Scion Buying Advice - Cash Rebates & Freebies

[Swancoat]

Originally Posted by Driver

I didn't say they would shut down the dealership, I said a toyota dealer could/would lose the scion franchise within their toyota dealership and not be able to sell scions...

and the 3-5% bonus for selling cars in bogus. i dont know who told you that but it is wrong especially in the case of scion. that would mean Person A (toyota manufacture) sells a car to their retailer Person B (the dealership). Example to follow...

A sells the car to B for lets say $100. B sells the car to you for $105. A already got their money, they aren't going to turn around now and give B $1 because they sold a car. The manufactures like their customers, the dealers, but they dont like them that much. wouldn't it make more business sense to eliminate this "mystery bonus" $1 and just reduce the price initially from $105 to $104 and make said car more fiscally appealing to the ultimate consumer? Then again what do I know I'm just a humble vagina.

I don't know anything about Scion policies in particular, but you are flat wrong in what you're saying above. That stuff goes on ALL the time with a lot of manufacturers. The manufacturer/dealer relationship is much more complex than just being buyers and sellers. People buy cars AT or below invoice regularly. Desirable cars too. This is all enabled by dealer holdbacks sales bonuses, etc...

[ruskymx]

I figured since I work at a Toyota/Scion dealer I would chime in on this one.

Pure Pricing is about menu based pricing. We (Scion dealers) have to have all pricing information posted on menus in our showroom and website. The transaction prices HAVE to match the POSTED prices. That is how it is defined in the Scion Covenant (rules). If a dealer is going to offer a discount off of MSRP, it has to be posted in the showroom and the website and offered to EVERYBODY. Finance rates, extended warranties, GAP insurance, etc are all posted on menus. So are all accessories, parts, and services. Go to your local Scion dealer's website, or actually go to a few of them. You'll notice that they all look very similar. It's because all dealers use the same basic design but we have our choice of different themes/colors etc. Long story short: Change website, showroom menus, and anything else with posted prices to make less money is very unlikely.

My dealership took off $300 off our last 2011 tC a month or so ago when the 12's came in. We didn't break any rules though and everything was fine because we just had our audit last week and that deal was checked out. Yes, Scion audits every dealer to make sure things are done the way they are supposed to be done.

If Scion finds infractions, it's noted in the audit and the problems have to be corrected. If they are not corrected by the next audit, the dealership's allocation of cars is reduced and they aren't very large to begin with compared to Toyota product. The franchise can be shut down but I haven't heard of it happening in my area anyway. They just make it extremely difficult to sell the cars. If Scion doesn't give them to you, the dealer has to try and trade another dealer for one. My dealership usually only trades Scions for Scions unless it benefits us not to do so.

I believe the 3% that the other poster is referring to is holdback. Well, 1% of base MSRP is finance reserve to help the dealer offset floorplan costs and 2% of base MSRP is holdback, which is a few extra bucks of profit that salespeople usually don't get paid on. My dealership also has Hyundai and they have a dealer cash program that if we hit a certain level of sales or sell X number of a certain model, they will pay us $XXX per qualifying car sold. Scions DO NOT have any holdback or finance reserve and is why dealers want to trade Scion for Scion.

As far as incentives, there will most likely be the College Grad Rebate of $1000 and the Active Military rebate of $1000. Special financing rates will not exist, but the current 3.24% isn't terrible for up to 60 months. YES I know some banks and credit unions have lower. To get the CG or Military, the vehicle MUST be financed through TFS.

As far as incentives on other makes/models of newly introduced vehicles, the domestics have rebates planned before they even launch the car (sarcasm, but possibly some truth). Hyundai has a financing rate on the Elantra, 3.9% for 60 isn't the best. We can sell you a new Elantra and finance you through TFS for 3.24% or another one of our lenders in the 2% range. We (dealers) make money from banks for sending them business. Here's an example. Customer A buys a car with no subvented APR program (i.e. 0% etc). The best rate they can obtain is 2.9% for 60 months. Dealer has a lender that offers them 1.9% rate to get the contract and then the dealer charges customer 2.5-2.75% and makes a little money. Customer wins with lower interest rate. Bank wins contract and gets business. Dealer wins and makes some money. Good deal all around. (On a side note, the most profitable part of a dealership is the fixed operations departments like service, parts, body shop, etc) For the people that are going to cry and say the dealer in this example is a crook for making a profit, remember dealers are businesses and are in business to do just that. When was the last time you went to work for free and did not request a paycheck? Oh, what's that? Never! Now for dealers that try to rape and pillage every single customer for all they are worth, they don't deserve your business. First clue to a dealer like this is one with a "bump" label or addendum sticker next to OEM sticker. If you see a dealer trying to charge more than MSRP for a vehicle with no added equipment, run far, far away.

