[urq] Audi's Maintenance Coverage Strategy

[Buchholz, Steven]

It seems to me that having the extended service plan has an effect on resale values ... When you sell the car after those 2.5 years you can indicate that it has several years left on the extended warranty.  Someone shopping for a used Audi would know that each and every car they considered was subject to the same plan.  Some people (like me) tend against paying extra for this sort of thing, so shoppers for the used cars will not have it in their mind that the car will automatically have extended coverage.  My take is that I'm paying a premium price for a premium car ... it should be reliable ... and if it is not then the manufacturer should take responsibility.  There are many sides to marketing ... no question that the costs need to be covered some how, but there is perceived value.  If the costs go too high as compared to value then people will decide to go elsewhere.  If the cost of servicing the vehicle get so expensive as to make it impractical for the manufacturer to service it without having the customer pay the tab you have to think about whether that manufacturer has a viable product.  

I'm seeing signs that Audi is regressing to the way they were back in the 1970's ... the cars require so much service early in life that it is impractical to consider them for long term ownership ... which means they have zero resale value after a few years.  

I see signs that Audi is not alone in this regard.  One of my neighbors owns BMWs ... they recently had the dealer take back one car they had problems with ... 5-series I believe.  The replacement car was just returned to the driveway the other day after a week or so when a "courtesy car" was taking its place.  

I still like Audi ... I see that they still push for technological advancement in ways other manufacturers do not.  It just seems to me that Audi has no clue when it comes to Marketing.  

Steve B
San José, CA (USA)
>
> ...   In
> my experience selling them for 2 1/2 years, today's Audi buyer isn't
> making their decision based solely on free maintenance anyway.  It's a
> nice bonus, but if you put a chart in front of most of them comparing
> up-front cost to pay now versus pay later, most of them are smart
> enough to realize the savings and will opt for it.