[Rewted]

Originally Posted by linus

Once a US sourced vehicle is registered in Canada, it is for all intents and purposes a Canadian vehicle. The disparity in used pricing to a Canadian sourced vehicle is likely to be very small in relation to the new sales price. You will not have to sell it here for peanuts if you are the original owner (which can be proven with government documents). Even my CA admitted that you might be looking at $1k or at the most $2k off. Who gives a damn in light of how much you're saving off the top. And then there's time value of the money you've saved. Put some numbers around that and your delta in used sales price becomes even less of a consideration. And all this assumes you are going to sell your car fairly quickly.

Look, I have nothing to gain by grinding this axe. I bought my E90 335xi in April and wish the currency was as strong then as it is now. I would have gone through the hassle given the monetary impetus. As a Canadian sourced vehicle owner, I understand that my vehicle's value will fall as purchasers go to the US for their vehicles. So be it. I think it's a healthy attitude to try to influence Canadian pricing with our feet. It helps all of us in the long run, including perversely, the Canadian dealers themselves.

I understand that... but another Canadian owner may not be willing to look past the car is in imperial. Personally, I if I could buy a new 2008 in the States, I would. Since that will not be the case, I'll be supporting the Canadian economy this time around.

[Lost Horizon]

Originally Posted by linus

....

Look, I have nothing to gain by grinding this axe. I bought my E90 335xi in April and wish the currency was as strong then as it is now. I would have gone through the hassle given the monetary impetus. As a Canadian sourced vehicle owner, I understand that my vehicle's value will fall as purchasers go to the US for their vehicles. So be it. I think it's a healthy attitude to try to influence Canadian pricing with our feet. It helps all of us in the long run, including perversely, the Canadian dealers themselves.

+1

[linus]

Originally Posted by tyrewt

I understand that... but another Canadian owner may not be willing to look past the car is in imperial. Personally, I if I could buy a new 2008 in the States, I would. Since that will not be the case, I'll be supporting the Canadian economy this time around.

Tyrewt, the following is not aimed at you, but rather a lift of one of my responses to a rather arrogant post to a thread in a bimmerfest forum regarding the same topic. The individual suggested that he was being patriotic by purchasing in Canada vs. the US. The following was my response. Again, please don't take this personally, but I just wanted to dispel some inconsistencies in how a purchase decision affects a local economy.

Oh my God, are you for real? If you want to support this country, why didn't you buy a Canadian built vehicle? By your logic, we should only support local shops, so why are you driving a BMW?

Do you not realize that the amount of money that Canada actually realizes through your local purchase of a BMW through a Canadian dealership is hugely insignificant in relation to the actual value that is provided to BMW AG. BMW AG enjoys the profit margin (through the pricing disparity) that you're generously providing through your Canadian purchase. Buying your BMW in the US still requires you to provide a 6.1% duty payment to Canada, in addition to GST and applicable provincial sales taxes. So our Country, which I love as much as you, does still benefit substantially from the purchase. More importantly, the local BMW dealerships will still do the warranty work (which they get reimbursed for handsomely by BMW AG) and will do longer-term maintenance on these vehicles.

Do you not understand that borders are increasingly permeable this day in our new global economy? The laws of comparative advantage and purchasing price parity have some intrinsic merit. I'm happy that you want to spend $10-15k more by purchasing your vehicle in Canada. I hope you feel happy with your decision and can enjoy your elitist attitudes. For most of the rest of us though, a penny saved is a penny earned. We work hard to be able to afford the luxury of driving these "foreign" cars. The extra savings that we enjoy and do not fork over to BMW AG will be reinvested in our economy. Have you ever thought about that? $10-15K savings will allow me to boost our local economy in other ways, not just providing the infrastructure for a elite group of automotive dealerships. Thank you very much. Many of us are as fiercely proud and fortunate to be Canadians as you. We just choose to act intelligently and optimize. This enables progress for our country.

P.S. you should have read his post.

[AndreTheGeek]

From the warranty booklet for my car:
BMW Canada has an arrangement with BMW of North America, Inc. (BMW NA) to honor each other's warranty. Therefore if you are in the United States, any authorized BMW retailer will provide full warranty coverage. If you or the US retailer have any questions, please contact us at the above address and telephone number.

[T Bone]

I would like to see the % of people who lease vs. buy.....

From what I understand <200 BMWs were imported to Canada last year. On base sales of 24,000 cars in Canada....mice nuts but this option is available to those who buy and will go through the hassle.

[Rossland]

Originally Posted by tyrewt

I've always been told we had to pay States sales tax, so that's news to me. The recall letter is issued by BMW Canada and costs $500 when you take it in for inspection to a Canadian dealer. Argue with BMW Canada if you think I'm wrong.

We're talking about importing the closest thing to a new 2008 335i, which is a 07 335i. NOT an 06 330 with god knows how many miles. Surely 15,000 MILES is worth $10,000 you save! I wouldn't want a used 07 335i either, due to all the issues present in early builds. Dislike the idea of maintenance not honored in Canada and speedometer/odometer is in miles not km.

