Toyota Tundra in High Demand
Jason Lancaster | Aug 17, 2009 | Comments 39
Two months ago we posted an article about Toyota’s plan to manage the inventory of the Tundra very closely. The theory is that Toyota wants dealers to have barely enough Tundras to get by.
Do Toyota dealers have enough Tundras?
The trouble with “barely enough” is that it means different things to different people. For some, finding out that their local Toyota dealer has just 5 Tundras is disappointing. They want to buy a specific Tundra, and they want to buy it now.
The good news: despite the risks, Toyota’s strategy seems to be working – JD Power says that the Tundra is hot right now – check it out. Here’s why:
Let’s start with a comment from an upset consumer that sums up the risks of Toyota’s barely enough trucks strategy:
“Jimmydean: I’ve been in the market for a Tundra for several weeks now. What I’ve encountered at numerous Toyota dealers is a range from almost cocky, to uninspired or frustrated sales people. Basically, there is no product to LOOK AT or TEST DRIVE and therefore my interest in the Tundra is diminishing…Off to the GMC, Ford and Dodge dealers I go…“
Jimmy’s comments aren’t unusual when dealers have low volumes of desirable vehicles. Still, this isn’t the only kind of reaction that consumers have. In fact, when dealers have a low supply, consumers often create a feeding frenzy.
First, here’s why lots of inventory is bad:
When a consumer walks into their local Ford, GM, or Chrysler dealership, the lots are full of trucks. Consumers are asked: What cab? What engine? What color? etc… the sale dawdles. When they have lots of options, consumers take their time. No urgency (as a result of large inventory) results in a very slow sales process.
Often times dealers and manufacturers have to jump-start sales by offering substantial discounts…which is bad because discounts erode value. Consumers inevitably wonder “Why would they (the auto manufacturer) need to give me $3000 to buy this truck?” Discounts reduce consumer confidence and erode resale value. Domestics, which have been offering HUGE truck discounts for years, have terrible resale values… Edmunds.com lists the F150 and the Ram as two of the 10 worst resale values in the truck market.
Here’s why the Tundra is getting hot again:
- Fewer vehicles encourage consumers to act quickly. Quick action reduces one of the key advantages that Ford, GM, and Chrysler have over Toyota. At some point, if consumers wait long enough, Ford/GM/Chrysler is going to offer a ridiculous discount on a new F150/Silverado/Ram that’s simply too good to miss. If the Tundra is hard to get (especially the exact Tundra the consumer wants), they’re much more likely to act NOW – taking the air out of the domestics “blow out” sales.
- The Tundra’s perceived value is higher. When you go to the Ford dealership, you ask what kind of deal you can get on one of 100 trucks. When you go to the Toyota dealership, you ask if the blue Tundra in the back is still available (crossing your fingers the whole time). That’s a big difference.
- This strategy supports Toyota’s value story. Every Toyota dealer in North America has a plaque on the wall somewhere that reads: “the bitterness of poor quality remains long after the sweetness of cheap price is forgotten.” When consumers ask why there aren’t a lot of new Tundras to be had, dealers can explain that it’s because of quality…and it will make sense.
- This strategy supports the Tundra’s industry leading resale value. Toyota is hanging their hat on resale value, and it’s a good bet with the Tundra. When there are just barely enough new Tundras to go around, used Tundras become more valuable. Supply and demand, right?
Of course, the downsides to this strategy are:
- Transaction prices are higher. If the typical Tundra is more expensive than the typical F150, some people won’t buy the Tundra because they can’t afford to do so.
- Some consumers won’t engage. Like the comment above, some consumers will simply cross the Tundra off their list if they can’t find the exact model they want.
Will the downsides of this strategy outweigh the advantages? As of today, the answer seems to be yes..but what do you think? Would a scarcity of Tundras at your local Toyota dealer encourage or discourage you to buy? Comment below.
Filed Under: Tundra News
Whatever truck I buy next, I intend to order it to be produced exactly to my liking. I would rather wait several months to get the EXACT truck I want instead of getting options I don’t want or lack of options I do want. However…it is very disappointing that the Toyota dealers don’t at least have an offering more substantial than 4 or 5 new trucks. Most buyers won’t order a truck to be built and wait for its arrival. Low inventory could backfire if a customer can’t get the truck they want when they are ready to make a purchase.
