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Dealer Allocations


Squirrel 007

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I just found out my dealer, Russ Milne Ford in Michigan, had 7 allocations and all 7 were sold $10K over MSRP. One, a black vert, went to somebody in California. They are a large dealer and sell a crap load of 'Stangs but no bargains for anyone on the Shelbys. They have just two more to arrive. Mine and another one which they expect any day now.

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That sounds like a load of car salesman BS for sure.

 

 

Well I don't know what part you think is BS. $10K over I can verify for mine, the one after mine and the one that went to California. Mine was the 6th allocation but another guy was trying to put a deposit on the allocation at the same time as me and because he lost out he raised holy hell so they contacted Ford who gave them one actually allocated for somebody else but they had not used it so it transferred to my dealer. He paid $10K over MSRP.

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Wow $10 G over MSRP thats a hefty price.

 

 

Yeah, my car (coupe) has every option including the car cover, louvers & scoops but no glass roof. With tax, license and title the cost is about $84,000. About $3000 is tax. License and title are a few hundred. Scoops and louveres are about $600.

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Wow $10 G over MSRP thats a hefty price.

 

 

On E-bay there's a Boss 302 Leguna Seca with a $25k mark up. I sent them a "Ba-ha-ha-ha" E-Mail. The saleman there swore they've been getting 25k over on everyone. Meanwhile, down here in N.E. Florida, I've watched two dealers drop their Boss LS's on the showroom floor from 10k to 5k to 2k over the last 2 months and they're still not moving. I also had a dealer call me back to see if I was still interested in the GT500 on the floor. Originally they were 15k over, then 10k and now if I want it, 5k over. I still can't believe I found a local dealer with one allocation left and was willing to order a GT500 for me at MSRP. Actually, it was under MSRP because they threw in the side scoops at no charge. My point is, as long as there's somebody willing to pay whatever the ADM is, there will be a dealer willing to charge it. Remember the GT500KR's? They were $50k over in the beginning. When the 2010's came out, you could find the KR's under sticker. In some cases, well under sticker.

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I know another guy on SVT that got his from Russ Mine Ford back in June, he was from Ohio, and he paid 10K over. Thats just crazy, it just takes a little time and effort to find one at MSRP or better. There is like 5 or 6 on ebay right now for MSRPYour losing 13 to 15K just driving off the lot. But hey whatever make you happy!

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If you pay it (ADM), they'll keep charging it. Hard to blame them.

 

 

Yep, I've been saying that all along.

 

The ADM market is consumer driven, not dealer driven.

 

If there was no market, there would be no demand.

 

 

Phill

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All the effects of "I have to have the hottest NOW" I tell you what if not for the AAFES Military Exchange program lottery under MSRP, I would not have bought this car period. I would love to have the hottest car NOW, but not by getting raped on the sale. Instant gratification has it's drawbacks and the normal consumer ends up left out sometimes. While the ones with high disposable incomes pay ADMs on cars that continue to drive the market.

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I know of dealers that participated in the Shelby program with no intention of selling the vehicle themselves based upon agreements to sell their allocated vehicle to other dealers for prices above sticker. I was truly lucky to have obtained mine under the terms I did.

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I know of dealers that participated in the Shelby program with no intention of selling the vehicle themselves based upon agreements to sell their allocated vehicle to other dealers for prices above sticker. I was truly lucky to have obtained mine under the terms I did.

 

very true, one of the local ford dealers here who sells a lot of shelbys isn't even an SVT dealer, they get all their inventory from other dealers

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very true, one of the local ford dealers here who sells a lot of shelbys isn't even an SVT dealer, they get all their inventory from other dealers

 

 

My dealer SVT rep told me the other day they're buying GT500's from other dealers at OVER MSRP. Not over INVOICE....over MSRP (i.e. with ADM/ADP).

 

That's freakin' crazy.

 

 

Phill

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very true, one of the local ford dealers here who sells a lot of shelbys isn't even an SVT dealer, they get all their inventory from other dealers

 

 

That's pretty rare. Most AREN'T SVT stores which is a parts and service designation. The Shelby program only cost a couple grand to get bona fide allocation. Most who bought cars from other stores did so to augment their own allocations or jump into the game late to try to poach ADM for bespoke orders.

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why would people pay such huge prices for something that isn't even rare and will depreciate like a rock in two years?

 

 

My guess would be that since there are 350,000,000 people in the United States and only a few thousand GT500s and if you don't buy one at the asking price you will go without. There are some that sit on lots for a while but as a whole they go out the door as fast as they come in. In my case, there were two of us trying to buy the car with their last allocation at the same time. Whomever refused to pay the price would not get the car. Kind of a no brainer if you really want it. Same theory if you are selling your house. Say it is valued at $250,000. If one guy offers you the $250,000 and another guy at the same time offers you $300,000, you know you are taking the $300,000. There is no way you would say, "No, I can't take that much money as the house is only worth $250,000." You will take the money ($300,000) and run. The dealers are doing the same thing. A free enterprise country working as it was designed to do. If you don't want to pay then buy a VW. Does it suck for the consumer? Absolutely! But the dealer is in business to make money. Basically if everybody got together and decided not to pay the price the end result would be Ford deciding not to make these specialty cars as thet do not sell.

