FordGeek Posted February 1, 2006 Report Share Posted February 1, 2006 Within the last couple of weeks I've been able to get a tidbit of information here and there about the dealership allocation model that will be utilized for the GT500 deployment. Although this isn't official by a long shot, here's what I was able to get out of SVT (numerous phone calls): SVT dealer in the past - 2 units Focus dealer - 1 unit President's Award Dealership - 1 unit Dealership In SVT program for 2006 - 1 unit This is very similar to the model described in a Ford document posted on Blue Oval News. It's important to note that the Power Lease allocations will be "...in addition to..." the linear allocations mentioned above. Given this model, longstanding SVT dealerships have a good opportunity of receiving at least 2 - 3 units this year. I'm sure as the laws of economics kick in, adjustments will be made. There may also be additional allocations for Dealerships that have been stellar in selling mustangs in the past (volume leaders). The 2006 production targets are somewhere between 7,000 - 10,000...not a big difference from what we've been hearing all along. In my opinion, the markups early on are going to be rediculous, simply because dealerships will not have the additional units to spread earnings over. Link to comment Share on other sites More sharing options...
Five Oh B Posted February 1, 2006 Report Share Posted February 1, 2006 We're a past full-line SVT dealer, will be an SVT dealer for 2006, and are a President Award winning dealership. That's 4 GT500's minimum. The balance of allocation is supposed to be proportional to our 2005 Mustang sales volume, so maybe 1 or 2 more GT500's if we are lucky. The dealers in the Southern states have historically received more Mustangs and got way more than their fair share for 2005 (better weather = more sports cars, I guess) so they will really benefit from the extra GT500 allocation based on 2005 sales volume. You'll have giant Mustang dealerships in the warmer climates like Galpin Ford in California that will likely get 20+ GT500's, as will Prestige Ford in Garland, TX and Brandon Ford in Florida. Us Northern dealers will get only a handful of GT500's. Also, keep in mind that while Ford is opening up GT500 sales to any interested Ford dealership, there are only about 600 full-line SVT dealers out of 4,000+ Ford dealers. Add a couple hundred SVT-Focus-Only dealers and a few hundred never-sold-an-SVT-before dealers, and the current count is up to about 1,200 dealers that are onboard to sell GT500's. Those new dealers that want onboard have to put their sales & service departments through certification training before they are allowed to handle GT500's, and many dealers just said "no" to the time and effort needed to be eligible for one or two GT500's max. We are told by our Ford rep that actual allocation numbers will be announced to each dealership in early March. Link to comment Share on other sites More sharing options...
Joe G Posted February 1, 2006 Report Share Posted February 1, 2006 B)--> QUOTE(Five Oh B @ Jan 31 2006, 08:26 PM) 3161[/snapback] We are told by our Ford rep that actual allocation numbers will be announced to each dealership in early March. Keep us updated on what you hear on allocation. I'm sure it won't be as good as we all want, but also won't be as bad as we all fear. Thanks for your points of view. It's interesting to hear from a guy who's actually dealing with all these issues first hand at a dealership. Link to comment Share on other sites More sharing options...
modified7 Posted February 1, 2006 Report Share Posted February 1, 2006 I have no working knowledge of how this will be done, but will repeat what the dealership in missouri where I am on a list told me....... They would get 3 for the year, plus 4 more for the Presidential awards,etc., making a total of 7 for the year. He said that dealerships in CA and NY would get the most initial units per dealership prior to extra ones as compared to smaller market areas. Hope this helps........ Link to comment Share on other sites More sharing options...
mrsuds Posted February 1, 2006 Report Share Posted February 1, 2006 I have no working knowledge of how this will be done, but will repeat what the dealership in missouri where I am on a list told me....... They would get 3 for the year, plus 4 more for the Presidential awards,etc., making a total of 7 for the year. He said that dealerships in CA and NY would get the most initial units per dealership prior to extra ones as compared to smaller market areas. Hope this helps........ I live in NY and I can tell you, that if you did not get on a list very early that it will hard to get a car. 1 dealer said his list is over 100 names long. Yes, that's 3 digits. I've pretty much given up on buying a car close to home. Link to comment Share on other sites More sharing options...
DutchGT500 Posted February 1, 2006 Report Share Posted February 1, 2006 I live in NY and I can tell you, that if you did not get on a list very early that it will hard to get a car. 1 dealer said his list is over 100 names long. Yes, that's 3 digits. I've pretty much given up on buying a car close to home. Man, that's frustrating. Link to comment Share on other sites More sharing options...
