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Old 08-11-2007, 03:56 AM
  #61  
pole position
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Originally Posted by TD in DC
Bernie,

I have no ties to either side. In fact, I am even willing to take you at your word. It could be that you are telling the truth, but that Chad and you were not on the same page, which could lead to unnecessary aggrevation for the customer.

But . . . I really don't understand the excerpt I quoted above. Does your dealership franchise with Porsche permit you to ask above MSRP for new cars? You say explicitly that you are considering whether to ask above MSRP for the car you are selling. If your dealership franchise permits you to ask above MSRP for new cars, I may strongly dislike the practice, but I would "understand" at some level. If you are not permitted to charge above MSRP, this statement seems very, very bad.

Which is it? Are you permitted to charge above MSRP, or are you required by your franchise agreement to charge only MSRP or below? Just curious.

TD
The dealer can do as they please. PCNA CANNOT dictate for how much the car is getting sold and by the same token they cannot force you not to discount........however thay can make life difficult with service approvals , showroom spec BS or allocations. PAG tried to strongarm the dealers in the 70's and lost, big time.

There are many ways to get around it, once a car is punched , registered, becomes a loaner or rental it is effectively used and nobody cares even if it has only 10 miles on it.

To me it would be a insult to sell a GT 2 at MSRP, hell, you don't need a salesperson for that you can get the porter who speaks two words english to do that. Let me think really hard, sell it at list and make maybe 1500 or sell it over and make 5-7 k ? LOL, no brainer.

But the most amusing part is that I was always open with my dealings in that matter and caught a lot of flak from this hollier than holy mousehouse dealer with their farmboystoppie spokes woman, lol now they are holding out for the "best deal over MSRP", thats' a classic.
Old 08-11-2007, 08:39 AM
  #62  
TD in DC
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Originally Posted by pole position
The dealer can do as they please. PCNA CANNOT dictate for how much the car is getting sold and by the same token they cannot force you not to discount........however thay can make life difficult with service approvals , showroom spec BS or allocations. PAG tried to strongarm the dealers in the 70's and lost, big time.

There are many ways to get around it, once a car is punched , registered, becomes a loaner or rental it is effectively used and nobody cares even if it has only 10 miles on it.

To me it would be a insult to sell a GT 2 at MSRP, hell, you don't need a salesperson for that you can get the porter who speaks two words english to do that. Let me think really hard, sell it at list and make maybe 1500 or sell it over and make 5-7 k ? LOL, no brainer.

But the most amusing part is that I was always open with my dealings in that matter and caught a lot of flak from this hollier than holy mousehouse dealer with their farmboystoppie spokes woman, lol now they are holding out for the "best deal over MSRP", thats' a classic.
Thanks for the clarification. That was exactly the information I sought.
Old 08-11-2007, 12:27 PM
  #63  
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Originally Posted by pole position
The dealer can do as they please. PCNA CANNOT dictate for how much the car is getting sold and by the same token they cannot force you not to discount........however thay can make life difficult with service approvals , showroom spec BS or allocations. PAG tried to strongarm the dealers in the 70's and lost, big time.

There are many ways to get around it, once a car is punched , registered, becomes a loaner or rental it is effectively used and nobody cares even if it has only 10 miles on it.

To me it would be a insult to sell a GT 2 at MSRP, hell, you don't need a salesperson for that you can get the porter who speaks two words english to do that. Let me think really hard, sell it at list and make maybe 1500 or sell it over and make 5-7 k ? LOL, no brainer.

But the most amusing part is that I was always open with my dealings in that matter and caught a lot of flak from this hollier than holy mousehouse dealer with their farmboystoppie spokes woman, lol now they are holding out for the "best deal over MSRP", thats' a classic.
Sell it at MSRP and make $1500?
Old 08-11-2007, 01:21 PM
  #64  
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Originally Posted by pole position

To me it would be a insult to sell a GT 2 at MSRP, hell, you don't need a salesperson for that you can get the porter who speaks two words english to do that. Let me think really hard, sell it at list and make maybe 1500 or sell it over and make 5-7 k ? LOL, no brainer..
I believe it is pretty much common knowledge that every 911 sold brings the dealership around $16,000 of profit, depending on model..............before options!
Old 08-11-2007, 01:31 PM
  #65  
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Originally Posted by Snowboarder54
I believe it is pretty much common knowledge that every 911 sold brings the dealership around $16,000 of profit, depending on model..............before options!

Depending on models it's actually around 12%. With Excpetion for the CGT. It was considerably less (apples for apples comparison of profit margins)
Old 08-11-2007, 01:32 PM
  #66  
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Originally Posted by Snowboarder54
I believe it is pretty much common knowledge that every 911 sold brings the dealership around $16,000 of profit, depending on model..............before options!
Put down the pipe, 16 K profit, lol, so the Carr GT must have been four times as much ? Before options ? Never had a better laugh.

