Are you, like myself, a Toyota owner? Bad news for us, folks – our Toyotas are losing value at a faster rate than normal as the news of the ongoing company recalls has the Kelley Blue Book (the foremost authority in the pricing of new and used vehicles) devaluing some of the formerly best-selling vehicles in the country at a rapid pace. According to a news story that I read recently, the KBB values of recalled Toyotas have dropped by as much as four percent, or several hundred dollars less on average. Up until recently, there was a saying that, “a Toyota in the garage is as good as money in the bank.” Not so anymore, or at least right now.
Seemingly endless recalls (the most recent of which was the Prius) and slow response to consumer safety questions by the manufacturer have both done their part to dampen confidence in the Toyota brand and in its vehicles. If values continue to drop, it will become increasingly likely that even the most steadfastly-loyal Toyota owners will jump ship and defect to the company’s competitors. The high resale factor for its cars, trucks, and SUVs has long been held-up as a major selling point for Toyota vehicles. With the company’s stellar reputation for quality and reliability becoming more tarnished by the day, then it could become quite hard to get once-eager clientele through the doors of the dealership. At this point, Toyota’s strength in the market it has long dominated could potentially be in jeopardy.
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