I'm all for saving money, but in the long run.. a car bought in the USA will most likely need to be sold again in the US where you'll get peanuts for it. Keeping your business in Canada will assure you a higher resale value and isn't focused on the upfront savings, more so the big picture.

To each their own.

Stop and think for a moment Trynt.
1. The recall letter was issued at no charge by the selling US dealer. No need to argue or even talk to BMW Canada about it.
2. The warranty issue has been answered by others.
3. My spedo has both mi and km markings, and the other measurements such as mileage, temp etc can be changed from imperial to metric and back again. Its all in the owners manual. Is your car not the same?
4. The car is now legally a Canadian car. I don't know why I would ever want to reexport it to the US, especially "where you'll get peanuts for it."
5. The 10 to 11Gs saving was when compared to equivalent (mileage as well as options) used BMW's for sale at BMW dealers in S Ontario. I never priced cars in Quebec or the west. I did not price a new one either because I knew that the Canadian price was beyond my budget.

I found out early in my search for a car that some Canadian salesmen like to spread the BS pretty thick. Yes, I was told that $500 for a letter story, and I was also told that it would cost $1500 to turn the daytime running lights on. What a pile of crap. Salesmen who tell me stories like that are just insulting my intelligence.

[Rewted]

Originally Posted by Rossland

Stop and think for a moment Trynt.
1. The recall letter was issued at no charge by the selling US dealer. No need to argue or even talk to BMW Canada about it.
2. The warranty issue has been answered by others.
3. My spedo has both mi and km markings, and the other measurements such as mileage, temp etc can be changed from imperial to metric and back again. Its all in the owners manual. Is your car not the same?
4. The car is now legally a Canadian car. I don't know why I would ever want to reexport it to the US, especially "where you'll get peanuts for it."
5. The 10 to 11Gs saving was when compared to equivalent (mileage as well as options) used BMW's for sale at BMW dealers in S Ontario. I never priced cars in Quebec or the west. I did not price a new one either because I knew that the Canadian price was beyond my budget.

I found out early in my search for a car that some Canadian salesmen like to spread the BS pretty thick. Yes, I was told that $500 for a letter story, and I was also told that it would cost $1500 to turn the daytime running lights on. What a pile of crap. Salesmen who tell me stories like that are just insulting my intelligence.

Yeah I've had a few BS lines from my CA too. But once I work the numbers, I'm getting a 2008 335i for $58,500 vs a used 07 335i (9000 miles but more options) for $52,000. In my mind, it works out to be better going with the 2008. Though it makes me wonder if other US dealers will give me a recall letter at no cost too.

[islandbimmer]

tryet you seemed to ignore my case a2007 with only 1700 miles, frick I'm saving 20K and the recall letter is free got it done by a US dealer, the car does not hace to go tO BMW for any inspection Canadian Tire does the ferderal already paid for with RIV and then a provincal one for 60 bucks the car is like brand new no issues. Did you apply for a job with BMW Canada If my dealer jerks me around onservice I have 4 I can take it to in Vanouver or a couple in Seattle I doubt he would screw someone who could be a customer in the future ...bad business.

[Lost Horizon]

Originally Posted by islandbimmer

..If my dealer jerks me around onservice I have 4 I can take it to in Vanouver or a couple in Seattle I doubt he would screw someone who could be a customer in the future ...bad business.

Because I occassionally go to Vancouver on business, I use one of the big dealers there anyway.. they seem to be more current than the local.... and I bought in Victoria. I can guarantee they won't turn you away, they are way beyond that in the big city.

[ElCapitan]

I think one of the reason we pay more for Canadian spec cars is because we have unique spec cars different than any other spec cars in the world. We have the exterior appearance of US spec cars but the dashboard including speedometer and other warning lights different than US models.

The Canadian market for BMW is less than the sate of California alone. We count for peanuts. BMW AG is still willing to manufacture specific Canadian spec cars as long as BMW Canada is paying the required price to import the cars.

In conclusion, I think since the CAD remained the same VS the Euro, BMW AG is chargin the same to BMW Canada for the vehicles. Unfortunately, I think that all this, combine with prospect of crumbling resale is making it impossible for BMW Canada to lower the prices at or close to US prices.

Personnaly, I see this situation possibly threatening the financial health of BMW Canada and possibly making impossible for BMW Canada to compete, lowering its number of sales to a point of closure for BMW Canada.

While US price combined with our current exchange rate is making cross border shopping attractive, it can unfortunately hurt us more in the end (loss of national dealer chain and part supply chain).

[jgalaxy]

I called my dealership today about the rebate. They say I have made a mistake and there is no such rebate. I've tried to find information on the rebates from the BMW.ca Website. Nothing. If the dealership claims ignorance what recourse do you have if it's not officially announced?

[I3aby]

Originally Posted by jgalaxy

I called my dealership today about the rebate. They say I have made a mistake and there is no such rebate. I've tried to find information on the rebates from the BMW.ca Website. Nothing. If the dealership claims ignorance what recourse do you have if it's not officially announced?

