The long term impact of ADM

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DRL1865

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Major disruption in the automotive industry. The capitalistic byproduct of not being able to secure sufficient cars for buyers (supply-demand imbalance) is that more and more dealership are tacking huge fees on top of MSRP. This ADM (additional dealer markup) or “market adjustment” is bad news for dealers and manufacturers alike.

Buyers who pay ADM are twice as likely to avoid that dealership in the future, 3 times as likely to avoid that brand, and 3 times less likely to visit that dealer for lucrative service posts-purchase.

This sentiment isn’t isolated to the “sting” at signing; the bad feelings endure for many months.

There is a huge opportunity for someone to solve supply chain, remove ADM, and crush consumer loyalty. Who will step up??

#adm #additionaldealermarkup #stealership #dealership #supplychain

I would say Tesla has already solved this problem. Only issue is they don’t make a gas or diesel pickup and I have a hard time believe more than a small % of the world wants to be stopped at a charging station for 45 minutes on the way to anywhere.
 

pastorwug

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The dealer is checking on Raptor Forums to sell at 2k below MSRP, best one I heard yet!!
Thoroughbred Ford, Kansas City, MO, I Paid $2k under MSRP - 802a Leadfoot, free flight with United mileage and free Hotel with Marriott points.
Sorry for your faith issues.
 

smurfslayer

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I will never spend another dollar at the dealership that charged me ADM on my 21. Not because they charged me ADM because I willingly paid that. It's them being asssholes every time I went in for anything after the sale.

That’s the thing, the only thing you get with ADM is financially fücked. You’re not getting free maintenance, free extended warranty, lifetime loaner or anything, other than paying for privilege to be “one of the first” and for the sales staff to take a 3 week jaunt to Tahiti.

It would possibly be something I’d entertain for something truly limited in production- like a GT, if they offered valet service like Lincolns or some sort of good or service for the money.
 

Citizen Park

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Curious what everyone thinks prices will do over the next 5 months… adm’s are dropping, but still there. With price inflation, esp w the 8.5k announced on lighting, it may be a push in the long run.
I think buying now with ADM + Inflation + increase in supply + newer models (based on year) coming out will equate to a significant dip in resale value for the early Gen3s.

Hard to agree with the logic of those chickenheads out there saying 'I don't mind paying more cause I can resell it for what I paid'. That understand was based on scenario where demand exceeded supply.

Unless the Monkeypox spread turns out like Covid, it ain't going to happen.

Personal opinion aside, prices for Gen1s and Gen2s ARE coming down... so why wouldn't Gen3s???
 

DRL1865

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I think buying now with ADM + Inflation + increase in supply + newer models (based on year) coming out will equate to a significant dip in resale value for the early Gen3s.

Hard to agree with the logic of those chickenheads out there saying 'I don't mind paying more cause I can resell it for what I paid'. That understand was based on scenario where demand exceeded supply.

Unless the Monkeypox spread turns out like Covid, it ain't going to happen.

Personal opinion aside, prices for Gen1s and Gen2s ARE coming down... so why wouldn't Gen3s???
I wouldn't expect gen 3 prices to come down until a gen 4 model comes out. Now that the gen 3 is out the front end and screen put the gen 2's to shame.
 

Hotrod-Realtor

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Thoroughbred Ford, Kansas City, MO, I Paid $2k under MSRP - 802a Leadfoot, free flight with United mileage and free Hotel with Marriott points.
Sorry for your faith issues.

That's a fantastic deal for you!

Their website shows another one coming in. Someone wanting to buy should call them.
 
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