Five Oh B Posted February 2, 2006 Report Share Posted February 2, 2006 I have no working knowledge of how this will be done, but will repeat what the dealership in missouri where I am on a list told me....... They would get 3 for the year, plus 4 more for the Presidential awards,etc., making a total of 7 for the year. You heard them wrong, or they meant to say they'd "probably" get 3 for the year, plus a "4th" one (not for more) for winning the President's Award in 2005, making a "likely" total of 4 for the year. I wish we got a GT500 for every President's Award we've ever won (we're one of just a couple dozen dealers nationwide to ever win 10 or more of them). Ford 1) has not announced allocation yet, and 2) has not announced President's Award winners for 2005 yet, and 3) has not announced the leftover GT500's to be split up yet. This means that the dealer in MO (and all other dealers for that matter) are still only guessing how many GT500's they'll get. The only certain figures are that previous full-line SVT dealers get 2 GT500's guaranteed and the SVT-Focus only dealers get 1 GT500 guaranteed. That's it. The other pieces to the allocation puzzle won't be finalized until March. Link to comment Share on other sites More sharing options...
D.Boone Posted February 2, 2006 Report Share Posted February 2, 2006 I think my calculator is broke??? 10,000 GT500's for 2007. 700 (about) SVT dealers. That would be 14 per dealer??? Sure, some will get more, and some will get less, but 3-4 per dealer is way off the mark! Link to comment Share on other sites More sharing options...
rpretzel Posted February 2, 2006 Report Share Posted February 2, 2006 I'm not absolutely sure, but I don't think GT500 sales will be limited to SVT dealers. Link to comment Share on other sites More sharing options...
svtbird91 Posted February 2, 2006 Report Share Posted February 2, 2006 I think my calculator is broke??? 10,000 GT500's for 2007. 700 (about) SVT dealers. That would be 14 per dealer??? Sure, some will get more, and some will get less, but 3-4 per dealer is way off the mark! Ford is allowing all dealers to sell this car provided they meet certain criteria. There are some 4000 plus dealers possibly participating. No one knows yet how many will but it will spread them thin. Hope this helps. Link to comment Share on other sites More sharing options...
Five Oh B Posted February 2, 2006 Report Share Posted February 2, 2006 D.Boone, it is not way off at all. Ford does not simply take all dealers and split up cars evenly. Ford has what they call "allocation." They allocate a specific number of vehicles to each and every dealership based on a unique formula for each model. For GT500's, there are 605 full-line SVT dealers that are guaranteed 2 GT500's, so that accounts for 1,210 GT500's. There are roughly 300 SVT-Focus-Only dealers that are guaranteed 1 GT500, so that's another 300 or so GT500's. There are about 300 more non-SVT dealers that have signed up so far to sell GT500's that will get 1 GT500 accounting for about 300 more GT500's. Then, those dealers who win the 2005 President's Award (Ford's most prestigious award to dealers for customer satisfaction) will get a GT500 (assuming they are certified to sell/service SVT's), so that will likely add another 200 or so GT500's. So far, we're up to about 2,000 GT500's guaranteed to specific dealers. Assuming 10K GT500's for 2007: The remaining 8,000 or so GT500's will then be divided up based on total 2005 Mustang Sales Volume across dealers who will be selling GT500's. So, the super big Mustang dealers in the Southern states that sold hundreds and hundreds of Mustangs in 2005 (Galpin Ford in California comes to mind - they are the biggest Mustang dealer on Earth) will get a few dozen GT500's. The really small dealers that sold a couple dozen 2005 Mustangs will be lucky to get any additional GT500's. Then, all of the average sized Mustang stores will get a small handful of extra GT500's in varying numbers based on their # of 2005 sales. We could only guess how many Mustangs were sold in 2005 by the dealers that will be selling 2007 GT500's out the 129,000 total Mustangs sold in 2005. But, for sake of argument, let's assume that the 1200 or so dealers who will be selling GT500's accounted for half of the 129,000 2005 Mustang sales (let's round up to 65,000), then you could start guessing at allocation.... For example, let's say a really big Mustang dealer sold 300 Mustangs in 2005. 300 is about 1/2 of a percent of the group's sales, so apply that 1/2 percent to the 8,000 extra GT500's and they would get about 40 extra GT500's on top of any guaranteed them due to past SVT sales participation and Pres Award. There are quite a few dealers like this across the Southern States where Mustang sales are historically stronger. In another example, we sold 85 Mustangs in 2005. That's a little more than 1/10 of a percent of the group's sales, so that would yield us about 8 extra GT500's on top of the 3 we already know we're getting. Then how about the small town dealer that sold 10 Mustangs in 2005. That's a trace amount that may net them 1 extra GT500 on top of the 1 other they'd be guaranteed. Again, these examples are based on assumptions that I don't know to be true yet about 2005 production and each GT500 dealer's share of those sales, but I hope they still illustrate some possible outcomes at individual dealers. Link to comment Share on other sites More sharing options...
