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GM has addresse dealer ADM (for Z06).. your move Porsche (for GT3's etc.)

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Old 01-19-2022 | 11:17 AM
  #16  
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Porsche's in Canada are sold to customers at MSRP or less.
Porsche dealers have now increased deposit amounts and ask customers to sign a ROFR. (Non VIP)
Upon submission of the v70, the customer names are checked to ensure no duplicate entries, if found both submissions get punted.

Why couldn't this work in the US? (with some tailoring for the US buyers)

GL all!
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Old 01-19-2022 | 12:09 PM
  #17  
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Originally Posted by Maverick787
Yup that happens now ………..that’s how I got my Speedster dealer purchased and titled with 18 delivery miles slapped on 200K ADM January 2020, and it was Covid nothing selling so I offered a cash buy June 2020 they said bla, bla. Next day called me to come get it in one hour MSRP, and sold a 2nd one they had on the floor at MSRP. Only thing I got nailed on is 6 months less warranty as it was punched to show a sale. Dealers will always have a legal way around these letters, you’re seeing corporate PR it’s not GM but it’s our dealers being bad.
Dealers can always find a way to markup a car in their possesion, the trick is that the manufacturer can always reduce future allocations of the really desirable cars based on that behavior. But that depends on how easy it is to detect the shenanigans.

Ultimately like we always come back to, the easiest way to undercut the games is just to build more cars. More profitable for Porsche, and they don't have fight their dealer network over it.​​​​​​​
Old 01-19-2022 | 12:18 PM
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When is Kia going to do the same? Tellurides everywhere for $10-20k over! Those greedy bastards
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Old 01-19-2022 | 12:41 PM
  #19  
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Originally Posted by G.Irish
Dealers can always find a way to markup a car in their possesion, the trick is that the manufacturer can always reduce future allocations of the really desirable cars based on that behavior. But that depends on how easy it is to detect the shenanigans.

Ultimately like we always come back to, the easiest way to undercut the games is just to build more cars. More profitable for Porsche, and they don't have fight their dealer network over it.
I tend to look at the constraint more, Porsche system to build is not the same as a Toyota the way the source inventory. Inventory is ordered when the car order is submitted so you don’t have a warehouse full of costly parts sitting, and to produce X cost X and if it drives the same margin why produce more capacity? More capacity means more people, more storage capability. I’m not a Porsche fan boy, but they will never satisfy demand with GT cars as that was never the intent of the program, and more capacity will reduce the standard 911 as they come of the same line. More revenue never = more margin it’s a wild card. Fixed labor never goes away in Europe lots of pension liability we don’t have here in the US you just can’t get rid of excess because the market demands a slow down. Sorry for the long rant, and lots of smart people at Porsche I’ve done work with their consultants on revenue increases very smart people ………..they laugh at this stuff and it’s not on their radar. This board is a small portion of reality, but some think it bigger than what it is just saying.

Last edited by Maverick787; 01-19-2022 at 12:43 PM.
Old 01-19-2022 | 12:47 PM
  #20  
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Originally Posted by PTS
When is Kia going to do the same? Tellurides everywhere for $10-20k over! Those greedy bastards
‘Exactly this …..this car buying season is the Matrix I’ve never seen it, and perfect example 20k for a freaking Kia. I will just watch all this with popcorn ………..my cousin just sold his house in Palm Beach he purchased for 3M 6 years ago and sold it last week for 7.5M. People are cashing out for a reason, and it’s the ones with multiple cars/property unloading it’s not buying season if you don’t have to my opinion.
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Old 01-19-2022 | 01:02 PM
  #21  
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If you are buying at the same time selling, the market is fine (cars/houses/etc). But if you are not selling and buying, this is a terrible idea.
Old 01-19-2022 | 01:05 PM
  #22  
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Originally Posted by 3-Pedals
If you are buying at the same time selling, the market is fine (cars/houses/etc). But if you are not selling and buying, this is a terrible idea.
I think you have a lot of sellers and not buying for the most part. Look at BAT sales
https://www.seattletimes.com/busines...uction-houses/
Old 01-19-2022 | 02:21 PM
  #23  
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Originally Posted by CAlexio
well, for all of us who have wondered if it was possible to address and or "solve" dealer ADM (in quotes because many of us have come up with half-baked but earnest solutions to dealer ADM).. GM, (yes General Motors).. has just issued a letter to it's dealer network that seems to directly address the ADM issue for the Corvette Z06 (and other upcoming high interest cars). It seemed so simple to many of us who have been watching, suffering, agonizing even over this issue.. that something should be done, but we kept hearing that because of US franchise laws, "nothing could be done". Porsche appeared to either not care or not be able to do something about the situation, and many lifelong Porsche customers were left with a very bad impression of the brand in this respect. It seems though, that this apparent impotence was more akin to unwillingness to act. I'm totally impressed with the letter GM just sent out to its dealer network.. now whether it has teeth and how they enforce the letter remains to be seen, but they clearly have set a precedent that GM will discipline dealers who tarnish the GM brand by adding ADM and other practices outlined in the letter.