I could go on and on, but will end it. It became too long-winded already.

Ruskymx

P.S. When I buy my FR-S, I'll be paying the same as all of you. Just because I work there, doesn't give me a discount. I can't wait to buy one!

[Tofu]

So saying we can't get any discounts, from the poster above..

How would one go about approaching the salesperson about getting free stuff such as tint, oil changes, floor mats, spoilers or extra accessories free, instead of a discount.

[CXTKRS1]

Originally Posted by tranzformer

Doubtful on the FRS as it will be a hot commodity. Demand will outstrip supply.

You have no way of knowing that.

[ruskymx]

Originally Posted by Tofu

So saying we can't get any discounts, from the poster above..

How would one go about approaching the salesperson about getting free stuff such as tint, oil changes, floor mats, spoilers or extra accessories free, instead of a discount.

That's the hard part because there can't be any paper trail that is with the paperwork because if there is and Scion finds it during an audit, the dealer is going to have issues. We have a form when we owe a customer something and a hard copy is kept with all the paperwork. I think the best way is to have the dealer give you whatever you are trying to get at the time of purchase. My dealer doesn't do it very often and when we do it's like a couple oil change certificates or at most floor mats. I think we bill it out to "Goodwill" and not the customer's name.

The one "gray" area with Scion deals is the trade if there is one, as a previous poster mentioned. It shouldn't vary by more than $500 from dealer to dealer unless you come across a used car manager that is trying to steal your trade. We tend to be more aggressive with our Scion appraisals than others just because we should only have one shot. Scion sends a survey to each buyer as well and if that person happens to mention anything about negotiating numbers, well, that dealer will be paid a visit or some warnings will be issued, etc.

Another thing to keep in mind is that the College Grad rebate is also for people currently enrolled in a graduate program as well even if you graduated with your bachelor's longer than the two year "window". Negative items on your credit report though is an automatic disqualification unless it's like a $30 medical bill, which, c'mon

Ruskymx

[Tofu]

Originally Posted by ruskymx

That's the hard part because there can't be any paper trail that is with the paperwork because if there is and Scion finds it during an audit, the dealer is going to have issues. We have a form when we owe a customer something and a hard copy is kept with all the paperwork. I think the best way is to have the dealer give you whatever you are trying to get at the time of purchase. My dealer doesn't do it very often and when we do it's like a couple oil change certificates or at most floor mats. I think we bill it out to "Goodwill" and not the customer's name.

The one "gray" area with Scion deals is the trade if there is one, as a previous poster mentioned. It shouldn't vary by more than $500 from dealer to dealer unless you come across a used car manager that is trying to steal your trade. We tend to be more aggressive with our Scion appraisals than others just because we should only have one shot. Scion sends a survey to each buyer as well and if that person happens to mention anything about negotiating numbers, well, that dealer will be paid a visit or some warnings will be issued, etc.

Another thing to keep in mind is that the College Grad rebate is also for people currently enrolled in a graduate program as well even if you graduated with your bachelor's longer than the two year "window". Negative items on your credit report though is an automatic disqualification unless it's like a $30 medical bill, which, c'mon

Ruskymx

Hmmm okay thanks for the info..
I'm going to try to get free tint from them for sure.
And you have to be graduating within 4 months correct?

[ginog]

I say since you and I are Canadian, I will wait to see when the price for ours is out. We know already based on US/CAN Dollars we are going to have to add at least 5-7 Grand whatever the US price is. Then check out what carcostcanda shows and add like $500 to the cost. That is all the dealer is going to get from me.

At least we both subaru and toyota (oh scion) to see who will give us the better deal.

[Tofu]

With scion, we should only get about an 800$ markup and, depending on the dollar. I will haggle about it.

[ruskymx]

Originally Posted by Tofu

Hmmm okay thanks for the info..
I'm going to try to get free tint from them for sure.
And you have to be graduating within 4 months correct?

CG goes back 2 years or within 6 mos. You do need proof as well so be prepared to show them your diploma or transcripts/letter from registrar's office on University letterhead.

Ruskymx

[suprachica79]

RushyMX - just wanted to say thanks for all of your first hand Scion-Dealer knowledge. We've been playing a guessing game for months now about if it's really pure pricing or how good those of us who want a Scion can do in the haggling department. Insider knowledge like this is crucial. Thanks again!

