2014 MDX US vs Canadian pricing - OUCH!!!
05-31-2013, 07:52 PM
#1
Drifting
Thread Starter
2014 MDX US vs Canadian pricing - OUCH!!!
Just saw the pricing for the US vs. Canadian 2014 MDX:
Canada:
Base: $49,990
Navi: $54,690
Tech: $59,990
Elite: $65,990
I believe that this is excluding the $2000 or so for freight.
US:
Base: $45,185
Tech: $49,460
Tech Entertainment: $51,460
Advance Entertainment: $57,400
I believe that these include $895 for freight.
These are for the SH-AWD models. For the US, you can have FWD models which will take $2,000 off of these prices.
See, Acura has done it again - there is a $10,000 difference between the Advance/Elite models in the 2 countries!!!
Oh, and Acura Canada will tell you that the Canadian MDX is "designed for Canada" with "Canadian only contents" such as heated steering wheel.... ROTFLOL! $10,000 for heated steering wheels!? Gimme a break....
While they succeeded in narrowing the gaps between US and Canadian pricing for the RDX and RLX, they have maintained the huge US/Canada gap for the 2014 MDX. I guess the MDX sells so well in Canada that Acura thinks that they can charge whatever they want for it.... sigh!
What a disappointment. I was really hoping that they would narrow the gap somehow.... WRONG! FAIL!!!!!!!!!!!
Canada:
Base: $49,990
Navi: $54,690
Tech: $59,990
Elite: $65,990
I believe that this is excluding the $2000 or so for freight.
US:
Base: $45,185
Tech: $49,460
Tech Entertainment: $51,460
Advance Entertainment: $57,400
I believe that these include $895 for freight.
These are for the SH-AWD models. For the US, you can have FWD models which will take $2,000 off of these prices.
See, Acura has done it again - there is a $10,000 difference between the Advance/Elite models in the 2 countries!!!
Oh, and Acura Canada will tell you that the Canadian MDX is "designed for Canada" with "Canadian only contents" such as heated steering wheel.... ROTFLOL! $10,000 for heated steering wheels!? Gimme a break....
While they succeeded in narrowing the gaps between US and Canadian pricing for the RDX and RLX, they have maintained the huge US/Canada gap for the 2014 MDX. I guess the MDX sells so well in Canada that Acura thinks that they can charge whatever they want for it.... sigh!
What a disappointment. I was really hoping that they would narrow the gap somehow.... WRONG! FAIL!!!!!!!!!!!
05-31-2013, 07:53 PM
#2
Drifting
Thread Starter
OOPS! SORRY! I meant to post this in the MDX forum.... please move this over! Thanks.
06-01-2013, 09:13 AM
#5
At that point you might as well pay the extra 10K and get the Cayenne S. It would certainly be more fun to drive than that overpriced Honda tank...
06-02-2013, 12:30 AM
#6
2G TLX-S
This is a given, when the US has 10x the population and 10x the purchasing power as Canada.
Economy 101 : volume price break at work.
Economy 101 : volume price break at work.
06-02-2013, 05:22 PM
#7
Drifting
Thread Starter
I beg to differ. This argument has been used unsuccessfully many times in other threads and it does not hold water. It is a rather simplistic view of something that is rather more complicated than this.
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06-02-2013, 08:17 PM
#8
I tend to agree with Ostrich to an extent...don't get me wrong Edward'TLS, I do hear what you are saying and it does make some sense as well. Where I tend to agree with Ostrich is because this car is not entirely designed for the Canadian market but as a North American market (and other parts of the world).
With a few exception we have on our Canadian model, the price difference is not justified, especially when our dollar is pretty much on par. If our Canadian dollar was 60-70 cents to the dollar, I could see why but that argument doesn't hold anymore. It doesn't cost more to build the TL for our Canadian market than it does for the US market. Sure you can add an extra premium for our "Freight and PDI" over that of the US and that I can get on board with....anything else is a bit too much for me.
