Nissan instructs dealers to take losses on car sales

Dealers offering up to 10% off invoice prices for 2024 models.

The typical cost of purchasing a brand-new vehicle remains steady at approximately $47,000. Car manufacturers enjoyed a strong position in the market due to restrictions caused by the pandemic leading to higher demand than supply. However, that situation is now in the past. New car stocks are increasing, particularly at Nissan, where there is an almost 100-day supply of new vehicles. The company is aiming to boost sales by allowing its dealers to offer their 2024 models at a discounted price.

A message distributed to dealers and obtained by Automotive News has disclosed that the car manufacturer is authorizing its dealers to offer discounts of up to 10 percent below the invoice price on its 2024 range. Nissan probably aims to clear out inventory in preparation for the arrival of the 2025 models, such as the new Kicks. Dealers are even permitted to provide discounts of up to 15 percent on the seven-year-old, second-generation Armada.

Over the last six months, it has become apparent that there are no bad deals on a Nissan, according to a dealer source who spoke with Automotive News. “If somebody wants to buy a car, you throw caution to the wind and just make a deal,” the source said.

Nissan is facing inventory challenges shortly after revealing strong sales figures for the first quarter. The company reported an 8.5 percent increase in sales during the initial three months of the year following a successful 2023. However, Nissan has observed a significant rise in fleet sales. Despite ending last year with a commendable 22.2 percent sales growth compared to 2022, this has not been adequate to decrease its stockpile.

Chances are slim that you will come across any deals on top-selling vehicles such as the GT-R or expensive versions like the $52,000 2024 Pathfinder Platinum. According to dealers who spoke with AN, they plan to focus their discounts on models that are not selling well and have minimal options. Apologies to fans of supercars.

Source: Automotive News

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