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SVTPerformance's Chain of Restaurants
Road Side Pub
Changes are Coming
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<blockquote data-quote="7998" data-source="post: 16718311" data-attributes="member: 70541"><p>What is the up side for the customer outside the perception you are "custom ordering" your vehicle? </p><p>I've bought and owned well over 100 vehicles and I can't recall ever ordering one, though I've always gotten what I wanted. I've had cars dealer swapped or I just went and bought it at the dealer that had the car in stock. </p><p> </p><p> When I sold cars, Honda, VW, Audi, Mercedes, I'd say less than 5% were ordered and those were usually specialty cars, S-Class, CL, SL. The overwhelming majority of sales were people who came in and bought a car. Consumers are impulsive and we live in the age of now where Amazon will deliver things the same day, etc. </p><p></p><p>The only upside I see is for the manufacturers.</p><p>A.They can produce less cars saving on wages and making more profit by offering less incentives. </p><p>B. They can phase out dealers and go to Tesla model further increasing their profits. </p><p></p><p>The consequences for the consumer is they will pay more and get less. </p><p>Example: I bought my 2016 XLT in Dec 2016. It listed for $53k I bought it for $40k and got 0%. The truck cost me $40k +ttl </p><p>Today's market that truck is $56k and I would pay msrp and 2.5% @60mo.</p><p> Today that truck would cost me $ 59k. </p><p>Is that truck worth $19k more? Not to me.</p><p></p><p>My 2019 Platinum's msrp was $69k and I paid $62k with 0%, so that truck cost me $62k +ttl. Today that truck is $75k+ttl @ 2.5% with $15k down at 60 mo that truck would cost me $79k. Is that truck worth an additional $17k. Not to me. </p><p></p><p>Normally every 2-3 years I'd get a new truck but I'm not going to pay and additional 27% for the privilege. I'll wait until I need a new truck in another 5 years or until things go back to normal. And I suspect so will a lot of other people. </p><p></p><p>I guess a plus for the dealers will be that people will be keeping their cars a lot longer so the service side will be booming.</p></blockquote><p></p>
[QUOTE="7998, post: 16718311, member: 70541"] What is the up side for the customer outside the perception you are "custom ordering" your vehicle? I've bought and owned well over 100 vehicles and I can't recall ever ordering one, though I've always gotten what I wanted. I've had cars dealer swapped or I just went and bought it at the dealer that had the car in stock. When I sold cars, Honda, VW, Audi, Mercedes, I'd say less than 5% were ordered and those were usually specialty cars, S-Class, CL, SL. The overwhelming majority of sales were people who came in and bought a car. Consumers are impulsive and we live in the age of now where Amazon will deliver things the same day, etc. The only upside I see is for the manufacturers. A.They can produce less cars saving on wages and making more profit by offering less incentives. B. They can phase out dealers and go to Tesla model further increasing their profits. The consequences for the consumer is they will pay more and get less. Example: I bought my 2016 XLT in Dec 2016. It listed for $53k I bought it for $40k and got 0%. The truck cost me $40k +ttl Today's market that truck is $56k and I would pay msrp and 2.5% @60mo. Today that truck would cost me $ 59k. Is that truck worth $19k more? Not to me. My 2019 Platinum's msrp was $69k and I paid $62k with 0%, so that truck cost me $62k +ttl. Today that truck is $75k+ttl @ 2.5% with $15k down at 60 mo that truck would cost me $79k. Is that truck worth an additional $17k. Not to me. Normally every 2-3 years I'd get a new truck but I'm not going to pay and additional 27% for the privilege. I'll wait until I need a new truck in another 5 years or until things go back to normal. And I suspect so will a lot of other people. I guess a plus for the dealers will be that people will be keeping their cars a lot longer so the service side will be booming. [/QUOTE]
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