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Why are dealers hesitant to do European Delivery?

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Old 09-02-2020, 06:52 PM
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Shockwave93
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Question Why are dealers hesitant to do European Delivery?

I've spoken with a few dealers now about a 992 GT3 waitlist. Some had no problem with doing ED. Others straight up said "no." Some said "no, for GT cars." How does the allocation process work differently with ED?
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Andi (12-28-2022)
Old 09-02-2020, 06:53 PM
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venom51
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Becasue who knows if you'll be abe to get on a plane in the near future to go do it would be my guess.

Last edited by venom51; 09-03-2020 at 03:24 PM.
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Old 09-02-2020, 07:06 PM
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GrantG
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Originally Posted by Shockwave93
I've spoken with a few dealers now about a 992 GT3 waitlist. Some had no problem with doing ED. Others straight up said "no." Some said "no, for GT cars." How does the allocation process work differently with ED?
The dealer has to pay upfront $3k for ED (most recent info I have), but they receive another Non-GT model allocation (a 992 Carrera variant in this case) in exchange. I think it also defers the accounting for the sale (may not count on their books until delivery or possibly re-delivery in US).

Most dealers who understand the long-term benefits of creating more passionate customers (and the deferred benefit of another allocation) are happy to offer ED for free. Some less forward thinking dealers require the customer to pay the $3k ED fee, and the truly backwards dealers refuse ED entirely.

Last edited by GrantG; 09-02-2020 at 07:10 PM.
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Old 09-02-2020, 10:45 PM
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ipse dixit
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That's the first I've heard of this.

PM me if you want a dealer referral who will have no problems setting you up for ED.
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Larry Cable (12-29-2022)
Old 09-02-2020, 11:10 PM
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Shockwave93
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Originally Posted by GrantG
The dealer has to pay upfront $3k for ED (most recent info I have), but they receive another Non-GT model allocation (a 992 Carrera variant in this case) in exchange. I think it also defers the accounting for the sale (may not count on their books until delivery or possibly re-delivery in US).

Most dealers who understand the long-term benefits of creating more passionate customers (and the deferred benefit of another allocation) are happy to offer ED for free. Some less forward thinking dealers require the customer to pay the $3k ED fee, and the truly backwards dealers refuse ED entirely.
I really appreciate your explanation! The one dealer I talked to that said "no" to ED said that it was basically a policy of the dealer to not do it for GT cars and yammered something about allocations, but I didn't understand it.

So, for a hypothetical scenario: A dealer is given an allocation for a 992 GT3. I take it and say I want to do ED, then that allocation is taken away from them (?) and given to Porsche directly and their GT3 allocation is replaced with a Carrera allocation. What do they lose in that scenario? The commission? Just the $3k? Sounds like a win-win to me if they don't lose commission, since it's basically an instant sell.
Old 09-02-2020, 11:22 PM
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Originally Posted by Shockwave93
I really appreciate your explanation! The one dealer I talked to that said "no" to ED said that it was basically a policy of the dealer to not do it for GT cars and yammered something about allocations, but I didn't understand it.

So, for a hypothetical scenario: A dealer is given an allocation for a 992 GT3. I take it and say I want to do ED, then that allocation is taken away from them (?) and given to Porsche directly and their GT3 allocation is replaced with a Carrera allocation. What do they lose in that scenario? The commission? Just the $3k? Sounds like a win-win to me if they don't lose commission, since it's basically an instant sell.
No, the dealer doesn’t lose anything except the $3k and gains an extra Non-GT allocation on top of your GT3 (for which they make regular commission, though timing is affected).
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Old 09-02-2020, 11:52 PM
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Shockwave93
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Originally Posted by GrantG
No, the dealer doesn’t lose anything except the $3k and gains an extra Non-GT allocation on top of your GT3 (for which they make regular commission, though timing is affected).
Seems to me then that there's no reason to say "no" then, especially if you can just pass on the cost if you really want to.

Attempting to get on a waitlist for this car has proven to me that Tesla gets one thing right about the car buying process (not that I'm a Tesla fan at all otherwise).
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Old 09-02-2020, 11:53 PM
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Originally Posted by ipse dixit
That's the first I've heard of this.

