Interesting thoughts from Toyota regarding the 250 in this week’s Automotive News

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Regardless… I’ve reconsidered purchasing a v8 Tundra, because I don’t want to get 14mpg’s

I’m sure many guys are also like me in that thinking
 
Toyota is playing a new game with something they're calling TSRP instead of MSRP
You got to separate out dealers and distributors from the manufacturer.

Dealers and/or distributors are playing games with "suggested prices". This is happening because of the supply/demand you were talking about.

Manufacturers have been trying to do something and discovered they have little power in the equation. Our local Ford dealers have been adding markups of 50K to the Raptor for years and more recently the Bronco. The Toy dealers are no better

The manufacturers know this BS is hurting their brands but are bound by contracts that they didn't realize were terrible until the worldwide shortages. No manufacturer wants almost nobody to be able to buy their product and have the few that do be price gouged.
 
Hmm

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The dealers near me have a sea of trucks on the lots. The GM dealer probably has 100+ full size trucks. Toyota and Honda not so much. I was stopped at the light next to the Acura dealer this last weekend. They had 5 cars total. Toyota is the same way. Almost no new cars, a few tacomas, tundras, and 4Rs, and a handful of oddball stuff. Might be a good time to buy a non-Toyota truck. If I had to buy a new truck today - I'd probably be buying a domestic.

Toyota is playing a new game with something they're calling TSRP instead of MSRP which is basically just adding an ADM to the price and hiding it in a price that looks like MSRP on the window sticker. It's a bulls*** sales tactic that really needs to backfire.
TSRP stands for total suggested retail price, and it is the MSRP plus the destination charge for the vehicle as determined by Toyota. There are no ad ons to this amount...this is how things work in most parts of the country except for the 2 areas that have separate distributors where the distributors add extra charges as well. What I find surprising is that Toyota allows its dealers to clearly display additional dealer markups on their websites...most other manufacturers frown upon this type of behavior.
 
What I find surprising is that Toyota allows its dealers to clearly display additional dealer markups on their websites...most other manufacturers frown upon this type of behavior.
The manufacturers have been 'frowning upon' this situation. The thing is they have little power in the relationship. These old exclusivity contracts protect the dealers and distributors plain and simple. Give the middleman lots of pricing power. Manufacturers either sell through existing agreements or they don't sell, period.

There used to be laws in many places that gave further protection to dealers. Sometimes it was actually illegal for manufacturers to sell direct to consumer.

Tesla ran into this when they opened their own company stores. Because of the momentum on "Green" laws were changed pretty quick in most places. However this did not change the existing dealership and distributor agreements.

This has been a sticking point for some time but never was a really as big of an issue as it became during the great supply chain shortage. Add to that the unprecedented situation of demand just falling off a cliff and later returning with a vengeance. It was a perfect storm that revealed to most the downside of these exclusivity contracts.
 
The manufacturers have been 'frowning upon' this situation. The thing is they have little power in the relationship. These old exclusivity contracts protect the dealers and distributors plain and simple. Give the middleman lots of pricing power. Manufacturers either sell through existing agreements or they don't sell, period.

There used to be laws in many places that gave further protection to dealers. Sometimes it was actually illegal for manufacturers to sell direct to consumer.

Tesla ran into this when they opened their own company stores. Because of the momentum on "Green" laws were changed pretty quick in most places. However this did not change the existing dealership and distributor agreements.

This has been a sticking point for some time but never was a really as big of an issue as it became during the great supply chain shortage. Add to that the unprecedented situation of demand just falling off a cliff and later returning with a vengeance. It was a perfect storm that revealed to most the downside of these exclusivity contracts.
Most have, but seems like Toyota is encouraging it. They are allowing dealers to place additional dealer markup right below the TSRP on the dealers online inventory web page...those web sites are built and maintained by Toyota so each dealer has a similar looking website and the inventory auto populates.
 
Most have, but seems like Toyota is encouraging it. They are allowing dealers to place additional dealer markup right below the TSRP on the dealers online inventory web page...those web sites are built and maintained by Toyota so each dealer has a similar looking website and the inventory auto populates.
I've seen this exact thing from other brand's dealers. I first saw it in person back in 2019 at a Ford dealer on a Raptor. 50K dealer "adjustment". It brought it to just over 100K, for a pickup.
It's not that the manufacturers "allow" it. It's that they can't do anything about it. Simple supply and demand dealers do it because they can. They will continue to do it as long as they can.

