By on October 2, 2015

vwcc

Update: We finally heard back from Volkswagen Canada (though, as you can imagine, their media relations department is probably a tad bit busier than usual).

The $2,000 amount is being offered as a “loyalty discount” for current TDI owners, regardless of size or type of diesel engine, for any new Volkswagen, regardless of engine and fuel type (except for stop-sale models, obviously). TDI owners do not need to trade-in their EA 189-equipped cars to qualify.

We attempted as best we could to confirm the ‘discount-on-trade-in’ story and we were given evidence to support the original story in La Presse. However, the truth was to the contrary. We apologize for the error.

The article now reflects the update.

Volkswagen Canada is offering a $2,000 incentive for current TDI owners, regardless of the age of the car or type of TDI engine, toward any other new Volkswagen model.

La Presse spoke to a dealer in Montreal who stated that they are taking affected TDI models in on trade and offering the discount. However, the discount is being offered as a “loyalty discount” to all TDI owners, and a trade-in is not required.

The discount of $2,000 is automatically applied toward a new Volkswagen and is valid at any dealer in the country.

TTAC contacted two Canadian dealers who confirmed the discount was communicated by Volkswagen Canada on Thursday.

Volkswagen Canada is on a big sales push and offering large incentives this month to try and recover from the diesel emissions scandal. The brand saw a 20-percent slump in sales last month in Canada.

The affected TDI models as part of the diesel emissions scandal are still blocked from being sold until the investigation is completed. No recall information has been announced at this time for customers that wish to hold on to their affected vehicles.

[Image Credit: Volkswagen Canada]

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54 Comments on “Volkswagen Canada Offering $2,000 Discount to TDI Owners to Buy Literally Any VW [Update]...”


  • avatar
    threeer

    But what will the “assessed value” of the TDI be? If the value of the diesel models is plummeting, I’d almost hazard a guess that the $2000 winds up being a wash to many folks who will have lost much more than two grand in value of their TDIs.

    • 0 avatar
      28-Cars-Later

      Up it to at least 5K, VWoC.

      • 0 avatar
        CoreyDL

        I’m thinking $2k sounds low in US dollars, so it’s WAY low in Canada dollars with their taxes and elevated prices and whatever else.

        Make it $6995 and we’ll parlions quelle rapidement.

        • 0 avatar
          nrcote

          >>> … we’ll parlions quelle rapidement

          Is that Google Translate?

          • 0 avatar
            CoreyDL

            It’s “not had any French since 2006” conjugation.

            I – e
            You – es
            He/She/It – e

            We – ions
            Them – aient
            They (all?) – iez

            Is the conjugation chart as I can recall with no research :).

        • 0 avatar
          nrcote

          >>> It’s “not had any French since 2006″ conjugation.

          LOL

          I meant the whole sentence, i.e. “we’ll parlions quelle rapidement.” I’m French (-Canadian), and I don’t understand what you’re saying. I know, there’s a joke in there, but I don’t understand it!

          “Nous parlions quelle rapidement”: a rough translation would be “we were speaking/talking which quickly”. Doesn’t make any sense. Is that it?

          And to get back on topic: yeah, I’d buy a Golf wagon, not diesel, if the price is right.

          • 0 avatar
            Luke42

            I bet he’s translating the American-English idiom “now, we’re talking!”

            I’ve started studying a little Spanish, and one of the things I’m learning is that idioms don’t translate well.

          • 0 avatar
            CoreyDL

            Ha, so what I was attempting to say was:

            Make it $6995 and we’ll talk quickly/right away.

        • 0 avatar
          tekdemon

          Except VW vehicles actually tend to be much cheaper in Canada. The Golf R is something like $6K cheaper than it is in the US if you take exchange rates into account.

          • 0 avatar
            Lorenzo

            Does that have something to do with not having to modify the car to US standards? I know there’s a trade agreement with EU that should allow easy, low cost importation from Germany, but the Euro/CAD exchange rate…

  • avatar
    suspekt

    I would love to test this horsesh*t out across 3 independent scenarios conducted at the same dealer with 3 different “mystery” buyers looking for a brand new 2015 Passat. The stealership (all brands) will hose the buyer either way.

    Buyer A: Looking to buy outright cash no financing on a new 2015 Passat. What is the final price pre-tax?

    Buyer B: Looking to buy outright financed. What is the final price pre-tax?

    Buyer C: Looking to buy with trade-in defeat-equipped TDi. What is the final price PRE trade-in value?

