fatherlarry
04-30-2006, 08:20 PM
Marketing Strategies.....I'll use my new Canon Digital Camera as an example which I just purchased. They just discontinued the model I bought and are coming out with a new model the end of May. There are six upgrades to the new model, and it comes in black instead of silver to give the appearance of a higher end camera. The chassis is the same, except for six modifications. One being an increase in the pixels, by only one. Plus five other upgrades are too minimal to mention. The camera costs almost $200 more. You would think that using the same design and not tooling up to make big changes would keep the cost about the same, or just a little more for the extra pixel, but these marketing geniuses think that the public is stupid.
Hence, the same with the Z06. Basically, every component on the drive tranny is the same as the C5. You can take the drive tranny and frame from a C6 Z06 and transfer it on to a C5 Z06 hardtop. The few changes include. body design, the engine modifications, a smoother shifting transmission, wider tires, bigger rotors and calibers and a cosmetic change in the interior which eliminates the rear center floor compartment, allowing the exhaust to go straight back instead of side to side, and aluminum frame to lighten the car. Some may say its a lot of changes, but keep in mind that they're not changes that would increase the cost of manufacturing the car, all that much. Especially, having to pay $10K to $15K over MSRP. Strategy also included in this misconception that the car is worth so much more, is producing only 7,000 units and selling many of them overseas for over way over MSRP. If they didn't sell any overseas, they would have to deal with more flack from US sales as to why the price is over MSRP. Until the market dries up overseas, they will create a supply and demand here. Also, many dealers here are using the new Z as a demo and selling it with mileage and still trying to get over MSRP for it. This is not saying all the dealers, and most dealers are probably legit.
I feel that the bottom will fall out of this new Z06, worse than what happened with the ZR1. My opinion is that in a year or two you'll be able to pick one up with 10K to 16K miles on it for $45,000 or less. Let's face it the ZR1 with only a little over 6,000 produced, had a higher end dual overhead cam Indy engine, that was way superior to the LS6, and if still in existance would be producing well over 1,000 hp with upgrades each year, but cost factor would be prohibitive. This is only my opinion.
Nothing like instant depreciation.
Hence, the same with the Z06. Basically, every component on the drive tranny is the same as the C5. You can take the drive tranny and frame from a C6 Z06 and transfer it on to a C5 Z06 hardtop. The few changes include. body design, the engine modifications, a smoother shifting transmission, wider tires, bigger rotors and calibers and a cosmetic change in the interior which eliminates the rear center floor compartment, allowing the exhaust to go straight back instead of side to side, and aluminum frame to lighten the car. Some may say its a lot of changes, but keep in mind that they're not changes that would increase the cost of manufacturing the car, all that much. Especially, having to pay $10K to $15K over MSRP. Strategy also included in this misconception that the car is worth so much more, is producing only 7,000 units and selling many of them overseas for over way over MSRP. If they didn't sell any overseas, they would have to deal with more flack from US sales as to why the price is over MSRP. Until the market dries up overseas, they will create a supply and demand here. Also, many dealers here are using the new Z as a demo and selling it with mileage and still trying to get over MSRP for it. This is not saying all the dealers, and most dealers are probably legit.
I feel that the bottom will fall out of this new Z06, worse than what happened with the ZR1. My opinion is that in a year or two you'll be able to pick one up with 10K to 16K miles on it for $45,000 or less. Let's face it the ZR1 with only a little over 6,000 produced, had a higher end dual overhead cam Indy engine, that was way superior to the LS6, and if still in existance would be producing well over 1,000 hp with upgrades each year, but cost factor would be prohibitive. This is only my opinion.
Nothing like instant depreciation.