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Honda exec says US market near capacity, could hurt subprime buyers

Is there a point in the US auto industry where companies should start considering the welfare of their customers ahead of selling more cars? American Honda Executive Vice President of Sales John Mendel thinks that level exists, and we may be getting very close to it.
According to Automotive News, Mendel believes that finding more customers in the market could require pursuing subprime buyers and offering longer-term loans. However, he refuses to use those tactics. While selling models this way can improve things briefly, the strategies hurt resale prices and lower vehicle profits over time. The company won't do "stupid things in the short-term that damage the person who bought yesterday," he said to Automotive News. "It's a very, very short-term tactic especially in the subprime area."
American Honda, which combines the Acura and Honda brands, has seen market share decline from 9.7 percent to 9.1 percent through July 2014, according to Automotive News, and Autoblog's By the Numbers stats showed it posted falling sales in five of the seven months with data this year. Though, Mendel claims that was partially because the company focused on retail sales over fleets. The delays of the launches for the Honda Fit and Acura TLX likely didn't help either.

2022 Acura RDX pricing starts at $40,345, a $900 increase

Acura showed us the quieter, more featured, and better handling 2022 RDX five-seater crossover in September. With the model expected to drive onto dealer lots in about two weeks, it's time for pricing. The base price for a front-wheel drive RDX goes up by $900 to $40,345 after the $1,045 destination charge. Be warned, that price is only for a Lunar Silver RDX; the four other colors possible on the base trim cost $500, and the three pearlescent hues require both the $2,650 Technology Package and the $3,000 Advance Package. MSRPs for the entire 2022 RDX range are: RDX FWD: $40,345 RDX FWD with Technology Package: $42,995 RDX FWD A-Spec with Technology Package: $45,995 RDX SH-AWD with Advance Package: $50,345 RDX SH-AWD A-Spec with Advance Package: $52,345 RDX SH-AWD PMC Edition: $55,295 As indicated on Acura's pricing sheet, adding SH-AWD to the three front-wheel-drive models requires $2,200. Fyi, the RDX configurator on Acura's web site displays the price for SH-AWD as $2,000, but the summary actually adds the correct $2,200 figure to the tally.   Every RDX next year will be quieter thanks to a retuned Active Sound Control system and, as part of the MDX-inspired redesign, new front fender liners that reduce road noise. The new Technology Package cuts even more cacophony thanks to thicker carpet, acoustic glass in the front doors, more sound insulation throughout the cabin, plus it throws in features like perforated sport seats, 12-speaker ELS audio, parking sensors front and rear, swankier 19-inch wheels, and a rear camera washer. The A-Spec Package takes the rims up to 20 inches, and bundles gear like LED fog lights, heated front seats, a flat-bottom steering wheel, and 16-speaker ELS audio. For 2022, Acura will finally let customers combine the A-Spec with the Advance Package. The latter kit piles on even more sound deadening material, acoustic glass for the rear windows, plus bits like a heated steering wheel and rear seats, a hands-free tailgate, and adaptive dampers. Those dampers are drop wheel size back down to 19 inches, though. The 2022 RDX can be pre-ordered now, examples will be in showrooms come November 2. Related Video:

Autoblog Podcast #372

Episode #372 of the Autoblog podcast is here, and this week, Dan Roth and Chris Paukert are joined by Peter Leung of RichlandF1 to talk Formula One, the impending demise of Bertone, and Honda spinning Acura off into its own division. We start with what's in the garage and finish up with some of your questions, and for those of you who hung with us live on our UStream channel, thanks for taking the time. Check out the new rundown below with times for topics, and you can follow along down below with our Q&A. Thanks for listening! Autoblog Podcast #372: The video meant to be presented here is no longer available. Sorry for the inconvenience. Topics: Bertone goes bust Mercedes F1 Power Unit Honda spinning off Acura In the Autoblog Garage: 2014 Jeep Cherokee Limited 2015 Subaru WRX STI 2014 Land Rover Range Rover Autobiography Hosts: Dan Roth, Chris Paukert Guest: Peter Leung Runtime: 01:37:41 Rundown: Intro and Garage - 00:00 Formula 1 - 26:39 Bertone - 50:42 Acura - 01:02:19 Q&A - 01:14:38 Get the podcast: [UStream] Listen live on Mondays at 10 PM Eastern at UStream [iTunes] Subscribe to the Autoblog Podcast in iTunes [RSS] Add the Autoblog Podcast feed to your RSS aggregator [MP3] Download the MP3 directly Feedback: Email: Podcast at Autoblog dot com Review the show in iTunes Design/Style Marketing/Advertising Motorsports Podcasts Acura Honda Jeep Land Rover Subaru