Truck Shortage = Profit

[tron67j]

I wouldn't count on deals being what they had been in the past, and when they start to reappear it is conceivable that dealers will and manufacturers could keep inventories low and prices paid higher than in the past. See comments that the GM CEO made recently about what she sees for the future.

 

[ripping r]

Yeah I have been wondering what will happen. I mean these dealers are paying more for trade ins or from auctions or wherever they buy their trucks from. At some point they have to stop buying cause people won't be over paying for used when the new come back plus I would assume the manufacturers will have to offer some great discounts to get folks to the dealers to keep buying after over spending on used vehicles...

ya no way they will keep going the way they are. glad i have the truck i want.

 

[ripping r]

I wouldn't count on deals being what they had been in the past, and when they start to reappear it is conceivable that dealers will and manufacturers could keep inventories low and prices paid higher than in the past. See comments that the GM CEO made recently about what she sees for the future.

i googled it. sound like a lot of hot air to me. and the self driving car crap. i just dont get it.

 

[BWL]

Had a salesman offer me what I paid for my truck in trade. Bought it new 4 years ago, but the new one would still cost another 40k on top so I passed.

 

[tron67j]

i googled it. sound like a lot of hot air to me. and the self driving car crap. i just dont get it.

I am not a fortune teller, but the auto sales model of today is rather inefficient. Lots of inventory, land, sales people with managers and support staff - this all costs a lot of money. Selling less vehicles for more profit per vehicle can ensure at least the same overall profit as before. GM tried the sell at one price model with Saturn with some success. But now CarMax, Carvana, Tesla and others are getting a new generation of car buyers used to a no haggle model. If dealers are supported in selling for a set price that you see on the window (not MSRP), it will reduce costs and increase profit. Manufacturers have already been culling the dealer field, it could accelerate. As far as self-driving cars, I am agnostic there.

 

[ripping r]

I am not a fortune teller, but the auto sales model of today is rather inefficient. Lots of inventory, land, sales people with managers and support staff - this all costs a lot of money. Selling less vehicles for more profit per vehicle can ensure at least the same overall profit as before. GM tried the sell at one price model with Saturn with some success. But now CarMax, Carvana, Tesla and others are getting a new generation of car buyers used to a no haggle model. If dealers are supported in selling for a set price that you see on the window (not MSRP), it will reduce costs and increase profit. Manufacturers have already been culling the dealer field, it could accelerate. As far as self-driving cars, I am agnostic there.

the not haggling part i like.

 

[Perferd]

I like haggling, makes me feel like I'm getting a deal or that I'm playing a part in the buying process. If I can't haggle they have all the leverage and get exactly what they want.

 

[Docwagon1776]

I won't sell my truck, but I'm kinda tempted to sell the Camaro at today's prices. I did one of those "get real offers" on kbb.org and I have multiple offers for over $3k more then it was booking at when I was considering trading it for a four door. (My dad is an amputee and can't get in or out of my truck or car due to too high/too low respectiely, but we figured out he can get in my wife's car ok so no trading occured)

I just don't know what I'd want more then what I have.

 

[tron67j]

I just had a crazy idea. Forget Limited, Tradesman, etc. Just allow everyone to build the truck you want and not package things. So if you want the basic truck with no option but leather seats, Shazam!

For example, I looked at building a 2500 Tradesman and to get the bed lighting I have to pay for bed liner and bed step, and one of two packages that require either a rear sliding window or heated mirrors. I don't want any of that. And then let the owner name it what they want. Big Horn - Done! Tinker Toy - There ya' go! Yeah, I know; probably not efficient and will screw with their profits. But satisfaction might go up. And it's my idea so if it sounds crazy, well that is right down the middle in my world.

 

[GTyankee]

At the assembly plant, that method would really mess with their minds.
Each station has a cart or tray for each vehicle,
Using that method, some stations would be idle as some Rams went through.

Unless they build a basic Ram with all of the wiring being universal, no matter which options that a person wants.

Then when the Ram goes to the Body Vendor, they do the all the variations, including installing the radios & integrated brake switch panel

 

[chris52010trx4]

I threw my 2016 sport fully loaded up on kijiji this past week for 2k more than I payed for it. Within an hour I had 5 responses. Its crazy...I took the one that was equal to what I paid 2 years ago for it. Unfortunately after I sealed the deal, I was offered over what I was asking. It wasn't a bad truck but it wasnt what my old 2010 was to me, so I have no regrets selling. I'll be back but more than likely a 5th gen this go around

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[Fnjoey]

I checked the value of my 2014 the other day and it's worth almost 20k... I owe 12k, (bought it used with 12k on the clock, has 42k now.) It's tempting to put some feelers out there to see what I can get for it.

 

[KC5TGQ]

Amazing story. Thanks for posting.

