It is not looking good for Volkswagen right now, cutting corners on 11 million vehicles will have negative effects on any brand. The emission scandal is all over the news; consumers are less likely to purchase a Volkswagen due to its damaged reputation. The lack of market demand will lead to spectacular savings on new Volkswagens. I compiled this handy guide on how to save big on your Volkswagen purchase.
Why should I buy one?
The emission scandal only applies to Volkswagen vehicles with type EA189 4 cylinder diesel engine; all other Volkswagens are unaffected, therefore, will not make a difference. If you want to purchase a Volkswagen diesel, the emission recall is not a big deal. Collectively 500,000 diesel cars emitting ten to forty times the allowed amount of pollutants is bad for the environment and public health. But the harm to the public has been done, Volkswagen will fix and pay for the cost of the recall. They will most likely reduce the performance of the engine to meet emission standards. Unless you plan on drag racing your diesel Volkswagen, this fix will be a mere inconvenience. If you can deal with this inconvenience and a slightly less powerful vehicle, you can save a lot of money, which leads us to the next part.
How much can you save on a New Volkswagen?
Exact numbers are hard to come up with at the moment. Volkswagen did not update their programs yet for October. Currently, you can buy a 2015 Passat 1.8Ts automatic with an MSRP of $23,260 at $19,790. That is a savings of 3470 dollars with low APR financing; this price will be much lower due to discounts in the coming months. Volkswagen diesel sales will be down drastically due to bad publicity.
Diesel cars account for 20 to 25 percent of their current sales. To increase sales, they will offer significant discounts on the diesel just to sell it. This move will also cause the price of all new Volkswagens to drop. Some automakers will see this as an opportunity for a conquest sale and will offer additional discounts for Volkswagen owners, as some have done during other scandals in the past. This will lead Volkswagen to pile on even more discounts to protect their market share. In addition, desperate Volkswagen dealers looking to maintain sales and cash flow will sell their vehicles at a loss. Based on current prices and discounts to come, it is not unreasonable to expect 4000 to 5000 dollars discount depending on the model. Expect discounts to be more aggressively on diesel models. Volkswagen is not a luxury brand, that amount of discount is not chump change. You can negotiate as aggressive as you want within reason, but don’t expect discounts of over 30 percent, the sky is not falling. For those of you that don’t feel like negotiating, there is always this method.
When is the best time to buy?
Volkswagen will most likely update their programs in October to battle the decline in September sales and raising inventory. However, these discounts will taper off once they come to a resolution in how they will fix the recalled vehicles. Once that occurs and the news media stops covering the scandal, it is back to business as usual. Take advantage of the savings this scandal will bring, while you can.
@Chriszli is an independent automotive journalist. He has been around the block in the automotive industry and knows a few things.