Nissan 370Z Forum

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-   -   Can someone explain Nissan's mentality to me. (http://www.the370z.com/nissan-370z-general-discussions/36631-can-someone-explain-nissans-mentality-me.html)

cfweber 05-18-2011 07:15 PM

decisions decisions
 
Quote:

Originally Posted by shesha (Post 1117612)
The 350z seemed like a hot selling car. I owned a g35 at the time. It seemed like everyone and their mother owned a 350. In 2009 I leased a 370. 2 years later I see other 370s every once in a while.

Is it because Nissan doesn't budge on 370 negotiations? Why hasn't the 370 sold as well. I don't mind as it makes me feel like I own a more rare car, but what is Nissan thinking. As far as sales numbers go? Has the 370 been a failure? Why doesnt the dealership offer better deals?

I just don't get it.

In 15 months my lease is up, what should I get?

In 15 months we'll have new choices on top of the present available models

now, I'd go with Porsche if I could make it happen.

EgoTrip 05-19-2011 08:12 AM

Personally, I waited till they finally had a financing deal before I got my Z. It's a great car, but I just can't bring myself to EVER pay sticker price for any car. That means I'll never be first on my block to have the cool new toy, but I'm OK with that.

DJ-of-E 05-19-2011 12:23 PM

Quote:

Originally Posted by EgoTrip (Post 1120467)
Personally, I waited till they finally had a financing deal before I got my Z. It's a great car, but I just can't bring myself to EVER pay sticker price for any car. That means I'll never be first on my block to have the cool new toy, but I'm OK with that.

Yeap, someone else will have a new toy whether it's a new car or new paint on the house. I, for one, like new paint on the house. =P

Hambone1 05-19-2011 12:55 PM

Quote:

Originally Posted by DJ-of-E (Post 1119542)
Yep, I feel special, too!.....until I drove to Irvine.

The thing is...it's a Nissan brand thing. Every person and their mother wants to own an Infinite, Acura, BMW, Mercedes, and Lexus. If this was an Infinite 370z, there be a whole lot of sales. I mean, I see more G37 on the road than 370z.

If you find an Infinite anything, buy at whatever price they ask, that is one rare car. In all seriousness, it's fairly straightforward as to why the sales of the 370Z are low. Most people in this economy looking in the $30-40k range are looking long term as they are not sure when the economy will come back. The Z is not a long term car for MOST people, as a daily or even second family vehicle. In addition, like someone said before, you can buy a late run 350 for essentially pennies on the dollar, while even 09 370's are still holding value well. Plain and simple, most people don't have the money or desire to buy what is an impractical, low volume car, and the ones that do either did it a few years back and are holding, or are going upmarket.

chuckd05 05-19-2011 04:41 PM

It's because everyone was waiting for the 5.0. Duh....

AlimonyHertz 05-20-2011 07:35 AM

The market for cars in the NE is saturated with Mercedes and BMW's. I drive 15 minutes north of Boston, daily for work, and see on average between 35-45 BMW's/Mercedes.

I have seen ONE 370z in my two years living in the city.

jubei 05-25-2011 09:21 PM

The economy is in the crapper right now, and people are just struggling to find jobs. I'm in NC as are a few of the other posters, and a few 370s are popping up. With unemployment ranging from 9-12% in the state, a sports car is unrealistic in most people's budget when they're just trying not to lose everything. However, I've seen about 2-3 a month driving a large chunk of I-40 on the weekends. The car is also relatively new (3 years), and the 350 wasn't all that common in the first couple of years in NC. Hell, I still get excited when I see any other Z on the road!!! Let's hope the economy turns around so that we don't lose the Z again!!!

chanchai 05-26-2011 09:16 AM

Quote:

Originally Posted by MRMONROE (Post 1117625)
Here in NC, the 370's are pretty common. The Nissan dealers here are pretty willing to "wheel and deal." I see the coupes very often, but I only see the roadsters (like mine) every so often. However, I must agree with you that the 350's were much more common. I had 2 of them and always saw them EVERYWHERE.

have you seen or know of any other z drivers around monroe or matthews ?

SeattleLion 05-26-2011 11:54 AM

Before getting too carried away about Nissan and the Z's, let's do the math:

Assume annual sales of 12,000 Z's (round number)
That comes to 10,000 per month at an average invoice of about $30,000
That is $300 Million x 12 months = $3.6 Billion.

Z's are not discounted and there are few, if any, dealer specials. Assume a 15% profit margin (on the low side) and the Z contributes $540 Million to the bottom line.

No matter how big the company, that is not chump change.

Now, consider what Nissan has to do to make the Z family:

The engine comes from Infiniti virtually unchanged
Same for transmissions and exhaust. Ratios may change, but not by a lot.

The interior is subcontracted. Most of the electrical system is as well.
Brakes are from vendors. The same is true for most every piece of hardware.

Nissan probably makes the frame and body panels.

The point is that even as an exotic, the Z is a positive contributor to Nissan's bottom line.

In the future Nissan's investment could go up if it decides to do a special-built Z engine. That is unlikely. The Z is like a lot of European sports cars; the main parts are from other cars. Car makers use vendors to provide almost everything except engine and drivetrain.

The main investment in a new car is the engineering costs and tooling for body panels (if a vendor isn't supplying them). Production lines are no longer tied tightly to a vehicle. A single line can produce every model Nissan makes in a single day. In practice this doesn't happen, but it can.

Marketing costs for the Z are very low. Beyond supplying dealers with brouchures, there are few other costs. The Z advertising budget is tiny. Hell, Nissan racing support is limited to a few stickers and a discount on parts. (yeah, they also pay small amounts for winning)

Given all that, wouldn't you think that there is a small team of engineers at Nissan who dedicate their time (or most of it) to the Z, GTR, and GTx?

