malba2366

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It's just one EXAMPLE of how car dealers use state law to inhibit competition. Could just have easily pointed out how in most states you don't pay sales tax on the value of a trade in. (You may think this benefits you but guess again, it doesn't. It benefits car dealers).

Part of the web of legal restrictions which entrench car dealers is the prohibition on manufacturers forcing dealers to sell at MSRP.

FWIW I don't live in Florida and personally I have no interest in getting an extended service contract, at least at this time. Just pointing out the legal reality for all those thinking that Ford has an easy way of getting rid of ADM.
The Florida situation is a bit unique - auto extended warranties have to be sold by a company licensed to issue insurance in the state. For this reason many of the auto extended warranties sold in Florida are underwritten by a different subsidiary than the same policies sold in other states. Only dealers in Florida would have access to the policies underwritten by the Florida insurance carrier.
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shutterbug

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Are you suggesting that consumers haven't had the ability to find out about this for the last ten years? Is there a move by Florida dealers to change the law? How many decades will it take?
As long as consumers allow themselves to be fleeced. They have the power. It's up to them to use it.
 

Tpaguy

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I really don’t understand all the fuss about this... I had a preorder with Tesla for two years with them refusing to honor the preorder (a LR RWD model Y). They had my $2500 deposit and refused to produce and sell me the vehicle they promised me when I placed my preorder and deposit. The sales people for Tesla said that Tesla was focusing on the higher priced AWD LR models first $$$. How is this any different than what dealers do with ADM?

I get that it sucks to be asked to pay ADM, but this is a free market and if people wouldn’t pay it, then dealers wouldn’t ask for it.

On the flip side, I saw tons of Tesla buyers clamoring for secret discounts on cars that were unadvertised. Yes, a Tesla sales rep sent me an email with the secret discounts at quarter end.

Tesla tries to have it both ways and tries to act high and mighty at the same time. They refuse to produce product until they have sold all their highest margin vehicles first, then they offer secret discounts at quarter end and random price cuts in order to juice sales.

Tell me how this really is any different or better than the dealer business model? I’m listening...

Give Ford a break. They’re trying to overcome what no legacy maker has accomplished yet. They’re smart to attempt to harness the power of their vast dealer network (even with its rough edges) instead of trying to shell out billions to create a new brand (which would only sap their R&D resources). I guess they’re doing a bit of that with their investment with Rivian but time will tell if that pays off.
 
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EVS

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This is going to sound rude, and it is, but it's not directed at you. BS. Every dealer in Hawaii charges ADM. Every. Single. One. Ford knows about it because Jim Farley's office intervened on behalf of fewer than 6 people statewide when order conversions happened. Yes, the ADM is still there for everyone else. Everyone, including new orders. Yeah, if one of those people (or myself if the dealer actually had tried to change the agreement) complained about it to Mike Levine, just where would Ford find you your exact order in the state at MSRP or "less"? (Don't forget the $600 interisland barge fee). Or will we go to the mainland for it? Add $2,000 for shipping from California (more from Seattle) and 6 weeks' time.

So frankly, I believe almost nothing he posts about this subject.
No offence taken. I was just trying to interpret what Mr. Levine meant by finding alternate dealers. If the customer has to reorder and wait again, then it is not much of help.

If you are from Hawaii, have you tried contacting Mr. Levine, since he says he will find alternate dealer? Just to see what he can or can't do? I mean, I can see a loophole that the car is assigned for a CA dealer but is shipped to Hawaii directly to your door to avoid double shipping charges.
 

Kamuelaflyer

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No offence taken. I was just trying to interpret what Mr. Levine meant by finding alternate dealers. If the customer has to reorder and wait again, then it is not much of help.

If you are from Hawaii, have you tried contacting Mr. Levine, since he says he will find alternate dealer? Just to see what he can or can't do? I mean, I can see a loophole that the car is assigned for a CA dealer but is shipped to Hawaii directly to your door to avoid double shipping charges.
I'm not an adm customer. I'm one of those then VP Farley helped out. And my dealer has done a good job with me. But there are those that are paying ADM.

And I have reached out to him on other issues that ought to have at least an acknowledgment. Crickets
 


Mirak

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I think we need to distinguish between ADM on orders versus cars being sold off the lot. Ford should forbid the former, but it ought to lay off on the latter.
 