But again, I do understand there are many other factors and not an economic expert by any means and hope I didn't sound too dumb by making my points *lol*
With a few exception we have on our Canadian model, the price difference is not justified, especially when our dollar is pretty much on par. If our Canadian dollar was 60-70 cents to the dollar, I could see why but that argument doesn't hold anymore. It doesn't cost more to build the TL for our Canadian market than it does for the US market. Sure you can add an extra premium for our "Freight and PDI" over that of the US and that I can get on board with....anything else is a bit too much for me.
But again, I do understand there are many other factors and not an economic expert by any means and hope I didn't sound too dumb by making my points *lol*
06-03-2013, 12:27 AM
#9
2G TLX-S
06-03-2013, 04:30 PM
#10
Instructor
I just happened to price a Toyota Camry and the Canadian and US prices were virtually identical. That said I'm sure there is a big variation in pricing of other vehicles between our countries and it has little to do with market size.
06-03-2013, 06:31 PM
#11
06-03-2013, 07:43 PM
#12
^^ interesting story, but that 6.1% duty only applies to cars built in Japan correct? That means that the MDX, the TL (etc) should not be affected by that higher costs between the US and Canada.
06-03-2013, 08:15 PM
#13
Drifting
Thread Starter
This is a very interesting article because it demonstrates that the auto price disparities between US and Canada are not equal across the board, with Acura MDX being one of the worst offenders in this issue:
http://www.theglobeandmail.com/repor...rticle8311190/
Now look at this CBC article:
http://www.cbc.ca/news/canada/ottawa...-shopping.html
Isn't it interesting that the price disparity between US and Canada for Lexus RX350 and Cadillac XTS is much less than that for Acura MDX and ZDX?
Even if I price out a Lexus GS and the new IS in Canada now, the disparity between the US and Canada pricing is rather minimal. Curiously, the price disparity between the Acura RLX is not that much between the 2 countries either.
So how Acura Canada can justify doing so for the MDX is really inexplicable. If it were simply due to the economic factors that you stated, I would not have expected such a huge range of price disparities for the various models. The most offensive part was that the MDX has been made in Ontario!
Another big offender here is Infiniti Canada. Try to price out a G Sedan or an EX here in Canada and you will be in for sticker shock, when you compare them to the US pricing.
My lease is up within the year. I was going to consider the new MDX. Now I am not so sure. Perhaps I will go with a less expensive BMW X3 now - yes, for a loaded X3 28i, I can get it for $10,000 less than the MDX Elite.
http://www.theglobeandmail.com/repor...rticle8311190/
Now look at this CBC article:
http://www.cbc.ca/news/canada/ottawa...-shopping.html
Isn't it interesting that the price disparity between US and Canada for Lexus RX350 and Cadillac XTS is much less than that for Acura MDX and ZDX?
Even if I price out a Lexus GS and the new IS in Canada now, the disparity between the US and Canada pricing is rather minimal. Curiously, the price disparity between the Acura RLX is not that much between the 2 countries either.
So how Acura Canada can justify doing so for the MDX is really inexplicable. If it were simply due to the economic factors that you stated, I would not have expected such a huge range of price disparities for the various models. The most offensive part was that the MDX has been made in Ontario!
Another big offender here is Infiniti Canada. Try to price out a G Sedan or an EX here in Canada and you will be in for sticker shock, when you compare them to the US pricing.
My lease is up within the year. I was going to consider the new MDX. Now I am not so sure. Perhaps I will go with a less expensive BMW X3 now - yes, for a loaded X3 28i, I can get it for $10,000 less than the MDX Elite.
