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Saab's sales methods a double-edged sword?
Posted by Seamus (more from Seamus) on Mon, 9 Apr 2001 16:15:44
In Reply to: Is Germany that important? Focus on US and they beat..., Scott Paterson [Profile/Gallery]
, Mon, 9 Apr 2001 12:55:42
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Yep, the increased sales is certainly good from the view that Saab is getting more cars "out there" and into customers' hands, maybe even many first-time Saab owners. Hopefully, given a good ownership experience, many of those folks will be repeat buyers in future.
But I'm afraid that Brian is also right. The increased recent sales are largely due to subsidized leases and big time incentives. That is just not good business in the long run, and it certainly doesn't help the resale value....already irksome to many late model owners, as has been pointed out many times in the past. Unless I'm mistaken, BMW, Audi and Volvo don't have to resort to such tactics, at least not to the extent that Saab has done, in order to move vehicles. Although I did just hear that Lexus has just announced a subvented lease deal for the IS 300 due to falling sales.
At least with the 9-3, Saab is really treading water while waiting for the NG 9-3 to arrive. It really needs to be a home run, priced realistically and made trouble-free, right out of the starting gate.
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