As demand lessens the markup is lowering. Unfortunately Toyota is popular and the supply is still really low so the shenanigans continue for the foreseeable future.

Manufacturers tried selling direct and they got sued and lost. Those contracts are ironclad.
Then they raised MSRP to "accommodate" dealers hoping they'd take the "suggestion". Dealers now just markup over that.

Current MSRP on many vehicles is another thing that's ludicrous IMO. Even when dealers start selling at "list" it still inflated.
 
Hopefully all of the dealer fees and markups go away soon. Once supply is back it'll go back to a normal competitive market. We already see it at the domestic dealers for most products. $10k off MSRP is pretty common on domestic trucks again. It's remarkable how quickly the pricing power flipped.

TSRP should be MSRP. MSRP should be the actual suggested price. And it should include everything except taxes. That's why it's called a "retail" price, not a wholesale FOB purchase.
 
60 series? You talking about that plush "Mall Cruiser" with factory AC?! Heck the later models along with "ruining" the headlights had POWER WINDOWS AND MIRRORS!!!

There hasn't been a "real" Land Cruiser wagon since the 55. Everyone knows that! :p
My 1976 55 wasn't plush, but it did have factory AC.
 
I've seen this exact thing from other brand's dealers. I first saw it in person back in 2019 at a Ford dealer on a Raptor. 50K dealer "adjustment". It brought it to just over 100K, for a pickup.
It's not that the manufacturers "allow" it. It's that they can't do anything about it. Simple supply and demand dealers do it because they can. They will continue to do it as long as they can.

As demand lessens the markup is lowering. Unfortunately Toyota is popular and the supply is still really low so the shenanigans continue for the foreseeable future.

Manufacturers tried selling direct and they got sued and lost. Those contracts are ironclad.
Then they raised MSRP to "accommodate" dealers hoping they'd take the "suggestion". Dealers now just markup over that.

Current MSRP on many vehicles is another thing that's ludicrous IMO. Even when dealers start selling at "list" it still inflated.

I understand all of that, many makes have ADM at the dealer level but the manufacturers don't encourage this. The difference is that Toyota is condoning and almost encouraging the behavior by allowing for "dealer adjustments" to be posted on their website buyatoyota.com. Take a look at this link..most other manufactures do not allow ADM to be posted on the manufacturers inventory website.



As a comparison look at the Ford website for a Bronco Raptor which generally have huge markups...Ford's website does not allow the dealer to openly advertise an ADM.
 
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Fuel mileage is still on the Canadian Toyota page at 8.7 l/100km.

235.215/(8.7 L/100km) = 27.036 US mpg

In Canada, they left the fuel efficiency number up, and the disclaimer says that it was determined using government approved methods. Perhaps Toyota removed the number from the US website because it was not yet EPA approved.

That is, perhaps it is Toyota's policy to publish only government approved estimates, where in Canada they have those, but not yet in the US.

Fuel Efficiency Disclaimer​


† Fuel efficiency estimates were determined using approved Government of Canada/Transport Canada Test Methods. Actual fuel consumption will vary based on driving habits and other factors.
 
235.215/(8.7 L/100km) = 27.036 US mpg

In Canada, they left the fuel efficiency number up, and the disclaimer says that it was determined using government approved methods. Perhaps Toyota removed the number from the US website because it was not yet EPA approved.

That is, perhaps it is Toyota's policy to publish only government approved estimates, where in Canada they have those, but not yet in the US.

Fuel Efficiency Disclaimer​


† Fuel efficiency estimates were determined using approved Government of Canada/Transport Canada Test Methods. Actual fuel consumption will vary based on driving habits and other factors.
I think you've cracked the case.
 
If it gets 8.7 on the govt tests I will probably get 8 or a little less based on my experience with these numbers. This could be a great engine. Assuming the hybrid system is as reliable as the past Toyota models and that the turbo doesn't work as hard due to relying on the hybrid motor. 6th gen 4Runner should get close to 30 mpg with this engine. Eagerly awaiting the Tacoma numbers this fall.
 
Unfortunately Toyota is popular and the supply is still really low so the shenanigans continue for the foreseeable future.
Toyota was just as popular before the pandemic and back then my local dealer would have had at least a couple hundred vehicles in inventory. Now he’s got less than 70. Something is going on with the supply of Toyotas that I simply don’t understand.
 

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