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Today we’re talking about one study that tracks the fallout from Dealers charging over sticker price. We also talk about a new app that lets consumers order pizza from their cars, as well as a less than welcome reception for a new Starbucks beverage.
A recent GfK survey reveals that 34% of customers paid more than the sticker price for a new vehicle in December 2022, a trend that may hurt repeat business for car dealers and automakers.
About 27% of those who paid above the sticker price stated they would never buy that brand again suggesting long term consequences for brands and relationships
31% would advise others to avoid the dealership, and 29% plan to never use that retailer for service
Julie Kenar, GfK senior vice president of consulting, told Automotive News on March 15 paying sticker doesn't engender the same backlash as paying above it. "There's a much bigger lift" in negative feelings with the latter, she said.
Of all the demographics in the study, Millennials and those with household incomes over 150K were most likely to have paid over sticker
In February, the average vehicle sold for 102.8 percent of sticker
Domino's Pizza continues to revolutionize the pizza ordering experience with the debut of its first-of-its-kind Apple CarPlay app.
- The app is highlighted in the new 30 second spot by agency, Work In Progress
- Domino's "AnyWare" delivery apps enable customers to order from any location using their preferred device. These options include Alexa, Google Home, Samsung Smart TVs, Apple and Android smartwatches, Slack, Twitter, Facebook Messenger, voice ordering via Domino's app, texting a pizza emoji, and a "zero-click" app that orders pizza 10 seconds after opening.
- To incentivize early adopters Domino’s is offering CarPlay users large one-topping pizzas for a discounted $7.99, carryout only.
- A few weeks back we talked about Starbucks launching its new olive oil-infused coffee range, Oleato, urging customers toward a unique experience and health benefits. However, some customers are feeling a different urge after trying the beverage.
- “Half the team tried it yesterday and a few ended up… needing to use the restroom, if ya know what I mean,” one barista posted on the Starbucks Reddit page
- The combination of caffeine, a stimulant, and olive oil, a relaxant, might be responsible for this effect. The high-fat content in the drinks could also be contributing to the problem, as it can cause cramping and increased colon mobility.
- Former CEO Howard Scultz oversaw development of the beverage after adopting the mediterranean habit of taking a spoonful of olive oil every day for the health benefits
Join Paul J Daly and Kyle Mountsier every morning for the Automotive State of the Union podcast as they connect the dots across car dealerships, retail trends, emerging tech like AI, and cultural shifts—bringing clarity, speed, and people-first insight to automotive leaders navigating a rapidly changing industry.
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