Dealers- how many orders/ reservations didn't convert by Nov 21st?

[JohnieB]

Thank you. Hope good news for some. I actually went backwards 9 spots! Lol.

That sucks. How is that even possible if people are dropping out...unless reservations never converted to an order converted and jumped you??

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[Lowcountry Bronco]

Thank you. Hope good news for some. I actually went backwards 9 spots! Lol.

That sucks. How is that even possible if people are dropping out...unless reservations never converted to an order converted and jumped you??

Allot of people went backwards but yep, think the 99s and unconverted reservations caught up on the list with the ultimatum to order or be dropped.

 

[dScott]

For us it was 4 out of 49, have 6 built or VINs assigned that are not part of that total. The frustrating part about the people that didn't convert was their lack of communication. We called and emailed but only one said to cancel, the rest just ghosted us. I'd think courtesy would dictate at least an email back saying they were no longer interested. Don't care about the reason, just want to have it on record and save their sales person from wasting a time.

Well since most of us receive no communication from the dealers or ford, I'm assuming they just figured turn-about is fair play. Why should the customer go out of the way to communicate when the manufacturer and dealers have not done so in the slightest.

 

[lalnx]

Thank you. Hope good news for some. I actually went backwards 9 spots! Lol.

That sucks. How is that even possible if people are dropping out...unless reservations never converted to an order converted and jumped you??

Wow, 9 spots would have been awsome, I went back 52 LOL. Not really funny I guess.

 

[Arrowbear Rider]

For us it was 4 out of 49, have 6 built or VINs assigned that are not part of that total. The frustrating part about the people that didn't convert was their lack of communication. We called and emailed but only one said to cancel, the rest just ghosted us. I'd think courtesy would dictate at least an email back saying they were no longer interested. Don't care about the reason, just want to have it on record and save their sales person from wasting a time. Everyone had fair warning so it's not our problem anymore.

For those of you wondering, WBDO is still showing those orders as 99, at least for us. No idea if Ford is going to lock them at some point or completely drop them from the system but we're going to let them do it unless told otherwise.

That pretty much sums up what my dealer said about the lack of response by those that dropped off, except he didn't put a number on how many out of the 47 that didn't respond, but it sure sounded like it was most of not all. And he was "GLADLY" letting go of those orders, he's tired of the whole reservation thing.

So, after my conversation with dealer, and after reading a lot of the same from you, I wonder a couple of things and maybe piece together some of what's happening too.

Of the many of the ones that ghosted, one would think most had small deposits or they'd be calling to get their money back, so in many cases, older, original reservation deposits were $100.

So, does that mean that many older reservation ghosted?

My deposit went up $500 when converting to an order in 10/21. Plus the Off Roadeo $250 that I still expect back when I purchase.

This would also make sense from the "tired of waiting" reason, a order from 2022 isn't yet tired of waiting, while an early reservation is frustrated or had to move on. Maybe why I moved up even more spots to get scheduled (may21). Plus there are a lot of loaded WT & BL at my dealer so that helped me too.

By the end of Jan scheduling will that be enough data to see a trend?

 

[flip]

That pretty much sums up what my dealer said about the lack of response by those that dropped off, except he didn't put a number on how many out of the 47 that didn't respond, but it sure sounded like it was most of not all. And he was "GLADLY" letting go of those orders, he's tired of the whole reservation thing.

So, after reading the same from you, I wonder a couple of things and from my conversation with dealer, and maybe piece together some of what's happening.

Of the many of the ones that ghosted, one would think most had small deposits or they'd be calling to get their money back, so in many dealerships cases, older, original reservation deposits were $100.

So, does that mean that many older reservation ghosted?

This would also make sense from the "tired of waiting" reason, a order from 2022 isn't yet, while an early is frustrated. Maybe why I moved up even more spots to get scheduled (may21). Plus there are a lot of loaded WT & BL at my dealer so that helped e too.

By the end of Jan scheduling will that be enough data to see a trend?

All of the 4 that went dark were later reservations after the first COVP started. I didn't look closely but fairly sure none of these had deposits since they were done late or in-store.

 

[Arrowbear Rider]

All of the 4 that went dark were later reservations after the first COVP started. I didn't look closely but fairly sure none of these had deposits since they were done late or in-store.

That would make more sense, being ghosted by someone with no deposit. But my dealer's larger drop off of 47 sounded like a lot of older reservations were in there too. He did comment on my moving up to get scheduled because of some of that, older orders dropping off; plus he added, every other order at his dealership is a loaded WT or BL with Lux too.

