Chrysler: Once Again, Regrets Come Standard
Gimmicky sales techniques are tough. On the one hand, Hyundai’s 10 year warranty and Assurance buy-back program have helped it become one of the fastest-growing auto brands in the country. On the other, Chrysler’s free gas giveaway, “lifetime guarantee” and its latest, the “regret-free purchase” offer, have all come and gone without materially moving the needle for the beleaguered automaker. In fact, cars.com reports that just 21 buyers opted for the option of returning their Chrysler within 60 days instead of a financing deal. Which makes sense: people buy Chryslers because they’re cheap and they offer lots of incentives. If we’re honest, the option of returning a car because it is of lower quality than the competition shouldn’t really appeal to deal-minded consumers. Which is why only Ram now offers the “regret-free” deal, while the rest of Chrysler, Jeep and Dodge’s nameplates have loaded back up on incentives. It’s clearly what brings the customers in.
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While I rarely agree with Mr. Niedermeyer, especially as regards Chrysler, in this case I must. The last decade has been brutal on Chryslers reputation, and yes, it's partially self inflicted. I have often spoken out about the (Chrysler) third world dealer experience, and I don't know how the company can woo back so many disgruntled customers. For sure though, they must offer the customer a substantial and effective warranty, combined with a born again service/sales commitment from the dealers. Otherwise I don't see how they can survive. Personal tastes aside, most vehicles these days are very close in terms of overall product, so the difference must come down to the customer experience, and in that area Chrysler sucks big time. I believe Sergio can get the product right, in time, but can he fix the dealer body, or can they fix themselves? Have they been frightened enough in the recent past to learn some new methods and stick to them, or is it just more of the same old? Only time will tell.
The problem with Chrysler offering a longer warranty is that owners would be forced to use them. Once you buy one of these heaps, there is little if any hope of dumping it off on anyone else for anywhere near the loan payoff....so you just keep driving it....and it starts to fall apart long before most others. Hyundai, KIA and even Suzuki can offer 10yr/100k Powertrain Coverage because they have the quality to back it up. Although I do agree with the idea that, at least in the beginning, they didn't expect anyone to keep a Rio or Accent for anywhere near ten years or 100k miles. But now they're damn good cars, at least the Elantra, Forte and up are!
nrd515- The 1st generation Grand Cherokees were actually exceptionally well built and a lot of them were very reliable. I have a '95 JGC with 205k miles that my mom bought new in 12/94. It has been the most reliable vehicle any of us have (mom, dad, sis and myself) ever owned! The engine and tranny are 100% original and it drives great. The 4.0L Inline-6 standard in the JGC was actually inherited from AMC and isn't a Chrysler design. The AMC/Jeep 4.0L is one of the most durable engines ever built, according to a lot of sources. The optional 5.2L V8 was a Chrysler engine and wasn't as reliable as the 4.0L. The transmission used with the 4.0L suffered a lot of premature failures, but the key to avoiding that nightmare was to order either the Towing Package or Towing Prep Package which included a heavy-duty transmission cooler. The 2nd generation JGC ('99-'04) took a nose dive in terms of quality and reliability. It looked awesome, but the new V8 and automatic transmission (which worked great, until they didn't) were TROUBLE for thousands. The various 4WD systems were also more likely to have a major problem than not. The 3rd gen '05-'10 model didn't do much to improve things and they did away with the 4.0L engine, too....the '11 JGC has the potential to shed all that baggage and be a world-class SUV! As for Chrysler's other reliability nightmares- the LH cars (Intrepid, Concorde, LHS) were a hellish nightmare for thousands of owners! But the absolute worst would be the Dodge Caravan (and Chrysler T&C, Plymouth Voyager)...I've never known anyone who owned one of the minivans who didn't experience MAJOR transmission or engine trouble (often both) usually well before 100k miles! My sister had a '99 Caravan with so many problems after six years and 80k miles that we were thankful when she totaled it! In her words, it was worth a broken wrist and a dozen cuts and bruises to get rid of that heap! Never again! Then there are the dreadfully mediocre products, Sebring and Avenger instantly come to mind. The Caliber and it's offspring (Compass, Patriot) are also crap-tastic. I recently had an Avenger as rental car and after two days, I returned it for a bare-bones Corolla instead. It was a wretched, horrible vehicle...they both were, but the Corolla was less so. I had it for four weeks while my Mazda3 was in the body shop....the Sebring and Avenger represent everything that is wrong with Chrysler...hopefully Fiat will change that???
Why pursue gimmicks when you can buy something with substance and durability?