In a First, Toyota Dealership Is Now Taking Deposits for Plug-in Priuses

In a First, Toyota Dealership Is Now Taking Deposits for Plug-in Priuses

By Scott Doggett, Contributor

A Northern California Toyota dealership has become the first business to accept deposits for factory-direct plug-in Priuses.

Magnussen's Toyota of Palo Alto started accepting $500 deposits for plug-in Priuses two weeks ago and as of this morning had accepted 25 of them, according to Eric Doebert, business development manager for the dealer.

That development has occurred despite the fact that the automaker has repeatedly told the press that it will limit production to 400 of the vehicles during or before 2010 and that those vehicles will be for fleet evaluation only.

In other words, while some government and commercial fleets may contain plug-in Priuses in 2010, retail sales -- plug-in Priuses for the general public -- won't begin until sometime after 2010.

That's what Toyota has been telling reporters, but it's possible the automaker has said something different to its dealers. Doebert says that's exactly what's happened.

"There is no official word that we have as a dealer regarding exactly what is going to happen," he told Green Car Advisor today. "We've heard different things. Nothing concrete. However, we are very confident that we'll have retail units in 2010.

"How many we don't know, but at the moment the indications we are getting from Toyota give us confidence that we will have units in 2010."

Magnussen's Toyota generally doesn't accept deposits so far in advance, Doebert said, but "so many people have expressed a sincere interest in getting the car" that the dealer decided it was time to start taking deposits.

"It makes sense that people should get in line now in order to have a shot of even taking delivery in the first year that the vehicle is available," he said.

To date, the automaker has only converted a small number of Priuses to plug-ins by adding a second nickel-metal hydride battery to the gas-electric hybrid and changing the software so the car can travel at up to 62 miles per hour entirely on electrically for about 8 miles.

That according to CalCars.org, which closely monitors the electric-vehicle market, especially the plug-in segment.

Only time will tell if any members of the general public are able to purchase a plug-in Prius from Toyota in 2010, but we commend Magnussen's Toyota for taking deposits now. As Doebert said, it gives prospective buyers a shot at getting a plug-in Prius early on in their sales.

And it means the dealer stands to make a nice chunk of change on interest it accrues on all the deposits it takes in. From a business perspective, accepting thousands of dollars in deposits now, when sales might not start for two or three years, is pretty dang smart.

Scott Doggett:  is an AutoObserver.com Associate Editor.