Do I have options?

I’m a legacy client at my dealer and have been supporting them and have a solid personal and purchase history with the family for many years. I was 1st on their list for a Targa GTS and 3 months after the demand order was executed, they informed me that $20K will be added to the MSRP. Had I known three months ago I may have decided to approach other dealers. This resulted in missed opportunities which are not available now when timing is so critical to the allocation process. I’ve bee informed that I have my allocation. I know the addition of an ADM is not challengeable, but do I have any other options? Make an offer for a lower ADM? Buy and sell at a profit? Transfer the allocation? Etc? Yes... I want the car but the ADM moves me well above my over-optioned build.

 

There are some people who have gotten a GTS at MSRP, but most here have not. $20k ADM is high, but dealers out my way are charging that much on a 911s or a Targa. I assume they are getting it. As for your options:

1. If you're willing to pay ADM, make an offer for something less, or offer to buy aftermarket goodies, like wheel & tire insurance or an extended warranty.
2. The allocation does not really belong to you as property, so transferring it to someone else won't get you anything.
3. Keep your current awesome ride and wait out this storm, and get ready for a 2023 or 2024 replacement.

What dealer are you working with? I have a Targa 4 coming in a few weeks (PEC-LA) delivery, but the dealer was Porsche of the Main Line. They are fantastic!

 

I empathize with your situation but relationships don’t put food on the table.

I came to the realization early in my life and many years ago the ONLY person who will take care of me is ME !!!!!!

 

Mainline is my go to for service. They are tops! Rather not reveal the agency.

 

What did they tell you at the time you first placed your Demand Order? Did you discuss terms of the pricing? If not, shame on you. If yes, and they changed the terms shame on them you probably have legal (civil) recourse. Without seeing actual, written documentation it is hard to say. If the second thing is true, and if it were me, I would find another dealer period. That is, unless you have a contract that stated MSRP or less. If so, potentially, you can sue for trebel damages, say for instance you pay ADM somewhere else. Hopefully a real laywer will weigh in on this. If you have a contract, you have a case. Verbal is not going to stand up anywhere unless the dealership values your continued business. I can't weigh in on current market conditions, but when I placed my Demand Order in very early August, it was at MSRP and I have a signed Buyers Order with pricing in addition to the Demand Order both signed by myself and the Sales Manager. Hope it works out to your satisfaction.

I recommend folks call shyster dealerships out and maybe they'll change their tune.

 

I’ve had seven 911’s since 1972 and always ordered eye-to-eye with the sales manager. No, I didn’t get a signed buyer’s contract because I just didn’t know about that it or the need to get it. Stupid me to think that hugs from the dealer was all it takes.
No mention of terms of the pricing or a buyer’s contract. Is that standard operating procedure? Do I have any bargaining power because they didn’t?

 

I doubt you have any legal recourse if you were "on their list". if you have a signed purchase order, that may be a different situation but still not one where you are inn the driver's seat - pun intended. But since there were no GTS allocations prior to last week, I have to assume you have no signed agreement of any kind.

There are some people who are apparently getting a GTS allocation at MSRP, but I don't recall seeing anyone get a Targa GTS without some ADM. My dealer originally wanted a $15K ADM - and I use "my" lightly as I am a first time Porsche customer and have no relationship with them other than stopping in and giving them a $1,000 deposit a few months back. As Go Bruins suggested, I negotiated them down to $10K by agreeing to purchase wheel and tire insurance from them and having them do the PFF. Since these were two things I was going to do anyway, it was a creative way to put more earnings in their pocket (so they sell me the car and not the next guy on the list who would pay the $15K) but reducing the amount the premium was actually costing me.

 

If it makes you feel any better, another dealer probably would have been less responsive or wanted a higher ADM. A 20k ADM for any targa in the current market is not bad if guarantees you're getting an allocation. I've heard many dealers asking 25k ADM for Targa 4S's.

 

It does not sound like you "have a leg to stand on". You can hope for their goodwill but that is it.

 

I inked my deal Aug 02 and have a signed Buyers Order at MSRP for a 2022 GTS. At the time, I was not guaranteed the allocation time (up to 12 months was what I was told) but the specific performance of the contract had : 2022 GTS, MSRP price. Got my allocation Nov 04. Mar 2022 forecast delivery.

 

Hi Go Bruins

How long did it take to get the allocation at Porsche on the Main Line.

I was told I was currently #11 for a Targa and that depending on allocations I could potentially get one this month, but more likely in April.

 

It was just a lot of looking and dumb luck. In April, I had given up on a Targa allocation (I wanted a Targa 4). No one had any, and those who said they could get me one wanted $20k ADM. So, I really got on Rennlist to educate myself about the 911 (my first Porsche), attributes, options, etc. I was going to get a base coupe from a local dealer, and was just waiting for an MSRP allocation, which I felt would have happened within a couple of months. I had almost agreed on a C2S, but the dealer was insisting on certain options (sports package, premium package, 18-way seats, and more) and would not commit to MSRP, only saying that was the "goal." So I decided to wait. On April 20, I saw a new thread from another Rennlister about a Targa 4 allocation below MSRP. It was his, but he wanted a 4S so he could get the MT option. He asked if there was any interest. I thought about it for 5 minutes, and then PM'ed him. He made sure I was serious, and then put me in contact with his SA. We talked that evening. The next day, I had a signed purchase agreement for $1k under MSRP. There were lots of delays, as the original delivery at PEC-LA was supposed to be September. It's now December, but the car is finished and getting offloaded from the RCC Europe today. But I consider myself very fortunate. I got the exact car and model I wanted. I got it at a good price. And the wait is almost over. What more can I ask for?

Now, if you're #11 for a Targa, that seems to me to be pretty meaningless. I don't think there's tons of Targa allocations and it's a small percentage of 911s produced. I'd keep looking and see if you get lucky like I did.

 

Its getting harder and harder for "good" dealers to resist the ADM mark-ups. This is especially true with low volume allocations for Targas, Turbo S and the like. If they get five base carreras every month but only one targa every quarter, they can afford to sell one base carrera to a legacy customer at MSRP but selling that targa at MSRP in today's market is tantamount to giving it away.
I think that you need to consider the dealers position and consider that ADM is the cost of such a car today. There are many who would gladly pay that to get the car. If you truly have purchased more than one previous car from the dealership you should consider sending a letter to the owner/general manager expressing your position and attempt to negotiate a more reasonable ADM.
My personal belief is that cars with more chips involved due to more moving parts such as targas with their roofs and turbo s with their active aero devices are going to be harder to get as Porsche will allocate their chip supplies to the most profitable portion of their products.

 

You can always counter the ADM and offer another amount. That being said, a Targa GTS is a very desirable model — they probably have a line of folks that will take it if you don’t.

Yes, ADM and market adjustments are annoying, but unlike MSRP and window sticker, it is something that you can negotiate.

Given that this environment will be with us for the next couple of years and dealers will likely cling onto ADMs going forward, this is the new normal. This is what the cars cost, MSRP + ADM. There’s little point getting outraged over it, because, as others have noted, every dealer is doing it now, even for Base Carreras. Every 911 is a “GT3” now.

 

I did send a letter to the SA and the answer I got from the sales manager was that they reduced the ADM of $40K to $20K because of the long relationship we had. We talkin' BS or what?