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This is insane pricing, in a year or so these things will be selling for 20% below sticker or more, why would people pay such huge prices for something that isn't even rare and will depreciate like a rock in two years?

 

 

Because not even close to nearly everybody buys them in terms of cash-based ROI. To anybody who intends upon keeping a car in perpetuity, depreciation is utterly irrelevant. Why don't people just wait two years? Talk to the guy who saved his entire life to live on his own terms beyond age 40 and was hit by a bus on his way to his birthday party. You can even ask the guy who knows just a whit about economics and sees the kind of inflation that's inevitably headed our way and would rather buy what he knows he can afford today rather than risking not being able or not wanting to afford it tomorrow.

 

I'm not at all surprised by peoples' myriad unique reasons for doing things (or not). But I'll NEVER cease to be amazed by the number of people who seem unable to perceive things from ANY perspective but their own.

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very true, one of the local ford dealers here who sells a lot of shelbys isn't even an SVT dealer, they get all their inventory from other dealers

 

 

Might that be the dealer in Sandy Springs?? I've been there a few months back (about 2 miles from my house) and they had bought up all the available 2012 stock that they could get their hands on once the 2013 was announced. When I was there they had about 15 2012s sitting in their parking garage...I couldn't believe it!

 

Andy.

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Might that be the dealer in Sandy Springs?? I've been there a few months back (about 2 miles from my house) and they had bought up all the available 2012 stock that they could get their hands on once the 2013 was announced. When I was there they had about 15 2012s sitting in their parking garage...I couldn't believe it!

 

Andy.

 

 

Have no idea about which dealer is involved, but several made some very wise business decisions by choosing to acquire whatever '12 stock they could - usually from stores in northern climates where sales are highly seasonal, especially stores with tight floorplans that could earn more turning 3 Focuses instead.

 

One aspect a handful of dealers capitalized upon is the fact that the considerably-higher '13 pricing would create a de facto secondary market with a halo effect and upward pressure upon the '12 units as well. A lot of people who went to the stores unable to stomach upwards of $70K were suddenly very happy with how 550hp felt for nearly $20K less. In many cases, these dealers picked up cars for a song and made a killing.

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My guess would be that since there are 350,000,000 people in the United States and only a few thousand GT500s and if you don't buy one at the asking price you will go without. There are some that sit on lots for a while but as a whole they go out the door as fast as they come in. In my case, there were two of us trying to buy the car with their last allocation at the same time. Whomever refused to pay the price would not get the car. Kind of a no brainer if you really want it. Same theory if you are selling your house. Say it is valued at $250,000. If one guy offers you the $250,000 and another guy at the same time offers you $300,000, you know you are taking the $300,000. There is no way you would say, "No, I can't take that much money as the house is only worth $250,000." You will take the money ($300,000) and run. The dealers are doing the same thing. A free enterprise country working as it was designed to do. If you don't want to pay then buy a VW. Does it suck for the consumer? Absolutely! But the dealer is in business to make money. Basically if everybody got together and decided not to pay the price the end result would be Ford deciding not to make these specialty cars as thet do not sell.

 

 

Really? That is a pretty dumb thing to say considering some people didn't want to pay it and waited and worked and searched and got it for MSRP for less, a more propper statement would be if you don't want to pay ADM, work for it and don't pay it, not buy a VW..... LOL what a strange way to look at it. Don't justify your Paying ADM or higher by implying to others it is the only way to get it.

 

Though, either way no matter what you paid I wouldn't judge you for it, if that is what you wanted and you payed for it, what is wrong with it, congrats on the purchase but no one should consider the alternate to paying ADM or above to be a VW....LOL!!!

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Since Squirrel is stationed in Afghanistan, he has very few options. It's not like he can get on the phone and call all over the US hunting for deals like the rest of us.

 

It really bothers me that some dealer, sitting in his comfortable office, can do this to one of our guys stationed overseas.

 

I am at FOB Spin Boldak in Afghanistan right on the Pakistan border about 30 minutes from the largest concentration of Taliban over here.

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Since Squirrel is stationed in Afghanistan, he has very few options. It's not like he can get on the phone and call all over the US hunting for deals like the rest of us.

 

It really bothers me that some dealer, sitting in his comfortable office, can do this to one of our guys stationed overseas.

 

 

 

 

+1...

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Since Squirrel is stationed in Afghanistan, he has very few options. It's not like he can get on the phone and call all over the US hunting for deals like the rest of us.