Dang it. Now I’m second guessing my ’10 5.7 Dbl SR5 purchase over the weekend instead of waiting for additional Limiteds to be shipped to SoCal.
Just kidding – I’m totally jazzed.
Tundra in high demand??? I’m sorry but when you sale only 6,313 units in the month of July ’09 and only 42,419 units for the 2009 year, that is not high demand, sorry fellas. The F-Series sold 36,327 in July alone now that is considered high demand. Even the Ranger out sold the Tundra in July ’09 (7,695 units).
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http://news.pickuptrucks.com/2.....sales.html
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Evidently you haven’t visited many domestic dealers lately. Them like many of the import dealers have been scaling back on inventory. Why do you think most domestic dealers are coming up short on available vehicles for the CARS (cash for clunkers) program? Both Toyota and the domestics are in the same boat in regards to scaling back inventory due to the decrease in sales due to the economy. So please don’t try to use this as a crutch to try and push people into a purchase. Sure I bet there are many more F-Series on lots than there are Tundras, but simply referencing the sales figures from above and you’ll know exactly why that is.
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Regarding your 1-5 points on why she’s hot again…
1) You must not be seeing the rebates/discounts Toyota has been offerring on the Tundra & Tacoma. Nearly the same amounts as the domestics, give or take $500-$1K. And if the domestics have a higher volume of inventory, it provides consumers more options than having to settle for what the Toyota dealer has in stock. Personally, I buy what I want, I don’t settle for what’s left on the lot to choose from. And I
In my view, if I really want something, I’ll wait. It’s like telling me that the house I want isn’t ready yet so I’m going to settle for something else. NOT! A vehicle is a large enough investment that waiting a few weeks is smart enough. There’s no way in HELL I’d leave a Toyota dealership and run to GM, Ford, Chevy. If I did then I was in no way really researching what I wanted in a truck in the first place. Good luck to those who have gone on….and welcome the waiting Tundra-owners-to-be to our club! I’m sorry but I just love my truck way too much and I’m soooooo glad that Ford dealership was closed the day I decided to go buy a truck.
Justin – Read the article from USA Today citing JD Power. Nationwide, Tundras are in short supply and sales are steady. You can argue with my “assumptions” if you like, but there’s not getting around the fact that Tundras are in high demand.
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You have a tendency to assume that all consumers act like you do when it comes to buying cars, but I would say that you are the exception and not the rule. You are far more discriminating and intelligent than the average consumer. Take it from a guy who worked at a dealership for YEARS – the “feeding frenzy” mentality is real. Sure, there are some consumers who get mad and leave, but most consumers take a lack of inventory as a sign that a vehicle is popular.
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We’ve had the resale value argument before, and I say so what? If you buy a new Tundra and turn around and trade it 3 years from now, you’ll get more of your money back. If we assume the F150 and Tundra are equal in all respects (and they’re not – each as better at some things than the other), the Tundra is the better buy if you intend to sell it or trade it in less than 5 years.
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I think you need to re-read our article. We’re simply exploring the thoughts that go through a consumer’s mind in an effort to explain why the Tundra is in demand. BTW, my 6 years of personal experience as a salesperson and sales manager at a Ford dealership forms a lot of the basis for this argument. If you think I’m full of BS, I’d like to ask you to think back to the days when the 2001 SuperDuty came out…
This is the biggest spin piece on the Tundra I believe I have ever read. None of the four points are based on fact.
Justin already did a thorough job dissecting each point made above, but I’d also like to add for #3 that the numerous Tundras have had issues with the tailgates warping due to as little as 300 lbs of weight resting on them. As for perceived quality driving sales, then why are they down 52% year-over-year for July while the F-series and Silverado are both down 32%? The incentives argument is bunk, because Toyota has been offering hefty incentives on the Tundra since last summer.
The Tundra’s “high demand” is due to Toyota slashing production for 3 months last summer after the trucks were piling up on lots. Has everyone already forgotten when they shut down Tundra production the Princeton plant in ’08 due to low demand? This was even before the economic fallout. Toyota announced they were cutting capacity to 200,000 annually, a third of what they were originally projecting when they built the Texas plant. When you aren’t building trucks and slashing production because your model isn’t selling like you expected, of course the demand is going to be high as supply runs low.
http://www.planetark.com/daily...../story.htm
This article is extremely misleading.
