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Nissan Tells Dealers to Cut Prices as Inventory Swells

There is a lot of inventory, and it's got to go

2023 Nissan Leaf Picture
  • A dealer memo says Nissan is telling retailers to cut prices by 10%-15%
  • Some dealers aren't happy, insisting Nissan is passing losses on to them.
  • Nissan is forcing its dealers to compete with themselves by cutting invoice prices.

A memo obtained by Automotive News shows Nissan dealers hold “triple-digit days’ supply” in some cases, causing the automaker to ask dealers to cut prices to below invoice. Dealers are being told they can market almost all of Nissan’s 2024 lineup at 10% below invoice. There are a few notable exceptions. First, the Nissan GT-R, which is set to end production in 2025. Dealers won’t be letting these go for anywhere near MSRP, and a few have already asked absurd prices for the last examples of the iconic sports car.

Automotive News’ memo also indicates that Nissan dealers will swing the other way, cutting invoice prices on Armada SUVs by as much as 15%. Infiniti, Nissan’s luxury-oriented sister company, will update its Armada-based QX80 soon and an Armada replacement is on the way — likely the reason for the larger price cut at dealers.

The cost-cutting will be good news for consumers, and some of Nissan’s most popular models, like the Rogue and Leaf, will become even more affordable. While Nissan doesn’t publish its invoice prices, these figures can be thousands lower than MSRP. Nissan has a history of selling cars below MSRP, and the tactic has proven controversial now and then.

Per AN, some dealers aren’t happy. One told the outlet: “Nissan is saying, 'We can't afford to be in the market, so you need to be.' The responsibility has been moved from the factory to us.” Pricing vehicles below invoice price could potentially result in a financial loss for dealers already struggling with bloated inventory. Another said that allowing vehicles to be advertised and sold below invoice will save Nissan “hundreds of millions of dollars in rebates.” Others are happy to do it, with one saying, “We want more flexibility to make better deals and get more traffic into the stores.”

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Edmunds says

Nissan might shift more units in the short term, but that might come at a cost to its dealers.