Mercedes EQE Depreciation Rates Explained

By Clint Green

As electric vehicles (EVs) continue to gain traction in the luxury auto market, understanding the intricacies of their depreciation becomes increasingly important. For discerning consumers, evaluating the Mercedes EQE depreciation is not just about understanding immediate value but recognizing how the luxury EV fits into broader market trends. Known for delivering high-end performance and innovation, Mercedes-Benz vehicles embody a blend of prestige and advanced engineering, which influences their resale values significantly.

The Mercedes-Benz E-Class, a close relative in the brand’s lineup, demonstrates a typical depreciation of 45% after five years, a crucial data point that informs us about the Mercedes EQE resale value. Shoppers and owners alike must consider these numbers when evaluating the total cost of ownership. Yet, for those willing to invest in a slightly older model, the reward is a luxury EV that promises enduring quality, matched with an attractive purchase price as it navigates through the depreciation curve.

Key Takeaways

  • Understanding Mercedes EQE depreciation is key to making an informed purchase in the luxury EV segment.
  • The resale value of EVs like the Mercedes EQE sees significant influence from overarching luxury auto market trends.
  • Mercedes-Benz’s reputation for quality could offer an attractive purchase option in slightly used electric vehicles.
  • Depreciation trends of vehicles such as the E-Class serve as important indicators for the EQE’s financial trajectory over time.
  • Informed consumers consider past depreciation data when assessing the long-term value of luxe EVs.
  • While new models face rapid depreciation, the value drops more gently in ensuing years, shaping the resale outlook.

Understanding the Concept of Car Depreciation

When stepping into the world of automotive ownership, the term car depreciation becomes a critical component of financial literacy. This concept not only impacts the long-term economic perspective of owning a vehicle but also becomes a pivotal factor during resale or trade-in negotiations. Grasping how depreciation shapes the actual cost of car ownership can provide consumers with a strategic advantage, particularly in the luxury auto market.

What Is Car Depreciation?

Car depreciation is the rate at which a vehicle loses its value over time. From the moment a new car is driven off the dealer’s lot, it begins to diminish in worth, and this decline continues throughout its lifespan. Depreciation is an inevitable process, reflected in the decreasing resale value and determining the cost-effectiveness of leasing terms. For savvy car buyers and sellers, understanding depreciation is akin to having an economic compass for navigating the automotive market.

Factors Impacting Depreciation Rates

Diverse elements contribute to the rate at which a car depreciates, each playing a distinctive role in the vehicle’s valuation journey. Some of the pivotal depreciation factors include:

  • The brand’s reputation for quality and durability
  • The vehicle’s general condition and history of maintenance
  • Accumulated mileage, often inversely proportional to value
  • Overall demand within the market
  • Technological advancements rendering older features obsolete

These factors combined create a nuanced landscape where each vehicle has its unique depreciation path, heavily influenced by both its intrinsic qualities and the extrinsic market forces at play.

Interpreting Depreciation for High-End Vehicles

The luxury auto segment, with its accent on premium branding, cutting-edge technology, and high performance, often observes distinctive luxury vehicle depreciation trends. Vehicles like the Mercedes-Benz E-Class exemplify this, with higher initial depreciation rates reflecting the rapid pace of innovation that can quickly render last year’s model less desirable.

For vehicles positioned at the zenith of automotive luxury, each year’s new release sets a benchmark for style and performance, making the previous models less appealing. Thus, models such as the E-Class may experience a steeper decline in the initial years—a trend potential buyers must be acutely aware of.

Accurately interpreting car depreciation, while factoring in the permutation of the aforementioned elements, can significantly impact the choices made by luxury vehicle enthusiasts. Whether it’s determining the opportune moment to sell or calculating the depreciation for a potential purchase, an informed approach serves to maximize value over the lifespan of the vehicle. That is the power of knowledge in the realm of car depreciation.

Analyzing Depreciation Trends of Mercedes-Benz Models

Mercedes-Benz, a name synonymous with luxury and engineering precision, presents a varying picture of vehicle value depreciation. For those considering an investment in prestige, such as the Mercedes EQE, a thorough Mercedes EQE depreciation analysis can offer significant insights into what could be expected financially over time. With a spectrum of models each facing different rates of value decline, we delve into the historical depreciation trends that characterize these vehicles.

