Notices
Scion tC 1G Owners Lounge
2005-2010 [ANT10]

Toyota, sacrificing profits on tCs?

Thread Tools
 
Search this Thread
 
Old Nov 22, 2006 | 02:05 AM
  #1  
tortus's Avatar
Thread Starter
Member
5 Year Member
 
Joined: Nov 2006
Posts: 48
From: Morgantown, WV
Default Toyota, sacrificing profits on tCs?

When you compare the tC to other cars, it's really amazing what it brings to the table for $16k.

Here is a comparison between the Eclipse, Civic Si, VW GTI and tC

http://www.edmunds.com/new/2007/mits...4/compare.html

the tC is the cheapest car of the four by a long shot, yet it keeps pace with all of them feature by feature, just fine for the most part. Except the GTI does offer some nice stuff, but it's also priced at $22k.


So, is Toyota purposely taking a hit on Scions in hopes of getting young people hooked on Toyota? Why/how else do they manage to offer so much car for so little? The whole "generation y" seems important to car companies, and I wonder if Toyota's taking it to the extreme to try and ensure excellent marketshare in the future.
Old Nov 22, 2006 | 02:17 AM
  #2  
kdog_1981's Avatar
Senior Member
10 Year Member
5 Year Member
Scikotics
SL Member
 
Joined: Apr 2006
Posts: 1,870
From: Rochester, New York
Default

yes things like this has been talked of this many times.... this isn't new since scion has been out for 4 years
Old Nov 22, 2006 | 02:41 AM
  #3  
paul34's Avatar
Senior Member
10 Year Member
5 Year Member
SL Member
 
Joined: Jul 2006
Posts: 2,320
Default

yes, absolutely. Scion is and basically alwyas has been a brand that wasn't for profit per se, but really just to reel the "deviant" youth market back to Toyotas.

Think about it... once most of us "grow" out of our tCs/xBs/xAs, will we look at what Toyota has to offer first, or at least seriously consider it? Yes, we will.
Old Nov 22, 2006 | 03:32 AM
  #4  
bronxblaza117's Avatar
Senior Member
10 Year Member
5 Year Member
tC squad
SL Member
Team ScioNRG
 
Joined: May 2006
Posts: 667
From: Bronx, NY
Default

you really think they're not makin a profit? i highly doubt it, our paint isnt as good, interior isnt as good either... and they cut money from R&D by using current engine
Old Nov 22, 2006 | 03:46 AM
  #5  
ishb3w's Avatar
Member
5 Year Member
SL Member
 
Joined: Jul 2006
Posts: 93
From: Texas
Default

werd bronx, not to mention our bodies are made out of old recycled toyotas, theyre definately making a profit
Old Nov 22, 2006 | 04:12 AM
  #6  
TheScionicMan's Avatar
Senior Member
10 Year Member
5 Year Member

SL Member
Scion Evolution
 
Joined: Jan 2004
Posts: 5,736
From: In the Hot Tub
Default

They make a profit on them, but not as much as they could. I was talking to a Scion rep that said every tC basically costs them a Camry. They can stamp out bodies and assemble things til the cows come home but the one thing they were limited on was powerplants.

The difference is there's no Pure Pricing on the Camry, so the potential for profit is greater besides the built in profit.
Old Nov 22, 2006 | 05:42 AM
  #7  
06tC's Avatar
Senior Member
5 Year Member
SL Member
 
Joined: Nov 2006
Posts: 206
From: Paradise
Default

What's cheaper; designing a new powerplant or adding power up/down for two windows?

What's cheaper; designing a new frame or adding buttons on the steering wheel?

Scion also saves a lot of money by only offering cars in one basic configuration, with only three options from the factory: Paint color, transmission choice, and side/curtain airbags. They don't need tooling and development for an I4 and a V6, just the I4.

I think Scion is going the wholesale route. Selling loads of cars with a slightly lower market is easier than selling fewer cars for much more money. There's less competition in the 16-19K range than there is in the 20-26K range.
Old Nov 22, 2006 | 06:07 AM
  #8  
aelements's Avatar
Member
10 Year Member
5 Year Member
SL Member
 
Joined: Oct 2006
Posts: 93
From: Texas
Default

yeah thats true. they sell you a cheap car to let you modify it using their stuff if you want to b 100% in keeping your warrantee which cost a bit more.
they let you buy a cheap car
and modify it with expensive stuff
whatever works
Old Nov 22, 2006 | 07:46 AM
  #9  
Ty_Max's Avatar
Senior Member
10 Year Member
5 Year Member
SoCal tC Club
SL Member
 
Joined: Nov 2006
Posts: 1,504
From: California - La Palma
Default

I heard they are going to start selling less of the tc's to "preserve" the unique feel...
I have a feeling it will bump the price up and make the car actually worth what it should be
Old Nov 22, 2006 | 12:33 PM
  #10  
tortus's Avatar
Thread Starter
Member
5 Year Member
 
Joined: Nov 2006
Posts: 48
From: Morgantown, WV
Default

Originally Posted by TheScionicMan
The difference is there's no Pure Pricing on the Camry, so the potential for profit is greater besides the built in profit.
With this potentially tighter profits and sacrificing on the Scions, it makes sense that they implemented Pure Pricing. With PP, they remove that wildcard factor and can say matter of factly that a tC will make exactly this much profit. If there was no PP and people were managing to buy Scions at just above invoice, that could screw Toyota over.


