I agreeFord could partially fix this by offering X Plan pricing and getting dealers to accept it.. No expectations thats going to happen.
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I agreeFord could partially fix this by offering X Plan pricing and getting dealers to accept it.. No expectations thats going to happen.
These dealerships are going to have a hard time selling these overstock Broncos they get. They wonât be built properly so the off road enthusiast wonât be buying. They will end up taking money off to try and move them. If Ford was smart (which we all no they are not) they would build to reserved time stamp. It would keep the hype up and people would continue to order them to get their hands on the holy grail. With how it is all gone down,I believe in my opinion, the big bronco may not be built that long. 10-15 years, and thatâs about the time it will take to finish getting everyone there reserved bronco. Itâs actually pretty sad to think about. I do hope I am wrong.Who knows, this might actually backfire on Ford in a way not yet discussed.
-Everyone will be price protected until 2023 (if they donât back down on this promise)
-inflation is very high
-gas prices are rising
-the chip shortage is forecasted to end by next fall.
-the big cry baby dealers that canât collect orders will be receiving large amounts of dealer stock.
All of these thing combined will lead to an âexcessâ of Broncos being sent to these big dealers, when this happens they will go unsold and they will cry to Ford about needing some relief in the form of rebates. This will get us these Broncos even cheaper than Ford ever imagined when you couple it with the price locks. After all the bronco isnât a limited production vehicle like the raptor. Itâs a mass produced vehicle with initial hiccups.
Sadly you may be right. I would love to think that Bronco will be around for a long time this time around, but it seems almost jinxed. Ford would need a lot of us to be repeat Bronco buyers, but the more they show us how little they care about the end user, the less likely we will each be buying several Broncos in our lifetimes.These dealerships are going to have a hard time selling these overstock Broncos they get. They wonât be built properly so the off road enthusiast wonât be buying. They will end up taking money off to try and move them. If Ford was smart (which we all no they are not) they would build to reserved time stamp. It would keep the hype up and people would continue to order them to get their hands on the holy grail. With how it is all gone down,I believe in my opinion, the big bronco may not be built that long. 10-15 years, and thatâs about the time it will take to finish getting everyone there reserved bronco. Itâs actually pretty sad to think about. I do hope I am wrong.
Man. You guys kick ass and it's total b.s. Ford isnt seeing it that way. Maybe there is a collective effort we can do to send @fordcoporate a letter, hoping to change their minds and in turn hooking you guys up properly.My grandfather owned a gas station that my father worked in as a young boy. It was what you would picture as a typical small town full-service gas station in rural Iowa. He grew up around the gas station and that is where he learned his blue-collar work-ethic. It is also where he first started to sell used cars at the age of 16. Fast-forward to 1978 he purchased a Dodge store in Granger, Iowa and later in 1987 he purchased a Ford dealership in Dallas Center, Iowa. He then relocated the Ford store to Granger and become what is now Granger Motors & Granger Ford.
He had a saying when we would complain growing up. âIf it was easy, everyone would do it.â The last week has been a great reminder of that. Our staff, starting with Albert and now continuing with a 5-member team, has worked very hard over the last 16 months. Yesterdayâs allocation announcement was a gut-punch. I tend to be a glass is half-full guy, and this certainly has been a test of that.
We have the Bronco6G community and a lot of loyal customers to thank for all their support and my responsibility lies with them. We want them to be taken care of properly. There is no other way to sugar coat it, the allocation formula does the biggest disservice to our customers. Ford decided to dip their toes in the âreservationâ system emulating a method made popular by Teslaâs recent success. In the end, they couldnât dive all the way in and reverted more closely back to the franchise/allocation system that has been in place for over 100 years. I get it. You want to reward the dealerships that have sold hundreds and thousands of vehicles on an annual basis. The franchise system also benefits the consumer because of discounts and aggressive pricing. If this was Tesla, there would be no discounts. There would be no Granger Ford.
