[bowman19]

Question, based on the information below it looks like extended Friends & Family discounts will no longer be honored on the Caliber. How will this effect my special order placed on April 10? The dealer I ordered thru knew of my Friends discount and I had provided them with the controller number. Will this still be honored?

Source Reuters:
Complete article: http://today.reuters.com/news/articlenews.aspx?type=reutersEdge&storyid=2006-04-18T173639Z_01_N18363269_RTRUKOC_0_US-AUTOS-CHRYSLER-CALIBER.xml


DETROIT (Reuters) - Sales of DaimlerChrysler AG's (DCXGn.DE: Quote, Profile, Research) new Caliber compact hatchback have topped initial expectations, prompting the automaker to quietly curtail employee discounts for the car, company officials and dealers said. Chrysler has told dealers to stop granting employee-level pricing on the Caliber to all but the immediate family of workers and retirees over the past several days, a company spokesman confirmed on Tuesday.

 

[Xtreme Thunder]

Hmm...thats a good question, talk to the dealer and see if you are still able to receive the discount, and maybe they don't know yet (which I doubt). See what happens when you get it, and if it was promised to you, go as high as you can go if you don't get it. Pretty touchy subject, but see what you can do.

 

[Steve Desjardins]

haven't heard anything on that. But Canadian programs and US ones are different.

 

[bowman19]

Definitely appreciate the feedback. I guess I will see what happens. Interesting though, I though that the Detroit newspapers would have picked up this story this morning. I haven't seen any other mention of it yet but thru Reuters. Cnn.com has a link but the page is not found. Hopefully all works out. I'm excited for the car and the savings on gas alone based on switching out my Grand Cherokee.

 

[jims2321]

The dealers are aware of it.. It has kill my deal. This will certainly backfire for Dodge when sales start to decline. My dealer was definitely pissed about it, because 80% of all his sales of Calibers were based upon F&F discounts being used to close the deals. I suspect that a good majority of the initial sales of Calibers involved F&F discounts, so I would expect to see sales leveling off and slightly declining for May onward, as people initial enthusament dies off. Smooth move Dodge...

 

[jims2321]

Wow, that is so weird... The dealer I was working with, just called... He said just got off the phone with the regional reps, and they are just stunned. Apparently nobody below corporate was aware this was coming. This is going to be a real problem for the dealers... because so many of them took orders for the calibers based upon the the F&F discount, and they are being told by corporate not to give it to anyone but employees and retirees. This means that the lots will start filling up with cancelled orders soon...

Jim

 

[Steve Desjardins]

they have to honour the price on an order. This has to be a US only thing.

 

[DodgeInfoCenter]

they have to honour the price on an order. This has to be a US only thing.

I believe they call it Sold Order Protection in the US but I could be wrong.

Dan

 

[Steve Desjardins]

we just call it price protection.

 

[jims2321]

Well then you need to have corporate contact the dealers with orders, because that is not what they are being told by the regional offices. And if you think about it.. Since the dealership is a franchise in the US (don't know about Canada) there is nothing that Dodge Corporate can do to force the dealer to honor the F&F discount. After all, when I call the Dodge Corporation about a problem with my Caravan, the line I got was, "They are independent dealers, and we contract them to do warranty work, we can not force them to do the work."

Jim

 

[Flaps]

Just a question, was the Friends and Family deal that much more money off? I would think the dealers could meet you half way on this anyway, plus I bet as the days pass, Chrysler rethinks this and offers it for current orders alreadynin the system.

I have had mine half a week, and unlike most new cars I am liking it more and more as I drive it, play with it and get to know it.

Just my 2 cents, Flaps

 

[draed]

The dealers are aware of it.. It has kill my deal. This will certainly backfire for Dodge when sales start to decline. My dealer was definitely pissed about it, because 80% of all his sales of Calibers were based upon F&F discounts being used to close the deals. I suspect that a good majority of the initial sales of Calibers involved F&F discounts, so I would expect to see sales leveling off and slightly declining for May onward, as people initial enthusament dies off. Smooth move Dodge...

I know it will probably never happen, but it would be interesting to see the exact percentage of Calibers that were sold with the F&F discount. I would bet that its probably not as high as you think. In the Cincinatti area I don't think very many dealers were offering that, at least not the 4 that I spoke with, and one was even marking them 3 grand over list and still moving them.

I know a few of the owners on this forum got the F&F discount, but I don't think it was a majority.

