Friday, March 26, 2010

What happened to loyalty?

So one of the big projects for us has been to replace Michelle's car (and also for me to get a car, since most likely we will not be able to walk to work in Santa Barbara). And it has meant going to and from car dealership after car dealership...) Outside of the fact we no longer have any trust in any of these dealers, or that we have seen the absolute lowest trade-in offers for her car, the end question for me involves loyalty. Toyota offers loyalty, but only if you are in the same house. So your mother owning one does not count. And VW? Forget it. The only loyalty is if you buy a new car, at the same class. So a Passat owner wanting another Passat (you want a Jetta? So sorry). It makes you wonder, doesn't it? What is the concept of loyalty in car purchase? And the second question, what is the model you need, since it almost seems as though dealers have limited loyalty to the overall brand. They care about sales, but a customer lifetime value is not factored in...Is there a better way to run this? Would you buy from an "Amazon" of cars, where you could order online what you wanted and know exactly how much you are paying? Perhaps given the purchase cost of a car, people need to discuss the cars with experts. But the negotiation might end up turning as many people away...Imagine if you could negotiate your own plane ticket (in person). Or the cost of your meal. Or would you rather just buy and enjoy?

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