A few days ago I mentioned a GM Canada press release that outlined incentives on 2008 models, including the 2008 Saab range.
Pricing in Canada has been an emerging issue in the last few months because of the falling US dollar. Prices in Canada usually involve higher dollar figures and in the customary order of things, these higher numbers reflect the bigger market and stronger dollar in the US.
That stronger-dollar element is no longer applicable, and a number of car companies have found Canadian customers heading south to pick up some bargains in the US. Some of the companies have responded by lowering their MRSPs by 8-10% but most have held off.
GM are in the latter category and haven’t adjusted official prices as yet. And some Saab dealers in the north of the US have been told quite directly to not sell to Canadian customers. I read the intro to one such story – I think the dealer was in Michigan – but the story was subscription only so I can’t recount it here.
Instead of dropping MSRPs, GM are punting on the US dollar’s return and placing incentives on vehicles in Canada instead.
Whe this was first mentioned, the incentives were spoken of in general terms and described as being between $1,500 and $10,000 – depending on the make and model. As I still hadn’t seen any details pertaining to Saab recently, I wrote to Patty Faith of GM Canada, asking what the incentives on Saab’s 2008 range would be. Her reply:
Our recent incentive announcement includes $1,500 on all 2008 Saab models. In addition, customers can push the Wish&Win button for a chance at additional savings.
I’m pretty sure this still places a 2008 Saab in Canada well above it’s US counterpart, but it’s a start.
Hopefully they’ll read the market and make some proper adjustments soon. Hyundai’s just done it – offering $3K of a $19K Tiburon, which makes it cheaper to buy in Canada than in the US.