Has anyone successfully challenged VW's price increase?

[Bav]

So, I called VWCV Customer Care (as directed to by the dealer) and explained the situation - including the dealer phone call where they underestimated the price increase.

VWCVCC claimed not to understand why the price had increased since order (yeah, right!) and promised to contact the dealer and then call me back, which they duly did. On the call-back, they said that (1) the price rise was effected by VW, but that the dealer had absolute authority to sell the vehicle at whatever price they deemed appropriate, and (2) VWCVCC were categorically unable to intervene with any aspect of vehicle pricing.

So, they were very polite and very professional, but they weren't able to move things forward, save for the fact that they confirmed who I need to conduct further discussions with.

I have since emailed the dealer (chose to email to maintain a written record) and asked them directly to remove or reduce the price rise as a goodwill gesture. At this stage, I haven't given them any reason to do this, other than I'm aware of numerous forum members whose dealers have done just that, in very similar circumstances. I fully expect them to say no, at which point I will raise the subject of their underestimation of the price increase and the lack of written notification, and then see where that conversation goes.

As they say - nothing ventured, nothing gained.

 

[Green Giant]

Thankyou for taking the time to provide your input @Perfectos.

Are you able to provide a date when VW Breeze posted the info re the services/MOT/insurance deal?

Part of the problem for me is knowing whether I should approach VWCV or the dealer. As you say, VWCV have control of RRP and have the ultimate power to choose not to charge the increase for an individual customer, but my agreement is with the dealer and (from what I've gathered here and in other threads) for many of those that have not been charged an increase, they have their dealer to thank, as it is the they that have made a goodwill gesture.

 

[Pauly]

So, I called VWCV Customer Care (as directed to by the dealer) and explained the situation - including the dealer phone call where they underestimated the price increase.

VWCVCC claimed not to understand why the price had increased since order (yeah, right!) and promised to contact the dealer and then call me back, which they duly did. On the call-back, they said that (1) the price rise was effected by VW, but that the dealer had absolute authority to sell the vehicle at whatever price they deemed appropriate, and (2) VWCVCC were categorically unable to intervene with any aspect of vehicle pricing.

So, they were very polite and very professional, but they weren't able to move things forward, save for the fact that they confirmed who I need to conduct further discussions with.

I have since emailed the dealer (chose to email to maintain a written record) and asked them directly to remove or reduce the price rise as a goodwill gesture. At this stage, I haven't given them any reason to do this, other than I'm aware of numerous forum members whose dealers have done just that, in very similar circumstances. I fully expect them to say no, at which point I will raise the subject of their underestimation of the price increase and the lack of written notification, and then see where that conversation goes.

As they say - nothing ventured, nothing gained.

I think thats a very pragmatic approach and absolutely nothing to lose, as you said i dont expect them to quash the price increase but any form of compromise/price reduction/freebie etc is win from this point

 

[Green Giant]

if you cancel, the dealer will be selling it for much more than your order quote, and also more than the increase they are trying to get you to pay, they are in a win win, I get the feeling they almost want us to cancel orders so they can make more from the long build delays.
VW were definitely looking after the California orders with extras or free options.
Good luck, hold your ground.
Ps I cancelled a California order after 12 months of getting the runaround.

 

[BognorMotors]

We’ve had one vehicle, right at the start of the price increase get protection. That’s it. Not even sure why, I think it was a mistake by VW UK as they tried to back pedal.

I’ve heard of dealers giving price protection for retail , but subsequent conversations have revealed they had give little or no discount in the first place , so just absorbed the price increase in their profit.

None of our rental vehicles get price protection- they go up with every price increase regardless of when they were ordered!

 

[Bav]

We’ve had one vehicle, right at the start of the price increase get protection. That’s it. Not even sure why, I think it was a mistake by VW UK as they tried to back pedal.

I’ve heard of dealers giving price protection for retail , but subsequent conversations have revealed they had give little or no discount in the first place , so just absorbed the price increase in their profit.

None of our rental vehicles get price protection- they go up with every price increase regardless of when they were ordered!

Oli, can I ask how and when would you communicate a price increase to a customer?

 

[Salty Spuds]

Another way of looking at this would be:- if VW delivered the goods in a timely manner, instead of taking orders for business that they couldn’t fulfill, we wouldn’t be having this conversation. The fact that they can’t deliver, should be their problem, not the customers.

Many years ago, I ordered a new Discovery from Land Rover. They had a 0% finance deal on at the time. A couple of days after placing the order, I got a call from the dealer saying that the delivery date would be after the cut off date for the 0% finance offer. I told him I was quite willing to accept delivery of the vehicle before the cut off date, he replied that the factory couldn’t deliver the vehicle by then. Not my problem said I, if the factory can’t deliver on time, that’s a Land Rover problem not mine. I got my 0% deal.

 

[Bav]

Another way of looking at this would be:- if VW delivered the goods in a timely manner, instead of taking orders for business that they couldn’t fulfill, we wouldn’t be having this conversation. The fact that they can’t deliver, should be their problem, not the customers.

