Allocation/Reservation Summary and "Real" World Example

[Kris87]

I would add to this the fact that Ford has recommended dealerships place orders by timestamp, but it's not a requirement. So if your dealership shows preference to friends, family, golf buddies, regular customers, or people ordering higher trims, that will also affect your delivery. We've already seen dealership who took reservations over the phone and then did not put them in the system in the order they received them - some orders (mine) were held for a day, and another person on this forum had theirs held at the same dealership for three days. This leads me to believe that some dealerships will be employing similar tactics when it comes time to place orders.

I've had several people ask me if we're going to put orders in based on timestamp and my answer is yes....and no. We're going to contact customers in order of timestamp, but I don't believe that all orders can hypothetically be placed in reservation order. That would require every person to do B&P and have everything completed 100% on time and agree on pricing with the dealer. Add in each dealer only has 40-50 days to input all these orders, and I can see it being a nightmare logistically. My plan is to put the order in as we get them and let Ford sort it out as they said orders would be "prioritized" by reservation time stamp. I think that takes the heat off the dealers since it would be nearly impossible to get all the orders done in the same order as the timestamp given the short window we have to submit them. If I only had 20, 30 reservations, sure it would be easier.
But no way will a dealer let a guy/gal drag their feet on deciding what they want to do, hold up on pricing, etc...and let that delay all the other folks in line behind them. That would make zero sense.

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[sjp]

I've had several people ask me if we're going to put orders in based on timestamp and my answer is yes....and no. We're going to contact customers in order of timestamp, but I don't believe that all orders can hypothetically be placed in reservation order. That would require every person to do B&P and have everything completed 100% on time and agree on pricing with the dealer. Add in each dealer only has 40-50 days to input all these orders, and I can see it being a nightmare logistically. My plan is to put the order in as we get them and let Ford sort it out as they said orders would be "prioritized" by reservation time stamp. I think that takes the heat off the dealers since it would be nearly impossible to get all the orders done in the same order as the timestamp given the short window we have to submit them. If I only had 20, 30 reservations, sure it would be easier.
But no way will a dealer let a guy/gal drag their feet on deciding what they want to do, hold up on pricing, etc...and let that delay all the other folks in line behind them. That would make zero sense.

I totally agree. But some dealerships are making a best effort at placing them as closely as possible to timestamps as they can - preparing for a major call effort to get everything lined up within this very tight timeline. I realize that many dealerships (most?) are not going to put this kind of effort in, and since the customer has no visibility, they really have no reason to other than what their own conscience tells them is the right thing to do.

I'm very happy I switched dealerships. I trust mine to do the right thing to the best of their ability. I believe some others will do the same, but that their numbers will be small. This is based on the conversations I've had with quite a few, some of the comments I've seen from them on this forum, and their general attitudes toward customers. They just do not value us.

 

[ZackDanger]

I wrote this in another thread, but I’m going to share it again here:


Ford obviously can't just build the vehicles in order of reservation, unless they wanted to personally deliver each individual Bronco to each individual buyer between waiting for parts.

Realistically they have to juggle reservation order against parts availability and transportation efficiency. Additionally, it's in their best interest to get early Broncos into areas that have a higher potential buyer base. If you have to chose between an auto train going east and an auto train going west, and everything else is equal, you'd want to pick the one that promotes additional sales.

That's not to say that they can't prioritize early reservation holders, but your number in line is just one component of a larger problem/solution.

Here's how I see the process happening on Ford's end:

Step 1. Take orders
Step 2. Check commodity and parts availability.
Step 3. Decide which models/trims will/can be manufactured first, second, third, etc.
Step 4. Divide that subset into regions for delivery efficiency.
Step 5. Determine which regions, and then dealers, will get delivery first, second, third, etc.
Step 6. Decide how many vehicles should be delivered in each batch and to each dealer.
Step 6. Build those vehicles in rank of reservation number/timestamp.

This hullabaloo about allocation seems to be just an explanation to the dealers on how Ford is going to make their Step 5 and 6 decisions. Nothing nefarious. No bait-and-switch... just transparency meant for dealers getting misinterpreted by B&P hungry B6G members.

$0.02

 

[72roadster]

I think your formula makes sense for “stock” allocations, but not reservations (reservation fulfillment).

