Toyota ’s dealers in Japan say that the automaker has sliced the price of its all-new Prius to better compete with the bargain-basement Honda Insight . Though the automaker hasn’t confirmed the price drop, the dealers say the Prius will now begin at 2.05 million yen, or about $20,750 – about the same as an equivalent Insight.
The Insight does have a cheaper entry-level price in Japan, but that comes with a lower level of specification than the base Prius. The Toyota can also be loaded up to around $33,000 in Japan, whereas the top-end Honda – again, not boasting the same level of equipment as the top-end Prius – is about $22,400.
Toyota dealers in Japan say that they are excited about the sales price decrease despite the fact that the invoice price doesn’t seem to have changed much, if any.
“It’s great news for me, but the dealer margins are lower than ever,†one dealer told Automotive News
The dealers say that the Prius, which is both larger and more efficient than the Insight, would be an easy sell when priced the same as an equivalent Insight.
Toyota hasn’t confirmed any price drop for the Prius, which Leftlane recently drove, in the United States, where a price around $24,000 has been expected. The outgoing Prius, which will still be sold in Japan as the Prius EX, started at $22,000 in the U.S. and the Insight starts at $19,800 before destination charges.
Toyota has also lowered the price of the Prius EX, which is essentially the old model with a retrimmed interior, to the equivalent of $19,130 in Japan. The Prius EX will be aimed at commercial, rental and government fleet users.
