Toyota leaves bZ4X in the sales slow lane as Tesla Model Y dominates and Chinese newcomers BYD, XPeng, Leapmotor, Deepal and Geely undercut it on price
Even though it’s stuck at the back of the sales pack, Toyota Australia continues to insist there will be no price cuts to boost interest in the bZ4X.
The first battery electric vehicle sold by Toyota in Australia is priced above the entry-point for mid-size electric SUVs and is paying for it with slow sales.
While there have been 17,739 Tesla Model Ys sold in Australia in 2024 to the end of October, the bZ4X has sold 853 examples since its February local launch.
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Pricing for the Model Y Rear-Wheel Drive starts at $55,900 plus on-road costs while the Model Y Long Range All-Wheel Drive is $69,900 plus ORCs.
The bZ4X two-wheel drive is $66,000 plus ORCs and the all-wheel drive $74,900 plus ORCs.
To add insult to financial injury, the bZ4X cannot match its equivalent Model Y on range, charging speed or performance.
And a slew of new arrivals to the market mainly from China including the BYD Sealion 7, XPeng G6, the Leapmotor C10, the Deepal S07 and Geely EX5 will all undercut the Toyota on price when they launch.
That’s unless Toyota cuts bZ4X pricing, something it vows it won’t do.
“We certainly aren’t going to drop the price that’s point one,” insisted Toyota Australia Vice President, Sales Marketing & Franchise Operations Sean Hanley.
“It affects the resale value and it hurts the existing customers and we don’t want to do that.”
Instead, Hanley says Toyota’s full service leasing offer for the bZ4X will be reviewed to make it more attractive.
This is a move forecast earlier this year that as yet to come to fruition.
But Hanley says an initiative is coming.
“Nothing extraordinary, nothing that will be detrimental to the future of its resale value,” he said.
“It’s around full service lease … we are considering how best to get people into these cars affordably, but not at the risk of reducing pricing.”
The moderate action reflects a reality that Toyota is simply not worried that – in contrast to most of its models- the bZ4X has sales struggles.
“It’s fine, it’s doing exactly the job Toyota expects it to do,” said Hanley of the bZ4X.
There is no real pressure on Toyota to pump prime bZ4X sales when it is doing so well with so many other models. It is the dominant sales leader of the Australian market with a new record around 240,000 expected in 2024.
It has been highly successful with its hybrid focus. Almost 50 per cent of all Toyota sales in 2024 are petrol-electric led by the RAV4 SUV.
“We are not reliant on BEV-only for our sales volume,” said Hanley “For anyone who only has BEV right now it’s a difficult time.
“That’s not to be disrespectful, that’s just reality. It’s not easy.
“If BEV is the only thing you’ve got it’s incredibly competitive right now.
“It’s nice to have other solutions at the moment.
“Having said that I still believe BEV will grow as time moves on.
“And again I have to say this because I know people don’t believe me, but we are not anti-BEV.”
Hanley says Toyota remains committed to having two more BEVs on-sale in Australia by the end of 2026.
