There's a new price list just been released for the Kodiaq.

 

No new options or specification changes, just a price hike of about 1.5%.

 

Chris

It'll mean very little in reality, no one pays list price.

 

Skoda's current £4,250 deposit contribution is the highest I've seen so will more than offset any price increases...

 

2 hours ago, silver1011 said:

It'll mean very little in reality, no one pays list price.

 

Skoda's current £4,250 deposit contribution is the highest I've seen so will more than offset any price increases...

 

 

What do you mean by means very little?  If the list price you pay rises by £500 then obviously the discount price you also rises by £500.  The increase may also tip some configurations over the £40k threshold which is pretty significant.

 

As for the £4250 discount - yes it's the biggest I've seen too, but you haven't read the small print, it's only off the price of cars currently in stock therfore limiting your engine / colour / spec choice. Will work for some but not everyone.

 

I wrote about these increases some weeks ago on Karoq, the bottom line being the Karoq has risen £2000 since December so I'd expect the Kodiaq to have done similar. An extra £1000 off stock from the normal PCP discount will still make it more expensive. Which ever way you look at it, the price increase is significant. 

Edited 15 May, 20206 yr by Guest

The list price can rise as much as it wants, that doesn't mean the price you price increases by the same amount.

 

The available discounts simply increase too, often more than the list price increases. Discounts come in all shapes and sizes, some we the public can see, many others we can't.

 

Those we can see such as the finance contributions, discounted servicing etc. have increased inline with the list prices, in this example significantly so. We can expect them to increase further as the effects of COVID-19 continue to hit.

 

Those we can't see increase too via reduced dealer margins and increased manufacturer incentives and volume rebates.

 

I'm not denying prices aren't increasing, they always have and always will, but comparing list price rises isn't indicative of higher purchase prices.

A higher list price isnt indicative of a higher purchase price? Wishful thinking.

Also in that offer - they pay your first 3 payments - so an additional £1300..  but the interest rate is also very low - 3.1% APR

 

As Silver said - they will be doing everything they can to start shifting metal - even selling at cost or a loss.....  because they need to start the business and factories to start the cash rolling... because they have lots of costs they have to pay.. and with no sales that's a huge problem.

 

This Applies to all businesses - but the Big Ticket items especially.. where the Manufacturing Plants have HUGE running costs and probably need between 70 and 90% normal sales to break even - even when flexing all their variable costs... 

 

 

Easiest and most accurate way to judge realistic sale price is to visit the web sites of various UK car brokers - not going to name any in case that's against forum rules

1 hour ago, SinglePointSafety said:

Easiest and most accurate way to judge realistic sale price is to visit the web sites of various UK car brokers - not going to name any in case that's against forum rules

 

Doesn't break rules to say what deals are available, but I spelt out the situation on the Karoq thread with a real world example of just what the increase meant. As Phasio says, it's wishful thinking if a price increase isn't reflected in the price you pay.

 

Going back to the Karoq, just five months ago Skoda were offering a £2750 PCP contribution and that was on any car not just stock ( don't know what it was on Kodiaq ) and now they've 'increased' it to £2500.  But that's sales for you and we all fall for it. 

9 hours ago, Phasio said:

A higher list price isnt indicative of a higher purchase price?

 

Correct, especially now.

On 16/05/2020 at 06:14, Phasio said:

A higher list price isnt indicative of a higher purchase price? Wishful thinking.

Totally agree, but there is rather a lot of smoke and mirrors, raising list prices and discounts.

 

A good place to start is the Slovakian Skoda configurator, price up your car, convert it to pounds, then try same on UK configurator.  You then know how much the car can be sold for in Europe which gives Skoda a profit, anything extra is someone’s markup.

 

The UK has an easily accessible finance market (competitive loans can be had with few clicks of a mouse), so really ought to be able to get a good price from a broker etc and cheap finance.

 

If UK dealer won’t match his EU counterparts (and we are still following EU rules/standards to 31 Dec so don’t take we have left as excuse) then why not take the identical product through whichever broker / dealer is cheapest

A better comparison is to other countries that have right hand models and that require the vehicles to go on a ship to arrive in that country.

