got a price cut of €2,000, the Colt Convertible was reduced by €6,000, the Lancer by €3,000 and, most notably, the Outlander SUV by €14,000, which means it now costs just €25,950 and is the segment leader as a result.
Fiat this week announced a further “Eco-Plus Bonus” of €1,745-€3,880 on Panda, Grande Punto, 500 and Bravo models, in addition to any scrappage offers, so even for customers who don’t qualify for scrappage they can be in a new Fiat from €8,250 for the Panda, €11,495 for the Grande Punto, €16,495 for the Bravo and €11,495 for the 500.
What we will say with certainty is that in 2010, these prices are only your starting point. Roll up your sleeves and be prepared to bargain hard and we would confidently say you will watch thousands fall off the sticker price of many new cars should you show more than a passing interest in one this year.