Jason all I can say is who has the highest rating when it comes to rear end collision? Sure not the F-150. Sorry to say Justin but your King Ranch along with the Platinum are more expensive than the Limited. Now if we include our Platinum then you can say either and or. As fro resale you’re wrong on that. More trucks on the road doesn’t constitute it’s a better truck. Ever thought it maybe a cheaper truck?
ndec84 – Sorry bro, but this article is pretty simple. The Tundra is in short supply on dealer lots and sales are steady. If it’s harder to find the Tundra you want that it is to find the F150 (or Ram or GM) you want, doesn’t that mean the Tundra is in greater demand? After all, isn’t demand relative?
Jason,
If you only sold 2 vehicles and had 5 people waiting in line, you could also call that high demand. But in the end, you sold 2 vehicles.
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The Tundra sold about 6300 last month, vs. 13800 the previous July ’08. In 2007, it sold a significant 196,555. In 2008, it sold 137,000. This year, it is on track to sell about 80,000. Sales have been dropping since January 2008, and has seen far higher declines than every other full-size truck except the Titan. To most, that would indicate waning demand.
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If you want to call supply constraints due to slashing production “high demand,” well there’s not much else I can say. However, a significant loss of volume is not making Toyota any money, especially after investing over a billion dollars into a new truck plant that is now underutilized.
Both sides make valid points, however, I tend to side with Jason mostly. At least here in WI, 99% of Toyota dealers only have 2-3 2010 Tundras on their lots (no 2009’s) and most are either base work truck models or 1 over 40K, not much in between which is where most of the sales take place. These Toyota dealers NEED to ask the mfg. to get them more to sell. I don’t think the demand is or will ever be as popular as 2007 when they first came out, but there is much more demand, at least where I live, than supply. For me, this sucks bigtime. When I bought my 2010 tundra SR5 double cab 4wd, I had to drive 100 miles away since my 3 local Toyota dealers had 1 double cab at most in stock and not the color I wanted. I agree also with TxTEE, I will NOT buy a 30K truck without getting darn near exactly what I want and need in terms of options and color preference. This new dealer I never dealt with before gave me a little run around seeing as how he wanted to make 3K profit total on trade in and markup on the new truck. I was just about ready to walk out after 2 very long time consuming visits and told him if this truck was at my local Toyota dealer, I would buy at invoice and get the same if not better trade in price. I hated going back and forth and dickering on price to finally get the 2010 tundra at invoice or not buying at all (I am firm on my price I will pay and a tight wad). Most consumers would have walked out because of the hastle to find a tundra worth buying and wasting 3 whole days of driving and dickering on price to finally get what you want. Come on Toyota, pick up the pace and build more Tundras so people like me do not have to waste days at a time. I know the price of the tundras and what I want, so build them. That is one thing that is good for consumers with the big 3, go into almost any local dealer and you can get what you want without much hastle and wasted time. Like I said, I am agreeing with both sides of the issue, but would prefer Toyota to build the Tundras with more of a supply on dealers lots like the Big 3 so consumers don’t have to waste valuable days just to find 1 double cab I wanted. Thank god for the internet to do a dealer search trying to find a few tundras in WI to pick from.
Mickey: Rear end collision rating, that’s it? Come on the majority of accidents involve the front of at least one of the vehicles in the accident, making front crash rating slightly more improtant than rear. And you proved my point. It was stated in the article that the Tundra may not be the option for a consumer due to its higher cost. I was stating that if that was true (Tundra cost more), why was the KR and Plat. more expensive than the Limited? Those KR & Plat model F150s are selling like hot cakes. You simply helped prove my point, so thanks! True more trucks on the road may not mean it’s better, but just because one may be cheaper than the other, doesn’t consititute that the more expensive truck is better either. Maybe the fact of the matter is Ford produces many more F-Series than Toyota does Tundra, because it has the capacity too and/or Ford has more clientel in this segment.
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Jason: Just because the Tundra is in short supply and sales are steady, doesn’t mean it’s in high demand, simply means there aren’t many to be hand is all. Heck Ford has no shortage of supply on the F-Series and their sales are a lot better than the Tundra. So maybe using the logic of this article, the F-Series is in high demand, because well, simply look at those sales figures.