    I am willing to bet buyer A and B negotiate a better pre-tax price than buyer C who states up front they have a TDi trade-in.

    The discount will be taken off the higher final price from scenario C.

    Anyways, I will never buy new and avoid the dealer like the plague.Then again, I prefer paying cash and dont believe in financing either.

    • 0 avatar
      87 Morgan

      I don’t thi your characterization of the dealership is very fair. You may not like them, but they are not all crooks.

      Even with the incentive, the dealer is the one who loses on this deal.

      Scenario: jack and Jill Canada decide to trade their 13 Jetta TDI to get the 2k and a non polluter, they are Canadian and believe in doing the right thing and being nice, to everyone.

      for fun lets assume some figure as they really don’t matter 2015 Passat MSRP 38k invoice 36k hold back $500.

      Assume the Jetta is worth 17k in trade and they own it free and clear.

      Jack and Jill know these figures as they are not too hard to find on the inter webs.
      They agree on a price of say 36.5 k for the new car less 2k vw cash so a bet of 34.5k.

      Dealer makes 1k up front. But what does he out in the Jetta knowing he has to hold for an as yet undetermined amount of time plus the model carries a lot of negative publicity and may be a tough sell after it is fixed.

      So dealer puts 13k into it. So he now has 13k of his OWN cash tied up in a car he can’t sell for who knows how long. Could be 6 weeks, 6 months, 6 years. I speculate somewhere between the first two. Meanwhile it sits and gets older
      , the value drops every month plus that cash that he has in it can’t actually be used for something could be used to make money with today.

      The situation is untenable for the dealer and will cause a lot of strain for many. Multiply the situation by maybe 10x per month and within 3 months he has north of 300k parked doing nothing and sold 30 cars for 1k profit, so he is a net 270k underwater. Let’s see you run a business with this kind of math staring down at you and see how well you fair.

      A fraud of this sort ‘hoses’ everyone associated with it, except for the CEO who most likely knew about it and was fired with a 50m golden parachute to not have to deal with it,

  • avatar
    WhiskeyRiver

    Not enough. Laughable if it wasn’t such a tragedy.

    These owners are irreparably damaged due to the manufacturer’s deceit.

    Give them another car is the right deal. Any VW they want. It’s going to be cheaper than the litigation and will remove those owners from the inevitable class action lawsuit.

    Even taking the car back and refunding them the whole original sticker price would save them money from the pending lawsuits.

    • 0 avatar
      seth1065

      Question lest say VW took back every car at full sticker as Whiskey River states how does that save VW money? say 25k a car over say 400,000 cars is a boat load of money more than a class action will get, plus now VW has 400,000 cars to do something with, export them to somewhere and resell them, but that is a lot of transport, selling the cars, paying dealers for their loss … and where are they dumping 400,000 car? and they still have the EPA fine to deal with. Not to mention why should VW pay back full sticker? My TDI is 4 years old and have about 115,000 miles on it so I get 4 years of free transportation ?? I agree 2,000 extra is not gonna get a lot of takers and it really matters what they are giving as a trade in allowance if your trading in your TDI. I really do not know the percentage of TDI owners who will join the class action suit, why bother the lawyers will get 99% of the cash and you get a coupon for a VW mug.

  • avatar
    Stumpaster

    Yup, solid comments 1 and 3, not much more to add.

    The Spirit of Westmoreland

  • avatar
    GS 455

    Just the other day my wife and I stopped by the local Volkswagen/Audi dealership to check out the 2016 A6 3.0T (we’re in Canada). This is a dealer that always carries a large number of diesel models in stock. We went into the showroom but there was no A6 so we went out to the lot to look at them. While looking at an A7 a salesman comes up to us and asks: “do you need any help or are you just killing time?” !!!! My wife and I are in our 50s and we drove up to the dealership in a 2004 Deville. I thought to myself are you f*ing kidding me? Half your inventory is unsalable and you’re treating a potential customer this way? Anyway the $2000 discount is a slap in the face for those unfortunate to have a diesel.

    • 0 avatar
      CoreyDL

      <06 N* DTS don't get no respect. The car is what killed you. Roll up in an 04 LS430, and he'd be chirping a different tune.

      • 0 avatar
        28-Cars-Later

        LS > Deville

      • 0 avatar
        GS 455

        Ha ha! I figured he’d think a Deville driver would be more in need of new wheels. Actually I did test drive an 03 LS430 and hated it. The steering has almost no feel as soon as you turn off center and off the line there’s a huge delay before the car starts to accelerate. My Deville is more fun to drive and and rides more smoothly than the LS430. If they still made them I would buy another Deville (and I had an S500 before it).

