I saw a bloke driving a 1929 Model A Standard Roadster yesterday and my first thought was "Shame, poor guy can't afford a new car." Then, quite coincidentally, I opened our local Sunday paper and saw an article entitled Tough Year Ahead for SA Motor Industry, with a subhead But no lowering of prices or retrenchments envisaged. It makes the point that "high interest rates and high consumer debt would affect consumer spending and new car purchasing". When you combine that with the National Credit Act, it makes it even more difficult for the average consumer to purchase a new vehicle - which brings one to the issue of prices. I always thought that Marketing 101 had some sort of advice along the lines of "If your product is not moving, or not moving fast enough, reducing the price will make the product more affordable and hence more attractive." I'm no expert on the motor trade, but to me, making vehicles more attractive by making them more affordable - particularly in view of legislation that makes obtaining credit that much harder for your average John and Joan Citizen - makes sense.


Rod Baker, Content Manager