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I had an entire response to your post, but it looks like ndec84 covered it all. Slashing production by 2/3’s, shutting down the Indiana facility and stopping production for roughly 3 months, will lower the available inventory. This has simply artificially inflated the high demand. Just because you have a low inventory and you are selling those few trucks that are on lots, doesn’t constitute high demand. Now if they had high inventory, couldn’t keep them in stock and had to ramp up production, now those are signs of high demand. 6K units in a month is not high demand, no matter which way you look at it, I’m sorry. Would we be saying the Camry is in high demand because it only sold 6K units in a month? Don’t think so. But like ndec84 stated, this is simply a spin job.
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True, people who lack the forsight to research vehicles may assume based on this low inventory that the vehicle is a hot seller, I don’t disagree. This is why people need to be a little more educated on their purchases. Heck a vehicle is usually the 2nd largest investment a person makes in their life.
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I’m lost with your ’01 S.D. comment. The trucks were selling like hot cakes, in a much higher demand than the Tundra is currently. This truck helped set a then sales record for a any modelvehicle. But Ford hand the capability to ramp up production. If the Tundra is in such hot demand, why doesn’t Toyota increase production?
Most people buy Fords because they can find them…not because of their quality. It doesn’t mean it’s in high demand – just a highly available POS. 🙂 The average person driving trucks don’t even NEED a truck. It’s for the looks. Do they know what it can really do? Probably not. They’re loading the kiddos in and trying to ride high but the bed is just hanging around like a tail on a dog. So run off to the Ford, GM, and Chevy dealer if you can’t wait for the Tundra.
TXTee, I am going to have to disagree with your assessment that Ford trucks are POS. You don’t get to the top of the truck world by making unreliable trucks. Ford has steadily made a strong, capable truck year after year. Sure, they have had problems (i.e. catching on fire, etc.), but so have Toyota, GM, Nissan, etc. A responsible Tundra owner should respectfully recognize the leader in truck sales is there for a reason…even if the top of the line engine is a LOT weaker than the Tundra’s.
Apparently read the University of Michigan’s report on reliability. Ford got an 83 along with GM. Ford was up 3 points and GM was up 4 points. Lexus and Cadillac got an 89. Lexus up 2 points. Toyota got an 86 up 2 points. So Justin you’re story about reliability just got a hole in it. This report was for vehicles that were 1 year old. You mention cash for clunkers and the world news mention that they aren’t buying Gm and Ford’s the domestic brand but buying the foreign brand of Toyota and Honda. Justin we both have the same rating for front end collision you don’t have a favored rear end collision so you just blow it off? What a way to tell consumers that. Justin you bring up the 6 speed tranny and how easy you forget your flop with it in the Explorer. As far as the price of the trucks you are fooling yourself that KR and Plat are selling that fast.
There are a lot of quality trucks on the road today each excelling in there own ways. I personally bought a Tundra because it had the features i was looking for at a reasonable price. I was also looking at GMC, Chevy, and Dodge at my time of purchase. I am very pleased with my truck so far but if i could have found a GM with comparable features for the price i payed i would have most likely purchased it. I own a 2004 Silverado as well that i rolled out of the dealership with 11 miles on it. My Chevy is pushing 70K miles and this weekend will be the first ‘failure’ (Fuel Pressure Regulator Valve) i have to work on. Not anything to leave you on the side of the road but just make idle a little rough. I also have a Tacoma at home I have now nominated to be strictly offroad. I beat the hell out of that truck and it just keeps on rolling. Tacoma is not Tundra.. i understand this.. but damn that truck is tough. If the same engineers worked on both then i have high expectations for my Tundra. I love my Chevy and I Love my Tundra.
Can’t we all just get along? 🙂
TXTee: That’s why the F150 has been the best selling truck for 30+ years and the best-selling vehicle for roughly 5-10yrs now. If it truly lacked the quality you speak of, people wouldn’t buy them, even fleets. And last time I checked, many more F-Series are working at construction sites and in the fields than Tundras. Even if you based it on the % of trucks sold.
