In OP’s defense a base Macan isn’t worth more than his range as it’s never been a good lease. (But yeah I agree $600-650 is well below market even in good times)
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Exactly. No one picked up on the sarcasm. Allot of uptight people here lol …
Still waiting on your calculations bro…and I read a total of 6 posts here lol… no but seriously what number are you coming up with for a 64k with a 6% discount?
Watch the absolutes
If I wasn’t 100% sure it was sarcasm before I got here…
I’ve done exactly what Matt did: the rate of active thread hijacking (1 person asks the question, and within a few messages someone else is asking their related question) has skyrocketed, and gets very confusing when you are multitasking across threads. If we didn’t skim, you’d see far fewer replies (maybe that’s ok too?)
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Well to be fair Porsche’s advertised “special offer” for the Macan is $699/month. Of course that is a base model with minimal options, before taxes and fees, and with $4k DAS.
But the whole point of the special offer is to make people think they can get a Macan for $6xx, so why are we surprised when people think they can get a Macan for $6xx?
Literally fake news that they are moving less volume and aren’t making a killing. Sales are at all-time records and profit per car is at records.
The truth is that sales are at records and production is at records; when they mention chip shortage they mean the OEMs put in a certain order, they’re getting fully filled on the order but they wish they ordered more since they’re having record sales/production and want to produce even more if they had infinite supplies.
But since they haven’t made larger orders and the chip folks are busy with higher margin stuff (cpu, gpu, etc); they don’t have infinite supply and are back of the line for add’l chips and hence they have a “shortage” compared to their dream scenario - not compared to what they usually have or their order not getting filled.
This is like saying the lines on black friday are caused by a labor shortage instead of record crowds. Or saying that your paycheck was short this month… because instead of the typical $10k check you were hoping to get a $100k and instead received $50k. Yeah that’s not being short.
Anyways sounds like you won’t land a good deal in a hot market so if you can get 5% off, call it a huge win.
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First they wish thy didn’t panic and reduce their orders in March 2020.
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100% it was short sighted. And unlike their car seat suppliers etc., the semis aren’t exactly dedicated to autos and waiting for a call back. If anything, the fact that they’re not down from 2019 volumes despite that is huge win for them.
They’ve learned a lesson that their small peas in the semis world and no one is going to provide them a free call option on swing capacity.
Agree about that. I do think your numbers aren’t showing what the people on the ground are seeing, that Q2/Q3 are going to have a large impact that wasn’t apparent in Q1 (including inventory burn down).
Unless June is sharply down, Q2 is a lock for a record since April and May crushed it.
There was some inventory burn down in Q4 (also a record quarter) but because of inventory practices most dealerships weren’t sitting on much preQ4 inventory in Q1.
The feeling on the ground varies by dealership and rep based on their ability to get allocations (which may depend how much they or their region leaned in last year), selling inbound inventory before it hits lot, custom orders vs inventory orders, staffing levels (if they hired more, it reduces sales per rep) etc. but the cars are going somewhere so if you’re not selling more then it’s one of the above because overall they’re selling more not less…
The dealers that would feel the least pressure would be one that maxed out sales in 2020 (punching demos for inventory if needed), maxed out every possible allocation for 2021 and didn’t juice hiring.
Q2 may look ok, but the JD Power article you linked talks about inventory burn down I order to hit those numbers. Nobody is doubting the demand, but inventory is now very tight. I think in June it is going is going to be noticeable, then the few following months as well.
Exactly. When you browse for cars online the $6XX price comes up. You call or go to the dealership only to find out they only had 1 car at that special bait price. Some of y’all might know about theses tricks but this was my first time at the rodeo…so to speak.
Was it actually a bait-n-switch or did you not understand @themachine referring to 4K DAS and taxes & fees?
Can you post one of those? I’d be willing to bet it says $6xx/mo with $4k das and taxes, titles, fees, and dealer add ons not included.
It’s important to read the whole offer.
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Cops always tell me that ignorance is no excuse for the law. Same thing here. Read the disclaimer on the ad, it lays out all the terms and conditions for that payment.
I assume this is it.
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It was lower, a bit under 650…yes it was for the base model with the 18 inch wheels and no etc etc lol…I guess I’m running into a few cops now. Learning curve. Bet most of you guys were where I am once…lol
Lesson #1: Take the extra 5 seconds to actually read the offers
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Porsche is not selling the car to you, the dealer is. If the dealer does not have many cars, then they are going to try to profit off the deal as much as possible.
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It didn’t shut down until late March and Q1 2021 is still up compared to Q1 2019. And 2020 overall was 3% off all time records even with the temp shutdown. Feel free to listen to the May call, they acknowledge the chip issue and are putting forward their 2021 production guidance in spite of it.
You can also look at new Porsche sales by quarter and see that they’re selling a record 17k units per quarter these days; that’s hard to do if production is “down”. And the impact of sales going from 15k to 17k is the real factor: “US AUTOMOTIVE BRAND SALES BY QUARTER”
Or monthly total US Monthly New Car sales; hint it’s up not down. Someone explain that if production is “down” how these “phantom” cars are being sold. Would production be up even more if there were more chips? Yes but that doesn’t mean it’s down.
Yeah that I agree with. That said they tend to overreact both ways so probably deals to be had in next few quarters when supply/demand is more favorable (lower demand and higher supply - “bullwhip” effect)
That’s the problem lately where people believe anecdotes and localized information in the face of hard facts… “covid-19 is a myth despite the CDC stats because I haven’t seen a close friend sick in my small town yet” Also all dealerships employee would be on the trading blackout list if they actually had access to material non-public information vs regional sales mgmt bs….
I guarantee you if it wasn’t “chips”, they’d be blaming something else right now. People want simple explanations and to blame some out-of-their-hands event…
At least with others like the 2022 Bolt EUV they’re just straight-up that they have tons but are not doing the usual discount because they think they can get more in this market. Not because of “chips”
Fashion companies are also straight up, things only hit the sales/clearance rack only if they don’t sell in season at full price. And yes they need to order a season ahead so if they guessed wrong and didn’t get enough, well they guessed wrong. They don’t point fingers at some shortage.
Interesting article on inventory. Low for sure, but the industry as a whole average is not at historic lows. It’s more focused on certain popular vehicles and segments:
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