In-dash nav systems do damage to resale value
How's this - you pay a nearly ten percent premium to get a factory navigation system in your new whatever, and when it's replacement time, that very same nav system will cost you again, whacking 1% off the car's resale price. It makes perfect sense if you try to use some of the integrated nav setups in one- or two-year old used cars out there. Not only did they cost a fortune, they're not always terribly user friendly, and honestly, how often do most drivers need a nav system? Some at Autoblog love them in our review vehicles, but going the same route every day makes it virtually impossible to get lost. For people who travel a lot to areas they've never scouted, there's value in nav, but when you can get an aftermarket unit for far less, integrated nav starts to take on a pallid appearance.
Automakers are starting to get hip to this fact. Hyundai, while they're offering integrated nav on the Veracruz, sees no problem selling Garmin aftermarket units right off the showroom floor. The portables are a fast growing segment as consumers realize the value of third-party, portable nav systems. Portable navs are less expensive, offer features that cost a lot more on factory systems, and are upgraded far more regularly. For $1,000, you can get a system that offers real time traffic and weather data, works with bluetooth phones, and can be even more functional with the addition of optional software cards.
Not only are the aftermarket units cheaper, they're portable, so you can use them in whatever car you please. Of course, luxury buyers being who they are, there's a certain need to show off that a factory navigation system fulills, but puffery is costly. The quick path to obsolescence that all in-car electronics take means that very in short order, you've got an expensive, unfriendly, limited hunk of LCD-interfaced crap in your dash.
[Source USAToday via Kicking Tires]
_opt_thumbnail.jpg)
Reader Comments (Page 1 of 3)
Greg A. 4:47PM (5/09/2007)
There are a couple of disadvantages to aftermarket nav systems (at least the ones that are portable):
*California (as does one other state, if I'm not mistaken) now has a law against mounting anything (e.g., a nav unit) on a vehicle's windshield.
*If you don't remove all the accessories that a portable nav system requires (e.g., the mount, the power cord) from sight when you park your car, whatever you leave out in the open may catch the eye of a member of the smash-and-grab crowd who would be tempted to break in and look for the nav unit itself.
Reply
Jaymez 4:50PM (5/09/2007)
Nav systems are a waste of money. Paper maps have been around for thousands of years and work fine. I've done just fine driving all around the country with nothing but a road atlas. When I get to town, if I have trouble finding my destination, I ask for directions.
Reminds me of that scene in "Cars". "I don't need directions, I had the navigation system installed!"
Reply
Tim 4:51PM (5/09/2007)
Good. Imagine working on one of these pieces of crap 20 years from now? They'll be obsolete (already are six months later) and rediculously complicated for mechanics.
Reply
Drewboy 4:54PM (5/09/2007)
Ha! I knew it. This is why I won't buy one.
Reply
iQuack 4:55PM (5/09/2007)
Portable GPS units do attract thieves--a friend had his stolen by a smash and grabber when his car was unattended for only a few minutes.
But the Garmin NUVI is fantastic and works very well with a clear screen and audible instructions.
I don't have one, but a friend does and it completely eliminated the need for maps I'd printed for us when we drove in unfamiliar territory.
The NUVI is quite small and has a mounting bracket that can fit on a smooth surface about the size of a half-dollar (where did all the half-dollars go?).
Reply
Don 4:57PM (5/09/2007)
Just another piece of electronic crap that makes it impossible to work on a car anymore.
Reply
Tyo 5:05PM (5/09/2007)
Im Starting to think in dash nav systems are the 2000's equivelent of the late 80's/early 90's digital dash. Trick at the time, looks really dated a few years later. This coming from someone with a digital dash in my gmc jimmy slt that i absolutely love
Reply
Paul Allen 5:05PM (5/09/2007)
The title and conclusions of this article are totally wrong.
If you actually go to the USA Today article, it says that GPS-equipped vehicles retain a lower percentage of their initial cost. It does NOT say that GPS-equipped vehicles are worth less!
In other words, the GPS system depreciates more than the car itself. But a used car with GPS is NOT worth less than one without!
In the Acura example in the article, the GPS unit that added $2000 to the initial cost of the car is worth an extra $600 when selling the car in three years.
Reply
RP 12:06AM (2/27/2008)
That makes sense.