The journey of a car’s worth from showroom to resale is marked by depreciation, a critical economic factor for luxury car enthusiasts and prudent buyers alike. Specifically, as we turn our gaze towards the high-end market segment, understanding how models like the Mercedes EQE slot into the broader Mercedes-Benz depreciation trends is invaluable.

Historical Depreciation Data of Mercedes-Benz

Inspection of past depreciation data reveals how specific Mercedes-Benz models weather the financial toll over time. The R Class, for instance, was seen to nose-dive, suffering a staggering 91% depreciation after three years of ownership. On the other hand, the E Class, known for its comfort and technology, showed a depreciation of 55% over the same period. This contrast is even more pronounced when compared to the sturdiness of the C Class’s value, which dipped only by 13%.

The disparity clarifies how vehicle classification impacts depreciation. Evidently, larger luxury models tend to take a harder hit, perhaps due to higher initial pricing and more restricted buyer pools. Consequently, the depreciation data for the Mercedes-Benz family of cars is not one-size-fits-all but reflects a rich tapestry of value changes influenced by a host of factors.

Depreciation Comparison: Mercedes EQE vs. Other Models

The Mercedes EQE, the brand’s entrée into the luxury electric vehicle sector, is poised to follow a similar path. If patterns hold true, EQE owners may face a considerable decrease in value during initial years, paralleling the experience of E-Class proprietors. As electric vehicles continue to cement their place in the automotive landscape, understanding their depreciation becomes all the more pertinent.

ModelDepreciation after 1 YearDepreciation after 3 YearsDepreciation after 5 Years
R ClassN/A91%N/A
E ClassN/A55%45%
C ClassN/A13%N/A

This understanding is not only vital for those pondering the purchase of a new EQE but also for those exploring the market for pre-owned vehicles. A close examination of historical trends suggests that the blow of depreciation is most brutal in the initial years, tapering off as the vehicle ages, hinting at revived value retention in the secondary market. Prospective buyers would be wise to reference these patterns, forecasting when the depreciation rate begins to plateau and procuring a pre-owned Mercedes EQE at a judicious juncture.

Mercedes EQE Depreciation

When considering the Mercedes EQE depreciation rate, prospective buyers and current owners should prepare for significant value loss within the initial ownership years. This trend aligns with the broader luxury EV depreciation patterns observed across the industry. The EQE model, closely paralleling the experience of the E-Class, is projected to face steep depreciation curves, foreign to neither traditional combustion engine triumphs nor their electric successors.

An appreciable depreciation rate of around 40% is anticipated for the EQE after just three years from the original purchase. This considerable decline mirrors the considerable nose-dive of most high-end vehicles upon their initial years on the road, and bears a heavy swaying by factors including technological advancements and market demands for newer EV models.

For a more granular understanding, the table below articulates the expected Mercedes EQE depreciation rate over the course of five years, extrapolating from established depreciation trends witnessed within Mercedes-Benz’s portfolio:

Year of OwnershipExpected DepreciationResidual Value Percentage
Initial Purchase0%100%
1 YearApprox. 10-15%85-90%
2 YearsApprox. 20-25%75-80%
3 YearsApprox. 40%60%
4 YearsApprox. 45-50%50-55%
5 YearsApprox. 55-60%40-45%

Understanding how these depreciation trends align with the seismic shifts in the EV landscape offers invaluable insights for those eyeing the EQE market. The acceleration of innovation in electric propulsion and luxury amenities, combined with evolving consumer attitudes towards EVs, will play a definitive role in shaping the EQE’s depreciation journey.

Through cognizance of these depreciation contours, stakeholders can calculate the most nuanced cost of ownership and make informed choices regarding both procurement and sale. It underscores the importance of staying abreast of the latest market drifts—a task incumbent upon, and advantageous to, the modern luxury EV connoisseur.

Evaluating Mercedes EQE Resale Value: A Closer Look at the Numbers

When it comes to the electric luxury car market, the Mercedes EQE resale value is a poignant indicator of the brand’s enduring reputation for quality and the vehicle’s performance in the ever-evolving automotive landscape. Assessing the resale value is not just about the figures on paper; it’s a multifaceted examination of how various factors interplay to define the financial return on investment for this premium vehicle.