My order is base plus Sasquatch but no lux or other chip related stuff.

 

[WT205]

Let's assume 20k orders didn't convert with a conservatively guessed average deposit of $200 (some had none, many had $100-$500 and some had $1000+). That translates into $4m worth of deposits. A relatively small number across dealers and FoMoCo but to book/ recognize all those refunds in one week- the financial nerd in me would love to know the accounting treatment being applied to that cash.

 

[Lowcountry Bronco]

Let's assume 20k orders didn't convert with a conservatively guessed average deposit of $200 (some had none, many had $100-$500 and some had $1000+). That translates into $4m worth of deposits. A relatively small number across dealers and FoMoCo but to book/ recognize all those refunds in one week- the financial nerd in me would love to know the accounting treatment being applied to that cash.

The deposits were always refundable and thru Ford it was only $100, anything additional was the dealer holding on to it. I'm sure Ford made a little interest off of it to.

If you want a big number take that 20% and multiple it by the average Bronco price and that's what Ford lost in sales assuming they didn't buy from a different dealer or a different Ford if you get what I'm saying.

 

[BlueBronco]

Let's assume 20k orders didn't convert with a conservatively guessed average deposit of $200 (some had none, many had $100-$500 and some had $1000+). That translates into $4m worth of deposits. A relatively small number across dealers and FoMoCo but to book/ recognize all those refunds in one week- the financial nerd in me would love to know the accounting treatment being applied to that cash.

But Ford didn't hold the deposit money, the dealerships did. Spread that $4M across 3k+ dealerships and each dealer only refunded around $1300 on average.

If you want a big number take that 20% and multiple it by the average Bronco price and that's what Ford lost in sales assuming they didn't buy from a different dealer or a different Ford if you get what I'm saying.

Ford will actually make more money due the cancellations and was probably hoping for a lower conversion rate. A lower conversion rate means less price protection rebates and less reservation holder headaches. Bronco demand will outpace production for MY23 and probably MY24 so Ford didn't really lose any sales.

 

[Lowcountry Bronco]

But Ford didn't hold the deposit money, the dealerships did. Spread that $4M across 3k+ dealerships and each dealer only refunded around $1300 on average.



Ford will actually make more money due the cancellations and was probably hoping for a lower conversion rate. A lower conversion rate means less price protection rebates and less reservation holder headaches. Bronco demand will outpace production for MY23 and probably MY24 so Ford didn't really lose any sales.

Yep it was the dealers, my mistake. You're right about Ford making money with the cancellations since they'll be losing $3325 on my order that they could sell off the street at full price.

It's been a hell of a ride, I'll give it that.

 

[Phil James]

My dealer said 47 out of 184 didn't convert. I was 82 out of 184 before converting and I just got scheduled for 1/16, so some of those helped me move up, and I have a base with Sasquatch but no high end chip related mods, so that helped too. Many of the orders at my dealer are high end builds.

I have the same build, though a 10/20 reservation, and am now scheduled a week before you. Something must have opened up for two-door manual Sasquatches.

 

[Sherminiator]

Let's assume 20k orders didn't convert with a conservatively guessed average deposit of $200 (some had none, many had $100-$500 and some had $1000+). That translates into $4m worth of deposits. A relatively small number across dealers and FoMoCo but to book/ recognize all those refunds in one week- the financial nerd in me would love to know the accounting treatment being applied to that cash.

With the shitshow I went through with my first Bronco with the ADM on it back in October 21 and then the second one showing up this past May, I got my $100 deposit back (which I wasn't expecting) from the dealership within a month or two of taking delivery of it.

 

[BroncoBrian]

We were 100% converted but prior to that during the 23 conversion I contacted EVERY customer and purged out any people that did not want the order anymore.

 

[PlayUltimate]

Wow, 9 spots would have been awsome, I went back 52 LOL. Not really funny I guess.

Yeah.. funny - not funny.. we have all been living it. Sorry you moved back 52. That sucks... I think, sadly, it's all a waiting game as we ride this out. On the plus side, every day more and more bronco parts come out so we can build our perfect ride... and just think about the fun we will have agonizing on a new color in MY24 when our color we have wanted gets dropped! (Brittany blue would be a nice add, Ford - not that you listen to your customers or anything)... I mean.. at this point, we can bitch and moan... (I've done my fair share)... but it won't do us much good - it is what it is... To quote Stalekracker from the internet... "while we wait, we hydrate".

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