📊 2022 Bronco Allocations Formula Per Dealer

[Snowdogyyz]

With a little research, you can find Ford dealers offering the same. Mine for example sells at MSRP on all vehicles.

The difference is you may actually be able to purchase and take possession of a Toyota or Jeep. Unlike a bronco.

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[Drex]

I explained this already, and was the point of the first post I made. Building strictly in order of reservation timestamp is extremely inefficient. It has nothing to do with the dealers themselves, it has everything to do with commodities and location. You might have back to back builds on different sides of the country, one of those builds would have to wait until it can go on a train to a distribution port near the final destination. There is way more nuance to vehicle production and delivery than you're making it out to be, which is why the allocation is formulated the way it is.

So, while your cherry picked example is the most extreme case, I can see where it would not be the most efficient method. Couple points though; Ford invented the Bronco specific allocation formula in part to get the Bronco's out to more geographical locations, at least that was one of the claims. So they were not choosing the most efficient path regardless and it was outside their 'normal' allocation formulas of the past. The motivations for its addition after the fact appeared to have been designed to favor dealers over the res holders.

Since it is apparently obvious to you (a dealer) that production according to time stamp would have been extremely inefficient, It seems the two alternatives you are implying is that Ford would have to be either incompetent or flat out lying to reservation holders about the original deal that a $100 reservation would act as a (as close to practicable) placeholder for order of production. Unless you have a third or fourth explanation as to why Ford originally had those terms in place?

Regardless of their motivations or your evaluation of their competence, Ford making those promises was an integral part of generating the huge number of reservations at the start of the process (FOMO is real for many people). People don't like playing by the rules and having the rules changed in the middle. The feel they are being cheated. Can you blame them?

 

[Dewreckingcrew]

Big dealers sell majority of Fords vehicles, they also most likely have most of the reservations since they sell majority of vehicles and serve the most customers. The formula may screw over some reservation holders but it also may not. Not sure how this formula automatically screws over reservation holders since most reservation holders are probably at those big dealers.

I have a reservation at a tiny little rural dealer that had I think 2 allocations last year and I was number 3 on the list. It makes literally no business sense to start allocating more to dealers that sell less. The fact that they have 2021 Bronco allocations on there will help bump up some of the small dealers that did a good job converting orders last year.

I get being unhappy, but I also haven't seen a single post of someone laying out a better formula that actually makes business sense. Reservations are still going to be held up by constraints so as they crank out soft tops and easy to make vehicles they have to go somewhere and sending them to dealers that reach a lot of customers makes sense.

Here's one for you...build the damn things in order of timestamps and ship to the dealership where the reservation was held until all the reservations have been filled. If the big dealers hold most of the reservations then they shouldn't bitch about that plan, correct?

 

[Bronc-O]

Well, this thread started with the best example. Even you said this current allocation formula will hurt dealers like Granger. I also remember Ford saying that no dealer stock would be produced until all reservations were built. That's a good example of a change that hurt reservation holder.

That's the one thing people didn't want to hear when the line started getting long. They kept lining up anyway to save money. Now, the reality of the line moving very slow has finally hit. Things that are good don't always come without some pain.

 

[TXNavy]

@Gloff @Pl8to care to explain this then? No reservation, gets build email a week after ordering? This is my exact order besides color so why should allocation come I to it at all? This is a reservation system. Allocations are for systems that can meet demand.

 

[Bronc-O]

The difference is you may actually be able to purchase and take possession of a Toyota or Jeep. Unlike a bronco.

True and the reason a certain dealer isn't up at 1:30 worrying. They sell Jeeps also.

 

[Pl8to]

Thats not what I'm advocating for. It makes perfect sense to build what they can with priority given to existing orders but in this case it appears that I may not have my order built in a timely manner unless I work with a big dealer. The gripe is FMC came out with this reservation system and made a promise that they later rescinded to build existing orders prior to delivering dealer stock to the extent possible. The fact is, there will be many unhappy reservation holders working through smaller dealers unless there is a representation of fairness.

I get that I guess I'm just tired of a lot of people complaining about this allocation method assuming that it is automatically hurting reservation holders at small dealerships. If you think about it simply from a numbers standpoint, if a dealer has historically sold more cars then it will most likely have more reservations. If it has historically sold less cars it's probably in a lower population area that has less reservations. If that holds true, which on average it will, then this allocation shouldn't necessarily hurt reservation holders at small dealers anymore than at big dealers.