"it has come to our attention that some of our dealers do not support a positive sales experience for their GM customers...." and it goes on beautifully from there.... (protected text so can't copy paste.. click on the link for more) here is the letter.. it's so beautiful it brought a little tear to my eye. This is a company with some cojones!!

Corvette Price Gouging: GM puts dealers on notice
so, after reading this, we can finally point to Porsche management with our little index fingers and ask "Et Tu Brute?"
I won't buy another Porsche because the terrible dealer experience. Great cars but the dealers simply make this a lackluster experience when it should be fun and exciting.
It was no problem for me to paid $30k on the secondary market to a VIP to order my Touring because Porsche Chandler did not acknowledge I did $240k worth of business in their first 5 months of being open in 2016 with a slot.

Porsche is a sell out for short term cash, not a boon to long term loyal customers.
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Old 01-19-2022 | 03:49 PM
  #24  
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Originally Posted by DrJay
The exceptionally simple solution to this from a dealers perspective is to title the car, which then makes it a used car, and then sell it for whatever price they want. Even if GM wanted to enforce ADMs, I don't see how they could impact that scenario unless they are planning on fighting dealers in court.
Yup, this is Ferrari Dealers' playbook.
Old 01-19-2022 | 05:00 PM
  #25  
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They will sell at MSRP but add 15-20k worth of “options”. I.e ppf for 10k, ceramic coating for 5k, tint 5k lol and that’s how they’ll get their ADM but still Showing GM they are selling them at MSRP

thats what my dealer is doing at least
Old 01-19-2022 | 05:25 PM
  #26  
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Originally Posted by Perimeter
I won't buy another Porsche because the terrible dealer experience. Great cars but the dealers simply make this a lackluster experience when it should be fun and exciting.
It was no problem for me to paid $30k on the secondary market to a VIP to order my Touring because Porsche Chandler did not acknowledge I did $240k worth of business in their first 5 months of being open in 2016 with a slot.

Porsche is a sell out for short term cash, not a boon to long term loyal customers.
When I was 12, I was like that kid in that old 997 commercial who went after school to the Porsche dealership to look at 911's.

20+ something years later I visited several Porsche dealerships to put my order in for one.

And not a single dealer wanted to sell me one. Fine, I get it, I have to be "special" to get a GTx, how about a Turbo? Nah, I need to be "special" to get one of those too.

How about a Carrera GTS? Nah, need to be special for that too. They said I should buy a Macan, I'm good enough for that.

The dealership experience over the past few years left a really sour taste in my mouth, so much so that I no longer want a 911 (or a Porsche, for that matter) anymore.


Last edited by KSEGG; 01-19-2022 at 05:27 PM.
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Old 01-19-2022 | 06:00 PM
  #27  
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Originally Posted by KSEGG
When I was 12, I was like that kid in that old 997 commercial who went after school to the Porsche dealership to look at 911's.

20+ something years later I visited several Porsche dealerships to put my order in for one.

And not a single dealer wanted to sell me one. Fine, I get it, I have to be "special" to get a GTx, how about a Turbo? Nah, I need to be "special" to get one of those too.

How about a Carrera GTS? Nah, need to be special for that too. They said I should buy a Macan, I'm good enough for that.

The dealership experience over the past few years left a really sour taste in my mouth, so much so that I no longer want a 911 (or a Porsche, for that matter) anymore.
yes classic, think we were all that kid
https://m.youtube.com/watch?v=7sWPHKU1XZU
Old 01-19-2022 | 06:19 PM
  #28  
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IF Porsche said dealers had to sell at MSRP.... The Dealers would require a GT Car trade-in which they would lowball and require financing through their lender.

they will get the money one way or the other! It is what it is! Supply and Demand. I love it!
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Old 01-19-2022 | 06:59 PM
  #29  
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Porsche will not act to change things unless and until customers express their disapproval by buying other brands. Right now, their customers are the dealers, not us. That is not likely to change anytime soon even though Porsche has tried, as recently as 2019 to direct sell. And we are demanding more of their cars. But like the Tulip Mania, this too shall pass. And at some point dealers will struggle to sell cars. Right now, the price of a GT3, exceeding $300k with ADM is beyond reason for most prospective customers. I was looking forward to a promised allocation but that has been pushed out nearly a year. I am considering other brands but will probably wait However if dealers are still charging sky high ADM in 2023 I will look elsewhere.
Old 01-19-2022 | 07:21 PM
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Unfortunately, that letter doesn't do anything to address the issue of ADM. There is a reason the letter doesn't say "Dealers in our network who charge more than X above the stated MSRP will experience X disciplinary action." The reason is because price fixing is illegal in the United States. Ultimately that is the seemingly impossible hurdle to get around and is the reason that Porsche hasn't done anything about it.



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