Toyota’s latest recall of its Prius model over a software glitch that could cause the car to suddenly slow down is unlikely to impact residual values, according to Richard Parking, head of valuations at Glass’s.
“While this move isn’t on the surface great news for the Toyota brand, we don’t feel it will actually have any impact on current or forecast residual values.
“Even after the brake recalls of 2009/10, residual values held firm, and this current issue with potential power loss can be easily remedied with a software fix that takes only 40 minutes at a dealer, and will be performed at no cost to the driver,” said Parkin.
“What is fundamentally important for Toyota here comes down to how they deal with the recalls. If dealers handle the problem sensitively and drivers come away with a positive message, feeling they have been taken care of, then a positive image of the brand will be reinforced,” he added.
