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William Maley

Jaguar News: Jaguar Offers Free Maintenance, Cut Prices, and Adds More Equipment

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If you were to ask a luxury car buyer why they haven't bought a Jaguar, they'll cite two reasons; high prices and maintenance costs. Jaguar is hoping to change that with some changes for the 2016 model year.

 

The British automaker announced that it would be cutting the pricetag on certain models from $1,500 to $3,000. Models that don't see a price cut will be getting an increase in standard equipment.

 

An example of a price cut will the be new 2016 XF. The redesigned mid-size luxury sedan sees a 9 percent price cut (about $5,275), making the base price of the XF $52,895, including shipping. This helps the XF undercut many competitors in the class such as the BMW 5-Series and Audi A6 equipped with six-cylinder engines.

 

With the new price strategy, “we are positioned at the heart depending on how you do the price comparison,” said Joe Eberhardt, CEO of Jaguar Land Rover North America. “Directionally, we are below all the Germans and we are par or slightly above the Asia or domestic competitors.”

 

As for models that will not see price cut, Jaguar has increased the amount of standard equipment by about 10 to 20 percent. The F-Type coupe and roadster will remain the same, but the amount of standard equipment has increased by about $4,000 to $12,000.

 

Along with price cuts and increase in standard features, Jaguar is also introducing the EliteCare program. Basically if your purchase a 2016 Jaguar, your car will come with a limited warranty, free scheduled service, and 24/7 roadside assistance for five years or the first 60,000 miles. Owners will also get Jaguar's InControl and Protect services for that time as well.

 

“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.

 

Source: Automotive News (Subscription Required), Jaguar

 

Press Release is on Page 2






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All good moves, but they are such a small brand, I don't know how much it will move the sales needle.  I do think the XE is really well priced.  $35k for the turbo 4, and the diesel is like $37k, and the 340 hp supercharged V6 is $43k.   That supercharged V6 car is going to be pretty fast, and $43k isn't a lot for that kind of speed.  Nice to see them drop the 4-banger in the XF, if Jaguar is a performance brand, it doesn't need a 4-banger in a $50k car.

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All good moves, but they are such a small brand, I don't know how much it will move the sales needle.  I do think the XE is really well priced.  $35k for the turbo 4, and the diesel is like $37k, and the 340 hp supercharged V6 is $43k.   That supercharged V6 car is going to be pretty fast, and $43k isn't a lot for that kind of speed.  Nice to see them drop the 4-banger in the XF, if Jaguar is a performance brand, it doesn't need a 4-banger in a $50k car.

 

I would suggest that it will move the sales needle far more than anything else than can do.

They have a huge product gap for a segment that is growing in leaps and bounds, luxury and sport CUV.

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The XE will get sales due to price point, the F-Pace will get some since it is a crossover.  As far as the XF, XJ and F-type go, I don't think the price cuts or free maintenance or warranty changes will do much for sales of those models. 

 

I will say that their 5 year/60,000 mile roadside assistance package falls a bit below the unlimited years and unlimited miles Mercedes program.  But if buying a Jaguar, I would want a 5/60k warranty at least, I'd probably want the 10 year/100k mile Hyundai warranty, because you know that Jag is going to break down.

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