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SO how much is VW losing or mnaking on the 2010 GTI???

india320

Pro Seat Warmer
Just got an e mail from VW USA telling me all about the new 2010 GTI and how great it is etc etc. So I am left wondering if I can get a new GTI once the lease on my 07 is up in less than 10 months ? I get on VW site and punch in the options I want on a new 2010 GTI and the price is well over seven grand what my 07 had on its sticker. I am thinking no way Jose are you getting another GTI. BUT....

Having just gotten back from Italy and having had to eaten canned tuna due to the NASTY dollar to euro exchange I can't see how VW is making money on these things and how they are going to sell their mark in the USA under this economy.

Germany is one of the richest western countries in Europe and they are going to start to lay off 1000's of workers and that can only spell out shitty cars being built.

So I am left with this ache in my stomach that says wait at least a year and I may be relieved to see lots full of MK VI's and sub-300 a month "special" lease rates on fully equiped GTI's. Anyone care to chime in?
 

Mark@CarolinaVW

VW Product Advisor
You wont see any specials anytime soon on the GTI. Each dealer initally got 2. They sold like wildfire here. The CC and the GTI are super hot right now. As is anything TDI.

Most specials for lease rates are on the most basic models.

The quality of volkswagen is going UP not down. Trust me. I just spoke to a rep form Wolfsburg in our dealership on Thursday. VW is HARD pushing to be in the top 3 brands IQS wise. They are spending millions to do it as well. Everyone is in on the push for better JD Power IQS ratings. Everyone -From VW's top brass, to the production line, to myself on the sales floor teaching customers about the sometimes "confusing to americans" features of the car.

The only time you see super great rates on cars is late year, or during a serious crunch. Like right now - We have great deals on anything 2009. Go to VW's site and compare 2009 vs 2010 rates through VW credit.

Guess how many 2009 GTI's I have? None.
Guess how many 2009 CC's I have? None.

As for markup, the dollar to euro is not favorable right now. Here's a good example - The markup on a rabbit? A whopping $300. What do you think I make on that as a product advisor? Even on the more popular stuff, there is simply not much room to move on VW's.

You know Jetta TDI's are NOT discounted. We sell them here for MSRP. Period. I still make squat on them..

The way to save money on a VW isnt by negotiating price, its by making it up on financing or a lease deal. I just dont see that happening on a GTI anytime soon. The guys that are saying they are getting them for invoice, etc still arent saving that much.

If you REALLY must save a larger amount - Buy preowned. Usually the dealer has room to work with you there. I only have two preowned GTI's on my lot, a 2008 grey, and a 2008 R32. That's it. They are a very popular car down here.

These aren't BMW's guys. There is no $5000-$8000 (or more) markup on these cars. VW's goal, is volume. They want to sell 800,000 cars per year in the US in the next 4-5 years. They know they cant do that with big markups.

Its part of why they are building the chatanooga plant. Its cheaper to produce cars here, and that savings will be passed on to you. There will, however be no GTI coming out of that plant. The chatanooga plant wil be producing a mid sized family sedan to compete with camry and accord.
 

ITBGTI

New member
Its part of why they are building the chatanooga plant. Its cheaper to produce cars here, and that savings will be passed on to you. There will, however be no GTI coming out of that plant. The chatanooga plant wil be producing a mid sized family sedan to compete with camry and accord.

American Jobs! Another box checked for VW. I love it, I worked for GM while i was in HS at the plant in Doraville GA, now its closed and its just an empty building where gangs hang out, and hookers sell themselves.
 

Mark@CarolinaVW

VW Product Advisor
American Jobs! Another box checked for VW. I love it, I worked for GM while i was in HS at the plant in Doraville GA, now its closed and its just an empty building where gangs hang out, and hookers sell themselves.

+1 Man. Yep. American Jobs. VW now has the goal of being #1 in the world. They cannot do that with out the US market, and a good sized share of it.

You should see the place.. Its HUGE and VW Ag is putting ALOT of euros into it. Im really interested to see what the new model will be in its final design. Sure it will be a family sedan to compete with the camry and accord, but still.... Look at the CC. If its as cool as the CC, I may be a very busy rep in spring 2011.
 

DawnsKayBug1

Go Kart Champion
Whats a product advisor? fancy word for salesman?

I used to sell VWs in the mid 90s at a large multi brand dealership and I wouldnt really say we sold them. Hell we couldnt give them away. We had NEW Foxes that were 3 years old sitting there a Corrado as a demo with 40k . VW sent there German accented brass to talk to us we told him he is offering underpowered junk(cars with 2 different color interiors door panels thrown in the back seat for us to install?? ). He went on about how great VWs were when a Van we sold 4 days prior was towed in on a flatbed behind him as he is giving us the speech. The salesman who sold the van went apeshit on "Hans" and we all walked away leaving them there by his lonesome. Losing VW didnt matter to us we didnt care we didnt sell any of them.

I heard a few years back about VW trying to get back in the game quality wise hopefully it works out.
 

DickyP

New member
it's crazy reading the differance between euroland and US quality. Over here in UK VAG quality is well established and leagues ahead of ford and GM. The rice machines are cheap and tacky inside so anything german is just more well thought out.

Also every US car I've had during renting while in the US has been absolutely awful, fit finish and feel all rubbish, but I always take one as it's fun to mock the woefulness of it all!
 

Mark@CarolinaVW

VW Product Advisor
it's crazy reading the differance between euroland and US quality. Over here in UK VAG quality is well established and leagues ahead of ford and GM. The rice machines are cheap and tacky inside so anything german is just more well thought out.

Also every US car I've had during renting while in the US has been absolutely awful, fit finish and feel all rubbish, but I always take one as it's fun to mock the woefulness of it all!

Agreed.... The Mexican made cars (Jetta) arent nearly as nice as the german ones (CC, GTI)
 
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