Things have changed. Big car companies like Nissan aren't against low volume sports cars if the cost of design and production is offset by profits. But they aren't about to spend big bucks to develop anything new that can't be reused in other, better selling cars.

At least, that's how it looks to me.

kielbasa16 05-26-2011 12:34 PM

Quote:

Originally Posted by SeattleLion (Post 1134256)
Before getting too carried away about Nissan and the Z's, let's do the math:

Assume annual sales of 12,000 Z's (round number)
That comes to 10,000 per month at an average invoice of about $30,000
That is $300 Million x 12 months = $3.6 Billion.

12,000 Z's annually X $30,000 = $360 Million not 3.6 billion

shadoquad 05-26-2011 01:24 PM

OP,

The reason your dealer isn't budging on price (assuming that he/she wants anything above invoice) is because that dealer doesn't want your business. Shop around. If all dealers in NC are stodgily sticking their consumers to ridiculous pricing, it'll hurt them in the end.

Also, it could be this time of year. Looking for a sports car in the spring makes for harder negotiations on the buyer. If you look in, say, October, around the end of the fiscal year, with winter around the corner, they'll beg you to take it off the lot.

SeattleLion 05-26-2011 04:02 PM

Quote:

Originally Posted by kielbasa16 (Post 1134374)
12,000 Z's annually X $30,000 = $360 Million not 3.6 billion

My math skills are lacking. Still a lot of money.

Hambone1 05-26-2011 04:19 PM

Quote:

Originally Posted by SeattleLion (Post 1134995)
My math skills are lacking. Still a lot of money.

I still followed it. If you think about it though, that's about a month of Altima sales.

BrianMSmith 05-30-2011 10:06 PM

It's because consumers cannot afford a 370Z. Back when the 350Z was introduced, people thought they were rich due to the housing boom, and many of these cars were bought with home mortgages, helocs, refis, cash back low interest arms, etc, on houses that were way overvalued. Now reality has set in, and very few people can afford a $40k (with tax and steep discount), along with their mortgage. Something like 35% of home mortgages are upside down right now (owners owe more than the market value), how do you expect them to buy a new very expensive luxury car? Banks are tigher with money after getting burned by the housing bust. It has everything to do with the economy and the timing of the car's release.

mjd77 05-30-2011 10:25 PM

Quote:

Originally Posted by GZ3 (Post 1118240)
as a 4.0 liter v8 :stirthepot:

Without some huge technological developments in fuel economy and/or energy policy (ie gas prices) in the next several years, V-8s will be history by 2020.

mjd77 05-30-2011 10:31 PM

Quote:

Originally Posted by BrianMSmith (Post 1142136)
It's because consumers cannot afford a 370Z. Back when the 350Z was introduced, people thought they were rich due to the housing boom, and many of these cars were bought with home mortgages, helocs, refis, cash back low interest arms, etc, on houses that were way overvalued. Now reality has set in, and very few people can afford a $40k (with tax and steep discount), along with their mortgage. Something like 35% of home mortgages are upside down right now (owners owe more than the market value), how do you expect them to buy a new very expensive luxury car? Banks are tigher with money after getting burned by the housing bust. It has everything to do with the economy and the timing of the car's release.


And let's be honest, I think the Z is now on that fringe of what constitutes an "affordable" sports car for most people.

HelluvaGuy 05-31-2011 02:06 PM

The 370 is much rarer here in the UK than the US and I like having that little bit of exclusivity which is exactly why I didn't buy a Cayman, Z4 or TT.

If you're happy with the car then I don't understand why the lack of sales would be a concern? The 370 offers great value for money, great performance and will continue to turn heads unlike the ones I mention above.

dwntwnall4u 05-31-2011 04:14 PM

Jump on the popular bandwagon, camaro, mustang, BMW, mercedes? That way the 370z would be kept a much more rare car to see.

DJ-of-E 05-31-2011 07:08 PM

Quote:

Originally Posted by HelluvaGuy (Post 1143440)
The 370 is much rarer here in the UK than the US and I like having that little bit of exclusivity which is exactly why I didn't buy a Cayman, Z4 or TT.

I guess you're not following Jeremy Clarkson's advise. You could be getting a Z4 because it's slower, less exciting, and get invites to wife swapping parties.

PapoZalsa 05-31-2011 07:18 PM

I'm OK with the 370Z being a rare car in the streets for now.

Most Sport cars will be like that, anyway I like a car that I don't see in every corner like the Camaro, Challenger or Mustang.

sonic370 05-31-2011 08:02 PM

the car is designed for a small segment of the buying public...........
when they buy the 370 they know what they are getting....

i keep reading on this post about how hot the 350 is or was................


anybody that won'ts to trade their 370 for a 350 raise your hand............

Zsteve 05-31-2011 08:11 PM

I think part of the reason you see more 350Zs is cuz of their cost. I have seen some young guys that thought they could afford the 370Z but had to later change cuz of all the costs they didnt realize. And for some like me, I had always wanted a Z but the 350 wasnt a good enough quality for me and the 370 was. Now with my income I can indulge more than I could when I was younger, so I have upd the anty with the vette. I think alot of guys that can up their anty have and have gone to the bigger power cars after owning the Z for a period of time. The 370Z is a great car but I think it came out a couple of yrs too late as the stang and camero have taken some sales from it. And with the economy some that want it cant afford it. Dont let the vette forum know but I think the body of the 370 is better looking than the vette but the vette power is awesome.


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