Power dollars Vs $500 hellcat leases

[2pac]

What do you think Fca hated to do more? What caused them to lose more money?

Apply power dollars or apply rebates + incentivized leasing in Spring 2017.

Would love to hear different thoughts and opinions, it's worth noting whether fca will continue to apply power dollars or adjust production rates like after the 2016 MY.

 

[Thawkmike]

It’s seems clear to me that FCA prefers to talk you into buying vs leasing.

I would wager that the power dollar deal is very close to the dollar figure deal they were offering with the cheap leases.

Big difference would be with power dollar, their risk ends at the sale. They still hold risk for 3 years with the lease.


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[2pac]

It’s seems clear to me that FCA prefers to talk you into buying vs leasing.

I would wager that the power dollar deal is very close to the dollar figure deal they were offering with the cheap leases.

Big difference would be with power dollar, their risk ends at the sale. They still hold risk for 3 years with the lease.


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thats 100% hitting the nail on the head, they definitely want you to buy vs lease.

I always thought power dollars hurt them more but vindicated them from having to take back these leases and sell them at auction. But you may very well be right in that the delta between those insane lease deals and power dollars isn't as high as most would expect.

 

[Magnified]

Also, they can estimate all the costs of the lease up front and set aside such funds as a given. I'm not so sure the dollars were significantly different, and they really don't care about auctioning it off (in my opinion).

 

[2pac]

Also, they can estimate all the costs of the lease up front and set aside such funds as a given. I'm not so sure the dollars were significantly different, and they really don't care about auctioning it off (in my opinion).

That's a good point too, makes you wonder why they don't do both to move massive amounts of volume.

 

[Jack_Toepfer]

I really think FCA is doing just fine with these deals.

 

[Magnified]

They won't do anything that loses them serious money. They may not be banking like the want, but they're not hurting on these deals either. Car probably costs 45-50 to make.

 

[Jack_Toepfer]

Based on what I see on the road, they’re making it up in volume of sales. 3 Scats and a Hellcat at work alone.

 

[Boris]

I really think FCA is doing just fine with these deals.

They make money selling a 25k V6 version.
So giving back these power dollars on an already 90k car is still making them HUGE money.