LR Factory Service? Tata for now...

[toddjb122]

Asked my SA if there are any changes yet from our new owners, and he said that LandRover (Tata) is doing away with factory service on new purchases. (i.e. free scheduled maintenance for the first 50K).

I would think that would hurt the service end of the business as that is the hook that gets a lot of us comfortable with our dealer's service departments, and still going there once we have to pay for it. Plus the obvious benefit of not having to pay expensive maintenance costs for quite a while...

 

[richpike]

Not just Tata doing this. I believe Mercedes has done away with their FSM, Audi too (IIRC). BMW is one of the few (only?) still doing it. And to be perfectly honest, the "maintenance" that LR included was pretty crappy - really only oil changes (and not enough IMHO - without synthetic, I couldn't imaging going 7500 miles between services, so we've always paid for ones in between). BMW's includes everything - brakes, rotors, even windshield wipers. The only thing it doesn't include is tires.

-Rich

 

[Hollywood619]

I am not a lawyer and I haven't sat down to read my handbooks, but they could only do this with new vehicle sales right? Isn't there a contactual obligation if you purchased the vehicle while the service offer was in effect?

 

[richpike]

I'm sure they are only changing for new vehicles. I don't see how they could change it for previous purchases.

-Rich

 

[jptruck]

That's a shame, but not unexpected. That's like taking away a security blanket for people who are concerned by LRs reputation for quality.

 

[toddjb122]

I liked the factory service. It was "free" and even if it was built into the price, I'm guessing you won't see the vehicle price dropping when they get rid of it. In addition to keeping me on maintenance schedule, it gave me an opportunity every 7500 miles to address a list of nuisance items I wanted them to look at under warranty. Would get it all done at one time and gave LR a chance to look over the vehicle for any other issues I may not have caught (error codes, wear items, fluid leaks, etc.)

 

[nwoods]

I think the issue is plummeting value of second hand LR3's. You can get an LR3 for $20k with under 30,000 miles on it, and there are a LOT of them out there. I don't think LR imagined the leasing program would end up so upside down when they started the service program. The Dealers can't give a good trade in value because the sales value has plummeted so badly. So owners sell them direct on the private market. Now LR is paying for service on a truck that they did not get the resale profit on.

Well, it's a theory anyway.

 

[daveking]

I think the issue is plummeting value of second hand LR3's. You can get an LR3 for $20k with under 30,000 miles on it, and there are a LOT of them out there. I don't think LR imagined the leasing program would end up so upside down when they started the service program. The Dealers can't give a good trade in value because the sales value has plummeted so badly. So owners sell them direct on the private market. Now LR is paying for service on a truck that they did not get the resale profit on.

Well, it's a theory anyway.

Thats precisely what is going on. And to those that want to buy a new LR3, I would suggest they definately go used.. like you said, why pay 48k for a brand new one from the LR dealer when you could get a low mileage 06 or 07 in the mid 20s?..atleast that was the thinking in my decision on what year model to buy.

 

[drzjoint]

and with the ued one you get the service under warrantee