As for the grad rebate, I thought I read that it was ending at the end of 2011. Do you know anything about this or if they will just renew that rebate for 2012?

[pastuch]

Originally Posted by Aznek

Hey guys, long time lurker here. I don't believe this question has been asked yet.

Does anyone here have any experience with buying Scions? I understand that Scion has this "Pure Pricing" policy but is it possible to get a cash rebate for paying in full or to have freebies thrown in?

Also, I was car shopping earlier this year and it seems like many dealers play dumb when you ask about cash rebates. As most people here probably do, I would check for manufacturer cash rebates online and when I would mention paying in full to the salesmen and ask about saving any money for doing so, they would say something along the lines of "sure, you'll save money by not having to pay the interest on the loan" :S

Anyways I am really excited to buy this car but I just like getting the most I can get out of my dollar.

I live in Canada btw.

As a fellow Canadian I'll add some perspective to this thread. Scion will not discount the vehicle with a cash rebate in it's first model year. All four current Scion models carry an 8% price premium over the US pricing which is very competitive for the Canadian market. The average markup for a Subaru in Canada is 40% over US pricing which makes buying a BRZ instead of an FRS TOTALLY FUCKING RETARDED.

Assuming the Fr-s is $22k to $23k in the US, then it will be $24 to 25K here. Good competition for the Genesis Coupe and Mustang v6 base.

Hyundai is probably the best for offering Cash rebates. I'm buying either the 2013 GC 2.0T or a 2013 FR-S. The GC will almost definitely have a $2400 cash rebate for the premium model at release.

Hyundai recognises the strength of the Canadian dollar and compensates for it with cash rebates.

Toyota/Lexus are the best. Almost every car is the same price as it is in the USA while Subaru shits in our mouths with their 40% markup.

[pastuch]

Originally Posted by ginog

I say since you and I are Canadian, I will wait to see when the price for ours is out. We know already based on US/CAN Dollars we are going to have to add at least 5-7 Grand whatever the US price is. Then check out what carcostcanda shows and add like $500 to the cost. That is all the dealer is going to get from me.

At least we both subaru and toyota (oh scion) to see who will give us the better deal.

NO! Only Subaru, Mazda, Nissan, Mercedes, Infiniti and a few other charge 5 to 7 grand more than the US prices.

Porsche and Audi are in the middle... 15% markup.

TOYOTA, Scion, Lexus, Hyundai and Ford provide very competitive pricing to Canadians. Toyota and Lexus in particular provide the same prices as the US.

Honestly, we should boycott these car companies until they fix their fucking pricing structures. Subaru can suck my ****.

Canada gets fucked.

Subaru Impreza WRX 5 door: USA: $25595 Canada: $33400 - 40% markup you F-U-C-King bastards!
Scion TC: USA: $19300 Canada: $20850 - 8% Markup
Genesis Coupe 2.0T: USA: $22250 Canada: $24899 (Plus $2500 cash rebate) - Equal when paying cash.
Mazda Miata Base: USA: $23200 Canada: $29000 - 25% markup
Ford Mustang V6 Base: USA: $22310 Canada: $22249 - V6 is cheap here but the V8 costs $9000 more!
Toyota Camry: USA: $20195 Canada: $23700 - 16% markup
Lexus IS 250: USA: $33595 Canada: $33895 - 1% markup!
Honda Civic SI: USA: $22405 Canada: $26000 - 17% markup
BMW 128I: USA: $31050 Canada: $36000 - 16% markup
Audi A4: USA: $32500 Canada: $37800 - 15% markup
Porsche 911: USA: $82100 Canada: $93700 - 15% markup
Infiniti G37 Coupe: USA: $37600 Canada: $46700 - 25% markup
Nissan 370z: USA: $31500 Canada: $41000 - 30% markup

[HyperTech]

i never saw scion offering cash rebate on their line up, the only thing i think we can deal is the accessories.

[ruskymx]

Originally Posted by suprachica79

RushyMX - just wanted to say thanks for all of your first hand Scion-Dealer knowledge. We've been playing a guessing game for months now about if it's really pure pricing or how good those of us who want a Scion can do in the haggling department. Insider knowledge like this is crucial. Thanks again!

As for the grad rebate, I thought I read that it was ending at the end of 2011. Do you know anything about this or if they will just renew that rebate for 2012?

The forms that we have now for the CG program say that it expires January 3, 2012. I'm sure they will extend it. When the program first started, it was for $400 and now it's up to $1,000. I have been wrong before, but I highly doubt they will do away with it.

Ruskymx