I had an '05 xB. I sold it back to the dealer after it had about 2000 miles on it. I made a profit on the trade in (about $500), and when I traded it in the dealers were crowding around me frantically: "what color is it? manual or automatic? any mods??" This was back when Scions had just come to WV and the xB was really hot. Since it was used, there was no PP and I'm sure they sold that xB at a decent mark up. I'm also sure they sold it immediately
Old Nov 22, 2006 | 02:49 PM
  #11  
aelements's Avatar
Member
10 Year Member
5 Year Member
SL Member
 
Joined: Oct 2006
Posts: 93
From: Texas
Default

Originally Posted by Ty_Max
I heard they are going to start selling less of the tc's to "preserve" the unique feel...
I have a feeling it will bump the price up and make the car actually worth what it should be
they say they are selling it for less so you can mod it more. who needs 17" alloy rims when you are going to replace it is their logic. they put cheaper parts on the car so you can change them to exactly what you want
Old Nov 22, 2006 | 06:40 PM
  #12  
superemu's Avatar
Senior Member
10 Year Member
5 Year Member
SL Member
 
Joined: Sep 2006
Posts: 206
Default

Originally Posted by aelements
Originally Posted by Ty_Max
I heard they are going to start selling less of the tc's to "preserve" the unique feel...
I have a feeling it will bump the price up and make the car actually worth what it should be
they say they are selling it for less so you can mod it more. who needs 17" alloy rims when you are going to replace it is their logic. they put cheaper parts on the car so you can change them to exactly what you want
you two are talking about different things. his talking about production numbers. you're talking about Scion tC spec.

it's true they are cutting down on production numbers to keep scions more unique in the market.
Old Nov 22, 2006 | 08:37 PM
  #13  
06tC's Avatar
Senior Member
5 Year Member
SL Member
 
Joined: Nov 2006
Posts: 206
From: Paradise
Default

I highly doubt that the new limitation on production is going to affect the price at all, due to two factors.

1. Pure Price.

2. In October, Scion as a division sold 12,344 cars. That includes the xA, xB, and tC. Estimate that Scion sells this same number of cars every month, and that's a yearly figure of 148,128 cars. Somehow, I don't think limiting production to 150,000 cars is going to change the price of the cars. This is just a marketing technique that Scion is taking advantage of. It allows owners to claim some sort of exclusivity, even if it is imagined.
Old Nov 23, 2006 | 12:10 AM
  #14  
CuRiOuSfIsH's Avatar
Senior Member
10 Year Member
5 Year Member
SL Member
 
Joined: Sep 2004
Posts: 1,344
From: Queens, NY
Default

of all the cars you listed, yes, they cost more but they are also faster.... except the 4 cylinder Eclipse. I wouldnt put the tC with the Si GTi group.... more on the Civic EX, 4 cylinder Eclipse, Tiburon.... besides, in terms of performance, the new Civic is almost as fast as a tC.
Old Nov 26, 2006 | 07:56 AM
  #15  
ADRdesignCo's Avatar
Senior Member
10 Year Member
5 Year Member

SL Member
 
Joined: May 2006
Posts: 3,172
From: Bay Area
Default

i remember when i was talking to the salesguy. he mentioned how scion was still technically new and thus offered low prices. once scion is a totally established brand, (i.e. like a lexus or acura.. both very well known brands) im sure they will shoot the price up a bit. even at the moment, the prices of the cars are slowly (like 200ish a year) going up.
Old Nov 26, 2006 | 06:02 PM
  #16  
onefiend's Avatar
Senior Member
5 Year Member
SL Member
 
Joined: Jun 2004
Posts: 109
Default

This is nothing new. Scion is Toyota's youth brand. Scion will always remain affordable to the masses.

Alot of the options and accessories can easily take a tC to 20K though.
Old Nov 26, 2006 | 06:09 PM
  #17  
CuRiOuSfIsH's Avatar
Senior Member
10 Year Member
5 Year Member
SL Member
 
Joined: Sep 2004
Posts: 1,344
From: Queens, NY
Default

^^^ yuup! Attractive entry price...."personalize" and it's time to look elsewhere.
Old Nov 26, 2006 | 07:24 PM
  #18  
paul34's Avatar
Senior Member
10 Year Member
5 Year Member
SL Member
 
Joined: Jul 2006
Posts: 2,320
Default

But... the difference is that for the base price, you basically get what you can really use.

With other cars, they have great base prices, but not even basic things like power windows, A/C, etc.
Old Nov 26, 2006 | 07:42 PM
  #19  
CuRiOuSfIsH's Avatar
Senior Member
10 Year Member
5 Year Member
SL Member
 
Joined: Sep 2004
Posts: 1,344
From: Queens, NY
Default

^^^ yup, basic tC has a lot, even spec tC has a lot.
But some folks add on the spoilers, LED interior, scion security, pedals, *****, TRD exhaust, etc............. wow.
Related Topics
Thread
Thread Starter
Forum
Replies
Last Post
SEXB909
Regional - Pacific South
1
Jun 4, 2015 03:50 PM
mischadoll
Maintenance & Car Care
3
Mar 9, 2015 05:48 AM
ScionLife Editor
Scion News Forum
0
Feb 25, 2015 04:40 PM
ScionLife Editor
Scion News Forum
1
Dec 6, 2014 11:58 PM
ScionLife Editor
Scion News Forum
0
Nov 25, 2014 03:00 PM




All times are GMT. The time now is 10:09 PM.