There will be outliers of course like Granger and such, but on average I don't see how this screws anyone over anymore than anyone else.

Speaking of Granger dealers like that knew this was a risk, whether they relayed that to customers or not it's a different story.

 

[DaveH]

...
As I said, Granger is the outlier, and because of their tenacity, they will get far more Broncos than they would have under any traditional allocation formula. They probably have more Bronco orders than their average throughput over the last 3 years combined. ...

The new formula gives almost no weight to the number of reservations. All that hard work by Granger, while it helped with MY21 allocations, will have very little impact on MY22 allocations. What benefit is it to Granger to have a lot of Bronco orders if that isn't factored into the allocations?

 

[Gamecock]

If you think about it simply from a numbers standpoint, if a dealer has historically sold more cars then it will most likely have more reservations. If it has historically sold less cars it's probably in a lower population area that has less reservations.

Cool, then they can make it really simple and base the allocation formula 100% on the number of converted reservation orders a dealer holds....since you are saying that it basically is the same thing. Then reservation holders are happy....but of course big dealers would be furious again. So, why would that be if what you say is true?

How could it possibly be more fair to everyone, especially order holders, than to proportionally send Bronco allocations at the exact proportion as orders held in hand by the dealers? You say it's basically that way anyway (it's obviously not).

 

[DaveH]

There will be outliers of course like Granger and such, but on average I don't see how this screws anyone over anymore than anyone else.

It screws any dealer (and their customers) that is trying to increase their volume by going after the Bronco market.

 

[airishfan]

Interesting theory, but please explain how is it faster to build a dealer stock Bronco compared to one that is ordered.

because a lot of the orders are different, if Ford can spend the week just to build base Broncos with automatic tran they can build more of them then if they spent it trying to build orders plus with MSRP price locked in ever month they losing money because its costing more and more to build a Bronco.

 

[Lab00Rat]

Seems every change that has been made since the introduction of the reservation system has been to the benefit of large volume dealers.

This MY22 formula only serves to reinforce favor to the high volume dealers. I feel like the average customer was played by Ford to measure market potential and establish an initial allocation to the dealership model. After the initial play was complete, the customers who opted to go with smaller dealers who are less likely to screw the customer, got screwed by Ford.

We have seen for MONTHS now that Ford can build a vehicle and hold it at Dirt Mountain for "reasons." There is nothing that says Ford can build to the reservation stamp and "hold" it till a delivery can be arranged to the small dealership who might only get a truck once a month. We've seen trucks loaded with Ford vehicles that come from different production plants, so this is not a far fetched idea. No need to pander and assume ignorance of stock flow and commodity restraints to justify delays on reserved orders over large volume dealer greed. Switching the rules again and again to satisfy the big dealers is really hurting the brand in the long run.

 

[Gloff]

I'm truly not arguing with you. You asked me to support my point, I believe I did.

I'm aware of that, and you did. The MIC top situation forced Ford's hand on the stock issue, but you're right in they did say that. Tough position to be in.

As for Granger, yeah it will hurt them, but not nearly as bad as a non-reservation system would have. My point on that was that it's better than the alternative where they would get a fraction of what they will get.

 

[J.O.]

I don't have the patience to wait another full year. I'm in a very long line at Granger Ford. Wanted Rapid Red, it's gone. It's been a complete shit show, not all Ford's fault but they could be doing themselves a service by getting all reservation holders that ordered a Bronco their Broncos first!

 

[Pl8to]

It screws any dealer (and their customers) that is trying to increase their volume by going after the Bronco market.

Somewhat, since they do include the 2021 Bronco Allocations (which were based on orders converted if I remember correctly) then those high volume Bronco dealers will get a bump in allocations from that.

What I don't understand is why everyone treats the Grangers and such as somehow better dealers than other "big dealers". They say an opportunity to grab a bunch of cash by selling a shit ton of Broncos at a slightly lower rate. They knew how allocations work as they've been in the business and they also knew that there are risks in getting that volume. Somehow everyone is acting like it's only Ford that is breaking promises and that any dealer that promises things at this point is doing the same thing.

If I followed others logic on that I should be complaining that it wasn't fair that Granger got so many allocations just like those damn big dealers and my small dealer only got a couple.

This isn't to bash Granger as it seems like they are pretty nice, but at the end of the day they are trying to make money and they have chosen that business model.

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