Understanding Mercedes EQE Resale Value

The value of a Mercedes EQE plummets the moment it is driven off the dealership lot—this price drop only stabilizes after encountering the bulk of depreciation within the first few years. A multitude of variables influences the Mercedes EQE price drop, but identifying and understanding these variables offers a pathway to smart ownership and selling strategies.

The Role of Mileage and Condition in Resale Value

A pivotal factor in determining Mercedes EQE’s resale value is the mileage. Vehicles with lower mileage usually correlate with a healthier resale figure, indicating less wear and a longer remaining useful lifespan. Additionally, the condition of the vehicle plays an instrumental role; scratches, dents, or internal damage can significantly reduce the car’s value. The exquisite craftsmanship of a Mercedes EQE, if preserved, can cushion the blow of depreciation.

Mercedes EQE Resale Value Trends

Here’s a visual representation to give context to the vehicle condition on value, illustrating how a Mercedes EQE’s worth is assessed:

Years of OwnershipVehicle ConditionMileage RangeEstimated Resale Value
1 YearLike NewUnder 12,000 miles85-90% of initial price
3 YearsGood36,000-45,000 miles60-70% of initial price
5 YearsAverage60,000-75,000 milesLess than 60% of initial price

Lastly, as Mercedes-Benz releases newer models with updated technology and features, earlier versions like the EQE could see a pronounced price drop. It’s crucial for potential buyers and existing owners to weigh these considerations meticulously when pondering the true residual value of their Mercedes EQE vehicles.

How Mercedes EQE Compares to E-Class on Depreciation

As electric vehicles like the Mercedes EQE begin to proliferate in the luxury car market, an analysis of their expected value depreciation becomes essential. To foresee the Mercedes EQE value depreciation, it’s helpful to turn to the established metrics of its combustion-engine counterpart, the E-Class, for insight.

Mercedes EQE vs. E-Class: Depreciation Over the Years

The Mercedes-Benz E-Class has set a precedent for luxury car depreciation trends, usually experiencing around a 40% drop in value after three years. Buyers considering the EQE can look at such E-Class depreciation trends as a baseline for predicting the EQE’s financial trajectory in its early years on the road.

Mercedes EQE value depreciation trends

It is noted that models from 2016 to 2019 have been strategic purchases for E-Class consumers, striking a balance between value retention and the indulgence of a luxury vehicle experience. With the automotive industry evolving towards electric models, it’s anticipated that the Mercedes EQE depreciation patterns may develop nuances distinct from the combustion engines of E-Class vehicles.

Impact of Vehicle Class on Depreciation

Traditionally, luxury cars such as the Mercedes-Benz EQE and E-Class encounter more precipitous devaluations in their initial years compared to more modestly priced vehicles. The higher cost of entry into the luxury class and the continual roll-out of newer models laden with up-to-date innovations contribute to this phenomenon. As we move into a future punctuated by electric transport’s ascendancy, the interplay of these factors may yield different depreciation outcomes for an EV like the EQE, with the potential for its value to stabilize at a different rate than its E-Class predecessor.

YearMercedes E-Class DepreciationMercedes EQE Projected Depreciation*
Initial Purchase0%0%
1 Year~10%Projectedly similar
2 Years~20%Projectedly similar
3 Years~40%Projectedly similar to slightly higher
4 Years~45%Subject to market EV trends
5 Years~55%Subject to market EV trends

* The projected depreciation for the Mercedes EQE is speculative, considering current E-Class data and emerging EV market trends.

Market Factors Affecting Mercedes EQE Depreciation Rate

The future resale value of premium electric vehicles like the Mercedes EQE is not only shaped by the vehicle’s performance and features but also by a variety of dynamic factors within the automotive sector. Buyers and investors alike must attune themselves to these ever-shifting elements to understand the complexities of Mercedes EQE depreciation factors.

Influence of New Model Releases

One significant force behind the rate of depreciation for luxury vehicles such as the Mercedes EQE is the advent of new models. Mercedes-Benz is renowned for its commitment to innovation, and each subsequent model year brings further advancements. As consumers gravitate towards the latest and greatest, older editions suffer an accelerated decline in market value. Particularly in the EV industry impact on older vehicles will be keenly felt as technology evolves at breakneck speed.

