UPDATE: We've been informed that the 0% financing for 72 months offer is only available for the 2008 Dodge Ram. Financing details for the 2009 Dodge Ram will be announced at a later date.
The 2009 Dodge Ram appears to be a top-notch competitor in the light truck market, but that won't keep the soon-to-be-released model from feeling the pinch of high gas prices. Chrysler told dealers in a July 8th conference call that the new Ram would be launched with 0-percent financing... for 72 months. To put this into perspective, an all-new $30,000 vehicle with 7-percent financing would translate into a $511 per month car payment over 72 months. With 0-percent financing, the payment would be only $417, for a savings of nearly $7,000.
When the 2009 Dodge Ram was unveiled to the public at the Detroit Auto Show, it was looked at as a potential savior for the Pentastar. Only seven months later and two months before its scheduled to go on sale, It's going to be launched with the same financing as the slow-selling outgoing model. Ouch.
[Source: Automotive News (subs req'd)]
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Reader Comments (Page 1 of 3)
Vintage @ Jul 10th 2008 9:30AM
So where is Chrysler's small car? Is it ready yet? Because these obviously aren't selling at all.
Paul Murray @ Jul 10th 2008 9:34AM
"these obviously aren't selling at all."
They haven't sold a single one, in fact -- because they're not on sale yet. Did you even read the story?
TJ @ Jul 10th 2008 9:43AM
They, um, aren't selling, um, BECAUSE PRODUCTION HAS NOT STARTED.
thank you.
K @ Jul 10th 2008 10:03AM
"Because these obviously aren't selling at all."
Kind of reminds me of a certain Italian-designed, overweight Sabaru from the early nineties that didn't do so hot either. Now, what the heck was that thing called...?
Goat Law @ Jul 10th 2008 10:25AM
I believe the auto you are thinking of the SVX. They sold 14,257 total over 6 years. Dodge will sell more of the new RAM in the first month it is on sale
Vintage @ Jul 10th 2008 12:27PM
Sorry K, Saabarus weren't made until recently, and were not italian designed.
azzo45 @ Jul 10th 2008 1:06PM
The (Subi)Saab 92X was not Italian designed.
SimbaDogg @ Jul 10th 2008 4:24PM
i think you guys are missing the point SVX is trying to make, the outgoing models weren't the hottest sellers, and with gas prices going up and up...dont expect the 2009 to be the hot ticket WHEN it drops. jezus...everyone beating up on someone for what they literally wrote, rather than what you know they meant. this is a blog not a court of law
inteller @ Jul 10th 2008 9:36AM
Wow, last person to leave Chrysler don't forget to turn out the lights. 0% before it even hits the ground. How sad.
TJ @ Jul 10th 2008 9:44AM
how's that sequoia doing right about now?
azzo45 @ Jul 10th 2008 9:56AM
Chevy & GMC are doing the exact same thing... those trucks were also just re-designed.
They're in a no win deal... the Ram sold 450,000+ units at its peak & the GM twins old over 1 MILLION.
If GM & Chrysler had let those models age Wall St. would have killed them because Ford,Toyota & Nissan were updating their pick ups.
Plus, Chrysler started design (styling) concepts for these "new" Rams in late 2005. The complete redesign/ engineering/ etc. process on new product takes 30 to 36 months (at every company... not a Big 3 thing)
geo.stewart @ Jul 10th 2008 9:58AM
well, duh!
There isnt a large truck or SUV out there doing gang-busters.
Even amongst the real working types, gas prices are causing them to pinch pennies so they are holding on to the older trucks longer.
I dont see a new Hummer or F-150 or Tundra flying off the lots at full price.
More than likely, its easier to inch up interest rates than it is to lessen rebates so this is a smarter path.
C.W. @ Jul 10th 2008 10:09AM
actually you do more to sustain long-term residuals by NOT doing this. You only do 0% on ANY vehicle, when you need to get them off the lot. For a new model you should never see 0%. what GM is doing right now is not the same because GM is doing it on existing inventory, not on something that isnt even there yet. Chrysler should have done what Ford did and delayed production until current inventories were down, then build less of the new truck and market it specifically to commercial buyers who will always need trucks.
chrysler is in a very bad way right now.
azzo45 @ Jul 10th 2008 10:20AM
Chrysler could NOT delay production... the 2008 Rams are jammed on the dealer markets... some 2007 models are there as well. The '08 models have HUGE rebates & or price reductions.
Between buyers who are not returning to the truck market... people who actually NEED a truck (construction, landscapers, etc) are AVOIDING the "old" Dodge Ram & waiting for the much improved '09 Ram.
Jason @ Jul 10th 2008 10:53AM
Yeah my neighbor just picked up a 2008 Ram for a ridiculously low price. He uses it as a hunting/recreational vehicle.
Pacman @ Jul 10th 2008 10:06AM
The Rams I drive past (last model) at the dealer all have "$11,000 off" writen on the windshield. Crazy, $11K off. You can buy a nice truck for 20K. I would still never buy a truck (I just dont have a need) but that is a great deal. Too bad you get killed on gas but 11K does put lots of fuel in the tank. $11K = 2,750 gallons of gas @ $4. If someone drives 15K miles a year that is enough gas for almost three years at 12mpg. Still a dumb move but if someone really needs a truck they could lock in gas price with the online service (buy $11K worth) and not be that bad off.
Of course the resale value of these things is even worse than it used to be. I know some places are only giving 75% of blue book for trucks, they have trouble getting rid of them - even at the auction.
You have to be absolutly nuts to buy a truck right now unless you HAVE to have one for work and gas is a business expense.
MrMischief @ Jul 10th 2008 10:30AM
My wife works at a dealership as their used car billing clerk. She sees the numbers on everything that the dealer takes in and every used car that is sold. In May, trucks and SUVs were 63% of their vehicles sold. Last week she just finished the books for June, and found trucks and SUVs sold in June were 77% of sales, with an average profit of $5,000. I forget the volume numbers, but volume was also up from May to June. An interesting thing she saw happen in June was a truck nearly identical to mine sold for over KBB.com retail value. Doesn't seem truck sales are as bad off here in the Denver area as some would have you believe. I went to trade in my truck (that is paid off) on a new Jeep and the dealer offered me 50% of kbb.com value because "it's nearly impossible to sell trucks right now." The wife fired back her stats at the sales manager and he had no response. So I half suspect the "trucks aren't selling" is nothing more then a dealer lie, at least on the used market. I for one will be taking my 06 Ram by Dodge today to talk about a trade for an 09 Ram.
Goat Law @ Jul 10th 2008 10:31AM
This is why now is the best time ever to buy a truck. You will never be able to get these kinds of deals again, because automakers will learn from the sting of the incentives they are giving on the current stock and cut production. Once the supply glut is cleared out, the incentives will be gone, and the market will be much smaller, leading to less choice and less flexibility from dealers.
azzo45 @ Jul 10th 2008 10:42AM
Dodge has that $2.99 gas deal on new cars for the first 12,000 miles for 3 years? Your $4 gas figures would have to be adjusted
Duders @ Jul 10th 2008 11:48AM
@MrMischief
It must just be your area then. I too work at a dealership and the manager has actually refused to take trucks in on trade because he would lose so much money on them and never be able to get rid of them. I work at a higher end luxo brand though so that might also be a part of the equation.