        • 0 avatar
          CoreyDL

          Lol, I think you drove a bad LS430. Such a thing is rare, but surely it wouldn’t normally have more poor response time and steering feel than a Deville.

          You can always upgrade to a DTS, as they’re still available in nearly new condition even today! Those blue hair drivers don’t get around much, plus it’s got a “fixed” Northstar.

          • 0 avatar
            CoreyDL

            (Won’t lemme edit)

            I had a GS430 with the same engine and probably a same or very similar transmission – and it was neither slow nor unresponsive.

          • 0 avatar
            bball40dtw

            Isn’t the XTS kind of the Deville? Similar length, similar wheelbase. FWD. Cadillac.

          • 0 avatar
            28-Cars-Later

            G-body Deville was probably similar in terms of most dimensions except longer and looked far better than the styling abomination that is XTS.

          • 0 avatar
            GS 455

            The LS430 I drove just had a lag off the line and once it got going accelerated very well. I’ve driven the DTS and I prefer my car’s ride. The quality of the seats, the leather, door panels, switches is better in the Deville. They cheapened the interior on the DTS. Drove the XTS, the ride is simultaneously stiff and bouncy compared to a Deville, the engine is coarse and unrefined and the tires and suspension were really loud over bumps. (Yikes I’m sounding like DW).

          • 0 avatar
            bball40dtw

            Oh the XTS is horrible looking. It makes the MKS look classy. I’d think about a used one though. I don’t know what depreciation is like. I’d still probably go with an MKS because of MOAR depreciation and my familiarity with the D-platform.

            GS- I’m not surprised the XTS has a worse ride than the Deville. It has a shorter wheelbase and Cadillac thinks everyone wants to be German now.

          • 0 avatar
            28-Cars-Later

            I’m not sure the German marques have coarse engines and feel stiff or are loud over bumps in their XTS equivalent models. Just moar fail from the usual suspects.

          • 0 avatar
            bball40dtw

            Well of course they don’t. However, Cadillac made a choice to put a stiff and crashy suspension on a FWD freeway cruiser because they think people want a Nuremburgring feel to their large FWD sedan.

            The MKS, for all its faults (and there are many), is a wonderful driver for the typical American drive. It doesn’t pretend to be canyon carver or a M5. It’s just fast, quiet, and comfortable. Too bad it is as tall as an SUV, looks strange, lacking a bit of space on the inside, and needs better interior materials.

          • 0 avatar
            CoreyDL

            “I can’t wait for the $76,000 XTS V-Sport.”

            Said nobody ever.

          • 0 avatar
            bball40dtw

            How about the $90000 CT6 VSport?

          • 0 avatar
            CoreyDL

            As long as the leather is an extra cost option, and it has a 2.0, I’m in.

          • 0 avatar
            bball40dtw

            $70K+ for the 2.0T CT6. They could at least throw a dang LT V8 in there for $70K.

          • 0 avatar
            CoreyDL

            This will not sell. That’s basically the same price as a freaking LS460.

            ARE YOU LISTENING, GM?!

          • 0 avatar
            28-Cars-Later

            Ah but Lexus buyers don’t dare greatly. They also probably aren’t tools either.

    • 0 avatar
      Boxofrain

      Sounds about right. A few months ago I dropped into the local VW/Audi dealer here in Eastern Canada to see the new Golf. I saw one parked in front of the main building. Their lot is small and it was full of inventory. There were little to no customer parking spots. I did see two empty spots close to the front, with new cars on either side. That was it. So I pulled into one of them. As I got out an employee, not a salesman, some young kid, shouts across the lot, “hey bud, I got bad news for ya, ya can’t park there, that’s for our cars only!”

      There was no signs saying this, nor was there any other parking. I felt like telling him to take a hike, but instead I got back in my car and drove off, vowing to never consider them for my next purchase. They weren’t offloading any vehicles either. So much for friendly customer service.

  • avatar
    TDIGuy

    VW Canada is currently offering $5500 back on a Touraeg gasser, but nothing on the TDI. Considering the TDI premium is already about $4Gs, they must still have some level of confidence.

  • avatar
    Whatnext

    There have been a lot of VW commercials on the radio up here in Vancouver. Partly tied into Jimmy Pattison (one of Canada’s wealthiest men) having had the misfortune to open a VW dealership just before the scandal broke!

