January GTI Incentives

Shane_Anigans · Jan 9, 2018

Just released by VW, 1/9/18-1/31-18:

$4000 dealer cash on 2017 GTI (cash/VCI Std/3rd-party finance), $1500 at VCI Special APR (0%/72mo, 0.5%/75mo).

$500 dealer cash on 2018 GTI

CosmosMpower · Jan 9, 2018

Thanks, I knew the money would be better on the 17's not worse. Dealers were threatening that the 3500 previous incentive would run out LOL.

Does this mean 4,000 PLUS 1500 if you bring your own financing or you can choose 4,000 and take 0 apr for 72 months?

Or does it mean 4,000 plus 1,500 if you use VCI financing which is also 0 APR for 72 months? Meaning 5,500 off plus 0% APR for 72?

Also curious how much better net this Jan incentive is than the Dec incentive. I believe that was just $3,500 dealer cash plus $500 holiday cash but no financing discounts?

FriskyDingo · Jan 9, 2018

CosmosMpower said:
Thanks, I knew the money would be better on the 17's not worse. Dealers were threatening that the 3500 previous incentive would run out LOL.

Does this mean 4,000 PLUS 1500 if you bring your own financing or you can choose 4,000 and take 0 apr for 72 months?

Or does it mean 4,000 plus 1,500 if you use VCI financing which is also 0 APR for 72 months? Meaning 5,500 off plus 0% APR for 72?

Also curious how much better net this Jan incentive is than the Dec incentive. I believe that was just $3,500 dealer cash plus $500 holiday cash but no financing discounts?

Neither.

It means $4,000 if paying cash, going through an outside lender, or doing a standardized (nonincentivized) rate through VW

OR

Getting a special rate from VW, plus $1,500.

So if you take a special rate, you forfeit $2,500 of dealer cash.

CosmosMpower · Jan 9, 2018

FriskyDingo said:
Neither.

It means $4,000 if paying cash, going through an outside lender, or doing a standardized (nonincentivized) rate through VW

OR

Getting a special rate from VW, plus $1,500.

So if you take a special rate, you forfeit $2,500 of dealer cash.

Oh then it's about the same as the Dec incentive which was 3k or 3500 cash plus 500 holiday cash?

Jumpy · Jan 9, 2018

Where are you seeing this? On vw.com under Special Offers, it still shows the outdated incentives that expired yesterday...and there's still no 2018 GTI on the website.

Shane_Anigans · Jan 9, 2018

Jumpy said:
Where are you seeing this? On vw.com under Special Offers, it still shows the outdated incentives that expired yesterday...and there's still no 2018 GTI on the website.

I work in the industry. You won't see dealer cash from any MFR advertised on a consumer website. VW was supposed to release their new incentive programs last Wednesday, but they extended them twice, so they're probably still updating their site.

Shane_Anigans · Jan 9, 2018

CosmosMpower said:
Oh then it's about the same as the Dec incentive which was 3k or 3500 cash plus 500 holiday cash?

Yes, I believe so. Based on the last few months, I'd say the cash incentives on 2017 have leveled off, since they're probably going to final pay status (no more incentives, VW pays a flat amount to the dealer for each unit on the lot) on 3/1.

Jumpy · Jan 9, 2018

Shane_Anigans said:
I work in the industry. You won't see dealer cash from any MFR advertised on a consumer website. VW was supposed to release their new incentive programs last Wednesday, but they extended them twice, so they're probably still updating their site.

Well...how is anyone going to be "incentivized" by incentives they don't know about?

I noticed they keep extending the same old offers. It's getting annoying.

Shane_Anigans · Jan 9, 2018

Jumpy said:
Well...how is anyone going to be "incentivized" by incentives they don't know about?

I noticed they keep extending the same old offers. It's getting annoying.

The dealer cash can be used by the dealer however they like. Most use some of it to advertise a lower price on their website, and keep some in their pocket if further negotiations are required. Other dealers will throw all of it at the deal upfront, and make their money on the back-end programs that are tailored to each dealer (based on sales targets) and are not published anywhere.

They're basically extending the offers for another month or so, and then they stop offering incentives on the 2017s because there aren't any left. Also, because they have X amount of cash budgeted for incentives and the production is done, there's no more to offer.

