How much !!!!

[grivas]

Originally Posted by SCP440

Yesterday I was at a classic car show and of course there was a manufacturer flogging there wares.

Maybe I am a bit out of touch but have you see what a VW Polo can cost you? Admittedly it was almost the top model but it was NOT a GTI and has a 1.0 litre engine but over £20k .

I was looking over it expecting something amazing and the salesman came over to me and was telling me there were lots of options available, I presumed they were all on this car hence the price and he explained the only extra on this car was the paint .

Wait for it if I wanted too put down £200 it could be mine for another £285 a months for 4 years and then for a paultey £7k after 4 years I could keep it. Is it me?

And how much does it cost Mr VW to manufacture this remarkable automobile?, I bet they get change out of 2K, I think the public are brain washed, but then the pound is now the new currency for a game of Monopoly! which doesn't help so there you have it, the modern era we all live in.

[grivas]

Originally Posted by Nev The Bear

You can see why Dacia's are such a popular car as cost a fraction of the price of a lot of other brands of new cars.

Kirsty's Dacia Stepway for the money is a very nice car with a fair bit of kit, such as:

LG Sat Nav Entertainment System with bluetooth technology
Electric Windows all round
Cruise Control
Start Stop technology
LED DRL's
0.9 Litre Petrol Engine which is also used by Renault
Front Fog Lights
Reverse parking sensors

Precisely, all these are great, but extras cost the manufacturer nothing but cost the customer a fortune, come selling time they make little to no difference to what the car is worth. Result beware of extras.

[rustymotor]

I always understood the margin on a new car ex factory was more in the hundreds not thousands

[SCP440]

Originally Posted by rustymotor

I always understood the margin on a new car ex factory was more in the hundreds not thousands

It depends if they factor in development costs or actual cost of manufacture? For example BMW at Cowley are paying less than £20 a tyre, just over that per wheel and about £170 for an engine. The biggest single cost in actually making a Mini in the UK is the labour. As has been said the total cost of getting a Mini from a pile of bits and pieces of metal into a car is probably only a couple of grand but it costs BMW millions to develop and crash test, the more they make reduces this cost per car obviously.

I am not defending the cost, far from it as I believe they price a car at '' what they think they can get away with'' but I think they have pushed this beyond sensible now. Since the weekend I have asked quite a few people what they thing the cost of a new Polo is and nobody has guessed correctly, several have come up with mid teens but a few have guessed at 10 grand. That in my view makes it overpriced as most things have a perceived value in peoples minds. If you walked into a showroom with 15k in your pocket expecting to buy a new VW Polo how disappointed would you be?

[topman]

Originally Posted by rustymotor

I always understood the margin on a new car ex factory was more in the hundreds not thousands

It is on small cars, more on bigger ones.

Best to look at in %, VW run on about 2% revenue. I doubt many big ones get above 5%. Its all about economies of scale.

[topman]

Originally Posted by SCP440

If you walked into a showroom with 15k in your pocket expecting to buy a new VW Polo how disappointed would you be?

I bet drive the deal would get it to that, they often undercut dealers by thousands.