07 Shelby Cobra Posted February 3, 2006 Report Share Posted February 3, 2006 B)--><div class='quotetop'>QUOTE(Five Oh B @ Feb 2 2006, 06:55 PM) 3247[/snapback]</div><div class='quotemain'><!--quotec--> D.Boone, it is not way off at all. Ford does not simply take all dealers and split up cars evenly. Ford has what they call "allocation." They allocate a specific number of vehicles to each and every dealership based on a unique formula for each model. For GT500's, there are 605 full-line SVT dealers that are guaranteed 2 GT500's, so that accounts for 1,210 GT500's. There are roughly 300 SVT-Focus-Only dealers that are guaranteed 1 GT500, so that's another 300 or so GT500's. There are about 300 more non-SVT dealers that have signed up so far to sell GT500's that will get 1 GT500 accounting for about 300 more GT500's. Then, those dealers who win the 2005 President's Award (Ford's most prestigious award to dealers for customer satisfaction) will get a GT500 (assuming they are certified to sell/service SVT's), so that will likely add another 200 or so GT500's. So far, we're up to about 2,000 GT500's guaranteed to specific dealers. Assuming 10K GT500's for 2007: The remaining 8,000 or so GT500's will then be divided up based on total 2005 Mustang Sales Volume across dealers who will be selling GT500's. So, the super big Mustang dealers in the Southern states that sold hundreds and hundreds of Mustangs in 2005 (Galpin Ford in California comes to mind - they are the biggest Mustang dealer on Earth) will get a few dozen GT500's. The really small dealers that sold a couple dozen 2005 Mustangs will be lucky to get any additional GT500's. Then, all of the average sized Mustang stores will get a small handful of extra GT500's in varying numbers based on their # of 2005 sales. We could only guess how many Mustangs were sold in 2005 by the dealers that will be selling 2007 GT500's out the 129,000 total Mustangs sold in 2005. But, for sake of argument, let's assume that the 1200 or so dealers who will be selling GT500's accounted for half of the 129,000 2005 Mustang sales (let's round up to 65,000), then you could start guessing at allocation.... For example, let's say a really big Mustang dealer sold 300 Mustangs in 2005. 300 is about 1/2 of a percent of the group's sales, so apply that 1/2 percent to the 8,000 extra GT500's and they would get about 40 extra GT500's on top of any guaranteed them due to past SVT sales participation and Pres Award. There are quite a few dealers like this across the Southern States where Mustang sales are historically stronger. In another example, we sold 85 Mustangs in 2005. That's a little more than 1/10 of a percent of the group's sales, so that would yield us about 8 extra GT500's on top of the 3 we already know we're getting. Then how about the small town dealer that sold 10 Mustangs in 2005. That's a trace amount that may net them 1 extra GT500 on top of the 1 other they'd be guaranteed. Again, these examples are based on assumptions that I don't know to be true yet about 2005 production and each GT500 dealer's share of those sales, but I hope they still illustrate some possible outcomes at individual dealers. Also, don't forget about the number of Shelby GT500s that are allocated to Canada. Ford has not given the 'green light' to non-SVT Dealers to sell SVT products. The SVT branded Dealers are still that. Also, is there not an allocation to the rest of the Americas, Mexico, Panama, Brazil, etc, etc,..????? Not huge numbers but stil a fair bite out of the 10K total produced. Link to comment Share on other sites More sharing options...
KingCobra Posted February 3, 2006 Report Share Posted February 3, 2006 Yeah!!! Don't forget about those Crazy Canucks eh!!!! KingCobra. Link to comment Share on other sites More sharing options...