+1!!!!

[homer]

Originally Posted by jgalaxy

I called my dealership today about the rebate. They say I have made a mistake and there is no such rebate. I've tried to find information on the rebates from the BMW.ca Website. Nothing. If the dealership claims ignorance what recourse do you have if it's not officially announced?

If you locate a dealer and select "Brian Jessel BMW" (BC) and then go to their website, the special rates are under the Promotions section. I think BMWCA still can't decide what they are going to do officially. When I checked last week, I swear they mentioned about the $1500 rebate on cash purchase and the offer expires on Oct 31. I just checked again. The rebate is no longer there. Only the financial rates are there and the offer good until Dec 31.

To make thing even more interesting, I went to a different BMW dealer in North Vancouver yesterday to get a quote on a 2008 328xi coupe. The salesman said that I can get $2000 rebate on cash purchase or 4.9% financing over a 48-month term!

[scoop]

Originally Posted by jgalaxy

I called my dealership today about the rebate. They say I have made a mistake and there is no such rebate. I've tried to find information on the rebates from the BMW.ca Website. Nothing. If the dealership claims ignorance what recourse do you have if it's not officially announced?

Your dealership is making a mistake by claiming you have made a mistake.
It has been officially announced -- but discreetly. Kind of the BWM way in all of its marketing strategies.
Hell, I wouldn't have even known about it until stumbling across a segment on television. I immediately looked on the this forum and then called to confirm it with my CA.
Sounds like yours might be a little out of the loop it doesn't apply in your particular case.

[EDMBMW]

Originally Posted by ElCapitan

The Canadian market for BMW is less than the sate of California alone. We count for peanuts. BMW AG is still willing to manufacture specific Canadian spec cars as long as BMW Canada is paying the required price to import the cars.

If that is your opinion, then how do you explain that as short as 4 years ago it was cheaper to buy the same BMW in Canada compared to the US?


I think BMW like every other manufacturer prices vehicles in a country based on what the market will support. The descrepancies only got really bad this past year and no one could have predicted the currency would change that much between Canada and the US.

I hate the price difference as much as anyone else, but currencies fluctuate all the time. Do you want the prices dropped this year and increased maybe 20-30% in 2 years? (you never know)

Like I said in another thread, I am surprised that BMW didn't increase US pricing a couple of percent and keep Canadian pricing flat for 08 to try and slowly close the gap a bit.

[ElCapitan]

Originally Posted by EDMBMW

If that is your opinion, then how do you explain that as short as 4 years ago it was cheaper to buy the same BMW in Canada compared to the US?

I don't know about 4 years ago but 3 years ago the M3 I bought in Canadas was cheaper in the US. Which model are you referring to?

I think BMW like every other manufacturer prices vehicles in a country based on what the market will support. The descrepancies only got really bad this past year and no one could have predicted the currency would change that much between Canada and the US.

And additionaly, I believe the higher price is also du to lower sale volume. They have to generate higher profit from fewer vehicles sold to make it worth while.

I hate the price difference as much as anyone else, but currencies fluctuate all the time. Do you want the prices dropped this year and increased maybe 20-30% in 2 years? (you never know)

Agreed. I think the same way.

Like I said in another thread, I am surprised that BMW didn't increase US pricing a couple of percent and keep Canadian pricing flat for 08 to try and slowly close the gap a bit.

I think because the US economy is not doing very well at the moment, they kept price where they are IOT maintain high sales volume. BMW AG is just making less money per vehicle sold in Euros.

[sparkyg]

In talking with a SA I think the US can expect a price increase next year to make up for the weakness of their dollar. I expect that will close the gap between US/Cdn prices.

Keep in mind everyone, no on ever said the prices would be the same, close would be nice. Right now I agree the gap is a lot but our dollar has only been at par for a less than 1 month. I expect the Walmarts and Bestbuys to be more proactive than the car dealers.

Maybe someone should call their MP and they can have the Finance Minister meet with BMWCA and slap their fingers....

[kick]

Yes, we're much more likely to see a price increase in the United States that downward movement at home.

[jgalaxy]

Originally Posted by Jobes

It was in an article in the Globe and Mail on the 20th..

BMW Canada hopes cash rebates will keep buyers out of
U.S.
GREG KEENAN
FROM SATURDAY'S GLOBE AND MAIL
OCTOBER 20, 2007 AT 12:36 AM EDT
BMW Canada Inc. is offering cash rebates to some customers in an effort to keep Canadians
buying vehicles here amid the perception that people can save thousands of dollars by buying cars
in the United States.
....

I like the idea of citing the Globe and Mail. It should do the trick. It's just a shame that BMW is not coming out right with this. Typical BS

[I3aby]

so what's the result of this??

[kick]

With the BS they've been feeding people on price disparity, I wouldn't put it past them to refute the paper of record.

[boymonkey]

I just tried to view the BMW Canada web site and it is being updated. Maybe we'll see some rebate or price drop on the site soon?