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Brian: Agree 100%. The 5.4L may be underpowered in comparison to the Tundra 5.7L, but doesn’t mean the F150 isn
Justin and ndec84 – I understand your argument, but I think that demand is reflected in availability of inventory. If Toyota ramps up production and demand falls, then so be it. My guess? Toyota has found the sweet spot where production and demand are very closely matched. For all of the reasons listed in the article, this is a good thing. If you object to the phrase “high demand” to describe a situation where people are competing to buy nearly every Tundra that Toyota produces, I’m open to suggestion.
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Still, the big picture here is that Ford, GM, and Chrylser are doing what they’ve ALWAYS done. Make hundreds of thousands of trucks, then force dealers to sell them regardless of profit. As someone who worked at a Ford dealership for years, I can tell you exactly how it works: 1) Manufacturer rep comes to dealership and begs/pleads/cajoles you to take on far too many vehicles. 2) Inventory stacks up on the lot. 3) Manufacturer offers a special consumer promo (and matching dealer cash incentive) to bring inventory back in line. Consumers walk out the door with “employee pricing”, $10k off MSRP, etc. 4) Factory rep returns, points to all the sales you made (most of which were at a ridiculous discount for little or no profit), and says that you can now take on MORE inventory! 5) Rinse. Wash. Repeat. The cycle continues, and the discounts get bigger every time.
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Ford, GM, and Chyrsler HAVE to sell hundreds of thousands of trucks because they go out of business if they don’t. Toyota? They make just enough trucks to satisfy demand. Toyota dealers don’t have to give away the keys to the dealership to sell a Tundra – they get to hold a profit instead. Consumers get unbelievable resale value. I beg you, what’s the flaw in this strategy? Why is it better to stamp out millions of trucks when consumers have to be enticed with big discounts to buy them?
Jason,
Your thinking is mostly correct, however, resale value is not much better, although better, in a Tundra vs. the Big 3. It depends a lot on where you live also. I can tell you why the supply is so low as can you, but the demand is not what you are thinking simply because the supply is so fricking low right now. They are not selling like hotcakes, but Toyota needs to step up production a lot so dealers have 5-10 on their lot so consumers have a choice of color and options. Dealers are willing to try to get a dealer traded Tundra in, but how many dealers are willing to give away their ONLY double cab Tundra when they will get NO TUNDRA
sorry, pushed wrong button yet again,
NO TUNDRA…. in return for the one that dealer gave up. NOT many dealers will do this until they make more Tundras. I can tell you some Toyota dealers around here are very cocky stating to me well, this is the color we have with this and that options and take it or leave it. So, I walked with that kind of attitude. Some Toyota salespeople seem to think the ONLY truck competent out their and the best is the Tundra and take it or leave it and are rude and cocky. Tundra does have it’s advantages and disadvantages over the competition, but to say it is better than the rest is a downright lie. It all depends on what the consumer is looking for. I think Toyota is making a big mistake holding back on production of 2010 Tundras making them scarce on dealers’ lots thinking stupid consumers will take ONLY what is offered on the lot or wait weeks or even months with a dealer and change the allotment of options on a to be built truck order that will be built for the dealer. Consumers are not that ignorant and spending 30K for a truck is a lot no matter how rich you are and Toyota better realize that. Maybe Toyota is not increasing production and not telling the general public about a possible stopping of Tundra’s for 2011 and getting out of the full size truck market for good? A possibility seeing as how Tundra production has not picked up yet and the 2010 Tundras have been produced since May of 2009 and still very few Tundra’s on dealers’ lots.
And the reason you see Ford fleet in construction is b/c it’s cheap….not b/c it’s a great hard-working vehicle. Why invest in a truck that’s going to get banged up and crap out anyway? The same reason most fleet vehicles are white…why put pigment in the paint? LOL Talk all you want but Ford is cheap crap. Best selling doesn’t mean quality, in my opinion. You can sell more fast food burgers than a gourmet one, but does it make the cheap one better quality or healthier? And the comment on being a “responsible Tundra owner” was just ignorant. Responsibility has nothing to do with recognizing sales don’t equate to quality. Please grab a dictionary and reference the meanings of simple terms. All these supposed facts when all you need is a little common sense….
