Lexus Dealerships Ending Negotiation with No Hassle Pricing

Lexus to Test “No-Haggle” Pricing Model

Starting in early 2016, Lexus will test “No-Haggle” pricing at 12 select US dealerships in an effort to provide greater transparency and increase customer satisfaction in the brand.

The “No-Haggle” pricing model has been used before by a few brands in the automotive industry. Scion, Lexus’ sister brand, introduced it’s “Pure Price” program in 2003. The now retired GM brand of Saturn offered customers a similar program before ending the brand in 2009.

According to a survey done by back in March, 44% of consumers do not want to haggle over price when it comes to taking their new vehicle home. Additionally, consumers are dissatisfied with the long process that is entailed in purchasing a new car and not knowing exactly how much the vehicle is.

Lexus hopes that subtracting the negotiation process from the car buying equation will increase overall satisfaction. There is some thought that consumers may just walk out the door if they do not get the deal that they want or feel the price is still too high. With that, the luxury brand expects that sales may suffer as consumers adapt to the new idea.