Economic and Industry Trends Shaping Depreciation

Beyond the allure of new model features, broader economic and automotive market trends also play a crucial role. Consumer appetites shift with economic tides, influencing demand across different vehicle classes. For instance, as green initiatives grow and awareness of sustainable living increases, the push towards electric mobility may bolster the residual values of EVs over time.

Conversely, economic downturns or shifts in consumer priorities can diminish luxury vehicle demand, precipitating greater depreciation. The international market dynamics, such as those seen in China, the United States, and Germany—a trio of countries leading luxury car consumption—provide a barometer for gauging global demand and subsequent Mercedes EQE depreciation factors.

In conclusion, a diverse array of market factors casts a significant influence on the Mercedes EQE’s depreciation rate. For savvy investors and aficionados of luxury electric vehicles, staying informed of these trends is crucial for making judicious decisions in the marketplace.

Mercedes EQE Value Depreciation: When to Buy Used

Powering through the allure of a brand-new luxury electric vehicle (EV) requires an understanding of the financial implications that depreciation entails. A crucial factor in the cost of vehicle ownership is recognizing when the depreciation rate begins to wane, marking the ideal time to buy used luxury EV. For potential buyers, targeting the purchase of a used Mercedes EQE during this “sweet spot” maximizes the value retained from their investment.

Identifying the Depreciation Sweet Spot for Mercedes EQE

Mercedes-Benz models, such as the E-Class, have provided us with clear depreciation patterns over time with a pronounced drop within the initial three years. Insights drawn from the Mercedes EQE depreciation analysis suggest that the best value often comes from purchasing an example that is three years old. At this juncture, the balance between a significant reduction in initial cost and a generous portion of the vehicle’s lifespan still ahead becomes most advantageous.

An extended interpretation of the E-Class depreciation trends implies that models from 2016 to 2017 represent a strategic financial choice, by offering the blend of lower acquisition costs and durability. Such data bolsters the decision-making process for those considering a pre-owned Mercedes EQE.

Cost-Benefit Analysis of New vs. Used Mercedes EQE

Choosing between a sparkling new Mercedes EQE and its more seasoned counterpart is not merely a matter of personal preference but also one of financial prudence. A comprehensive cost-benefit analysis, comparing the fresh off the lot model to one that has matured in age, typically reveals the economic merit in opting for a used vehicle.

The primary field of differences lies in the rate of depreciation, with new cars experiencing a precipitous decline, leaving used vehicles – especially those past the most substantial depreciation phase – in a more financially palatable position. Considerations extend to potential savings on insurance, reduced registration fees, and generally lower associated costs, which collectively elucidate the merits of acquiring a used, yet still contemporary, luxury EV.

To quantify the decision further, here’s a hypothetical breakdown of the cost of vehicle ownership for a new vs. a three-year-old Mercedes EQE:

Cost FactorNew Mercedes EQE3-Year-Old Mercedes EQE
Initial Purchase Price100% of MSRPApprox. 60% of MSRP
Insurance (over 3 years)Higher premiumReduced premium
Depreciation (after an additional 3 years)Significantly higher percentageLesser percentage
Maintenance (annual average)Warranty covered*Possible out-of-warranty costs
Residual Value (after an additional 3 years)Lower due to sharp initial depreciationMore stable, gentler depreciation curve

*Note: Warranty coverage and maintenance costs may vary based on the terms provided by Mercedes-Benz and personal usage patterns.

While the allure and immediate gratification of a new vehicle are undeniable, the data propels a strong case for the pragmatic charm of a quality pre-owned Mercedes EQE. In the bustling marketplace, where the Mercedes EQE depreciation analysis becomes a compass for financial navigation, embracing the wisdom of depreciation can unlock significant monetary benefits.

Mercedes EQE Depreciation Calculator: Estimate Future Value

Investment in a luxury electric vehicle (EV) such as the Mercedes EQE is significant not only for its upfront cost but also for its value over time. Estimating future value becomes decidedly efficient when utilizing a dedicated Mercedes EQE depreciation calculator. Such digital tools are designed to estimate luxury vehicle value by considering a range of key factors that impact a car’s market price as it ages.

How accurately these calculators predict car depreciation prediction hinges on the nuanced understanding of the luxury EV market, combined with careful input of data reflecting individual vehicle use scenarios. Let’s explore how to harness these calculators for thoughtful financial planning with respect to vehicle ownership and resale.

