http://www.autonews.com/article/20150903/RETAIL/150909946/jaguar-offers-free-maintenance-cuts-prices-in-u-s#PAMPLONA, Spain -- Jaguar is lowering its prices and rolling out free scheduled maintenance in the United States to remove what customers cite as key reasons consumers reject the British brand: high purchase and maintenance costs.
The free EliteCare 5-year/60,000-mile scheduled maintenance warranty and new pricing will launch with the 2016 model year. On average, Jaguar is lowering the price of its cars between $1,500 and $3,000 by slashing the base price or increasing standard equipment, said Joe Eberhardt, CEO of Jaguar Land Rover North America. The repricing will make “all models significantly more affordable,” he said.
“The Jaguar brand is on the eve of a major transformation that will see it dramatically increase its presence in the United States luxury marketplace with an expanded lineup, pricing focused on the core of the luxury market and an all-new ownership package with best-in-class coverage,” Eberhardt said.
Jaguar's U.S. sales fell 4.4 percent to 10,221 cars through August.
To boost sales, Jaguar is lowering sticker prices in segments the brand wants to target, he said. “We will substantially increase equipment on vehicles where we will not lower the MSRP,” Eberhardt added.
For instance, the base price on the redesigned XF midsize sedan has been cut 9 percent, or $5,275, to $52,895, including shipping. The XF was the most expensive car in the segment, but Jaguar says it is now less than comparable V-6 versions of the Audi A6, BMW 5 series, Cadillac CTS and Mercedes-Benz E class.
The free EliteCare 5-year/60,000-mile scheduled maintenance warranty and new pricing will launch with the 2016 model year.
On average, Jaguar is lowering the price of its cars between $1,500 and $3,000 by slashing the base price or increasing standard equipment, said Joe Eberhardt, CEO of Jaguar Land Rover North America. The repricing will make “all models significantly more affordable,” he said.
“The Jaguar brand is on the eve of a major transformation that will see it dramatically increase its presence in the United States luxury marketplace with an expanded lineup, pricing focused on the core of the luxury market and an all-new ownership package with best-in-class coverage,” Eberhardt said.
Jaguar's U.S. sales fell 4.4 percent to 10,221 cars through August.
To boost sales, Jaguar is lowering sticker prices in segments the brand wants to target, he said. “We will substantially increase equipment on vehicles where we will not lower the MSRP,” Eberhardt added.
For instance, the base price on the redesigned XF midsize sedan has been cut 9 percent, or $5,275, to $52,895, including shipping. The XF was the most expensive car in the segment, but Jaguar says it is now less than comparable V-6 versions of the Audi A6, BMW 5 series, Cadillac CTS and Mercedes-Benz E class.
Equipment levels across the range have been improved 10 to 20 percent. Base prices on the F-Type coupe or convertible remain the same, but the cars have between $4,000 and $12,000 of additional standard equipment, depending on the model.
Jaguar was often perceived as one of the most expensive brands and buyer surveys showed that price is the top reason a consumer will reject a luxury brand.
With the new price strategy, “we are positioned at the heart depending on how you do the price comparison,” Eberhardt said. “Directionally, we are below all the Germans and we are par or slightly above the Asia or domestic competitors.”
Land Rover to roll out two diesels in October
Diana T. Kurylko
Automotive News | September 1, 2015 - 12:56 pm EST
-- UPDATED: 9/1/15 5:01 pm ET - adds detail
BARCELONA, Spain -- Land Rover expects its first U.S. diesel vehicles will account for up to 20 percent of sales for the two SUVs powered by the new-generation engines.
The Range Rover Td6 and Range Rover Sport Td6 go on sale in October and will cost about $1,500 more than the gasoline V-6 models.
“It signifies a whole new level of efficiency for Land Rover.
It will capture a very loyal customer -- diesel buyers have a higher loyalty rate than gas or hybrid buyers,” said Rob Filipovic, product planning manager for Jaguar Land Rover North America.
Filipovic said Land Rover did not expect the diesels to cannibalize gasoline-engine sales and “we expect a high level of conquest.”:yup::clap::tup::
The Range Rover Sport will start at $67,445 and the larger Range Rover at $87,445, including shipping.
