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Old 03-06-2004, 11:54 AM
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Rob M
Rob M is offline
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don't get me wrong.... so far i love my crossfire. but after the initial wave of buyers who pay the full price to have the first one on the block there has to be something that results in continued strong sales. the rebates are probaly here to stay. here's what i think are some of the issues that explain why people aren't lined up to buy a crossfire. some have already been mentioned by others.

1. small advertising budget. i've yet to see a crossfire on the television or radio (i don't watch the apprentice).

2. the mercedes components are not talked up due to branding issues. if the general public knew the underpinnings were existing mercedes items, sales would likely be higher. however, if dc advertised this fact, it would be at the expense of mercedes sales and pricing. like when toyota made prizms for chevrolet. most people still bought the very similar corolla when they could have purchased the prizm for considerably less. ironically, the chevy is actually slightly more reliable because all were produced in the same factory vs. 2 factories for the corolla.

3. the msrp is higher than the competition, and arguably higher than it should be. (not trying to hurt anyone's feelings). dc's investment in the crossfire is mostly skin deep. they can make them cheaply since most of the components are already in the parts bin. $35K is more than the majority of potential buyers will pay for good looking sheet metal. another pricing issue is that all crossfires come fully equipped; there's no entry level. you can get rx-8s and 350zs that msrp well under 30K which gets buyers in the door to buy their fully optioned vehicles in the $32-$35K msrp range.

4. the chrysler image - they don't make cars that should cost $35K. sure you can price a town & country minivan into the 30s, but they start in the low 20s. though the prowler was $42K it only became a chysler in its last year when plymouth went away.

5. its a very competitive market, and the crossfire is late to the party. i see crossfires stacked up on some lots, but i also see lots of rx-8s and 350zs. all three are discounted, though the 350z less heavily. the boxster, tt, slk, and even the miata have all had some success in the two-seater niche before some of the previous players (nissan, mazda, etc.) came back. it's getting crowded. 20,000 units may prove to be too many.