  • avatar
    Jimal

    Just received notification that we’re getting something similar here in the U.S. $2000 loyalty bonus for any currently registered VW owner toward the purchase of any 2015/2016 gas or hybrid vehicle or Touareg TDI.

    • 0 avatar
      brettc

      Wow, that’s still insulting. Don’t be afraid to try, VW! Where did you see this information?

      And BTW, I got $500 in loyalty cash in 2003 for buying a Jetta TDI when I owned an old ’89 Jetta TD. So only $1500 more 12 years later and after a massive scandal is pretty bad in my opinion.

    • 0 avatar
      FreedMike

      Just got that email myself, Jimal.

  • avatar
    jpolicke

    People that weren’t buying new TDIs before aren’t going to be breaking the doors down to snap up a used model that had its performance crippled by a compliance fix. These cars are going to have a permanent taint in North America; their resale value is going to [probably already has] crash. So that so-called loyalty bonus might just bring you back to what the normal trade-in value would have been.

    How about an option for Buyer D: Who has already paid out of pocket [and through the nose] for an expensive out of warranty failure, for whom the current state of affairs is the final straw, and just wants out of this turkey to try something from the brand down the street. Just buy back his car for what the book said it was worth on September 17, the day before the scandal hit the media. Then let VW figure out what to do with it.

    • 0 avatar
      Jimal

      If Volkswagen actual sold TDIs to all these people expressing their outrage and indignation over what Volkswagen did, they wouldn’t be such a bit player in the U.S.

    • 0 avatar
      DenverMike

      Exactly. Can’t reward bad behavior. VW buys back the TDIs for what they were worth a good month ago, plus $2,000 and what ever they’re worth after the ‘fix’, it’s VW’s to keep.

      • 0 avatar
        seth1065

        I would not be going for that deal if they offered it to me, 2 k is very light, say my TDI was worth 12,500 as of sept 7, ( 2011 tdi wagon dsg auto, pretty loaded for what it is, 115,000 miles) and VW gives my 12,500 which would be high for dealer trade in and the 2,000 allowance so I know have $14,500 to buy me a new car, what am I getting? anything is gonna cost me at least $10,000 out of pocket and I just finished paying it off not really looking for another car payment as I hoped to be payment free for a few years. I think I would be better not taking their deal and seeing what the fix is or selling it privately to someone who does not car at the EPA and lives in a non test state and go and buy something used.

  • avatar
    brettc

    So $2000 Canadian, which is about $1500 USD. That’s pretty insulting. It needs to be in the $5000 or more range when you factor in the taxes on a new car in Canada. They must know that when they can sell the TDIs again that they’ll be frowned upon by a lot of people that might have once considered them, so they should probably try a tad harder to move the metal. I think they need to look to GM’s toe tag sales for inspiration.

    Anxious to see what VWoA does, still deafening silence from them it seems.

  • avatar
    EAF

    Brothers & sisters in Canada, do not allow VW to speak down to you in this tone of voice. $2K is a downright insult and complete disgrace; a slap to your mom’s face.

    Those of you lucky enough to live near the eastern sea border, now is the time to park your TDI in a low coastal region. With any luck, Joaquin will happily exact revenge.

  • avatar

    KBB shows trade-in on my 2014 SportWagen TDI as $20k-21k. Here was my experience on Wednesday:

    http://shiftcarblog.kinja.com/here-s-what-happened-when-i-tried-to-sell-my-tdi-scanda-1733924086

  • avatar
    rdsymmes

    $10k from VW, you can keep the current car (if you wish) and follow the upcoming recall, and waive the right to sue. Win-win.

    • 0 avatar
      seth1065

      The only way I could see VW doing that is if you bought a new VW they gotta keep the plants running so It would help them there and they may make some of their money back maybe after they export the cheater cars.

  • avatar
    GS 455

    At this point I don’t think VW has any idea of what to do. Right now they’re just throwing this pathetic $2000 bone to try to catch a few panicky people before the real crap storm arrives.

  • avatar
    FreedMike

    Yep, I just got the same email from a local VW dealer here in Denver – two large for a loyalty bonus.

  • avatar
    Joss

    1st discount wave? Catch early calls with less of a loss? I’m waiting until Spring, see how it plays out.

  • avatar
    Pricha33

    Make the offer $5K, I’ll keep my 05 Jetta TDI to sell privately and drive away in a new GTI.

    Pat


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