I must have struck some kind of cord to get you all fired up like that. It is you, my dear, who are ignorant to think that there could not be another truck on the market as reliable or as hard-working as the Tundra. Edmunds.com has said, and I paraphrase, that all of the full-size trucks are very good and would be well-suited to any task. So to make a blanket argument that Ford, or GM, make a cheap/unreliable vehicle is one that is uninformed of current automotive trends. Ford is now equal to Toyota in quality surveys and GM is closing the gap. I am not saying the Tundra is bad. It is a very good truck…especially the powertrain. I am simply recognizing that there are other very competent, similarly reliable trucks on the market. It is a matter of choice. You chose a Tundra because you felt it would suit your needs, and it has, apparently. Some truck owners choose Toyota, some Ford, some Chevrolet. Do you see my point? I am not here to bash or praise any one brand. I have been the owner of 4 Toyotas, 2 of which I still own. So I know about and appreciate their proven reliability. I have, however, personally watched the build quality of Toyota deteriorate in recent years. I am hopeful that Akio Toyoda can put the company back on track to increase quality to the 1980s era quality that drew me to Toyota in the first place.
You spoke of common sense: Common sense would tell you that if I am a contractor and my truck is what helps me make money, then it had better be reliable and not break down. Again, truck sales of GM and Ford are very high in this arena for a good reason. I’m not saying a Tundra wouldn’t do the same reliable hard work, but money talks in business and if I can get a base model 4.6L V-8 Ford or a 4.8L Chevrolet for $3000 less than a base model 4.0L V-6 Tundra, then that’s my play. Again…common sense!
Brian – I agree that most trucks are good. I do think, however, that we need to clear the air on one issue: Contractors usually buy the CHEAPEST thing they can get. They’re not thinking about anything but that first check. Trust me on this one – back in my days as a Ford dealership sales manager, I remember losing fleet orders to GM because they were $200 to $300 cheaper per unit…despite the fleet owners preference for Ford! I’m not saying that Fords are bad, nor am I saying that GM is bad…I’m just saying that, at the end of the day, the upfront cost is usually (not always, but usually) the determining factor in my experience. I think most fleet managers will agree.
mk – Mark Twain said something once to the effect “never underestimate the stupidity of the American voter.” I think the same thing can be said of car buyers. I agree with your point that some people will be turned off by this strategy – but in my experience it’s more than compensated for by the excitement it causes for everyone else. I’ve seen it many times – vehicles in short supply become more desirable simply because they’re in short supply. There’s no logic to it.
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I agree that Toyota could sell more trucks if they increased production. That’s the biggest downside to this strategy that’s not mentioned in our article.
Brian, dear, I’m not fired up about anything. What do I have to gain or lose from a forum of people I don’t know personally? LOL I think you’re funny! Here’s why – you keep imposing what was not stated instead of simply reading what I said. Nowhere did I make a comparison between Toyota or Ford to say there was no better truck out there than a Tundra, much less mention Chevy or GM. So don’t tell me what I’m thinking until you concoct a way to become a synapse inside my brain. Second, you DO lack common sense, because you yourself stated a contractor is not willing to pay $3K more for a base Tundra when they can purchase a lower-priced fleet vehicle from the domestic market. Ahem, that’s why sales are higher…simply based on the fact that money talks and every dollar saved is a dollar earned in that contractor’s mind. It has nothing at all to do with quality. Thanks for proving yourself to be contradictory. I still think you’re ok though – no hard feelings. =)
TXTee, you’re funny! I like you! You can come to my house for a Sunday barbecue.
Why, thanks. Sounds like a truck meet to me. Now put some of that flame to a T-bone and we can have a cook off and brag about what state has the best BBQ.
Justin you know exactly what I meant about the explorer/expedition/navigator. I wasn’t sure which one it was. We have discussed this before but you wanted to play it. Telling Jason he’s bias? Justin you have moved way over the bias level with your last statements. As far as the college thing it was on my web browser of yahoo and the world news deal was ABC. Now for the rear you’re wrong. Until Ford does their test then they stay behind till it’s done. I’m surprised you haven’t stated why is it taking so long. As far as fleet sales Ford makes alot more than Toyota does. Toyota didn’t jump straight into the fleet sales in 07. So yes Ford would sell more fleet sales. You’re right Jason about contractor sales. It falls down to the bottom dollar and what’s in it for me atitude. Brian admitted that in his last sentence. Agree Jason with your last sentence. TXTee that would be my grill for the best BBQ…..LOL……As for me saying what’s the best truck out there. I had the rest (Ford & GM) Now I have the best. I don’t have a faulty computer or a headliner which falls down every 4 days or so. Again I had my truck in the shop for scheduled maintenance that didn’t cost me. In order to keep loyal customers the Toyota dealership has hooked me up. I can say I never had this kind of quality service at Ford or especially Chevy.
