Haggle-free Toyota

Toyota New Zealand could be about to revolutionise the way new vehicles are sold, with its fixed-pricing, no haggling, system being introduced next week.

The motor industry giant wants to eliminate the hassles customers experience when buying a new vehicle.

Sales people will become salaried consultants, with their bonuses dependent on customer satisfaction rather than how many vehicles they sell.

Nor will the dealers have vehicles in stock. Instead, Toyota will provide them with demonstrator vehicles only. Once a customer has decided what to buy, their vehicle will be sourced from three large Toyota hubs, in Auckland, Wellington and Christchurch.

Toyota NZ chief executive officer Alistair Davis says this will save customers time and money, and provide more choice.

The changes could reduce

current recommended retail price levels by thousands of dollars on some models.

If it eliminates the “hard sell” showroom experience customers dislike so much, then fair enough.

Toyota is also introducing more certainty with fixed priced servicing and other incentives.

Others have tried to introduce elements of these changes (Honda, for example) but few have packaged it like Toyota. It’s been the industry sales leader for decades, and the market is bouyant, so few would bet against the company pulling the change off.

Against these strengths will be Kiwis’ love of a bargain, and their attachment to being offered a discount.