Ford to Dealerships: No Markups (ADM) on New Broncos

Dirty Bronco

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Haven't seen this posted anywhere. Looks like good news!

https://www.ford-trucks.com/articles/ford-to-dealerships-no-markups-on-new-bronco-reservations/

"So when my local dealership — the same dealer who was asking $20,000 OVER sticker for the 2019 Mustang Bullitt and $35,000+ OVER MSRP for various Shelbys — said they are NOT doing Bronco ADMs, my jaw hit the floor. After probing him a little, my concierge said that apparently this directive came directly from Ford because it’s part of some Ford 360 marketing thing to get people into Ford’s newest models like the Bronco and Mustang Mach-E. (He didn’t say it, but 2021 is going to be vital for Ford after a dismal 2020.)

That said, my concierge did state that there MAY be ADMs for those withOUT reservations, which is another reason to get on the reservation list if you’re Bronco-curious. And, again, this might all be anecdotal speculation on my part, but if Southern California is free from Bronco markups, maybe we’ll all be in for an affordable new mid-size truck when Broncos start shipping next year."
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TXJeepScientist

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Haven't seen this posted anywhere. Looks like good news!

https://www.ford-trucks.com/articles/ford-to-dealerships-no-markups-on-new-bronco-reservations/

"So when my local dealership — the same dealer who was asking $20,000 OVER sticker for the 2019 Mustang Bullitt and $35,000+ OVER MSRP for various Shelbys — said they are NOT doing Bronco ADMs, my jaw hit the floor. After probing him a little, my concierge said that apparently this directive came directly from Ford because it’s part of some Ford 360 marketing thing to get people into Ford’s newest models like the Bronco and Mustang Mach-E. (He didn’t say it, but 2021 is going to be vital for Ford after a dismal 2020.)

That said, my concierge did state that there MAY be ADMs for those withOUT reservations, which is another reason to get on the reservation list if you’re Bronco-curious. And, again, this might all be anecdotal speculation on my part, but if Southern California is free from Bronco markups, maybe we’ll all be in for an affordable new mid-size truck when Broncos start shipping next year."
Which Stealership?
 

LemonShark

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Well, I sure hope this is true!

I felt like this is what needed to happen, or else a lot of new potential Ford owners like me would laugh at Ford and take their 50k+ elsewhere.

I truly want Ford to get this right. No ADM on reserved Broncos is key.
 

Marauder

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Haven't seen this posted anywhere. Looks like good news!

https://www.ford-trucks.com/articles/ford-to-dealerships-no-markups-on-new-bronco-reservations/

"So when my local dealership — the same dealer who was asking $20,000 OVER sticker for the 2019 Mustang Bullitt and $35,000+ OVER MSRP for various Shelbys — said they are NOT doing Bronco ADMs, my jaw hit the floor. After probing him a little, my concierge said that apparently this directive came directly from Ford because it’s part of some Ford 360 marketing thing to get people into Ford’s newest models like the Bronco and Mustang Mach-E. (He didn’t say it, but 2021 is going to be vital for Ford after a dismal 2020.)

That said, my concierge did state that there MAY be ADMs for those withOUT reservations, which is another reason to get on the reservation list if you’re Bronco-curious. And, again, this might all be anecdotal speculation on my part, but if Southern California is free from Bronco markups, maybe we’ll all be in for an affordable new mid-size truck when Broncos start shipping next year."
Sure, not on already reserved Broncos, but should any of those go “orphaned,” you’ll see prices that make the First Edition look like a bargain.
 

Frank N

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They would if they could charge an ADM but it wouldn't last long anyway on a mass produced vehicle, maybe the FE.

Within a year, MSRP was an easy target for the Gen2 Raptor, now they are barely above invoice.

Do you know what the difference is between a car dealer and a snake oil salesman? Me neither.
 

DREWR13

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Not sure how accurate that is. We haven’t received anything like that at our dealership in Atlanta. Im a new car sales manager that handles pricing our cars... so take that with a grain of salt.
 

XCR440

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They would if they could charge an ADM but it wouldn't last long anyway on a mass produced vehicle, maybe the FE.

Within a year, MSRP was an easy target for the Gen2 Raptor, now they are barely above invoice.

Do you know what the difference is between a car dealer and a snake oil salesman? Me neither.
Based on interest, I think Bronco will remain hot for a couple years. Heck look at Wrangler, they've been out for ever, yet there still isn't any incentives. Look at what a year old rental car Wrangler brings compared to new. I do think the Bronco will eventually make the resale go down on Wrangler due to supply, and eventually (I'm thinking several years) there will likely be incentives.