Tpaguy

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I think we need to distinguish between ADM on orders versus cars being sold off the lot. Ford should forbid the former, but it ought to lay off on the latter.
Agreed. When a customer places their order, the system disclosed if their dealer added any markup on top of MSRP. If any dealer tried to do that after the order was placed, then Ford should come down hard on that dealer.

I personally wouldn’t pay ADM, but I understand why some people would and have no issue with it if the dealer is upfront about it.
 

EVS

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I think we need to distinguish between ADM on orders versus cars being sold off the lot. Ford should forbid the former, but it ought to lay off on the latter.
Fully agree. Cars without any name on them should be left to market dynamics.
There are many members here who happily paid ADM to cut the line and take home their Mach-e s

I thought, the complaints were referring to dealers trying to charge ADM on pre-ordered cars. That seems unfair and perhaps Ford corporate has some authority to do something about the ADM on pre-ordered cars.
 

malba2366

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I think we need to distinguish between ADM on orders versus cars being sold off the lot. Ford should forbid the former, but it ought to lay off on the latter.
Absolutely. The more sleazy dealers out there are doing this with customer ordered cars, because those were given priority over the dealer ordered cars.
 

Dmhccs

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I'm glad he's stepping in to help, but the idea that a company needs to have an executive on standby to help customers not get ripped off by *representatives of his own company* is still a sign of massive problems. Going on the offense at the same time isn't helpful, IMO.

My dealer was great (other than claiming to not have heard of Options before I mentioned it) - but not a single "market" fee, no mandatory wheel locks, ScotchGuard, undercoating, etc. Price was transparent, no haggling, no attempt to sell anything I didn't want. Just a "are you interested in hearing about any warranties?" - that's it.

It's a shame ANYONE has to deal with ADM. There needs to be a crackdown.
I will say I had no clue what ADM was when I went to my local dealer to test drive the MME. They had 2 there with $5000 ADM. they sold 1 so far and the other matches my order exactly.
 

EVS

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Why are the Tesla trolls suddenly concerned about ADM on Ford cars? Does it somehow tarnish the image of their electric messiah?
I was just reading the replies in the thread. The tesla trolls are in full swing. They are either crasy or too dumd or both. :) Comments like this crack me up:
- "My Tesla car is an appreciating asset" :)
- "I am driving on FSD. It was't vaporware."

Ross Gerber is a big Tesla investor. He has a Model 3 and he will never buy a Ford. Still he is out there trolling Ford. Guess he is trying to protect his nest egg, spreading FUD about Mach-e.
Not a peep about ADMs on Bronco, which is 10X more volume than Mach-e. But suddenly these trolls are so concerned about Mach-e ADM.

The Tesla trolls in that thread seem really b*** hurt with Mach-e's success.
 

AllenXS

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I identified some things I was not happy about in my purchase on the survey Ford sent me.
Within a few days I had the franchise owner ring me to fix up "the misunderstandings," and to call him anytime something came up. I am sure Ford have had a chat!

He also noted that they know very little about what an MME buyer is going to be like. He said I would never be an F150 buyer. He was unsure when I said actually I might be.

He did try to give me the talk about how little they make on the car. Totally ignored that. It wasn't exactly a hard sell as I kept on them every week until I got their first car in (cancelled order).

It will be interesting to see if the dealers can "get with it" or fall behind in the new way.
And don't be afraid to let Ford know how you feel. I'm happier now.
 

balthisar

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Ford and market will eventually fix this because:
  • …
  • …
  • Customers are slowly getting wise to all the dealers shenanigans
We've been wise about dealer shenanigans since at least the 1950s. Probably earlier. Things don't change until there's a revolution. I work for the Blue Oval, but I've also worked for the Blue Oval in some of our overseas markets where dealerships are declawed. Our system sucks, and it won't be individual awareness of dealer tactics that change things. This is just the result of another piece of bad, fake, crony capitalism.
 

Maquis

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I think we need to distinguish between ADM on orders versus cars being sold off the lot. Ford should forbid the former, but it ought to lay off on the latter.
The problem with "laying off the latter" is that it could encourage unscrupulous dealers to pull other shenanigans on customer orders in hopes the customer cancels, giving them another car to sell off the lot with ADM.

There was a thread recently where a dealer didn't want to honor a customer's order because the dealership changed hands. Stuff like this....
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