Based on all i read in the two big threads from Sept 25 thats not the case anymore.
https://www.bronco6g.com/forum/threads/dealer-info-from-9-25-meeting.5797
https://www.bronco6g.com/forum/thre...ions-ordering-dates-build-date-estimates.5793

specifically
https://www.bronco6g.com/forum/posts/205229/
and

I skimmed over the initial post and thought I'd throw in the lay terms of the allocation since only some of the story is being told. 50% of allocation will come from number of reservations at each dealer. So if a dealer has 200 reservations and they convert all 200 into orders(hypothetically) they would earn 100 units for sure(no timetable on delivery given yet). The other 50% is going to be 25% from their national share(where they rank nationally in sales....benefit to the big dealers like normal) and the other 25% coming from Wrangler and 4runner registrations(benefit to a metro dealer with bigger population or anyone with a heavy Jeep concentration.)

Hope this clears up where the other 50% is going to come from.

@Kris87 can you confirm that when you reference allocation you are referring to fulfillment of orders

 

[Kris87]

@Kris87 can you confirm that when you reference allocation you are referring to fulfillment of orders

I've said before, everyone needs to think of allocation in terms of this 2021 MY Bronco as the total number the dealer will receive for 2021. It will all be to fill orders. There will be no allocation for "dealer stock" or the lot. The only Broncos making it to the lot for sale would be orders not taken.

Hope that helps.

 

[72roadster]

If anyone has any insight into how first edition production plays into this, i would love to know
I would expect first editions to be produced first....but who knows

 

[Kris87]

If anyone has any insight into how first edition production plays into this, i would love to know
I would expect first editions to be produced first....but who knows

I expect that for many reasons. A) they called it the First Edition. B) Ford normally produces the most expensive(highest margin) vehicle trim levels first and C) that's what I've been told.

 

[Bullitt]

From Ford's website:

 

[72roadster]

From Ford's website:

Yes, this is what we have all been told, but based on new information released Sept 25, this doesn't appear to be entirely accurate. or they may be obfuscating the the new details about allocation using the words "approximately"

 

[Major_Bullsteak]

with 50% of the formula being the number of reservations they convert to orders.

That is what I was referring to specifically in the OP's post.

 

[72roadster]

That is what I was referring to specifically in the OP's post.

let me know if there is an edit to make this more clear

 

[Carolina Jim]

I don't believe that all orders can hypothetically be placed in reservation order.

Does the dealer's sequence of orders placed really matter? Or is it the case that the number of dealer orders placed is constrained by allocations - but all orders placed in the Dec/Jan window will be re-sequenced by Ford once received, by reservation timestamp and also assembly line efficiencies?

 

[boxwood]

I totally agree. But some dealerships are making a best effort at placing them as closely as possible to timestamps as they can - preparing for a major call effort to get everything lined up within this very tight timeline. I realize that many dealerships (most?) are not going to put this kind of effort in, and since the customer has no visibility, they really have no reason to other than what their own conscience tells them is the right thing to do.

I'm very happy I switched dealerships. I trust mine to do the right thing to the best of their ability. I believe some others will do the same, but that their numbers will be small. This is based on the conversations I've had with quite a few, some of the comments I've seen from them on this forum, and their general attitudes toward customers. They just do not value us.

Unlike the dealer i heard back from ....

You are welcome to transfer your reservation to us but we have customers that have already placed orders so you would placed behind them.

 

[Lab00Rat]

I was under the impression that reservations and allocations are two separate items for the reserved Broncos.

Reservation Bronco counts if a reservation is converted to an order.
Allocation is counted as %market size + %order conversions + %competitive sales.
Meaning that everyone who reserved and ordered a Bronco will get their Bronco. Dealers receive "Lot Stock" allocations based on the formulation to be delivered at some point in the future as allocations become available (after reservations built).

This whole thing needs some further clarification because Ford was pretty specific that the reserved Broncos were to be built first before dealer inventory.

 

[Kris87]

Does the dealer's sequence of orders placed really matter? Or is it the case that the number of dealer orders placed is constrained by allocations - but all orders placed in the Dec/Jan window will be re-sequenced by Ford once received, by reservation timestamp and also assembly line efficiencies?

They haven't told us. They only told us we could put orders in whenever we wanted after it was live in WBDO(order system). They made an official statement saying orders would be prioritized by timestamp and commodities, which tells me they're going to organize them on their own and sort according to assembly line as well.

I don't think it really matters to answer your question, which would be much easier on everyone.

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