No point looking at and comparing the RRP of Left Hand drive vehicles that are delivered overland on Continental Europe IMO.

Then also look at exchange rates.

 

Compare the UK and the Irish Republic who are staying in the EU, but then taxes are different from the UK's on vehicles.

 

 

Edited 19 May, 20206 yr by Roottootemblowinootsoot

On 19/05/2020 at 07:42, SurreyJohn said:

A good place to start is the Slovakian Skoda configurator, price up your car, convert it to pounds, then try same on UK configurator.  You then know how much the car can be sold for in Europe which gives Skoda a profit, anything extra is someone’s markup.

 

So who pays to ship the cars across the North Sea?

 

Who is paying Skoda UK's higher wage bill?

 

What about the apportioning of the lower volume / higher cost bespoke RHD components?

 

Are you assuming a Slovakian Kodiaq is the exact same specification as one built for the UK market?

 

And that's assuming you have access to what Skoda call the "basic price". After that you then have this to consider...

 

Differing import duties, tax, VAT and VED (Vehicle Excise Duty), especially relevant if the car you're configuring costs over £40,000.

 

Comparing a mainland European list price (RRP) to that of the UK won't accurately expose variation in profit margins.

 

Recommended Basic > VAT > RRP (List) > Recommended On The Road (OTR). OTR includes delivery, 12 months road fund licence and the DVLA's first registration fee.

 

The UK is sat on an awful lot of brand new cars, COVID-19 was not planned for. The production lines were running at full capacity and demand suddenly stopped without warning.

 

Irrespective of what Skoda UK are doing to their list pricing, the price you pay for a brand new Kodiaq this year is extremely unlikely to be the same or more than that of last year.

Quote

Irrespective of what Skoda UK are doing to their list pricing, the price you pay for a brand new Kodiaq this year is extremely unlikely to be the same or more than that of last year.

 

I have no real interest in what happens to car prices after Covid, but more than one person has asked Honest John his opinion about what will happen to car prices once dealerships reopen.

He disagrees with you and thinks that they will increase.

I can see a reasoning for either viewpoint, so it will be interesting to see what actually happens.

Honest John now owned by Heycar & Heycar owned partly by VW & Daimler, so for me i now believe them as much as Whatcar / Autocar and other publications owned by Baron Heseltine / Haymarket Media Group.

Or for that matter the SMMT.

 

Edited 20 May, 20206 yr by Roottootemblowinootsoot

That's interesting and something I wasn't aware of, although I've noted that replies from HJ himself have been missing lately.

I've read HJ for over 20 years and I've learned much from his columns. I do note though, that his answers seem much more generic than they used to be and I place less store in them than I used to.

However, I have more faith in the opinion of a person/company who has their finger on the pulse of the motor industry that an opinion on a forum.

I think Honest John himself has little to do with the site anymore after it had financial difficulties earlier in the year and was sold on.

It's basic supply and demand.

 

Supply, despite slowing has largely been maintained. Before it slowed it was running at full capacity. Those vehicles are now in stock.

 

Demand has dropped off a cliff.

 

When demand outstrips supply, prices increase, when supply exceeds demand, price decrease. It has been like this for hundreds of years.

 

Honest John as shown by Roottootemblowinootsoot is directly linked to the manufacturers. The last thing the manufacturers want the buying public to know is they've got more cars than they know what to do with.

 

I find it interesting how many people take what they read online, and are fed from the media as gospel.

@olderman1

Discounts and advice on finding bargains and paid for adverts might well be in Publications and independent advice is lovely.

Maybe from Bob Flavin and the likes.

 

As to Publications with such close contact to the Manufacturers and that require advertising, or the SMMT that represents the trade, i never see them trying to drive down prices to customers.

 

The 2nd hand market is manipulated by big Motor Groups,  Auction Companies like BCA and by Manufacturers like VW Group, VW Finance.