I know Tundras are in high demand but mainly because they are not building them fast enough. If Toyota really wants to compete in the 1/2 ton truck market, they need 3-10 double cabs, 3-5 regular cabs, and 3-10 crew max’s on all dealers’ lots instead of only 1-3 total at most on almost all Toyota dealerships’ lots. Some say this is smart for Toyota to keep inventory extremely low. I say it is stupid because #1: Most truck buyers spending 30K will not settle for a truck not close to nearly exactly what they want and #2: It makes Toyota sales on Tundras vs. the Big 3 look pitiful and people get the wrong impression the sales volume is so low so it must be a worse truck than Ford or Dodge or Chevy which it is not, and #3: They need more Tundras on the road being sold if dealers ever get them to sell because the best sales pitch is not from the salesmen, but owners telling other truck owners about how good the Tundra really is which ‘word of mouth’ is the best selling technique ever used.
mk – All good points – especially #3. It’s strategy that’s not without risks – that’s for sure.
Mk and Jason just went to 4 dealrs down here and only one had 8 trucks the others 4 or 5. Also most trucks had alot of features too. At least 2 limited’s.
I’m surprised you found a toyota dealer with 8 tundras on their lot, let alone 4-5. The 1-3 I have seen on the local lots are either stripped tundra grade work trucks or 1 of them worth 40K on up all decked out limited model being too expensive. Where are all the SR5 middle of the road tundras that I would think are the best selling mid-level trucks out there if only dealers had them to sell?
What’s wrong with snatching an 08 or 09 if available?
Actually, this is what happens when there is high demand.
http://www.detroitnews.com/art.....of%20scale
Not reduce production to make it look like it’s in high demand cause there are none on lots.
Anonymous – I think that production is an indicator of higher demand, but at the end of the day it all comes down to availability. The article is clear – the Tundra is in short supply (see USA Today article referencing JD Power). While the downside to this strategy is that it hampers the total sales volume (Toyota is likely missing sales because of a lack of availability), in our opinion the positives (higher perception of value, support for Toyota’s “quality” story, better resale) outweigh the sales lost. Your opinion seems to be that the Tundra isn’t popular because Tundra sales volumes are lower than Ford’s F150. If that’s true, most vehicles fall into the same category – the F-series is one of the best-selling vehicles in the world. Ford deserves credit for making a great product, but I think you’re missing our point: consumers are hot for the Tundra. They’re buying them as fast as Toyota can make them.
Toyota dealers are really starting to piss me off. I’ve been in the market for a truck for 2 months now and every dealer I’ve been to only have about two tundra in the lot. Out of the 6 dealers I’ve been to only one has the so call tundra platinum that I’m interested in and it was not the right color. I can order a new tundra but every discussion I’ve had with toyota salesman, if I order, they would not come down on MSRP price. Who the hell pays MSRP for a car!!! Tundra is off my list now. Off to the Ford dealer to start looking at the F150 platinum.
Tommy – I hear ya – this lack of inventory is clearly frustrating some potential buyers.
Tommy, Rebates…….. They have them…… If you really want one then order one or go online and find the one you like negotiate with that dealer for a price then travel to it. If you really mean what you said do the research and get one. You can also negotiate with the person online at a local dealer. Good things come to those who wait. Telling us you’re going to Ford only tells me you want a silver spoon handed to you and you didn’t really want a Platinum series Tundra. Either tell me about how you’re doing trying to get a Tundra or don’t waste everyone’s time crying about it. It only comes in 4 colors also. Black, Salsa Red Pearl, Silver Sky Metallic, and Slate Metallic.
Im frustrated too…. 12 weeks I was told to get my Salsa Red Pearl, Crew Max…… but I work at a Toyota plant and know that what I am getting is well worth the wait. You really do get what you pay for.
Jer it’s also worth the wait to get exactly what you wanted in a truck too. Nothing more and nothing less. You will have it in time for X-mas.