|
|
|
|
IntelliChoice Value Rating
The chart above shows the purchase price versus ownership cost for each car from a specific vehicle class. The cars with better than average ownership cost/purchase price correlations are the best values, and these best value cars are represented by the dots below the curve. (i.e. the cars that have a lower ownership cost compared to its purchase price.) Those cars, which are worse than average or poor values, appear above the curve.
One way to view the graph is to draw a vertical line through any purchase price. You may see several dots that fall on this line - each of which is a car with a similar purchase price. However, notice the difference in ownership costs of each car represented by the vertical position of the dot. Two cars with the same purchase price can have thousands of dollars difference in ownership costs. This is what separates "good value" cars from "poor value" cars.
What is a good car value?
A "good car value" is one whose cost to own and operate is less than expected. The lower the cost to own and operate a car compared to what is expected, the better the value of that car.
But how do we know a car's "expected cost"?
For each car in the class, IntelliChoice plots the car's purchase price against the total five-year cost to own and operate it as determined by IntelliChoice research. Each dot on the above chart represents a specific car. Generally, we find that as the purchase price of the car increases, the cost to own and operate that car increases. This is why the dots on the graph tend to rise upward and to the right. This phenomenon also makes intuitive sense - as the purchase price rises, financing costs tend to rise, as do insurance, depreciation, taxes, and most other car ownership costs.
This is an important concept. It's normal for car ownership costs to rise as purchase price rises. Therefore, we can't just establish one "average" ownership cost number for each class, since cars in the class have different purchase prices. (This is why the "Relative" shown on each chart is different for cars in the same car class.)
Using statistical techniques, IntelliChoice "connects the dots" to form a curve that defines, for this car class, the relationship between the car's purchase price and car's ownership costs. This curve is our "expected cost" curve. The curve defines, for any car in the class, the five-year ownership cost that we would expect to see at each possible purchase price. If every car in the class were an average value, then all the dots would fall exactly on the curve. However, it's rare that any dot is exactly on the curve. Some dots are a little higher or lower, and some are a lot higher or lower. The dots that are a little lower are better than average car values, while the dots that are a lot lower are excellent car values (A dot that is a lot lower than the curve has ownership costs much lower than expected for a car of its purchase price). Conversely, a dot a little higher than the curve is a poorer than average car value, while a dot that is much higher than the curve is a poor car value.
Value is a relative term, not an absolute term. It is performing better than the logical expectation.
So is a Mercedes-Benz E320 expensive to own and operate? Certainly in an absolute sense. Most other cars cost less. But, when its cost to own and operate is plotted against cars with comparable invoice prices, the E320 costs less. So the E320 is not expensive to own and operate - it is a good car value. The Mercedes does not have low ownership costs, but it has low ownership costs for its invoice price.
|
|
|
|
|
|
|
2008 Ford Expedition Eddie Bauer EL Sport Utility Packages & Options
2008 Ford Expedition Eddie Bauer EL Sport Utility Packages
|
|
50C
|
Convenience Package
- $675
Height adjustable pedals; Memorized adjustment pedals; Opening rear ? windows; Garage door opener; Parking distance sensors rear and radar
|
2008 Ford Expedition Eddie Bauer EL Sport Utility Options
|
|
153
|
License Plate Bracket
- $0
Licence plate bracket
|
|
185
|
