What is a Retail Incentive Program?

How does Toyota's factory-to-dealer incentive program work?

• I was once told that Toyota sets quotas for its dealers for programs that do NOT necessarily fall onto monthly boundaries (i.e., ending on the last day of the month). For example, they may run a program from June 17th- July 16th whereby a dealer is given a quota of, say, 150 units. If they reach their quota sales, they are rewarded with a rebate of, say, $1,500 per unit. Can anyone confirm that this is indeed true? If so, does Toyota employ the same program for Lexus?

• Answer:

  You have the right idea, but the per unit number wasn't usually that much. Also, many of the rebates come from the distributor, not Toyota directly. For instance, I live in Florida and the incentives were driven almost exclusively by a company called "Southeast Toyota" which imported the cars into this part of the country. In my experience, the programs weren't for over a weekend, but for a big chunk of the month. Like, the "fast start" quotas were for the 1st throught 10th of the month. Or, it might only apply to certain vehicle classes, like trucks. Hope this helps!