Your" common knowledge "is absolute nonsense.
Old 08-11-2007, 01:39 PM
  #67  
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Originally Posted by lowside67
Sell it at MSRP and make $1500?
I let you figure out the spread between invoice and MSRP. Most dealers who do any kind of volume average a payable commission after their BS "pack", which could be as high as 2K or more, 8- 15 % after a bunch of qualifiers. You do the math.
Old 08-11-2007, 02:20 PM
  #68  
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Originally Posted by OhioGT2
Damn Mags, you own the Ohio Orange RS I originally wanted awhile back!!!
Hi OhioGT2, I don't think so. Mine came from Herb Chambers Porsche in Boston. Someone on '6speedonline' made a post about her being for sale and I called and talked to the owner's son, George. We talked a few times about her and he gave me a price, came down a 'few... and I mean just a very few' dollars more, and I just decided to make the deal before I lost the car to someone else.

I too had reservations about my 'deal' because the GT3RS was so hot then. I was worried they would possibly back out of the deal if someone offered them a few dollars more. On that Saturday, I asked George if we had a 'virtual handshake' between two men and he said "I guarantee you the car is yours!" On Monday, I received the transaction papers. That afternoon, I sent him back the papers and a 'certified check for my downstroke, not a deposit, and they had my financing approved by Tuesday. I received the GT3RS Thursday of the SAME week!

How's that for a fast and honest sale and quick delivery? AND.... I didn't even have to give him a credit card deposit LIKE AN OTHER DEALER ON THIS FORUM requested I do to insure my purchase of another car I wanted from their dealership!!! My word was apparently good enough for them and NOT good enough for the other dealer here..... even though I had bought two cars off that dealership in the last 7 or 8 months! Magwheel
Old 08-11-2007, 02:21 PM
  #69  
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Originally Posted by pole position
The dealer can do as they please. PCNA CANNOT dictate for how much the car is getting sold and by the same token they cannot force you not to discount.
I don't know what's written in the franchise agreements but legally PCNA can now strong arm their dealers into selling at a uniform price.
Old 08-11-2007, 02:45 PM
  #70  
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I have no stake in this, but IMHO the general state of greed that is evident in many dealers with these limited production models is truly sad. I have been in the Hotel business for 22 years and I cannot understand that type of thinking. What these people dont seem to understand is that when greed takes over you may get one customer to buy but you will loose him and many more in the future. Like the hotel business, loyalty,service and being treated fairly is what brings people back. I could hike up my prices in my hotel when I know the area is going to be busy and charge ungodly amounts for my rooms, however I dont do that. You wont believe the calls I personally get as a thank you from people that not only were happy with us, but they were thankful that we did not take advantage of them in a situation that other hotels in my area hiked up their prices to almost double than the norm. Recently just because of this I had 2 groups out of nowhere call me and filled my place up just because of one group that I took care off... We have more than doubled our occupancy in less than 6 months just because of the way we treat the community and our guests.
Taking care of people is not hard to do, I'm still mystified how businesses fail to do that. Personally whenever I see examples of dealers greed even if it does not concern me as I would not afford a GT2 for example, I would never do business with them for the models that I can afford...
Old 08-11-2007, 02:55 PM
  #71  
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Originally Posted by DJF1
Personally whenever I see examples of dealers greed even if it does not concern me as I would not afford a GT2 for example, I would never do business with them for the models that I can afford...
+1
Old 08-11-2007, 03:27 PM
  #72  
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Originally Posted by JasonAndreas
I don't know what's written in the franchise agreements but legally PCNA can now strong arm their dealers into selling at a uniform price.
No. Practice differs from theory and price fixing does not work.. Volume dealers are very hard to strong arm and those are the ones who get the nice cars. Most of those dealers are owned by very large automotive groups with extremly deep pockets and it is not a good idea for PCNA to go to war with them over some limited production items. They are way more concerned with the Cayenne's, Cayaman's etc because that where the real money is, volume is the name of the game, the specialty items are just gravy.

It took PCNA five years to pull the franchise of a 30 year dealer in Santa Monica a couple of years back and that dealer sold for over MSRP blatantly plus was very confrontational with them , period. I don't want to get into details but they got him eventually for illegal business practises irrelevant to what is discussed in this thread.
Old 08-11-2007, 03:39 PM
  #73  
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This is funny: I have one person complaining that we wouldn't take a deposit and another that we asked for a deposit. LOL Ironic.

Old 08-11-2007, 03:50 PM
  #74  
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Originally Posted by pole position
No. Practice differs from theory and price fixing does not work.. Volume dealers are very hard to strong arm and those are the ones who get the nice cars. Most of those dealers are owned by very large automotive groups with extremly deep pockets and it is not a good idea for PCNA to go to war with them over some limited production items. They are way more concerned with the Cayenne's, Cayaman's etc because that where the real money is, volume is the name of the game, the specialty items are just gravy.

It took PCNA five years to pull the franchise of a 30 year dealer in Santa Monica a couple of years back and that dealer sold for over MSRP blatantly plus was very confrontational with them , period. I don't want to get into details but they got him eventually for illegal business practises irrelevant to what is discussed in this thread.
ST?
Old 08-11-2007, 03:53 PM
  #75  
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Originally Posted by mastiffdog
ST?
Correct.


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