To recap 2021, we received allocation of 203 units. This was on roughly 600 reservations we received before the allocation cutoff. It was reasonable to assume that moving from 6 to 12 months of production would safely bump our allocation to around 400. It was also a reasonable assumption that including all reservations as a factor, instead of just the September cutoff (1300+ reservations), would double our allocation count again to around 800 units. Adjusted down slightly, we were anticipating 700-ish Broncos for 2022. That isnât how it is going to work out. Moving the âbroncoâ factor down from 50% to 25% and moving the factor from reservations to 2021 allocations was the worst possible scenario for our customers. We are left with 1075 orders converted from reservations currently. I would anticipate being able to fill 10-20% of our reservation count for 2022. That amounts to 120-220 Units depending on how production plays out. We received 11 for 2022 Model Year production start up.
So where do we go from here? Like I said before, our obligation lies with you the customer. So, whether you end up purchasing your Bronco from me or not, I want you to have a great experience and I want you to get your Bronco. So, there are a few things we can do as a store to help increase that allocation number.
What is Granger Ford going to do?
1. Bronco Facility â There is a Bronco facility upgrade that dealerships can opt into. This can increase our 2022 Allocation by 18 total units. We are absolutely going to spend the money and sign up for this.
2. Bronco Sport Sales â 25% of the allocation formula is Bronco Sport sales. We are going to become better at selling Bronco Sports than Broncos. We are now offering 6% under invoice on a Bronco Sport order. We are going to get as creative as possible to shoot this sales number up ASAP. We are going to be relentless in this pursuit. In my mind, this is our biggest opportunity.
3. Share of Nation Sales â This is over a 36-month period, so itâs going to be the hardest number to move. But because of our loyal online following and progressive business model. We have quickly moved up 20+ spots in our region YTD and I anticipate being one of the biggest, if not the biggest, Ford dealer in the state of Iowa for 2022.
4. We are committed to only selling to our reservation holders - 100% of our Broncos delivered have been to our reservation holders. Ford lowered the dealerâs name match standard to 60% because other dealers seem to have trouble making that work. We have it down to a science and will continue to value long-term commitments rather than short term profit.
5. Discount lock-in â We absolutely are going to honor our pricing agreements with our customers. $1000 under invoice or $2000 under invoice October special. This will not change.
6. Honest Conversations â Over the next 30+ days we are going to have open and honest conversations regarding your reservation and where you stand among our total reservation count. We will do our best to advise you of your best options and talk you through what makes the most sense for you. We are going to have your best interest in mind, regardless of whether you end up purchasing from us.
What can our reservation holders do?
1. Hang in there â No, weâre not going to send you a hammock. But I know there are a collection of our reservation holders that are loyal to us and how we do business. Their patience will be put to the test, but we are going to do our best to give monthly updates on our allocation and progress that weâre making on Bronco deliveries as well as our other goals to increase allocation.
2. Buy a Wrangler/Gladiator at 4% Under Invoice â if you are tired of the Bronco ride, we can offer you a Wrangler/Gladiator purchase at 4% under invoice and have it delivered to our store in 60-90 days. 2022 Wrangler and Gladiator ordering opened yesterday. Email [email protected] and weâll be happy to send you a quote.
3. Find Another Bronco Dealer â I have confirmed that Ford will allow transferring of reservations/orders. We have heard of ADM horror stories, but there are other dealerships who are treating customers right. While they may not match our discounted pricing, you can make some calls/send some emails to other dealers and see where they stand. If you choose to transfer, youâll need to call Fordâs customer service line at 1(800)392-3673 and request a transfer.
The next 12 months are going to be a grind and weâre committed to working harder than we have the past 16 months. We are starting to reap the rewards of our labor and by the end of the year, we will have the pleasure of delivering 150+ Broncos to our reservation holders. I donât want your sympathy. We signed up for this. If anyone deserves your sympathy it is our reservations holders, who in my opinion, only deserve the best. We will keep grinding and weâre not going anywhere. Hey! If it was easy, everyone would do it.