Land Rover sold 51,465 vehicles in the U.S. last year. Through August, it has sold 42,548 units, up 20.5 percent from the year-ago period.
“Over the next couple of years, we will have diesel available on the entire sedan and SUV lineup, “Filipovic said.
__
Also, Land Rover’s sibling Jaguar brand will add a diesel version of the redesigned XF midsize sedan. Jaguar has announced plans for a diesel for the all-new compact XE sedan.
Both vehicles will get a new 2.0-liter diesel engine next summer. The redesigned XF gasoline-powered car goes on sale this fall and the XE debuts in April.
“The diesel-powered cars will stretch Jaguar fuel economy to over 40 mpg, making them the most efficient in the company’s history,” Filipovic said.
More than 50 percent of Land Rovers sold worldwide are diesels, said Alan Jones, engineering director for diesel. In Europe, that number rises to 90 percent.
Jones said Land Rover decided to develop a cleaner diesel for the U.S. because of increased demand.
The U.S. diesel market has grown 26 percent since 2009 and last year had a 4.6 percent share of all U.S. light vehicles sold, Jones said.
“The take-up rate is in the 15 to 20 percent range, and we expect that for our models as well,” Jones said.
__
The V-6 diesel has driving characteristics similar to Land Rover’s 5.0-liter V-8 supercharged gasoline engine, he said. But the 3.0-liter diesel is 32 percent more fuel efficient than the gasoline V-6.
Combined fuel economy for both Range Rovers is an estimated 25 mpg. < Likely at or a little above perhaps considering both involved.... 22 - 25 - 28. >
The diesel engine generates 254 hp and 440 pounds-feet of torque at 1,750 rpm. The Range Rover Sport accelerates from 0 to 60 mph in 7.1 seconds and the Range Rover in 7.4 seconds -- nearly the same as the gasoline < Supercharged >V-6.
__
Land Rover concentrated on reducing engine noise levels in the cabin and “the diesels are quieter than many sedans,” Filipovic said. “The focus was to make sure the refinement lived up to Range Rover standards.”
Land Rover conducted blind tests with potential buyers in three U.S. cities -- Los Angeles, Denver and New York. “None of the testers could accurately identify the vehicles as a diesel,” Filipovic said.
The 2016 Range Rovers also have a new all-terrain program that maintains low speeds on various road surfaces ranging from slippery roads to rocky inclines. Standard equipment also includes a hands-free tailgate and remote access via a smartphone app of vehicle settings called InControl Remote and Protect. -
Entire contents © 2015 Crain Communications, Inc.
Supports my supposition that luxury car buyers are just as much 'value shoppers' as mainstream buyers. IE: lease prices drive luxury sales as much as product & image.buyer surveys showed that price is the top reason a consumer will reject a luxury brand
Yes indeed.The base price for the XE seems very competitive and if it's as good as the press are saying, coupled with the super sexy front end, this can't fail to be a hit for Jaguar in the U.S.
With the New XE, XF, F-Pace and MCE XJ Jaguar's sales should see a pretty healthy increase next year
BMW has also had free maintenance. It's not that new for a luxury brand, nor do I see it as a "cheap" thing. Lincoln and Volvo have also offered it.So Jag is chopping prices across the entire brand and then playing up a warranty like a low brow mainstream brand called Hyundai. This is amazing. How many luxury brands do this and are still called "luxury?" I missing something.
Cadillac has free maintenance now doesn't it? And for a while, that free schedule maintenance was only offered on the highest top tier Cadillacs like XLR. It's a tactic that works.It's the tactic they've chosen, and I think it's a valid one. You can't grow a brand if no one will consider your vehicles, and now more people will likely consider a Jag. If the experience is a good one, the customer might buy another Jag in the future.
Wealthy people don't. But at the $50-55,000 range, there are a bunch of up and comers and social climbers that wouldn't mind saving a few bucks to look better on the road and to be more accepted in social circles. That's just the way things go.Oh, and I thought we had already accepted that the silly notion that wealthy people don't care about price and value. We're talking 50k Jags here, not million dollar exotic cars. This segment is absolutely considering price when they purchase.