 

It really bothers me that some dealer, sitting in his comfortable office, can do this to one of our guys stationed overseas.

 

 

Until it's YOUR multi-million dollar franchise investment. Good grief. It seems squirrel most of all is as pragmatic as they come and has a better grip than most while being right on the lines fighting to defend it. (A heartfelt "thank you", by the way.)

 

If there's to be a discussion about special consideration servicepeople deserve, by all means, let's have one. But this notion that any businessperson should be painted with a negative brush by doing business well, especially with absolutely NO knowledge of the context, just because it happens to be with a servicemember is absurd and facile emotional pandering and an entirely different issue altogether.

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Since Squirrel is stationed in Afghanistan, he has very few options. It's not like he can get on the phone and call all over the US hunting for deals like the rest of us.

 

It really bothers me that some dealer, sitting in his comfortable office, can do this to one of our guys stationed overseas.

 

 

 

 

And I am not saying he can. Nor do I think he made a bad decision, all I am saying is that to say "If you don't want to pay a certain price...Go buy a VW", as sarcastic as it may be, is well...strange.

It is just that

 

I normally don't agree with Madlock, but in this case he is right, no matter how comfortable he is in his chair he has the right to earn a buck or 10K as much as anyone else. I don't hate dealers for playing the ADM game it's just the market when people pay those prices. After all, 2014's will be available next year.

 

But hey let's thank Squirrel for his service and congratulate him on a fine vehicle purchase. If it were me, Ford would offer to build every service member with the means a GT500 under MSRP straight from the factory, no lottery no nothing. I wouldn't care if the market was flooded with GT500's (Which it most likely wouldn't be). But hey I guess things don't work that way.

 

Come home safe Squirrel and drive the hell outta that GT500 no matter what you paid!

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Might that be the dealer in Sandy Springs?? I've been there a few months back (about 2 miles from my house) and they had bought up all the available 2012 stock that they could get their hands on once the 2013 was announced. When I was there they had about 15 2012s sitting in their parking garage...I couldn't believe it!

 

Andy.

 

yes, Sandy Springs Ford. they have several 2012s and Boss mustangs and a few 2013s. they wanted $10G over sticker for their 2013s, too steep for me.

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I'd really like to see the look on the guys face who went out the door at $75,000 or more when he is offered 42K on a trade in 2 years.

 

 

In two years my car will still be brand new with only factory miles on it as it is being purchased and parked while I am over here. Dealer is putting it in my garage after delivering it in a covered trailer. And there it will stay. Check again with me in two years and see what it will be worth. (Hint: I paid $70,000 for my 2002 Saleen Extreme and it is still in brand new condition with minimal miles on it and I have been offerd $100,000 for it which I turned down.) Of course it was 1 of only 56 that were made so I am sure that had a major bearing on the offer. One other thing, this car will not be sold while I am alive. All my vehicles will go to my daughter and she can do what she wants with them. So for me personally trade in value is a non-factor. For the majority of others I am sure it is.

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Hope it works out for ya man.

 

Thank You very much for your service to this great nation, be safe, come back healthy, you guys are the best!

 

 

Please understand one thing. I am a civilian with the US Army Corps of Engineers. I think the world of the men in uniform that I work with. I have lost friends over here but I can not and will not ever put myself in the same class as them. :salute:

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Because not even close to nearly everybody buys them in terms of cash-based ROI. To anybody who intends upon keeping a car in perpetuity, depreciation is utterly irrelevant. Why don't people just wait two years? Talk to the guy who saved his entire life to live on his own terms beyond age 40 and was hit by a bus on his way to his birthday party. You can even ask the guy who knows just a whit about economics and sees the kind of inflation that's inevitably headed our way and would rather buy what he knows he can afford today rather than risking not being able or not wanting to afford it tomorrow.

 

I'm not at all surprised by peoples' myriad unique reasons for doing things (or not). But I'll NEVER cease to be amazed by the number of people who seem unable to perceive things from ANY perspective but their own.

 

 

I understand the motivations (and perceive other perspectives than my own, know as opinions) of people who will pay large ADMs (or wait overnight in a long line for a store to open) to get the latest, greatest, newest things, companies like Apple, Ford, Chevy, etc. do it all the time and have many people like this out there so it is not rare or inconceivable to me. I am just saying that tactic by sellers doesn't fly with me. When I was younger and obsessed with this kind of thing, I felt the same way, but I have grown up and matured beyond that instant gratification phase of my life. Now, I am hoping you, after your lecture above to me without understanding my opinion, are one of those people who can perceive someone may have motivations different from your own. I recently ordered the base Mustang GT 'vert to have converted into a GT350, and will have to wait for 6 months to get it. That's OK with me, I am patient, the people paying the big ADMs are not, not good or bad, just different perspectives on the same thing.

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