 

[mtwofeathers]

View attachment 246120


Many may be aware of this, though I was not until it happened. My truck (18 Ram Rebel with 28.5k miles) lease was up this upcoming May 5th. The calls from Chrysler had been coming in steady asking “what my intentions where”, keep, return, lease something new. I was getting a few calls a week and it was honestly a little annoying. Since Covid and working from home I’ve found the need for a full-size truck had dropped to almost zero. I was considering a few different replacements when I dropped my truck off. That’s when during one of the multiple calls I inquired about the pay off residual. It was only $27k. The market for my truck in Southern California was $48-$50k (which is crazy). Said market was muuuuuch lower when I leased the truck 3 years ago, hence the low residual. Long story short, I planned to just go out of pocket and buy the truck out, and attempt to sell it myself. I filled out that KBB what’s my car worth online thing. Within 30 minutes I had multiple emails, calls and texts from dealers wanting to buy my truck. Within an hour I had set up a drop off with a local Mercedes Benz dealer of all places, as they had offered $43k for the truck. No payoff needed. They’d handle that. So I drove over. Dropped the truck off, signed a few forms. They now send a check for $27k to Chrysler, when Chrysler gets that in a few days, MB overnights my profit check of $16k to me.
So in one day I went from planning on dropping off my truck and being out of pocket a few grand for a new vehicle to actually making $16 grand. Within the following 48 hours I had 5 more calls from dealers. 1 offering $41k, 3 offering $43k, and 1 offering $44k. Even Carmax chimed in with $42.5k.
Do your research fellas. This little flip beats the hell out of any stimulus check.

Yep my 6,000 dollar auction truck sold for 32,000. I buy only diesels, which are even higher than many gassers. Feels good getting paid back for leasing I bet.

 

[DodgeDude99]

My wife’s ‘18 Grand Cherokee (with 12,600 miles)is a lease, it’s ends in November. I won’t be needing another vehicle (she passed away) you’re telling me I can get money out of handing the lease back?

 

[stormcom]

My question is why do they have rebates on trucks they do not have to sell?

I am receiving 2 to 3 calls a week for my 2021 Limited with 4k. It is goofy what they are offering. The problem is I can't replace it for what they offer.

I just thought I would throw this into the pie.

 

[Barney556180]

It is goofy what they are offering. The problem is I can't replace it for what they offer.

Yea, that’s the problem: It can’t be both a seller’s and a buyer’s market at the same time, unless there are geographical disparities.

Now if you could sell high locally then find a deal in another state…

 

[slinghigh]

View attachment 246120


Many may be aware of this, though I was not until it happened. My truck (18 Ram Rebel with 28.5k miles) lease was up this upcoming May 5th. The calls from Chrysler had been coming in steady asking “what my intentions where”, keep, return, lease something new. I was getting a few calls a week and it was honestly a little annoying. Since Covid and working from home I’ve found the need for a full-size truck had dropped to almost zero. I was considering a few different replacements when I dropped my truck off. That’s when during one of the multiple calls I inquired about the pay off residual. It was only $27k. The market for my truck in Southern California was $48-$50k (which is crazy). Said market was muuuuuch lower when I leased the truck 3 years ago, hence the low residual. Long story short, I planned to just go out of pocket and buy the truck out, and attempt to sell it myself. I filled out that KBB what’s my car worth online thing. Within 30 minutes I had multiple emails, calls and texts from dealers wanting to buy my truck. Within an hour I had set up a drop off with a local Mercedes Benz dealer of all places, as they had offered $43k for the truck. No payoff needed. They’d handle that. So I drove over. Dropped the truck off, signed a few forms. They now send a check for $27k to Chrysler, when Chrysler gets that in a few days, MB overnights my profit check of $16k to me.
So in one day I went from planning on dropping off my truck and being out of pocket a few grand for a new vehicle to actually making $16 grand. Within the following 48 hours I had 5 more calls from dealers. 1 offering $41k, 3 offering $43k, and 1 offering $44k. Even Carmax chimed in with $42.5k.
Do your research fellas. This little flip beats the hell out of any stimulus check.

isn't crazy I bought this bighorn 26 months ago and paid $26,660 otd was $31237 and got and offer from vroom for 32,667 countn'y believe it so I craigs listed and a guy was at my house $to pay $34,000 in 2 hours no haggle..drove it for 26 months and made $2,763 on the deal..amazing

 

[crash]

I threw my 2016 sport fully loaded up on kijiji this past week for 2k more than I payed for it. Within an hour I had 5 responses. Its crazy...I took the one that was equal to what I paid 2 years ago for it. Unfortunately after I sealed the deal, I was offered over what I was asking. It wasn't a bad truck but it wasnt what my old 2010 was to me, so I have no regrets selling. I'll be back but more than likely a 5th gen this go around

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good to hear happening in Ontario as well. was your buyer private or a dealer? I've totally thought about tossing my loaded 2015 Longhorn on kijiji to see what happens. it's only got 70,000km on it and gold warranty until Nov 23 2022. this 2015 doesn't mean as much to me as my 2010 sport did lol

I've found a 2020 sport that I really like at a dealer with only 8000 kms on it. the dealer is asking what a new 2021 with more options can be ordered for with current incentives. crazy.

 

[chris52010trx4]

good to hear happening in Ontario as well. was your buyer private or a dealer? I've totally thought about tossing my loaded 2015 Longhorn on kijiji to see what happens. it's only got 70,000km on it and gold warranty until Nov 23 2022. this 2015 doesn't mean as much to me as my 2010 sport did lol

I've found a 2020 sport that I really like at a dealer with only 8000 kms on it. the dealer is asking what a new 2021 with more options can be ordered for with current incentives. crazy.

As much as I loved the 8 speed I miss my 2010 with the 545rfe it was tuned.perfectly after.many revisions with Jay... I sold to a wholesaler down in London. He's coming up to the sault to buy.

It's a good time to try throwing.it on kijiji even if just for *****

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