DutchGT500 Posted February 3, 2006 Report Share Posted February 3, 2006 Yep, because Kingie buys one for me. So I am save. Link to comment Share on other sites More sharing options...
angelmav Posted February 3, 2006 Report Share Posted February 3, 2006 Also those numbers are assuming a best case scenatio of 10,000 for 2007. Drop that number to 7,000 and you can see how that shrinks the possible amount to a fight for every last one amount. I believe your more likely to see 7,000 in 2007, 10,000 in 2008 but thats just based on things I have heard and not on anything set in stone. Link to comment Share on other sites More sharing options...
D.Boone Posted February 3, 2006 Report Share Posted February 3, 2006 So my calculator IS broke, huh? I do understand the concept of allocation, and it is great to have input from people who have to deal with that every year, but I think my point is valid. As has been posted here before, and I agree, many small dealers will NOT want to pay the fees involved in becomimg an SVT dealer/maintainer just to get to sell 1 or 2 cars. So the dealership base will not grow anywhere near the 4000 Ford dealers in the country. I have not researched this, but I think that all SVT dealerships are located in fair sized cities. (I know there are none in my home town. Closest is 45 miles.) And that they also sell the entire Mustang line. So how may of us think that an SVT dealer, who sells the Mustang line, only sold 1 or 2, 2005 Mustangs, in 2005? Five Oh B probably has the best estimates, based on his experience, but I think that there are very few actual SVT dealers who will only end up with 1-4 cars. What about the dealer who IS paying the fees necessary to become an SVT Dealer/maintainer? The ones that are are probably fairly large dealerships. They also probably sold many more than just 1-2 Mustangs in 2005. So their "share of nation" is based on the Mustangs they sold in 2005. Anyway, I am just trying to understand all of the implications of the allocation plan, number of dealers, and number of GT500's. The problem is that we are all in a position of making assumptions and estimates. So I am waiting, along with everyone else, for the allocation and production numbers, but NOT sweating it! There should be plenty of cars to go around, even in the 2007 model year. Link to comment Share on other sites More sharing options...
svtbird91 Posted February 3, 2006 Report Share Posted February 3, 2006 So my calculator IS broke, huh? IAnyway, I am just trying to understand all of the implications of the allocation plan, number of dealers, and number of GT500's. The problem is that we are all in a position of making assumptions and estimates. So I am waiting, along with everyone else, for the allocation and production numbers, but NOT sweating it! There should be plenty of cars to go around, even in the 2007 model year. Good luck to you , I wish you sucess in your quest for one. Many of us are hoping just like you, I hope you're right and we can all be sucessfull in our goal .A new 07 GT500 in our garage! B) Link to comment Share on other sites More sharing options...
Joe G Posted February 3, 2006 Report Share Posted February 3, 2006 There should be plenty of cars to go around, even in the 2007 model year. D.Boone - let's hope you're right! Right now, I'm not worried. I won't pay extra for being the first on my block to have one - I'll let others pay for that privlige. When/if I do pony up for one, I'll just wait and see what the market is doing. I think and hope that we'll all be pleasantly surprised how overblown this has been (fingers crossed!!) Link to comment Share on other sites More sharing options...
ROUSH360R Posted February 4, 2006 Report Share Posted February 4, 2006 Within the last couple of weeks I've been able to get a tidbit of information here and there about the dealership allocation model that will be utilized for the GT500 deployment. Although this isn't official by a long shot, here's what I was able to get out of SVT (numerous phone calls): SVT dealer in the past - 2 units Focus dealer - 1 unit President's Award Dealership - 1 unit Dealership In SVT program for 2006 - 1 unit This is very similar to the model described in a Ford document posted on Blue Oval News. It's important to note that the Power Lease allocations will be "...in addition to..." the linear allocations mentioned above. Given this model, longstanding SVT dealerships have a good opportunity of receiving at least 2 - 3 units this year. I'm sure as the laws of economics kick in, adjustments will be made. There may also be additional allocations for Dealerships that have been stellar in selling mustangs in the past (volume leaders). The 2006 production targets are somewhere between 7,000 - 10,000...not a big difference from what we've been hearing all along. In my opinion, the markups early on are going to be rediculous, simply because dealerships will not have the additional units to spread earnings over. This info has been out for a while, it was released in a FMCO letter months ago! Link to comment Share on other sites More sharing options...
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