How to Use Depreciation Calculators Effectively

To wield the functionality of depreciation calculators with proficiency, owners and potential buyers must input current and forecasted information about their vehicle’s life cycle. For instance, beyond the initial purchase price, factors like expected ownership duration and estimated annual mileage should be mapped out meticulously.

Consideration of such details helps fine-tune the depreciation curve provided by these calculators. This, in turn, empowers users to make informed decisions on whether to sell, hold on to, or purchase a Mercedes EQE, underscored by sound financial foresight.

Customizing the Depreciation Calculator for Mercedes EQE

The bespoke nature of depreciation calculators allows for the adaptation of widespread variables that uniquely influence the luxury EV market. To draw closer to precision, the Mercedes EQE depreciation calculator can be customized to take into account the health of the EV’s battery and tech trends that could impact the appeal and functionality of the vehicle.

Input ParameterDescriptionImpact on Depreciation
Initial Purchase PriceThe retail price paid at the time of purchaseServes as the baseline for calculating future value depreciation
Projected Ownership PeriodThe duration for which the current owner plans to retain the EVIntroduces a time factor for predicting value change
Annual MileageThe number of miles driven per yearInversely proportional to car value over time
Battery HealthAssessment of EV battery life and capacityCrucial for EVs as it dictates performance and range
Technology Upgrades(R)evolution of features that could render older models obsoleteHigher rate of depreciation for models lagging behind on innovation

Integrating these components into the depreciation calculator fosters a system that reflects the individuality of your Mercedes EQE’s journey. This tailored predictive model complements astute decision-making about the future, whether it’s holding onto a cherished EV or navigating the resale market with confidence.

Leveraging Depreciation: Tips for Mercedes EQE Owners

Discerning owners of the Mercedes EQE can proactively use strategies to slow down the vehicle’s inevitable depreciation. Whether planning to keep their luxury EV for the long haul or strategize for an optimal sale, there are deliberate steps that can be taken to maintain the vehicle’s value, thereby optimizing return on investment. Below we delve into trusted methods of value maintenance and strategies to effectively control depreciation.

Maintaining Value Through Care and Maintenance

Effective Mercedes EQE value maintenance begins with rigorous attention to the vehicle’s care and routine servicing. Regular maintenance is paramount, not only for the longevity of the vehicle but also for sustaining its resale worth. By adhering to Mercedes-Benz’s service schedule, owners can ensure that their EV operates at peak performance while minimizing the risk of costly repairs that could affect future value.

Physical care, including meticulous cleaning, proper storage, and handling, also marks the difference in value preservation. A Mercedes EQE in pristine condition is more desirable in the resale market, and simple aesthetic upkeep can contribute significantly to value maintenance.

Smart storage solutions, such as garaging the vehicle to protect it from extreme weather conditions, and the use of protective coatings, can also mitigate wear and tear. Here, the focus remains on preserving both the interior and exterior appeal, thereby greatly enhancing the luxury EV’s sale optimization when the time comes.

Strategizing Your Sale: Optimal Timing and Methods

The sagacity in selling a Mercedes EQE lies in timing and approach. Deploying depreciation reduction strategies means recognizing that the steepest drop in value typically happens in the first three years. Aiming to sell just after this period could mean capitalizing on the vehicle’s remaining value before its depreciation curve flattens out substantially.

Researching the market to understand the luxury EV’s past value performance can offer guidance on the best window for sale. Additionally, it is wise to consider private sales or trade-ins at recognized dealerships as methods to optimize the financial outcome.

Consider the table below, which outlines a general approach to optimizing sale practices for EV owners:

StrategyDescriptionBenefit
Regular MaintenanceAdhere to the manufacturer’s service intervalsMaintains vehicle integrity and documentation for future buyers
Vehicle StorageKeep the EV in a garage and invest in protective coatingsProtects against weather and external damage, preserving appearance
Optimal Sale TimingPost the first three years’ steep depreciation curveMaximizes the retained value of the EV for resale
Resale MethodConsider private sales or certified dealership trade-insTargets avenues for getting the best possible offer

In the luxury electric vehicle market, staying ahead of the curve is crucial. The proactive measures by Mercedes EQE owners to employ thorough care and optimized selling strategies help safeguard against rapid depreciation. Combined with market insight, such strategies ensure that when the time comes, the sale of their luxury EV is not just an afterthought, but a well-planned financial maneuver.

