Mazda will cut sales incentive spending in the U.S. in an effort to raise vehicle average transaction prices and profit margins for each vehicle it sells, according to the Nihon Keizai. Automakers have been trying to move away from profit-eroding incentives, pricing cars closer to the actual transaction price and using incentives on a limited basis.

Mazda initially will cut incentives on its new 2007 CX-7 crossover, and on the rest of its 2007 models will roll out without incentives. Currently, Mazda’s incentives averaged $1800 per vehicle in the April-June quarter, down from $2,000 in the year-earlier period.

## Source: Reuters ##

Posted in: Mazda, News, Incentives
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