ADMs dropping
#931
OK, but how can you gauge real demand when people are placing demand orders at 3/4/5 dealers - I imagine no one calls back to "cancel" their demand orders when they actually get an allocation at a dealer, so the books are filled with phantom demand orders. That's why when I hear "the waiting list is knee deep", it doesn't reflect reality. I think this allocation strategy is contributing to ADMs, dealers have a false perception of how many people really want cars when everybody has orders at multiple dealers. Maybe they use this ordering model on purpose to support dealers with ADMs.
When so many here talk about being on “the list” that can be something different. Most all dealers keep customer want lists (many more then one list separating msrp request and adm willing) without officially entering them as V70 demand orders. Why? Because the larger volume dealers in particular know that many on these long waitlists are not getting a car so really is no point. Always good business practice to keep the lists however as the dealers never know when they may need to start referring to them (a random canceled order, or perhaps when the car market gets back to something more normal even if several years from now).
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joydrive (04-04-2023)
#932
When a customer is willing to put in a nominal deposit on a car, say $5k, a dealer could create a demand order, but they don’t. Why?
I would expect that Porsche/PNA would see increased demand at this dealership and allocate them more cars.
IIRC, Porsche is already running the factory 24 hours a day, so maybe there’s no more supply to be had anyway (without a massive capital outlay to stand up a new factory and a major supply chain change).
I would expect that Porsche/PNA would see increased demand at this dealership and allocate them more cars.
IIRC, Porsche is already running the factory 24 hours a day, so maybe there’s no more supply to be had anyway (without a massive capital outlay to stand up a new factory and a major supply chain change).
#933
Good evening gents!
Reporting in - I secured a C2S allocation on 3/27, and did so at MSRP, no ADM. I had been on waiting lists since I started calling around in February.
I was told that I got into the system just days before the 2024 price increase. Now, when I build my car on the configurator it is about $10k higher than what I'll be paying with 2023 MSRP pricing. I have over $33k in options.
My vehicle status is "V200" with an estimated delivery date of 6/16/23.
- I paid nothing to get on the waiting lists
- I paid a $5k deposit in person at the dealership to secure the allocation - the SA wouldn't print a copy for me, but he turned his computer screen and showed me the timelime with the dates for factory assembly and shipping - it was cool to see
Reporting in - I secured a C2S allocation on 3/27, and did so at MSRP, no ADM. I had been on waiting lists since I started calling around in February.
I was told that I got into the system just days before the 2024 price increase. Now, when I build my car on the configurator it is about $10k higher than what I'll be paying with 2023 MSRP pricing. I have over $33k in options.
My vehicle status is "V200" with an estimated delivery date of 6/16/23.
- I paid nothing to get on the waiting lists
- I paid a $5k deposit in person at the dealership to secure the allocation - the SA wouldn't print a copy for me, but he turned his computer screen and showed me the timelime with the dates for factory assembly and shipping - it was cool to see
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adrianp89 (04-04-2023)
#934
Rennlist Member
Joined: Feb 2009
Posts: 4,410
Likes: 2,923
From: Newport Beach, CA and Melbourne, Australia
OK, but how can you gauge real demand when people are placing demand orders at 3/4/5 dealers - I imagine no one calls back to "cancel" their demand orders when they actually get an allocation at a dealer, so the books are filled with phantom demand orders. That's why when I hear "the waiting list is knee deep", it doesn't reflect reality. I think this allocation strategy is contributing to ADMs, dealers have a false perception of how many people really want cars when everybody has orders at multiple dealers. Maybe they use this ordering model on purpose to support dealers with ADMs.
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jctsc (04-04-2023)
#935
When a customer is willing to put in a nominal deposit on a car, say $5k, a dealer could create a demand order, but they don’t. Why?
I would expect that Porsche/PNA would see increased demand at this dealership and allocate them more cars.
IIRC, Porsche is already running the factory 24 hours a day, so maybe there’s no more supply to be had anyway (without a massive capital outlay to stand up a new factory and a major supply chain change).
I would expect that Porsche/PNA would see increased demand at this dealership and allocate them more cars.
IIRC, Porsche is already running the factory 24 hours a day, so maybe there’s no more supply to be had anyway (without a massive capital outlay to stand up a new factory and a major supply chain change).
The dealership knows this, because I bought the CPO from them.
From what I've gathered, allocations are not built around lists. We like to think if I'm first nationwide then I'm next. I believe that is false. It is built around dealership volume. The highest volume dealer gets more allocation, which is a catch-22 for the smaller dealers.
#936
The SA who sold a new Cayenne to us last summer told me yesterday that they had dropped the ADM for 992 from $15K to $5K. I don't know if he was talking about all 992's or just the one I'm interested in which is a modestly optioned C4 which at 2023 prices would have at MSRP of about $150K. He has told me in the past that it's a lot easier to get an allocation for a C4S than for a C4 which might be true since I've found many C4S but very few C4 when I've done nationwide searches. I don't see the need for the extra power or higher stressed engine of a C4S since the car would be a daily use cruiser driven primarily by my wife.
I thought I had been on a 992 allocation wait list since around last September but I found out a couple of months ago that my SA doesn't remember our conversation then or at least that is what he told me.
If I get back on a wait list I'll insist on getting everything in writing and preferably make a deposit. Wait lists don't seem to mean much unless money has changed hands and even then maybe not.