Now if GM brings back a Hummer to compete in this segment, all bets are off. Tripling the number of units in this segment would be questionable, but I also see it growing so not impossible.

As to Raptor, I remember it differently, they started over sticker and fell over time, but they were still bringing over invoice (slightly)on dealer trades last spring, then fall when the 19's came out it fell to invoice (remember this is to another dealer not a customer), then the bottom fell out and they became just another F-150. They're back up to over invoice on dealer trades again, but regular F-150s are trading at invoice due to the shortage of inventory.

Granted, Raptors never have incentives, so leftovers could be bough at invoice as the dealer had to fund the discount to move them as Ford didn't, so leftovers each year could be bought, cheaply, but current model ones weren't commonly at invoice until the last year or so. Also note that I'm talking about Stock on the ground inventory, orders are a different story as a Retail Raptor could get a dealer an extra allocation, so dealers would often order one at invoice if you were willing to wait.
 

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Based on interest, I think Bronco will remain hot for a couple years. Heck look at Wrangler, they've been out for ever, yet there still isn't any incentives. Look at what a year old rental car Wrangler brings compared to new. I do think the Bronco will eventually make the resale go down on Wrangler due to supply, and eventually (I'm thinking several years) there will likely be incentives.

Now if GM brings back a Hummer to compete in this segment, all bets are off. Tripling the number of units in this segment would be questionable, but I also see it growing so not impossible.

As to Raptor, I remember it differently, they started over sticker and fell over time, but they were still bringing over invoice (slightly)on dealer trades last spring, then fall when the 19's came out it fell to invoice (remember this is to another dealer not a customer), then the bottom fell out and they became just another F-150. They're back up to over invoice on dealer trades again, but regular F-150s are trading at invoice due to the shortage of inventory.

Granted, Raptors never have incentives, so leftovers could be bough at invoice as the dealer had to fund the discount to move them as Ford didn't, so leftovers each year could be bought, cheaply, but current model ones weren't commonly at invoice until the last year or so. Also note that I'm talking about Stock on the ground inventory, orders are a different story as a Retail Raptor could get a dealer an extra allocation, so dealers would often order one at invoice if you were willing to wait.
I agree demand will be strong for quite a while. I think the dealers will sell them as fast as they come in for awhile and be taking orders just as quickly, probably at MSRP or close to it. How long? Tough to say but if its roomy enough for soccer moms and the on road manners of the IFS are there, I think the demand will be strong for a couple of years.

A couple of caveats on the Raptor pricing was your geographic location and how willing you were to work and travel for a price. I order my 18 when the books opened in late May of 17 at MSRP in NJ leveraging three sales guys against each other to get the order at three dealers. The other was the limited production and allocations taht allowed them some power in negotiation.
 

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wasnt there a PDF of the letter from ford stating that reservation holders pay sticker price? i really tried hard to find it via search function and I'm pretty sure I'm not losing my mind.
 

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I guess the ability of the customer to move their reservation to another dealer is the best insurance against that happening....the dealer down the street will be happy to process it for “just” MSRP profit.
 

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I do believe if Ford has told dealers no ADM on Reserved units, the dealers will figure out another way to get the extra money. That said, seems to me, the dealer owns the vehicle, not Ford, once it hits the lot. The dealer can then set price.

That said, I will not pay over MSRP. I never have for anything, and I got the 2nd 2014 Corvette delivered in Knoxville TN. I have also not seen an ADM sticker on vehicles at the Ford Dealer I am using. However time will tell.
 

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Ezee One

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Haven't seen this posted anywhere. Looks like good news!

https://www.ford-trucks.com/articles/ford-to-dealerships-no-markups-on-new-bronco-reservations/

"So when my local dealership — the same dealer who was asking $20,000 OVER sticker for the 2019 Mustang Bullitt and $35,000+ OVER MSRP for various Shelbys — said they are NOT doing Bronco ADMs, my jaw hit the floor. After probing him a little, my concierge said that apparently this directive came directly from Ford because it’s part of some Ford 360 marketing thing to get people into Ford’s newest models like the Bronco and Mustang Mach-E. (He didn’t say it, but 2021 is going to be vital for Ford after a dismal 2020.)

That said, my concierge did state that there MAY be ADMs for those withOUT reservations, which is another reason to get on the reservation list if you’re Bronco-curious. And, again, this might all be anecdotal speculation on my part, but if Southern California is free from Bronco markups, maybe we’ll all be in for an affordable new mid-size truck when Broncos start shipping next year."
That is confirmed by my dealer

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