Conclusion

As we wrap up our examination of the luxury EV market analysis, the depreciation trends of the Mercedes EQE have come into sharp focus. A thorough grasp of these trends is crucial for prospective buyers and current owners operating within the nuanced sphere of luxury electric vehicles. Informed automotive purchases are driven by an intricate understanding of how these models fare over time, both on the open road and in terms of market dynamics.

Summarizing Mercedes EQE Depreciation Insights

Diligent research into model-specific depreciation patterns reveals that, much like its E-Class counterpart, the Mercedes EQE is subject to a considerable initial decline in value. This critical insight into Mercedes EQE depreciation trends provides a backbone for strategic planning, ensuring stakeholders can anticipate shifts in vehicle valuation with greater accuracy. Armed with historical data, our predictions for future value changes become more than speculation – they transform into informed forecasts grounded in empirical analysis.

Empowering Buyers and Sellers: Applying Your Knowledge

Understanding the depreciation of the Mercedes EQE doesn’t just shed light on value; it empowers both buyers and sellers to make decisive moves in the luxury EV market. Buyers can strategically identify the opportune moment to acquire a used EQE, while sellers can enhance the saleability of their vehicle by selecting the optimal time to enter the market. This fusion of knowledge and timing positions stakeholders to align automotive transactions with their financial aspirations, driving home the significance of an informed approach to luxury electric vehicle ownership and sales.

FAQ

What Is Car Depreciation?

Car depreciation is the reduction in value of a vehicle over time due to factors such as wear and tear, mileage, and market demand. It reflects how much less a car is worth compared to its original purchase price.

What Factors Impact Car Depreciation Rates?

Several factors impact depreciation rates, including the brand’s reputation, vehicle’s initial cost, condition, mileage, the influence of new models being released, technological advances, and overall market demand.

How Is Depreciation Interpreted for High-End Vehicles Like the Mercedes EQE?

Depreciation for high-end vehicles, such as the Mercedes EQE, can be significant, especially in the initial years. It is influenced by the model’s luxury status, the rapid advancement of technology and design, and consumer preferences shifting toward newer models.

What Does Historical Depreciation Data of Mercedes-Benz Show?

Historical depreciation data for Mercedes-Benz models shows varying rates of depreciation across different models and years. luxury models like the E-Class often experience significant depreciation within the first few years of ownership.

How Does the Mercedes EQE Compare to Other Models in Terms of Depreciation?

The Mercedes EQE, being an electric luxury vehicle, is expected to follow similar depreciation trends to its brand counterparts like the E-Class, with an estimated 40% loss of value after the first few years.

What Role Do Mileage and Condition Play in Determining the Mercedes EQE’s Resale Value?

Mileage and condition are critical factors for the resale value of the Mercedes EQE. A lower mileage and a well-maintained condition can significantly preserve the vehicle’s resale value.

How Do Economic and Industry Trends Shape the Mercedes EQE Depreciation Rate?

Economic conditions, consumer trends, the introduction of new Mercedes models, and the overall shift towards electric mobility all contribute to shaping the EQE’s depreciation rate.

When Should One Consider Buying a Used Mercedes EQE?

The optimal time to buy a used Mercedes EQE is typically after it has experienced the bulk of its depreciation, which is often around three years post-initial purchase, allowing for a more favorable balance of price and value.

How Can Depreciation Calculators Be Used Effectively for Predicting the Mercedes EQE’s Future Value?

Depreciation calculators can estimate the potential resale value of the Mercedes EQE by incorporating variables such as purchase price, ownership duration, annual mileage, and unique attributes related to electric vehicles.

What Are Some Tips for Mercedes EQE Owners to Maintain Vehicle Value?

Mercedes EQE owners can maintain their vehicle’s value by ensuring consistent care and maintenance, adhering to service schedules, and keeping mileage in check. Timely sale or trade-in strategies can also be beneficial.

What Is the Best Strategy for Selling a Mercedes EQE to Maximize Returns?

To maximize returns when selling a Mercedes EQE, owners should aim to sell after the most severe depreciation phase, ideally in a private sale where negotiation can yield a better price or via trade-in during peak demand periods for used luxury EVs.

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