Who knows though, if sales don't remain strong from word of mouth and the exposure picking up (press, advertising, seeing cars at the lot, etc.), they will probably begin offering them again. And they may do it this fall again anyway if all the manufacturers do the "Employee Pricing" events like they did last year.

 

[jims2321]

In talking with half dozen or so dealers here in Central Florida, many of the Caliber sales were done with F&F discounts, the discount amounts to about 5% off of the MSRP, so after you do your best deal, then get another 5% off, that pretty well covers the TT&T on the car.

Jim

 

[Flaps]

In talking with half dozen or so dealers here in Central Florida, many of the Caliber sales were done with F&F discounts, the discount amounts to about 5% off of the MSRP, so after you do your best deal, then get another 5% off, that pretty well covers the TT&T on the car.

Jim

If the dealer offered to meet you half way on this,it would not be worth cancelling orders over. I got an ok deal without it, Got the 500.00 rebate and then 475.00 off sticker, they through in the premium mats after a small service issue listed elsewhere in this forum, and I got 6.9% finance with non perfect credit, so the car is a good deal even without this extra discount.

Flaps

 

[TommyLee]

Believe me, most retail Caliber sales/leases are not F&F deals (except around detroit or plant cities, maybe). This will not negatively impact sales. If the dealer were to be honest with you, he is probably glad the discount is gone, as he can now make a few (and I mean this literally) more dollars.

 

[katiescaliber]

I was offered F&F last Wednesday. They put the offer in writing and said it was good for one month. So I was taking my time on the order (remember I cancelled my first order with the first dealership to use the F&F at the 2nd dealership).

Well I read today about DCX cancelling this offer and freaked out so I called my dealership to say I was ready to put down a deposit and order the car. They said fine and I went over what I wanted and they gave me the price again, and it was the same offer. I went in later today and put down a deposit and signed a buyers order to guarantee this price. Either they don't know about DCX cancelling this or they are still offering it to me.

I don't see many dealerships honoring this deal for those who have orders in. With this discount, you are getting the car for cheaper than they paid and then they get reimbursed from DCX. If DCX won't reimburse them, why should they take the loss? Unless they are screwing you somewhere else (like on your trade or whatever) to compensate... (Luckily I am not trading in, lol)

But the salesman actually reminded us that my husband's employer is a DCX affiliate or something and he can buy 2 DCX cars per year using this discount. But still, in the article it said this employee discount was to be offered only to direct employees and retirees... I wonder if they will still accept "affiliate codes"?

This is all so disappointing and while I think my dealership will still honor it for me, I am certain that many dealerships will not and will have oodles of cancelled orders and sad customers!

P.S. Is a F&F discount administration fee of $75 normal??

 

[SinisterR/T]

Well, talk about good timing! I had been waiting on the dealership to secure a Black R/T for me for the last week or so, the got a Marine Blue one in that looked fantastic....mine! I had a feelin I should swing by and see what came in on the truck, good timing.

 

[GOT]

The local dealer near me is advertising the $500 manufacture rebate and THEN a $500 "dealer rebate".

...and I got 6.9% finance with non perfect credit...

D'OH! That's what I got and I have perfect credit


[edit]I mistaked... I got 6.55%... with perfect credit[/edit]

 

[TommyLee]

$75 is the fee DCX charges the dealer for adminestering the F&F discount.

 

[DodgeInfoCenter]

Since the dealership is a franchise in the US (don't know about Canada) there is nothing that Dodge Corporate can do to force the dealer to honor the F&F discount. After all, when I call the Dodge Corporation about a problem with my Caravan, the line I got was, "They are independent dealers, and we contract them to do warranty work, we can not force them to do the work."

This is absolutely right, each dealership is independently owned and operated, they do not have to participate in any incentive program they don’t want to and have the ability to set prices as they see fit.

The local dealer near me is advertising the $500 manufacture rebate and THEN a $500 "dealer rebate".

They also have the capacity to provide regional incentives outside of what is advertised by DCX. Typically these take forms of print and television commercials.

Believe me, most retail Caliber sales/leases are not F&F deals (except around Detroit or plant cities, maybe). This will not negatively impact sales. If the dealer were to be honest with you, he is probably glad the discount is gone, as he can now make a few (and I mean this literally) more dollars.

On high volume vehicles, incentives are commonly dropped all together due to high demand. I may not seem fair to drop a program abruptly but the shareholders have said otherwise.

Dan