Are the glory days over for the dealers finally?

[parkerdog]

I had my oil changed today and hadn't been in this particular dealer for a while. I don't think they liked it when I asked them if they still sold cars because the place was empty. And I don't think it was because they had sold them.

What caught my eye though was a new power boost platinum that stickered for $79 something and it was on sale for $76 something. I was shocked! I wondered where was the dealer mark up from the year before last or even last year for that matter. I wondered what happened to the "we can't sell it for below msrp" that they told me before I bought my truck at granger a year ago.

And another thing that caught my eye (stood out a lot to me) it had three little dents above the door handle on the drivers side that I couldn't believe they didn't have fixed. This was the azure gray color and the dents stuck out like a sore thumb. You could tell someone had seen them because there were rub marks from oil on your hands over them.

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[RickDawgFL]

I can only hope, but I very much doubt it. All I can say is that I will NEVER buy a vehicle from a dealer who charges or who has ever charged, a dealer mark-up fee. If that means I fly to Granger, then so be it. I enjoy a peaceful drive down two-lane roads through farmlands anyhow.

 

[Kodiak]

As supply chains even out, and businesses learn to diversify their options, you will see more trucks and cars being available at dealerships. This helps knock the "We only sell at MSRP" crowd down a peg and slowly you will see things return to normal. New normal may not be like the old normal but all things go in cycles.

With that said even if things level out I would still give 1st crack to dealerships that help in a time of need and not look to maximize their capitalization on the circumstances (MSRP+). If you are my friend when the stuff is hitting the fan you will be my friend when times are good too. I'm looking at Granger, a good friend.

 

[troy12n]

As supply chains even out, and businesses learn to diversify their options, you will see more trucks and cars being available at dealerships. This helps knock the "We only sell at MSRP" crowd down a peg and slowly you will see things return to normal.

Already has. There's lots of trucks on lots, and I got a local dealer to mark 8 grand off MSRP, and basically ended up getting it at the same net cost to me as i could have gotten from Granger, and it saved me an 1800 mile drive.

I didn't even return calls of dealers who said they "couldn't sell below MSRP".

And the longer gas prices stay up, the less demand trucks will have. At least the "soccer mom/soccer dad FX4" crowd...

 

[jamo13]

I can only hope, but I very much doubt it. All I can say is that I will NEVER buy a vehicle from a dealer who charges or who has ever charged, a dealer mark-up fee. If that means I fly to Granger, then so be it. I enjoy a peaceful drive down two-lane roads through farmlands anyhow.

You may not have to take that enjoyable ride. I thought I read somewhere that with Ford, dealers may become a thing of the past as they move more and more toward EV models. Seems they would like to eliminate them.

 

[powerboatr]

my dealer has a good supply right now of a wide assortment of fords suvs trucks etc
the HIGH dollar units are already marked at few 1k under invoice .
they have a king ranch explorer LOADED that 3k under msrp. it was discounted before it hit the lot

 

[Calson]

During the pandemic price gouging became widespread while federal regulators did nothing. Many companies realized that consumers would pay far higher prices and this increase companies' profits by as much as 300% (as with the oil companies).

The auto companies now know they can charge 10-20 percent more for their vehicles and need to make fewer units and enjoy large profits. I paid $10,000 more for my pickup in 2022 than I would have needed to pay in 2020. That extra $10,000 was pure profit.

 

[Snakebitten]

I'm not sure the $10 grand was pure profit. I say that because it coincided with a ridiculous rate of inflation.
So some percentage of that increase surely was a reflection of increased co$ts to the manufacturer.

Ford, the manufacturer, doesn't operate in an economic vacuum.

 

[wessermgm]

You can tell their day is done. I was at my dealer today for service. I get my oil changed at 7,500 mile intervals regardless of the Ford oil life indicator (which says I still had 25% remaining). This was #2 change, at the 15,000 mile mark. I asked for the "works" package, which this dealer charges $79 for, I think that is fair. Service dude tries for ten minutes to sell me on cabin filter and even worse, a full brake flush. Brake flush - at 15K. I asked does Ford really use such shitty brake fluid that it is broken down by 15k miles? He argued with me that failure to take such preventative steps would result in damage and void warranty. I told him the earliest I would consider flushing my brakes was probably about 50k and it is likely unnecessary then. Ford recommends 2 yrs/30k, but even then acknowledges that is aggressive. These dudes are hard up if they working this hard to change out brake fluid on new trucks.

 

[B-real]

You may not have to take that enjoyable ride. I thought I read somewhere that with Ford, dealers may become a thing of the past as they move more and more toward EV models. Seems they would like to eliminate them.

Ford's CEO Farley has stated he would like customers to be able to order online, but dealers are not going away. There still needs to be a place for customers to do test drives, pick up a new vehicle delivery, trade in a vehicle, purchase a used one, and get parts and service. Ford does not have the funds to buy out every dealer in the US so that they can control those aspects (and many states still have laws about manufacturers selling direct to some degree - although Tesla is reducing those laws around the country).

Eventually customers will force Ford and dealers to change their sales model, and those dealers that realize this is inevitable and adapt earlier will be the ones who have more and more customers select them as the place to pick up their vehicle (and that dealer will get the PDI money from Ford, along with a chance to still sell add ons like tint, etc., along with the future parts and service sales).

 

[dolsen]

During the pandemic price gouging became widespread while federal regulators did nothing. Many companies realized that consumers would pay far higher prices and this increase companies' profits by as much as 300% (as with the oil companies).

The auto companies now know they can charge 10-20 percent more for their vehicles and need to make fewer units and enjoy large profits. I paid $10,000 more for my pickup in 2022 than I would have needed to pay in 2020. That extra $10,000 was pure profit.

When demand far out strips supply, what happens to the price of goods and services? When you have rampant inflation due to very poor government policies, what happens to the value of the dollar?

 

[powerboatr]

You can tell their day is done. I was at my dealer today for service. I get my oil changed at 7,500 mile intervals regardless of the Ford oil life indicator (which says I still had 25% remaining). This was #2 change, at the 15,000 mile mark. I asked for the "works" package, which this dealer charges $79 for, I think that is fair. Service dude tries for ten minutes to sell me on cabin filter and even worse, a full brake flush. Brake flush - at 15K. I asked does Ford really use such shitty brake fluid that it is broken down by 15k miles? He argued with me that failure to take such preventative steps would result in damage and void warranty. I told him the earliest I would consider flushing my brakes was probably about 50k and it is likely unnecessary then. Ford recommends 2 yrs/30k, but even then acknowledges that is aggressive. These dudes are hard up if they working this hard to change out brake fluid on new trucks.

brake fluid flush at 15k???? wow he had to be smoking something
i did buy a cabin filter for the edge last oil change , as i had forgot walmart had 10 dollar ,and didnt even think the ford filter was over 30 dollars when i said sure....
they are sneaky..especially when its my wifes car

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