I agree that there's certainly an element of this, especially when VW's own strategy and business decisions contributed to those delivery delays (e.g. Giving preference to the delivery of new orders for electric vehicles, over dealing with the backlog of existing orders).

 

[Salty Spuds]

I agree that there's certainly an element of this, especially when VW's own strategy and business decisions contributed to those delivery delays (e.g. Giving preference to the delivery of new orders for electric vehicles, over dealing with the backlog of existing orders).

Just out of curiosity, were you given a delivery date early on in the process that subsequently got pushed back. I.e. did they give you a delivery date that they failed to honour?

 

[Bav]

Just out of curiosity, were you given a delivery date early on in the process that subsequently got pushed back. I.e. did they give you a delivery date that they failed to honour?

The dealer originally predicted a March 2022 delivery date. Back in May 2021, that seemed like a long time to wait... little did I realise!

 

[Salty Spuds]

The dealer originally predicted a March 2022 delivery date. Back in May 2021, that seemed like a long time to wait... little did I realise!

So if VW had delivered when the dealer indicated that they should have, you wouldn’t be as far out of pocket

 

[Bav]

H Bav

have a look at this government document regarding unfair contract, particularly section 12 : price variation clauses

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/450467/Unfair_terms_guidance_Annex_A.pdf

That was an interesting read... well, when I say "interesting" I mean "long, tortuous, but potentially relevant".

Having read section 12, I don't think the clause in question (7.a.ii) is unfair from a contractual viewpoint, but I do strongly believe the dealer has failed to meet the notification criterion specified in that clause (both in terms of specifying the size of the increase and, potentially, in terns of the method of communication they chose) and, therefore, they are not entitled to rely upon that clause.

EDIT: Also not sure they have complied with the intent of the notification criterion, with regard to the timing of the notification.

 

[DaveD]

I can't think of any other "big ticket" purchases that people make that involve agreeing to buy without knowing the price or delivery date, which might be over a year away.

 

[Perfectos]

That was an interesting read... well, when I say "interesting" I mean "long, tortuous, but potentially relevant".

Having read section 12, I don't think the clause in question (7.a.ii) is unfair from a contractual viewpoint, but I do strongly believe the dealer has failed to meet the notification criterion specified in that clause (both in terms of specifying the size of the increase and, potentially, in terns of the method of communication they chose) and, therefore, they are not entitled to rely upon that clause.

EDIT: Also not sure they have complied with the intent of the notification criterion, with regard to the timing of the notification.

Pm sent

 

[Perfectos]

I can't think of any other "big ticket" purchases that people make that involve agreeing to buy without knowing the price or delivery date, which might be over a year away.

Particularly when the stated “Verbal“ delivery time frame quoted by the dealer, to secure the order, are not adhered to , not even closely, which imposes unnecessary risk to the customer and subsequent additional expense.

 

[CJW]

@Bav Do the Ts&Cs state what form the ‘notification’ will take? I.e verbal or written? Sometimes it states this away from the clause, instead in the definition of terms in the header of the agreement.

 

[Bav]

@Bav Do the Ts&Cs state what form the ‘notification’ will take? I.e verbal or written? Sometimes it states this away from the clause, instead in the definition of terms in the header of the agreement.

You are correct, there is a separate clause...

​

Oddly, this clause appears to contradict other clauses that explicitly require written notification for specific events. What's even more bizarre is that changing something as fundamental as the price is not one the specific events that require written notification.

 

[CJW]

You are correct, there is a separate clause...

View attachment 184438​

Oddly, this clause appears to contradict other clauses that explicitly require written notification for specific events. What's even more bizarre is that changing something as fundamental as the price is not one the specific events that require written notification.

OK, well that’s at least clear. They would need to prove to you that they contacted you a second time. If there’s nothing in your phone log or answering machine service from them, that puts you in a strong position.

The central point here is that a retailer must normally declare a fixed price at the point a buyer makes a decision. Supermarkets (for example) can’t put things on the shelf at one price and then charge more at the till. New car purchase seems to be one of a very few accepted exceptions and come with Ts and Cs BUT they can’t take liberties - they should be notifying you that an increase will happen and a sensible idea of by how much - only then can you make your cost / benefit decision. If this were me, I’d be trawling through phone records and emails to find (or otherwise) the second communication. If there isn’t one, I’d think I’d be in a strong situation for arguing away the 1k.

This situation irks me because I have to sign fixed price contracts with clients in my line of work. Nothing would make me happier than charging what it had actually cost me at the end, especially when inflation is so high.

 

[Bav]

I've kept all emails to/from the dealer, but the call logs on my mobile only go back as far as July 2022.

There's definitely been no pricing-related comms (written or verbal) since the March 2022 "guesstimate" call. In fact, in the 20 months between the initial order email and the "your van has arrived" email, I don't think the dealer has once instigated comms with me - they've responded to me chasing them, nothing more.

 

[Bargy62]

@Bav
I wouldn't worry about proving they didn't contact you
Let them prove they did contact you