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Interesting possible change to Ford dealers

1065 Views 38 Replies 14 Participants Last post by  rrk
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When we bought our Tesla we never once talked to a human except when the kid dropped it off in our driveway.


Mike.
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The dealership model has needed to go away for several years.

It should exist more as a franchise store and service center. Vehicles on the lot are at the retail price set from the manufacturer (plus shipping, which will vary based on location), and that's it. They can also do service and warranty work.

Having to call around for pricing breaks is absurd. I had to email 20 different dealers when I bought my last truck, then took the top 3 and sent all of their quotes to each other, finally narrowing it down to one with the best deal...stupid.

I realize that manufacturers want to stay wholesalers and let a 3rd party handle the final sale, but the way it's done is stupid.
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There is nothing wrong with middle men. They provide reduced risk to manufacturers as vested buyers fighting to advocate and sell a product. It isn't much different than hiring a salesman and paying them a % of sales.

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The dealership model has needed to go away for several years.

It should exist more as a franchise store and service center. Vehicles on the lot are at the retail price set from the manufacturer (plus shipping, which will vary based on location), and that's it. They can also do service and warranty work.

Having to call around for pricing breaks is absurd. I had to email 20 different dealers when I bought my last truck, then took the top 3 and sent all of their quotes to each other, finally narrowing it down to one with the best deal...stupid.

I realize that manufacturers want to stay wholesalers and let a 3rd party handle the final sale, but the way it's done is stupid.
IMO, you overlook the very real risk of inventory mismanagement (not knowing your local market), and the relational/ repeat customer development of localized and decentralized sales. You got a better price because there was competition, that you took advantage of, not because of a failed market dynamic.

This is FORD'S attempt to go "Woke".

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How is changing an outdated model going woke?
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I wonder how Ford plans to get around the franchise laws that Tesla hasn’t been able to?
How is changing an outdated model going woke?
Changing outdated models is not the definition of going woke. You claim Ford's present model is outdated. Why do you claim this?

I said this is Ford's attempt of going woke.

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Changing outdated models is not the definition of going woke. You claim Ford's present model is outdated. Why do you claim this?

I said this is Ford's attempt of going woke.

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I think is more towards streamlining the process, lots of people are pissed off the dealers added on to the sticker price these last few years. Also dealers took deposits on cars and when they came in charged even more and said take it or leave it. I heard 1 guy was told to pay and additional $5k on a Bronco he had put a depostit on 8 months before
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I wonder how Ford plans to get around the franchise laws that Tesla hasn’t been able to?
What were they? In my area independant Ford dealers were closing supposedly for factory owned dealers
Changing outdated models is not the definition of going woke. You claim Ford's present model is outdated. Why do you claim this?

I said this is Ford's attempt of going woke.

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Can you define woke, and why this falls into that category?
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Ford corporate wants that middleman money for themselves.

If they got rid of the dealerships then the price of their vehicles should drop a few thousand and stay that way, right?
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I think is more towards streamlining the process, lots of people are pissed off the dealers added on to the sticker price these last few years. Also dealers took deposits on cars and when they came in charged even more and said take it or leave it. I heard 1 guy was told to pay and additional $5k on a Bronco he had put a depostit on 8 months before
This sort of thing reminds me of when people complain about escalating prices, and then advocate for price controls...which often lead to reduced supply AND access to a service, because the grease (money) in the transaction is hamstringed.

I am not saying the present arrangement is without problems, more that I am not sure centralizing Ford's sales is going to lead to better access and prices.

Imagine COVID occurring during Ford's new arrangement. Sorry, we cannot "discriminate" against buyers anywhere in the nation, so no, you can't pay more to get that vehicle, and then simultaneously say..those are designated for the special DEI centers of the U.S. who are most suffering from the inequalities of the pandemic and systemic racism.

Or, we deam your sector of the U.S. as non essential at the moment, our limited inventory will only be sent to XYZ locations.

Just some hypothetical possibilities.

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Can you define woke, and why this falls into that category?
You can hardly take a substantiated position, can you.

WOKE= a bunch of bs.

Maybe you should tell me why Ford's new arrangement isn't Woke.

The WOKE community can't define what it is, but we all know it changes like a teenage girl's feelings about her hair and shoes.

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You can hardly take a substantiated position, can you.

WOKE= a bunch of bs.

Maybe you should tell me why Ford's new arrangement isn't Woke.

The WOKE community can't define what it is, but we all know it changes like a teenage girl's feelings about her hair and shoes.

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You made the claim not me. If you can't back your claim then it isn't very valid.

I made the claim that the dealership model is outdated, and gave my opinion why. See how it works?
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You made the claim not me. If you can't back your claim then it isn't very valid.

I made the claim that the dealership model is outdated, and gave my opinion why. See how it works?
I completely understand how this works.

I gave my opinion as to why I don't think it's outdated AND claimed it's Ford's attempt of going WOKE.

WOKE isn't easy to define, neither of us can do it.

What we do know, is that people often labeled as woke, also have a problem with free markets and personal accountability blaming systemic racism and "evil" Capitalism for their problems. They often fail at addressing the route problem of society's ills, and place blame on the system over individuals acting without scruples in a society. We cannot regulate or litigate people into integrity. Centralizing Ford's sales will not mitigate a corporation's human fallacy element...it will simply shift to different persons.

This will lead to social justice warriors blaming Ford next, instead of the dealers, when SHTF again in the future.

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You're really good using a lot of words to say very little.

Until you can define what you claim something to be, it can't really be that thing.

Ford is responding to a consumer base that is kind of pissed off about what happened over the last few years. It's a marketing strategy, and one that will likely win them more business.
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Unless Ford dealers can get Fords from another company what is to stop Ford from playing favorites now?
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Unless Ford dealers can get Fords from another company what is to stop Ford from playing favorites now?
They already do. Dealers are given a fixed amount of allocations when the order banks open up.
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So if they want to play allocation games they can right now
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