#OrlandoKiaWest

For over a decade now, Kia has slowly but surely been moving toward doing the impossible —transitioning the brand image from “ subprime, budget, shady, and non-desirable” to “a slightly Buick-ized version of Hyundai.” In order to do this, Kia dealers have always relied on the one factor in their favor, which is the ability to sell on price. While the MSRPs on Kias aren’t too far off the competition, the stores have historically dumped new inventory at prices well below the sticker. Looking at an Altima? Why not try this Optima at $3,000 off instead?

Of course, when you operate this way, it makes it difficult for salespeople and managers to make any money, since there’s little to no profit in the deal. For over a decade, Kia has offered sales staff what’s known in the business as a “spin” every time they sell a new car — they can call into a number or log on to a website and enter a VIN-specific code for a “spin” and a chance to win a bonus that ranges from $25-500 per car. If you sell Kias for a living, this is likely how you’ve been paying your bills for as long as you can remember.

According to sources within Kia dealerships, a little over a month ago, without warning, Kia stopped its OEM incentive program for management. Then, for October, again without warning, Kia stopped the spin program for sales people, also with no explanation. Rumor has it this decision comes from the new VP of Sales for Kia Motors America, Bill Peffer, who came to Kia from a dealership group in the Pacific Northwest. Dealers tell me that they’ve repeatedly e-mailed their corporate contacts for explanation, but none is expected.

Other than a sharp increase in the mortgage foreclosure rate for Kia dealer employees, what does this mean for Kia in the States?

On May 4th, my friend “Jenny” (whose name is changed for the sake of her privacy) could not contain her excitement. She posted the photo seen above to Facebook, sharing with her friends that she had just bought what she believed to be a brand-new 2014 Kia Soul from Orlando Kia West. She got what she also believed to be a rip-roaring deal, too, paying $4,000 under sticker.

Although the car was a 2014 model with 530 miles on the clock, Jenny said the dealer claimed it had never been sold to a private customer, but Orlando Kia West had to list it as a used car because it had purchased it from another dealer.

The minute I saw that, I immediately knew something was up. I contacted Jenny and asked her some questions about her experience. Fifteen minutes later, we were both furious.