Just because the original car buyer over-paid for the nav system doesn't mean the used-car buyer will also over-pay.
Andy 5:07PM (5/09/2007)
Sorry to disagree, but whenever I'm in my truck without the navi system, I'll frequently find myself needing it when I'm trying to track down a type of restaurant or Target. I also like the integration vs. standalone system.
I'd definitely buy it again, resale value be damned.
To each his own, I guess.
Reply
Z 5:11PM (5/09/2007)
in ten years every car will have nav and a hard drive
Reply
Mike 5:19PM (5/09/2007)
#2: Ha ha okay thanks for the talk GRANDPA...did you walk uphill bothways in the snow 2 miles back and forth to school too?
I used to travel alot for biz and rent cars all over the USA so my aftermarket unit was a life saver I plugged it into my laptop and uploaded new maps all the time and when I traveled in my area using my own car the in dash nav system was great so I could enjoy my car w/o the wires hanging all over and risking getting it stolen cause I lived in the city.
I don't care what it does to the resale value 1% can eat my a$$ for not getting lost for the 3-5 years I own the car...
Reply
phoenexius 5:24PM (5/09/2007)
in ten years everyone should have a cell phone with navigation that sends information to a screen in the car
this cell phone should also have a large portable media card storage capability (ie MicroSD card - 4GB on sale soon)
bluetooth all around
Reply
Kwesi 5:29PM (5/09/2007)
It just sounds cool saying 'as standard equipment' But seriously a nav only system isnt practical , thats why i rate mitubishi's combo efforts, its far more practical (and cooler) and makes more sense for a lot more ppl,..if only they made it take-out-able. lol
Reply
Gardiner Westbound 5:35PM (5/09/2007)
In-dash navigation systems are destined for the same fate as in-car cell phones.
Why would you want the complication and expense when for an extra $20 a month you can get the same service on a cell phone, or for $500 buy a portable unit?
Reply
Nick 5:41PM (5/09/2007)
I use my cell phone with a cradle installed in my car. The cradle interfaces with my audio system and an incar mic, and provides charging power. Since my nav is built into my phone, I never leave it in the car.
If an automaker like Hyundai was really smart they would work with the industry on creating a universal mount that provides power and audio connections, so that the portable manufacturers can get the benefits of a factory-like level of integration while providing the benefits of portability and upgradability. A slam dunk, IMO.
Reply
pk 5:42PM (5/09/2007)
What I don't get is why do Automakers spend huge amounts of time with R and D developing proprietary systems. Why not just work with the after market manufacturers (alpine, kenwood, pioneer) and contract them to build their radios with din, or Double din openings and a standard color scheme for the wire harness.
GM is probably the worst at this. (early 90's cars have nightmare dash kits Oh and lets not for get the 100$ Databus adapter in 2000+ cars.)
I hate audio systems in newer cars auto manufactures could save millions each year by just agreeing to a standard.
MY 2 cents
an aggravated former caraudio installer.
Reply
SB 5:47PM (5/09/2007)
I disagree with the post about aftermarket Nav. Aftermarket navigation systems are:
* Easier to steal
* Clunky and require ugly mounts
* Have poorer reception, or require an additional ugly antenna wire thing
* Have FAR LESS precision than OEM Navs, i.e. no steering position sensor, no wheel speed sensor
* Because of the previous point, they whack out in parking garages, tunnels, forested areas, cities with tall buildings, etc.
Reply
G. Snyder 5:48PM (5/09/2007)
"Why would you want the complication and expense when for an extra $20 a month you can get the same service on a cell phone, or for $500 buy a portable unit?"
Plenty of reasons:
- not integrated into the rest of the car's systems
- lots of wires hanging around for a portable
- target for thieves
- portable may not be able to be suctioned (laws)
The only disadvantage to the in dash system, besides not being portable to other cars, is that support for older units may dwindle and when the car is 10-15 years old you might be stuck with outdated maps in some cases. You can update in-dash systems just as you can portables and the in-dash units offer more features (features useful for driving anyway. Since when do I need to view .jpegs in my car on a portable nav)?
Reply
judd 5:50PM (5/09/2007)
My nuvi 360 comes tomorrow. Woot! It is so much better than having someone call you over the phone to get to anywhere they are going.
Reply