Zach
Good looking ZR2! That was high on my list when the bronco was announced.I feel bad for you guys... I'm glad I canceled my reservation. I can only imagine the frustration. Looking forward to buy a Bronco in the next 3-5 years. Also, nice customer service from granger. Insta: @DEVZR2
Nice! You may also want to include your personal journey, and the fact that with 1075 others, mostly through the power of social media, we are legion. Not to mention their promise to build in the order of reservation...Proposed email to Ford
Iâve recently been made aware of a decision that Ford has made regarding Bronco allocation formula to dealers. This allocation formula does a disservice to your customers. I understand the franchise/allocation system has been in place for over 100 years. I get it. You want to reward the dealerships that have sold hundreds and thousands of vehicles on an annual basis. The franchise system also benefits the consumer because the dealer can offer discounts and aggressive pricing. My dealer, Granger Ford of Iowa has embraced this and has 1300+ confirmed Bronco reservations to date. They have 1075 orders pending.
This new scheme means they can anticipate being able to fill 10-20% of Bronco reservations in 2022 . Approximately 800 confirmed Bronco reservation holders will not be satisfied in 2022. While I can't claim to understand the byzantine calculus that makes alienating 800 early Bronco adopters an option, I do urge you to reconsider.
No chance, Ford will consider 'price locking' a previous offer and not allow it to be combined with any rebates. They will stick it to the reservation holders as per always.Who knows, this might actually backfire on Ford in a way not yet discussed.
-Everyone will be price protected until 2023 (if they donât back down on this promise)
-inflation is very high
-gas prices are rising
-the chip shortage is forecasted to end by next fall.
-the big cry baby dealers that canât collect orders will be receiving large amounts of dealer stock.
All of these thing combined will lead to an âexcessâ of Broncos being sent to these big dealers, when this happens they will go unsold and they will cry to Ford about needing some relief in the form of rebates. This will get us these Broncos even cheaper than Ford ever imagined when you couple it with the price locks. After all the bronco isnât a limited production vehicle like the raptor. Itâs a mass produced vehicle with initial hiccups.
I'd like to add that these "reservations" were originally not going to dip into any dealer allocation. Even if a dealer sold a Bronco for a 1$ profit, that would be 1 more dollar to the bottom line without an allocation hit. Dealers got greedy... dealers got very greedy seeing a fat pig and Ford said "yes, by all means stick it to those lowly peasants, in fact let us change the rules and help you do it." Maniacal laughs*. Look at good ol boy Mike's tweets and what the corporation really thinks of us peons. I'm not saying this as an empty threat because I really don't know what I will do but after over a year of these games just kind of feeling defeated. It's one after another from Ford. Above all (behind Bronco) I want a manual.. hate jeeps, so looking at Tacomas which leaves me even more defeated when it's not my passion and been looking for a Bronco almost 20 years. Im one of Grangers last few reservations so I knew I had some time to go but thats a 5 yr wait as of a couple days ago now. That I won't do. Won't switch dealers either. Besides price the naysayers don't understand the work Granger staff has put in and given everyone the warm fuzzies. Now they just need to add Toyota to their line up for the trifecta and I would make the 6 hr drive to pay the same as here.I called around and asked if any dealers near me would compete with Granger they said no. They could have competed. No one was holding a gun to their heads. If granger can do it then everyone can.
poaching? not a single damn thing stopped these other dealers from making a good deal and keeping business. Using a below invoice dealer has allowed me to move up multiple trim levels as well as options packages this giving Ford even more money. It just sounds like you just don't like the free market."Famously" might be a stretch.
I suspect selling to customers is one thing, Grainger was poaching customers, albeit willing customers, with sick discounts plastered publicly on enthusiast forums. They created a market for "under invoice" when most dealers are locked at MSRP. Good for them, but Grainger's interests might not be aligned with Ford's interests, and certainly not the interests of the dealer network, IMO. It boomeranged around.
I don't really care though, my dealer is 5 min from my house and has been good enough. I like to keep my money local.