Target Price Market Report – June 2021
Segment Analysis: convertibles
The average cash Target Price discount had been steadily declining over recent months, with consumer interest in convertibles increasing as the Summer months draw nearer. But along with most other car segments, the month-to-month drop in typically achievable transaction price savings has been significantly impacted by the new car supply issues resulting from the global semiconductor shortage.
This has resulted in a 13.2% relative terms reduction compared to last month which means consumers can now expect to get an average 7.3% or £2930 per car cash discount when buying convertible variants.
Prestige manufacturers dominate the segment and offer the highest levels of cash discount. Customers can expect to haggle a typical 15% (£14,636 per car) saving on BMW 8 Series models, 13.7% (£6961 per car) on Mercedes-Benz C-Class variants and an average 6.8% (£3298 per car) when buying Audi A5 versions.
At the other end of the cash discount scale, consumers will struggle to negotiate more than a typical 2.3% saving on Fiat 500C variants, Mazda MX-5 models, and Volkswagen T-Roc Cabriolet versions.
There is a 9.8% drop in the average cash Target Price (£2930 per car down to £2644 per car) when the manufacturer’s finance offers are used to buy a car. This boosts the total average Target Price savings by £1433 per car to £4077 per car and is linked to an average PCP APR of 4.4%.
Jaguar offers the most generous finance Target Price support, with an average £5500 per car finance deposit contribution on F-Type Convertibles, followed by Audi with a corresponding £3750 per car figure on TT Roadster variants.