06-04-2013, 02:03 AM
#14
2G TLX-S
But from using starting MSRP's from the Toyota.ca and Toyota.com, this is what I found for the Camry models :
LE : Canada = $23,700; US = $22,680
SE-i4 : Canada = $26,985; US = $23,400
SE-V6 : Canada =$29,740; US = $27,260
XLE-i4 : Canada = $30,470; US = $24,855
XLE-V6 : Canada = $34,275; US = $30,465
hybrid LE : Canada = $27,710; US = $26,140
hybrid XLE : Canada = $29,235; US = $27,670
Not only the US Camry's are all cheaper than the Canadian Camry's, the option packages and the parts/accessories are also cheaper for the US Camry than the Canadian Camry.
06-04-2013, 11:50 AM
#15
Even with the exchange rate the base MDX should only cost 46,550.55 CDN dollars. With free trade accros the Americas are Acuras considered US goods or Japenese goods according to Canada?
Edward the Toyota prices are right on with the exchange rate so those dont look too inflated like the MDX prices.
Edward the Toyota prices are right on with the exchange rate so those dont look too inflated like the MDX prices.
06-04-2013, 08:28 PM
#16
2G TLX-S
It's just that every day, thousands and thousands of Canadians are choking up the boarder crossings in order to flock over to the US for cheap everything there, from ice-creams all the way to giant TV's.
If everything is cheaper in the states than in Canada, there is no reason why automobile is the exception.
06-04-2013, 10:34 PM
#17
I guess for different vehicle models, we Canadians win in some, and lose in all others.
It's just that every day, thousands and thousands of Canadians are choking up the boarder crossings in order to flock over to the US for cheap everything there, from ice-creams all the way to giant TV's.
If everything is cheaper in the states than in Canada, there is no reason why automobile is the exception.
It's just that every day, thousands and thousands of Canadians are choking up the boarder crossings in order to flock over to the US for cheap everything there, from ice-creams all the way to giant TV's.
If everything is cheaper in the states than in Canada, there is no reason why automobile is the exception.
When reentering Canada wouldn't the customs officially check goods bought? making the price arbitrage minimal at best.
I will have to do some more research.....
Your IceCream is on me man...
06-05-2013, 02:04 AM
#18
2G TLX-S
The reasoning is the volume price break at work.
For almost every manufactured goods, the more units a factory churns out, the cheaper it is the unit cost.
The US has 10x the population than in Canada. Thus when US retailers order 10x the unit volume per single item than the Canadian retailers order, the unit cost and so the unit price will always be much cheaper in the US than in Canada.
Just count how many different model trims that are available for Acura vehicles in the US and in Canada. Using the TL as an example, the US has 7, but Canada only has 5.
The US-spec TL is being sold in the US on average at 3K units per month, but the Canadian-spec TL at only 300 units per month. At that low monthly volume, it is not deemed profitable to market the same # of trims in Canada as in the US.
Therefore, it doesn't come at a surprise that Canadian-spec automobiles always carry a higher price tag than the US counterparts, irrespective of the currency exchange rate.
For almost every manufactured goods, the more units a factory churns out, the cheaper it is the unit cost.
The US has 10x the population than in Canada. Thus when US retailers order 10x the unit volume per single item than the Canadian retailers order, the unit cost and so the unit price will always be much cheaper in the US than in Canada.
Just count how many different model trims that are available for Acura vehicles in the US and in Canada. Using the TL as an example, the US has 7, but Canada only has 5.
The US-spec TL is being sold in the US on average at 3K units per month, but the Canadian-spec TL at only 300 units per month. At that low monthly volume, it is not deemed profitable to market the same # of trims in Canada as in the US.
Therefore, it doesn't come at a surprise that Canadian-spec automobiles always carry a higher price tag than the US counterparts, irrespective of the currency exchange rate.
06-05-2013, 02:04 AM
#19
2G TLX-S
Duplicate post - removed.
06-05-2013, 01:18 PM
#20
Burning Brakes
The reasoning is the volume price break at work.
For almost every manufactured goods, the more units a factory churns out, the cheaper it is the unit cost.
The US has 10x the population than in Canada. Thus when US retailers order 10x the unit volume per single item than the Canadian retailers order, the unit cost and so the unit price will always be much cheaper in the US than in Canada.
