This article takes an off-the-cuff comment from the CEO of Ford and reads too much into it IMO. He wasn’t saying dealerships are going away; he was actually saying the opposite. The point he was making was that Ford is going to adopt some of Tesla’s practices while using the dealership network to compete with them. Here’s the quote with more context: “I believe for retail, we have to -- it's kind of like what happene…
I honestly felt that this is where Sears dropped the ball. If any company should have had the "DNA" to compete with Amazon, it should have been Sears. Which basically owned the catalog/mail order space before the internet. They could have leveraged their large stores to be showrooms / distribution hubs (that they mostly already owned, which is why the private equity people were so interested in them, due to their rea…
Ford CEO says EVs will be sold 100% online with nonnegotiable price
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Re: Ford CEO says EVs will be sold 100% online with nonnegotiable price
#552Earlier quoted context omitted.
If you buy the latest and greatest and continuously upgrade to the next greatest it’s not that expensive; often cheaper than leasing.
Do you have data on that? I thought cars lose a lot of their value as soon as they drive off the lot. And how long of leases are you talking about?
Re: Ford CEO says EVs will be sold 100% online with nonnegotiable price
#553Earlier quoted context omitted.
- educate the consumer The last two cars I bought the salesperson knew nothing about the cars. People can learn much more about cars by going to a web site than talking to a sales person. - DMV Paperwork Dealerships charge consumers for the privilege of submitting DMV paperwork. This could all be handled online. Don’t understand the benefit. - service your vehicle I go to independent mechanics. They service my vehicl…
Dealerships have got to go. They’re a huge waste of time space and money I see value in having a local showroom where prospective buyers can test-drive several models to evaluate their driving experience. I don't think I'd ever buy a car without being able to sit in it beforehand.
Imagine manufacturers buying out the dealership lots, turning a good portion of the lot to a small track for testing the cars handling, maneuvering, and acceleration without going onto public roads. I'm assuming a closed course will be much better for their insurance than going onto public roads and much more fun for customers since they'll (presumably) have straightaways and corners. And the fact that they could just keep a model car for each trim level for their line up might incentivize them to not be stingy on test drives (and when the car is past a certain point they sell it at a discount).
Another portion could be turned into electric charging stations using solar. With how many dealerships there are I think this is a neat use of the wasted lot space.
So all in all, you then would go check out the cars, order the car you want online, and then pick it up on arrival at the showroom, all while doing away with the haggling and downright scummy tactics dealers currently use. The fact they default to screwing unwitting customers over should be warning enough that there needs to be change.
Re: Ford CEO says EVs will be sold 100% online with nonnegotiable price
#554Earlier quoted context omitted.
> Toyota and Honda don’t need much service, and I don’t see how they are money makers for the dealer Well first off, people like buy that marketing stuff hook line and sinker, so they make more on the sale. Second, pretty much any vehicle that rolls on earths surface is going to need stuff serviced in proportion to how close it is to the ground. For cars this means the dealer can make plenty of money selling brake pa…
Consumer Reports testing consistently rate Asian car brands above American brands in terms of reliability. https://www.consumerreports.org/car-reliability-owner-satisf...
Re: Ford CEO says EVs will be sold 100% online with nonnegotiable price
#555Earlier quoted context omitted.
Not nearly on the same scale. I've had a Tesla Model 3 for over three years and 25k miles and have had no maintenance done.
Exactly. Tires, wipers, and I’m guessing alignment are the only things the average Tesla owner will ever need to worry about from what I’ve read before I took the leap. The best description of my experience switching to an EV is that it’s been like going from a VCR straight to streaming. It’s fast, convenient, modern, and doesn’t really degrade.
Re: Ford CEO says EVs will be sold 100% online with nonnegotiable price
#556Earlier quoted context omitted.
Not nearly on the same scale. I've had a Tesla Model 3 for over three years and 25k miles and have had no maintenance done.
Just for reference, I've had a Honda Fit for 13 years, and the only maintainance I've had done over what you no doubt had to do on your TM3 (tires, wiper blades) has been oil changes. The car has 164k miles on it. I'm not saying the EV's are not theoretically more durable and (much) less maintainance-intensive. I am saying that the best of the best ICE vehicles are not as different as your observation about your own…
https://www.normreeveshuntingtonbeach.com/honda-fit-maintena...
Re: Ford CEO says EVs will be sold 100% online with nonnegotiable price
#557Earlier quoted context omitted.
> educate the consumers, financing, DMV paperwork and most importantly service your vehicles. I bought a new car direct and I was educated, my credit union was better than the manufacturer's financing offer, the manufacturer did DMV paperwork, and the manufacturer does service. 9 years ago. What am I missing?
did you have an opportunity to drive the car before you bought it?
Re: Ford CEO says EVs will be sold 100% online with nonnegotiable price
#558Earlier quoted context omitted.
Ford reorganized back in March so that their EV business (Model e) is separate from the legacy ICE business (Ford Blue). There was speculation at the time that this was in part free itself of the dealership sales model. The dealers would keep the dying ICE business while the fast growing EV business would start with clean slate. Farley was quoted describing the EV sales model as: > "It's going to be much more efficie…
> Ford reorganized back in March so that their EV business (Model e) is separate from the legacy ICE business (Ford Blue). State legislatures and courts have been smacking down this kind of shenanigan for nearly a century now.
Re: Ford CEO says EVs will be sold 100% online with nonnegotiable price
#559Earlier quoted context omitted.
Just for reference, I've had a Honda Fit for 13 years, and the only maintainance I've had done over what you no doubt had to do on your TM3 (tires, wiper blades) has been oil changes. The car has 164k miles on it. I'm not saying the EV's are not theoretically more durable and (much) less maintainance-intensive. I am saying that the best of the best ICE vehicles are not as different as your observation about your own…
You're supposed to do more maintenance than that on your Honda Fit, such as spark plugs every 30k. Granted, it isn't much compared to other ICE cars, but you're downplaying the difference. Your car also has parts that frequently break on all ICE cars, such as a water pump, which simply don't exist on BEV cars. https://www.normreeveshuntingtonbeach.com/honda-fit-maintena...
Well, theoretically yes. The point is that saying "my TM3 has 25k miles and zero maintainance" is worse than anecdata. It's no better than saying "My Fit has had almost zero maintainance at 164k miles". Far better to list the parts and systems not found in an EV, possibly along with likely maintanance schedules.
The spark plugs on the Fit are likely failing right now, btw.
Re: Ford CEO says EVs will be sold 100% online with nonnegotiable price
#560Earlier quoted context omitted.
Re: bestbuy “showrooming” issues, I think they actually figured out how to make it a value driver for them, whereas it killed others. It’s a great place to look at products, and they price match so you can walk out the door with the product instead of waiting.
> ... and they price match so you can walk out the door with the product instead of waiting. I would love to see the behind-the-scenes numbers crunched on that model. I don't see how that model works long-term unless the percentage of customers in the showroom walking out the door with online price-matched goods is a relatively small group, or they're successful up- and cross-selling on gonzo margin goods and service…
I've bought more from Best Buy in the past few years than I have in the decade before because they are often the cheapest option, including Amazon. They also offer same-day courier service on some things I've ordered.