Now Look what Chrysler Is Doing.........

Seems like a good deal. I'm thinking of replacing my 135k mile grand cherokee with a new one. The gas card would save me $705 (if gas stays at $4 per gallon) for each of three years. But if pay cash for the vehicle, I'm losing $1000 per year in interest on the money that I would use to buy the vehicle. I think I'll wait.
 
Wonder why they would do that? Surely the 'aggressive' styling and macho names (Caliber, Magnum, Crossfire, Nitro ... it's only a matter of time before they introduce the Centerfire and the Sixgun) are enough to attract buyers. :p

I would like to think that most potential purchasers are canny enough to figure out that the cost of the 'free' gasoline discount is buried in the price of the vehicles. But that would be wrong.
 
Milton said:
Wonder why they would do that? Surely the 'aggressive' styling and macho names (Caliber, Magnum, Crossfire, Nitro ... it's only a matter of time before they introduce the Centerfire and the Sixgun) are enough to attract buyers. :p

...
Click to expand...

In the late 70s, Chrysler planned to badge one of its pickup versions the "Ramrod." Word leaked out and the consumer reaction was less than positive. Idea was dropped.

On occasion, I've wondered why anyone would buy an RV called an "Intruder" or an "Outlaw", but I digress.

Back to the topic -- you can bet that Chrysler is not being charitable with the gas offer. The cost of the offer is built into the cost of the vehicle or the cost of financing.
 
The deal is good for 3 years at a max of 12k per year.

The program is limited to 12,000 miles of driving annually based on the EPA combined city and highway fuel economy rating (lead foots may find they don’t get a full 12,000 miles in real-world driving) on the Chrysler vehicle purchased under the program, Landry said.. Thus, if the vehicle gets 28 miles per gallon, the customer will be able to purchase 428.5 gallons of gasoline at the program price, Chrysler said. Another unique wrinkle is that once the card is in the customer’s hands, it can be used by other family members and to fill-up other vehicles
Click to expand...

From the example above

  • at $4 per gallon - max savings is $1284
  • at $5 per gallon - max savings is $2568
  • etc
Clever approach... but it is a non-starter for us. The 28mpg listed above is probably not typical of most of their gas guzzlers. So the savings would be a bit more. I suppose it might be a decent idea for a lease if the car has any residual value... need to crunch the numbers.

Chrysler and other American manufacturers has better come up with much more fuel efficient vehicles... or they are toast.

It seems the Toyota might be cleaning up over the next few years as they expand the use of their hybrid technology.

Chevy Malibu 4 cyl is rated at 22/30mpg. The hybrid version is 24/32mpg. :p


The Prius is rated at 48/45 mpg. Of course, the malibu is about 550 lbs heavier (17%)... but so what? Somehow Toyota gets double the city mileage... and 50% greater highway mileage.

If those differences translate to other vehicle model... GM is screwed in the Hybrid market.
 
Why not a $2,500 discount from the price? IMHO it is just a gimmick to get people back in the showroom - the cost will be made up by "sales pushing" the trade in price down and all of the "sold" add ons. Limited to a max of 12K in miles per year for 3 years? I only average about 7K a year, would not help me at all. Think I will just keep driving my SUV. Sounds good tho. Wonder how they are going to limit the gas discount to the vehicle they sell you?
 
R Wood said:
Why not a $2,500 discount from the price? IMHO it is just a gimmick to get people back in the showroom - the cost will be made up by "sales pushing" the trade in price down and all of the "sold" add ons. Limited to a max of 12K in miles per year for 3 years? I only average about 7K a year, would not help me at all. Think I will just keep driving my SUV. Sounds good tho. Wonder how they are going to limit the gas discount to the vehicle they sell you?
Click to expand...

First, it was LIFETIME warranty on engine and powertrain, NOW it's cheap gas. Add onto that the HUGE rebates they HAVE to offer to clear inventory, and you wonder why Chrysler is struggling?