Just count how many different model trims that are available for Acura vehicles in the US and in Canada. Using the TL as an example, the US has 7, but Canada only has 5.
The US-spec TL is being sold in the US on average at 3K units per month, but the Canadian-spec TL at only 300 units per month. At that low monthly volume, it is not deemed profitable to market the same # of trims in Canada as in the US.
Therefore, it doesn't come at a surprise that Canadian-spec automobiles always carry a higher price tag than the US counterparts, irrespective of the currency exchange rate.
For almost every manufactured goods, the more units a factory churns out, the cheaper it is the unit cost.
The US has 10x the population than in Canada. Thus when US retailers order 10x the unit volume per single item than the Canadian retailers order, the unit cost and so the unit price will always be much cheaper in the US than in Canada.
Just count how many different model trims that are available for Acura vehicles in the US and in Canada. Using the TL as an example, the US has 7, but Canada only has 5.
The US-spec TL is being sold in the US on average at 3K units per month, but the Canadian-spec TL at only 300 units per month. At that low monthly volume, it is not deemed profitable to market the same # of trims in Canada as in the US.
Therefore, it doesn't come at a surprise that Canadian-spec automobiles always carry a higher price tag than the US counterparts, irrespective of the currency exchange rate.
However, unless I'm mistaken, individual dealerships buy cars, and each US dealership doesn't, I suspect, sell 10 times the number of cars. Rather, there are likely 10 times the number of dealerships. Assuming (and it's a big assumption, I realize) that individual dealership volumes are the same, there should be no price disparity. Any real difference should be picked up in freight charges.
In Canada, we've seen huge uproars when the dollar approached parity, and yet prices did not follow suit. Some of the most heated debate came from book pricing (here's where I suppose I should insert some comment about the population difference having no effect, as Canada has 10 times the number of people who can actually read, but since I lost 67 experience points on my last post, I'll refrain).
06-05-2013, 07:28 PM
#21
2G TLX-S
It is true that individual dealerships buy cars, and each US dealership doesn't sell 10 times the number of cars, and there are likely 10 times the number of dealerships.
But each US dealership orders it's vehicles from a single source, namely the national HQ of the automaker, and from using the same price sheets.
Using Acura as an example. Every US Acura dealership orders new US-spec vehicles from no one, but American Honda Motor Corp, Inc. (AHMC), and at the SAME US COST per vehicle as printed on the US dealership price sheets. Likewise, every Canadian Acura dealership orders new Canadian-spec vehicles from no one, but Honda Canada, Inc., and also at the SAME CANADIAN COST per vehicle as printed on the Canadian dealership price sheets.
One must differentiate between dealer cost and MSRP. Every dealership in the same nation pays the exact same dealer cost to the HQ for each new Acura vehicle, but each dealership can sell it's new vehicles at any price below MSRP. They are making a profit as long as a new vehicle is sold above the dealer cost.
So even thought different Acura dealerships are selling the exact same vehicle at different prices, the exact same vehicles all incur the same cost to the dealerships in within the same nation.
This is the tricky part. The US dealer price list is determined by using the projected 40K annual US volume, and the Canadian dealer price list by using the projected 4K annual Canadian volume.
So we're back to the volume price break issue again.
As a result, the US population can enjoy the cheaper US-spec Acura's which have a much cheaper dealer cost, when compared to the more expensive Canadian counterpart.
But each US dealership orders it's vehicles from a single source, namely the national HQ of the automaker, and from using the same price sheets.
Using Acura as an example. Every US Acura dealership orders new US-spec vehicles from no one, but American Honda Motor Corp, Inc. (AHMC), and at the SAME US COST per vehicle as printed on the US dealership price sheets. Likewise, every Canadian Acura dealership orders new Canadian-spec vehicles from no one, but Honda Canada, Inc., and also at the SAME CANADIAN COST per vehicle as printed on the Canadian dealership price sheets.