Cool Hand Pete · Jan 9, 2018

Shane_Anigans said:
The dealer cash can be used by the dealer however they like. Most use some of it to advertise a lower price on their website, and keep some in their pocket if further negotiations are required. Other dealers will throw all of it at the deal upfront, and make their money on the back-end programs that are tailored to each dealer (based on sales targets) and are not published anywhere.

They're basically extending the offers for another month or so, and then they stop offering incentives on the 2017s because there aren't any left. Also, because they have X amount of cash budgeted for incentives and the production is done, there's no more to offer.

I appreciate you taking the time to give this information. It is so helpful. Many, many thanks.

I’m in the market now and will end up with either a 2017 or 2018 depending on what I can find, and when. It is so nice to be able to understand the system a little better.

Thanks again.

Sent from my iPhone using Tapatalk

Jumpy · Jan 9, 2018

Shane_Anigans said:
The dealer cash can be used by the dealer however they like. Most use some of it to advertise a lower price on their website, and keep some in their pocket if further negotiations are required. Other dealers will throw all of it at the deal upfront, and make their money on the back-end programs that are tailored to each dealer (based on sales targets) and are not published anywhere.

They're basically extending the offers for another month or so, and then they stop offering incentives on the 2017s because there aren't any left. Also, because they have X amount of cash budgeted for incentives and the production is done, there's no more to offer.

Good explanation

adam1991 · Jan 9, 2018

Shane_Anigans said:
I work in the industry. You won't see dealer cash from any MFR advertised on a consumer website.

Well, let me split a hair here. Costco's auto buying program offers complete transparency. You go to the Costco-approved dealer and get whatever Costco pricing is (for my 2017 Autobahn it was $900 under invoice), AND the Costco web site tells you what all the incentives are on the car in question. Including dealer cash.

So there's one consumer web site that will tell you.

Yeah, it's splitting hairs, but there you have it. At least it's available to the end consumer.

CosmosMpower · Jan 9, 2018

adam1991 said:
Well, let me split a hair here. Costco's auto buying program offers complete transparency. You go to the Costco-approved dealer and get whatever Costco pricing is (for my 2017 Autobahn it was $900 under invoice), AND the Costco web site tells you what all the incentives are on the car in question. Including dealer cash.

So there's one consumer web site that will tell you.

Yeah, it's splitting hairs, but there you have it. At least it's available to the end consumer.

How much off msrp is 900 under invoice?

adam1991 · Jan 9, 2018

On my Autobahn/DSG, as I remember invoice was $35100. That made the Costco pricing $34200. Then take off any incentives. In December, cash back to dealer was $3500; that brought it down to $30,700.

But even at that price, I already had another dealer that beat that, handily--with zero games.

(The Costco dealer in my area, though sucks and wanted to play games. I walked out. When Costco surveyed my opinion of how their service worked for me, I told them. That generated a call from Costco to me, to ask me in person. I told them. I believe in Costco; I also believe that some dealers take advantage of it and play their games anyway, expecting never to be caught and expecting every Costco buyer to just suck it up and accept it.)

Shane_Anigans · Jan 9, 2018

adam1991 said:
Well, let me split a hair here. Costco's auto buying program offers complete transparency. You go to the Costco-approved dealer and get whatever Costco pricing is (for my 2017 Autobahn it was $900 under invoice), AND the Costco web site tells you what all the incentives are on the car in question. Including dealer cash.

So there's one consumer web site that will tell you.

Yeah, it's splitting hairs, but there you have it. At least it's available to the end consumer.

Interesting. I was under the impression that Costco's buying service worked like cars.com; you simply tell them what you want, generate a certificate, and then take it to the nearest participating dealer to get your car.

I'm surprised that their site actually lists the dealer cash as such, since all the manufacturers treat dealer cash programs as privileged information. The dealers (even the ones who'll give you the whole incentive without negotiating) don't refer to it as a MFR to dealer incentive in their advertising, but they will make it look like they're giving you a discount out of the goodness of their hearts.

January GTI Incentives

Shane_Anigans

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CosmosMpower

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FriskyDingo

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CosmosMpower

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Jumpy

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Shane_Anigans

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Shane_Anigans

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Jumpy

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Shane_Anigans

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Cool Hand Pete

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Jumpy

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adam1991

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CosmosMpower

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adam1991

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Shane_Anigans

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