I have a Honda Odyssey, and am on that forum sometimes. There was a lady on there who decided to trade in her Odyssey and get a Chrysler Town and Country. They gave her $9000 OFF sticker on it. Those vans only have about $2500 in markup, so they are throwing $6500 in rebates and stuff to move them. I doubt that Honda and Toyota need to do that.......:eek::eek:
 
chinaco said:
The deal is good for 3 years at a max of 12k per year.



From the example above

  • at $4 per gallon - max savings is $1284
  • at $5 per gallon - max savings is $2568
  • etc
Clever approach... but it is a non-starter for us. The 28mpg listed above is probably not typical of most of their gas guzzlers. So the savings would be a bit more. I suppose it might be a decent idea for a lease if the car has any residual value... need to crunch the numbers.

Chrysler and other American manufacturers has better come up with much more fuel efficient vehicles... or they are toast.

It seems the Toyota might be cleaning up over the next few years as they expand the use of their hybrid technology.

Chevy Malibu 4 cyl is rated at 22/30mpg. The hybrid version is 24/32mpg. :p


The Prius is rated at 48/45 mpg. Of course, the malibu is about 550 lbs heavier (17%)... but so what? Somehow Toyota gets double the city mileage... and 50% greater highway mileage.

If those differences translate to other vehicle model... GM is screwed in the Hybrid market.
Click to expand...


we have a few prius in our company, they average 38-40 in the real world. not to bad but still far short of advertised
 
mathjak107 said:
we have a few prius in our company, they average 38-40 in the real world. not to bad but still far short of advertised
Click to expand...
That's only about 5 mpg better than my 2000 Camry Solara, which gets better than the advertised mileage.

So, given that I only drove 2000 miles last year, had I traded my Solara in on a really cute Prius I would have saved a whopping 7.5 gallons of gas ($26 savings) for the year.

Hmm, think I'll pass...
 
Want2retire said:
That's only about 5 mpg better than my 2000 Camry Solara, which gets better than the advertised mileage.

So, given that I only drove 2000 miles last year, had I traded my Solara in on a really cute Prius I would have saved a whopping 7.5 gallons of gas ($26 savings) for the year.

Hmm, think I'll pass...
Click to expand...

A very good consideration even if you own a 18 MPG SUV (like I do). Can't see the math in selling (at a considerable probable loss) to get something that will save $100 or $200 a year. When, and if it reaches more than $2,000 a year, it may become a consideration.
 
Want2retire said:
That's only about 5 mpg better than my 2000 Camry Solara, which gets better than the advertised mileage.

So, given that I only drove 2000 miles last year, had I traded my Solara in on a really cute Prius I would have saved a whopping 7.5 gallons of gas ($26 savings) for the year.

Hmm, think I'll pass...
Click to expand...

Same here, my 2005 4 cyl camry is getting upwards of 35 mpg on the highway and always 30+ city. Cost me 18K new three years ago, is paid for and has 58K on the odometer. Will drive the thing another 150K over the next 10 years.

Why buy a prius at 26K??
 
newguy888 said:
Same here, my 2005 4 cyl camry is getting upwards of 35 mpg on the highway and always 30+ city. Cost me 18K new three years ago, is paid for and has 58K on the odometer. Will drive the thing another 150K over the next 10 years.

Why buy a prius at 26K??
Click to expand...

Exactly. I helped my MIL pick out a new car - she got a Corolla at around $17k. At her rate of 2000 miles per year, the Corolla only uses $62 more gas than a Prius per year.
 
Sometimes there are more considerations than just money. :)

Though that may be anathema for this board.
 
eridanus said:
Sometimes there are more considerations than just money. :)

Though that may be anathema for this board.
Click to expand...

You're right. People want to look like they're doing something for the environment regardless of whether or not they actually are.
 
saluki9 said:
You're right. People want to look like they're doing something for the environment regardless of whether or not they actually are.
Click to expand...

True. There are those who care, and then there are the selfish.
 
R Wood said:
Can't see the math in selling (at a considerable probable loss)
Click to expand...
See generally globeandmail.com: Hey! Wanna buy my SUV?: "There's just one problem with getting rid of our old SUV. Nobody wants it.... [W]hen I checked out what we could get for it, I was shocked. The car that once made me feel like the Queen of the Road might fetch a summer's worth of gas."
 
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