One must differentiate between dealer cost and MSRP. Every dealership in the same nation pays the exact same dealer cost to the HQ for each new Acura vehicle, but each dealership can sell it's new vehicles at any price below MSRP. They are making a profit as long as a new vehicle is sold above the dealer cost.
So even thought different Acura dealerships are selling the exact same vehicle at different prices, the exact same vehicles all incur the same cost to the dealerships in within the same nation.
This is the tricky part. The US dealer price list is determined by using the projected 40K annual US volume, and the Canadian dealer price list by using the projected 4K annual Canadian volume.
So we're back to the volume price break issue again.
As a result, the US population can enjoy the cheaper US-spec Acura's which have a much cheaper dealer cost, when compared to the more expensive Canadian counterpart.
07-29-2013, 08:20 PM
#22
Cruisin'
OUCH BIG TIME!
Unfortunately, we tend to pay higher prices here in Canada for almost everything, not just cars.
I live close to washington state border but not allowed to buy NEW cars because dealers will void the Warranty!!!
SUCKS big time!
Unfortunately, we tend to pay higher prices here in Canada for almost everything, not just cars.
I live close to washington state border but not allowed to buy NEW cars because dealers will void the Warranty!!!
SUCKS big time!
08-17-2013, 07:09 PM
#25
Three Wheelin'
Are we comparing US Dollars to Canadian Dollars? If so, do exchange rates play a part?
08-18-2013, 08:39 AM
#26
Even when exchange rates are factored in, the Canadian model is more expensive than the us model. Canadian dollar hovers around 95 cents to the US dollar and sometimes it is above the US dollar.
08-18-2013, 06:47 PM
#27
Well, considering the Canadian model is as well equipped as the RLX, it does seem likely Acura in Canada realized the MDX is better suited as the flagship of Acura, than the RLX.
It has power-folding exterior mirrors the American MDX doesn't have.
The much-talked about Surround view system, which isn't on the US MDX, either.
The passenger seat can get the same 10way power adjustment as the driver, while the US version tops out at 8 for the passenger.
The different wood trim options (instead of the plastic-like glossy wood).
I'm sure there are many other little differences that don't show up on the surface, or on a website. Considering it's around the feature content level of a $64k FWD RLX (Canadian), then it all makes more sense.
It has power-folding exterior mirrors the American MDX doesn't have.
The much-talked about Surround view system, which isn't on the US MDX, either.
The passenger seat can get the same 10way power adjustment as the driver, while the US version tops out at 8 for the passenger.
The different wood trim options (instead of the plastic-like glossy wood).
I'm sure there are many other little differences that don't show up on the surface, or on a website. Considering it's around the feature content level of a $64k FWD RLX (Canadian), then it all makes more sense.
08-18-2013, 11:12 PM
#28
Well, considering the Canadian model is as well equipped as the RLX, it does seem likely Acura in Canada realized the MDX is better suited as the flagship of Acura, than the RLX.
It has power-folding exterior mirrors the American MDX doesn't have.
The much-talked about Surround view system, which isn't on the US MDX, either.
The passenger seat can get the same 10way power adjustment as the driver, while the US version tops out at 8 for the passenger.
The different wood trim options (instead of the plastic-like glossy wood).
I'm sure there are many other little differences that don't show up on the surface, or on a website. Considering it's around the feature content level of a $64k FWD RLX (Canadian), then it all makes more sense.
It has power-folding exterior mirrors the American MDX doesn't have.
The much-talked about Surround view system, which isn't on the US MDX, either.
The passenger seat can get the same 10way power adjustment as the driver, while the US version tops out at 8 for the passenger.
The different wood trim options (instead of the plastic-like glossy wood).
I'm sure there are many other little differences that don't show up on the surface, or on a website. Considering it's around the feature content level of a $64k FWD RLX (Canadian), then it all makes more sense.
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