PM me if you want a dealer referral who will have no problems setting you up for ED.
PM'd
Old 09-03-2020, 03:15 AM
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Originally Posted by Shockwave93
PM'd
Me too! Anyone else have any recommendations? I am looking for 992 GT3 Euro Delivery. Thanks!
Old 09-03-2020, 11:53 AM
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First - What Grant said. A little bit more though: It s a bit of a sticky situation for the dealer. ED is advertised by Porsche as a no cost option but dealers need to pay the $3k. So dealers can either pass on the cost to you or eat the cost. It puts them in a bad position I think. It also makes negotiations on the price a bit more difficult. Some dealers just have a bad taste in their mouth because Porsche is making them pay for this cost so they thumb their nose at the whole program.

I've done 2 EDs since 2013 and another planned next year for the 992 GT3 if it is available by then. Both were 5% off and ED paid for by the dealer. My current arrangement with my local dealer (and another dealer as a backup) for the GT3 is MSRP and I pay the ED. I'm #1 on the list at one of them.
Old 09-05-2020, 11:16 PM
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Originally Posted by subshooter
First - What Grant said. A little bit more though: It s a bit of a sticky situation for the dealer. ED is advertised by Porsche as a no cost option but dealers need to pay the $3k. So dealers can either pass on the cost to you or eat the cost. It puts them in a bad position I think. It also makes negotiations on the price a bit more difficult. Some dealers just have a bad taste in their mouth because Porsche is making them pay for this cost so they thumb their nose at the whole program.

I've done 2 EDs since 2013 and another planned next year for the 992 GT3 if it is available by then. Both were 5% off and ED paid for by the dealer. My current arrangement with my local dealer (and another dealer as a backup) for the GT3 is MSRP and I pay the ED. I'm #1 on the list at one of them.
where is your dealer?
Old 09-05-2020, 11:33 PM
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ED used to be a way to enjoy picking up your car at the factory and saving a few dollars in the process. Mercedes was very active promoting ED and in the ‘50s and ‘60s the West German government strongly promoted US tourism. Even back in those days dealers often discouraged ED due to paperwork on their end, delivery uncertainties at the factory (special holidays, summer shutdown, and errors of specifications). Cars would often arrive at the US POE late, damaged, or vandalized. The selling dealer had to deal with the unhappy customer, not the factory. The majority of ED stories on RL appear very positive, but I do think some dealers believe the potential problems on their end are not worth the trouble. Many of these ED averse dealers don’t like Exclusive options, PTS, and custom orders in general. Selling off the lot is a known and predictable process for them.

Last edited by djcxxx; 09-05-2020 at 11:35 PM.
Old 09-07-2020, 09:19 PM
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sparetireless
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I looked into years ago, no way to finance the car, you have to pay for all of it, the US Banks cant lend on an asset in Europe. Not sure if this still the case. Seems like major hassle for a dealer.
Old 09-08-2020, 02:26 AM
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Shockwave93
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Originally Posted by sparetireless
I looked into years ago, no way to finance the car, you have to pay for all of it, the US Banks cant lend on an asset in Europe. Not sure if this still the case. Seems like major hassle for a dealer.
I was actually told by a dealer that Porsche can now finance European Delivery cars, so this shouldn't be a problem anymore.
Old 09-14-2020, 04:45 PM
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C.J. Ichiban
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I love when our clients do ED.

Big issue now is transportation to and from (for you, the client) as the Covid thing evolves...we do not know what the next phase will bring. I think we do about 3-4 ED clients picking up cars per year...panamera, 911 GTS, GT3, sure- if you're a qualified client (Porsche Financial does the lending FYI) then there is no downside (other than not getting a clear film install). Right now, you have time to get the relationship going since it will likely be 12 months from today before you'd actually be picking the car up. Not sure you'd be getting the first car from anyone without buying history.

In the past, there have been issues getting SPECIFIC DATES because of factory hours, travel routes, etc. so the best way to do it (I've personally done euro delivery 2 times) is to plan on being there 4-5 days early and having a changeable ticket back. I actually left the last car there for a few weeks in storage, went back to California, flew back again, then dropped it at one of the designated drop spots.

*recommended routes vary by season*


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