Power Running Boards
- $995
Side platform step electric and power retractable; Requires: [61P] Power Liftgate
|
|
41K
|
Skid Plates
- $100
Underbody protection for fuel tank, for transfer case and for engine
|
|
422
|
California Emissions System
- $0
Emission control level California
|
|
43D
|
Daytime Running Lights
- $45
Day time running lights
|
|
43M
|
Power Moonroof
- $995
Glass electric tilting sliding front sunroof with sunshade and one-touch opening; Partial overhead console with covered storage box
|
|
51R
|
Floormats, Rubber, 1st & 2nd Row
- $55
Plastic/rubber floor mats
|
|
52R
|
Rear View Camera
- $455
Parking distance sensors rear and camera; Requires: [50C] Convenience Package
|
|
536
|
Trailer Tow Package
- $395
4-pin and 7-pin wiring harness; 2" receiver; Auxiliary transmission cooler; Heavy duty radiator; Brake module wiring; Trailer towing preparation includes tow hook
|
|
55T
|
Trip Tunes (Dealer)
- $365
Connection to ext.entertainment devices ipod; Excludes: [58F] Navigation System
|
|
58F
|
Navigation System
- $1,995
Navigational systems : information type: full map and voice and knobs/touch buttons controls CD and color; Requires: [50C] Convenience Package
|
|
60B
|
Black Luggage Rack w/Black Crossbars
- $115
Luggage rack with crossbars; Roof rails
|
|
61P
|
Power Liftgate
- $495
Electric trunk/hatch pull down
|
|
62S
|
Sirius Satellite Radio
- $195
Audio system with satellite
|
|
64K
|
Wheels, 18 inch Machined Aluminum
- $495
Front and rear all seasons tires with 255 mm tire width, 70% tire profile, S tire rating and outline white letters; Front and rear alloy wheels with 18 inch rim diam and 8.5 inch rim width; Excludes: [T21] P275/55R20 All-Season BSW Tires
|
|
65R
|
Remote Start System (Dealer)
- $455
Remote engine starter
|
|
68L
|
Air Suspension
- $485
Front and rear suspension with air springs; Computer with average fuel consumption and range for remaining fuel; Service interval indicator; External temperature; Compass; Automatic front and rear suspension levelling
|
|
90D
|
Climate Controlled Seats
- $625
Heated driver ventilated seat climate controlled, heated electrically adjustable passenger ventilated seat with height adjustment, three adjustments and tilt adjustment climate controlled
|
|
91V
|
Rear Seat DVD Entertainment System
- $1,295
DVD/VCD; Display screen single rear middle; Wireless headphones; Requires: [62S] Sirius Satellite Radio
|
|
995
|
5.4L V8 Engine
- $0
Engine 995; Standard Engine
|
|
FLT
|
Special Fleet Account Credit
- $0
Special fleet account credit
|
|
J004
|
Standard Paint Type
- $0
Two-tone black paint; Excludes: [J005] Standard Paint Type
|
|
J005
|
Standard Paint Type
- $0
Two-tone gloss paint; Excludes: [J004] Standard Paint Type
|
|
T21
|
P275/55R20 All-Season BSW Tires
- $1,095
Front all seasons tires with 275 mm tire width, 55% tire profile and black sidewall, rear all seasons tires with 275 mm tire width, 55% tire profile, S tire rating and black sidewall; Front and rear alloy chrome wheels with 20 inch rim diam and 8.5 inch rim width; Excludes: [64K] Wheels, 18 inch Machined Aluminum
|
|
2007 Ford Expedition Goes Funkmaster Flex For SEMA Showing
One does not normally think of the Ford Expedition as a canvas to show off one's artistic skills. But when the artist...
04/23/2007 | 21:04 PM
|
|
Cars Wars with Funkmaster Flex: Part II
DEARBORN, Mich. , May 15, 2007 -- Ford is teaming up with radio and TV personality Funkmaster Flex for the second...
05/18/2007 | 16:05 PM
|
|
Ford Limited Shelby, F-150, and Funkmaster Debut In NY
DEARBORN, Mich., March 30, 2007 -- Ford unveiled three new limited-edition models today -- the Shelby GT500KR, the...
04/23/2007 | 22:04 PM
|
|
Ford Get 'Mom Friendly' With Innovative Features
Edmunds.com's Women and Family Car Guide estimates that women either buy or influence the purchase of approximately 80...
05/09/2007 | 15:05 PM
|
|
Ford List Mothers' Must Haves For Their Cars, SUVs
With Mother's Day approaching, Ford is highlighting its top ten mom-friendly features offered across its lineup of...
05/17/2007 | 14:05 PM
|
|
|
|
| |