- First Name
- Adam
- Joined
- Aug 7, 2020
- Threads
- 11
- Messages
- 465
- Reaction score
- 851
- Location
- Rancho Cordova, CA
- Vehicle(s)
- 2016 CTS, 1996 Silverado 4X4
- Your Bronco Model
- Base
Agreed. The margins are so thin on new cars. This is why the richest guy on a car lot is the used car sales manager.Where are you coming up with 3-10%? Iām not a fan of most dealers but your understanding of how new vehicles are sold is woefully incorrect. My dealer has been an excellent partner on the many transaction I have had over the year with them and we talk a lot about the business end of selling cars. Everyone on here pretends like all dealers are raging assholes and ford has no culpability in all of this. They (ford) set the margins and selling price for dealers on their vehicles and a lot of time the difference between msrp is minuscule when you compare it to the money that is spent or required to be spent by the manufacturer on physical requirements Ect. My wifeās bronco sport obx had 800 dollars of profit from invoice to sticker. The ford Mach E has 3% profit from ford and you canāt mark it up. He sold a 70k F-series a few weeks ago and by the time he got done ānegotiatingā with the buyer and paying for everything he made 700 bucks. Between paying employees and for physical infrastructure running a dealership is expensive. Is it profitable? Yes but itās not what the majority of people on here think it is. It would be great if like Tesla you just pay sticker and moved on. There were no ādiscountsā or special financing but that is what the competition in the market of dealers has done. If suddenly all dealers were gone over half the country would have no place to work, schedule to get service, look at inventory or test drive a car. Ford wouldnāt have 3000 locations they would have 300 and there wouldnāt be options for getting your car fixed other than ford and you would be at their mercy to pay whatever they wanted buying or servicing. Just take two seconds and think about that. Dealers get screwed by ford having to buy and floorplan lots of shit cars because ford can do that to them. I see no problem with dealers taking advantage of market conditions in certain situations. Right now everything we buy on a daily basis is being marked up and it is usually because the person selling it to us can not because they are passing cost along to us. Ford charges Shelby dealers a āShelby taxā on top of the money you have to pay to be a Shelby dealer. Ford only allocates raptors to certain dealers and just like this whole allocation snafu once again ford. In a perfect world you should be able to walk into any ford dealer and order what you want and buy from there but that isnāt how it works. My dealer got 6 bronco allocations last year he was able to fill 5 including mine Bc of the Mic top issue. Just like with Stephenās and granger itās bs FORD screwed those guys by changing the allocation system and in turn screwed a lot of the people on here but letās remember those guys were trying to game the system too and it wasnāt for the good of the customer it was for profit. Yes they are great dealers and treat people right but they also did the math and realized they could make more money selling in bulk at a discount. Just think about that.
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