I thought I had been on a 992 allocation wait list since around last September but I found out a couple of months ago that my SA doesn't remember our conversation then or at least that is what he told me.
If I get back on a wait list I'll insist on getting everything in writing and preferably make a deposit. Wait lists don't seem to mean much unless money has changed hands and even then maybe not.
#937
#938
When a customer is willing to put in a nominal deposit on a car, say $5k, a dealer could create a demand order, but they don’t. Why?
I would expect that Porsche/PNA would see increased demand at this dealership and allocate them more cars.
IIRC, Porsche is already running the factory 24 hours a day, so maybe there’s no more supply to be had anyway (without a massive capital outlay to stand up a new factory and a major supply chain change).
I would expect that Porsche/PNA would see increased demand at this dealership and allocate them more cars.
IIRC, Porsche is already running the factory 24 hours a day, so maybe there’s no more supply to be had anyway (without a massive capital outlay to stand up a new factory and a major supply chain change).
Because then dealers would then put in fake demand orders. Porsche has no real way of verifying whether or not someone paid a deposit.
#939
My build was submitted and accepted, and the build starts today on the GTS. The dealer never said anything about seeing that I have 2 demand orders in with another dealer.
#940
I can say from experience this isn’t true. I have a demand order in for a GTS and a GT3 with one dealer, and while those were already in - I received a GTS allocation from another dealer.
My build was submitted and accepted, and the build starts today on the GTS. The dealer never said anything about seeing that I have 2 demand orders in with another dealer.
My build was submitted and accepted, and the build starts today on the GTS. The dealer never said anything about seeing that I have 2 demand orders in with another dealer.
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355Shawn (04-04-2023)
#941
The SA who sold a new Cayenne to us last summer told me yesterday that they had dropped the ADM for 992 from $15K to $5K. I don't know if he was talking about all 992's or just the one I'm interested in which is a modestly optioned C4 which at 2023 prices would have at MSRP of about $150K. He has told me in the past that it's a lot easier to get an allocation for a C4S than for a C4 which might be true since I've found many C4S but very few C4 when I've done nationwide searches. I don't see the need for the extra power or higher stressed engine of a C4S since the car would be a daily use cruiser driven primarily by my wife.
I thought I had been on a 992 allocation wait list since around last September but I found out a couple of months ago that my SA doesn't remember our conversation then or at least that is what he told me.
If I get back on a wait list I'll insist on getting everything in writing and preferably make a deposit. Wait lists don't seem to mean much unless money has changed hands and even then maybe not.
I thought I had been on a 992 allocation wait list since around last September but I found out a couple of months ago that my SA doesn't remember our conversation then or at least that is what he told me.
If I get back on a wait list I'll insist on getting everything in writing and preferably make a deposit. Wait lists don't seem to mean much unless money has changed hands and even then maybe not.
This lined up with a lot of statements and anecdotes I've seen. Right now, Porsche wants to focus on the higher end cars, so a C4 is more rare as is a base allocation apparently.
#942
I can say from experience this isn’t true. I have a demand order in for a GTS and a GT3 with one dealer, and while those were already in - I received a GTS allocation from another dealer.
My build was submitted and accepted, and the build starts today on the GTS. The dealer never said anything about seeing that I have 2 demand orders in with another dealer.
My build was submitted and accepted, and the build starts today on the GTS. The dealer never said anything about seeing that I have 2 demand orders in with another dealer.
The same thing is happening with the Z06. It's sold out for 7 years, the entire model run, if you believe the order demands. But everyone knows people are on the list at 5+ dealers. In fact if you read the corvette forum, people are putting family members on lists for it. So one actual buyer may have 10 orders in place for a car.
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Spiffx (04-04-2023)
#943
Well that's a perfect example - this entire system Porsche has created here is really crazy. Does the "system" automatically go in and cancel your other two orders, or are they relying on you to call them? Sure, if the other dealer calls you and offers a GTS, you would decline because you already have one on the pipeline from someone else, and in this market they would simply jump down the list to the next person. But still, having all these multiple demand orders floating around inflates what real demand actually is.
The same thing is happening with the Z06. It's sold out for 7 years, the entire model run, if you believe the order demands. But everyone knows people are on the list at 5+ dealers. In fact if you read the corvette forum, people are putting family members on lists for it. So one actual buyer may have 10 orders in place for a car.
The same thing is happening with the Z06. It's sold out for 7 years, the entire model run, if you believe the order demands. But everyone knows people are on the list at 5+ dealers. In fact if you read the corvette forum, people are putting family members on lists for it. So one actual buyer may have 10 orders in place for a car.
No the system does not cancel orders if a buyer has multiple orders in. For sure the order books are inflated, and eventually the situation will deflate. Same thing happened with the semiconductor shortage… companies started doubling ordering from. Multiple suppliers creating appearance of huge backlogs.
That is the system of how cars are allocated to franchise dealers across the industry. Allocations are divided upon criteria such as previous years sales per dealership, and on the flip side dealers are obligated to fill every allocation they are given. This is the only way to do things, until the US market moves to an agency model as is used overseas where the customer registers directly with the automaker for an allocation. I believe Ford has started doing this here for some models.
#944
No the system does not cancel orders if a buyer has multiple orders in. For sure the order books are inflated, and eventually the situation will deflate. Same thing happened with the semiconductor shortage… companies started doubling ordering from. Multiple suppliers creating appearance of huge backlogs.