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Saab's US Unique Selling Point (?)
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Posted by Jon in Chicago (more from Jon in Chicago) on Tue, 4 May 2004 11:56:36 Share Post by Email
In Reply to: Why not drop prices?, davecl [Profile/Gallery] , Tue, 4 May 2004 05:23:40
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One thing several car mags have mentioned over the years (though not enough of!) is that the schtick with a Saab 9-5 is that generally speaking you get a Swedish BMW 525 car for a 325 price. (The implication, of course, is that with the 9-3SS you get a 325 for a Accord V6/Acura TSX price.) It does seem that smart consumers figure this maxim out pretty quickly, and, as this post is proving, many of us bought our 9-5s for precisely this reason. In 2002, Would I have paid the $38k sticker (with delivery charge) on my 02' 9-5 Linear with premium package? 'What chou talkin' bout' Willis?' as the line goes. Would I have paid $29,800? 'Anytime, anywhere, anyplace.'

With the idea proposed in this thread Saab runs the risk of lowering the sticker price and even then falling back on incentives. If that happens, they will fold the brand. Make no mistake. Thus, the risk is one that involves potential death for Saab. That said, I do agree with the reasoning that making the market price 'official' will make what all of us already know more widely known and will certainly attract more buyers. It's just that if there is another serious dip in the economy, or our predictions for thrifty yuppies, etc. does not turn out to be true, I cannot see how Saab stays in business. Even now, they may be selling more cars with the introdution of the 9-3SS but I hear word from GM (for whom the venture capital company I work for has close ties) that Saab still has not had a profitable year, though they're within range to poke their head above water. It could be that until this happens they don't want to take any additional risks? Just some thoughts.


Jon

02' 9-5
97' 900 convt


posted by 12.100.24...

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