Jalopnik, A Bronco, And All Heck Breaks Loose

[deadduck]

Here's the story, Jalopnik is just reporting it.

https://jalopnik.com/a-bronco-reservation-holder-tried-to-go-up-against-a-fo-1847904601

I'd like to make a few points.

1) The buyer was dumb, but not so dumb that he didn't try. I work in tech, I don't buy hardware, but the people that do tell me horror stories. Me, I just place an order trusting the system because I haven't gone through what they have. It doesn't make me a retard, I just don't have enough experience.

2) Ford, and this applies to everyone but Tesla, built a system that is honest, but dishonest at the same time. They're trying to pretend they are Tesla but the reality is that they have built a system designed quite literally to allow a dishonest dealer to screw you at the end, and benefit no matter what. In point of fact, there are penalties if the dealer undercharges on an order but no penalty for overcharging.

3) The dealer. Can we just stipulate that a) they knew what they were doing and b) are just pieces of something? Even if they're fine by the letter of the law, their intent, and practice, clearly is not from a place of high moral standing. It's like writing a contract with the devil.

4) The economy elevates all of this. It's almost a perfect storm for bad behavior but does anyone believe this dealer doesn't pull this kind of thing during good times? Even the "honest" stuff, like extended warranties, really isn't when you dig into them and understand them*.

Anyways, I'll leave this to you all. It's not like we haven't seen this before in other threads. Just thought I'd post this one because of how it all went down.

* Extended warranties are just a way to pad the profit, if they weren't, they wouldn't be selling them.

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[06VistaGT]

I try to see it both ways, but still struggle with the unethical behavior on behalf of the dealerships. I know, I know, car dealers and ethics are like oil and water to some. But I tend to believe that most people are inherently "good" and not out to screw others.

My primary issue is that the dealers are reliant on the customer orders to get inventory. For other cars, you may go to a dealership and talk about the cars. Even take home a brochure with msrp. Then when the cars show up, the dealer adds markup and tells you that msrp was just that, suggested. You would be disappointed, but not screwed. After all, it was the dealer's order, not yours.

However, the only way the dealers were (are?) getting Mach E's and Bronco's were via customer orders. Customers placed an order, including all their desired options. Those choices were based on the pricing shown at that time. The dealer had nothing to do with the order.

Even though legal, I consider it unethical to not honor that price FOR THE CUSTOMER WHO PLACED THE ORIGINAL ORDER. If the customer gives it up, I agree the dealership should be able to add whatever markup they want.

Imagine going to dinner and ordering your food. Then when it arrives the waiter tells you it costs $10 more than listed on the menu. Clearly, that would be unethical (if not illegal). I see the customer car orders as very similar.

Just my $0.02.

 

[jennq]

Here's the story, Jalopnik is just reporting it.

https://jalopnik.com/a-bronco-reservation-holder-tried-to-go-up-against-a-fo-1847904601

I'd like to make a few points.

1) The buyer was dumb, but not so dumb that he didn't try. I work in tech, I don't buy hardware, but the people that do tell me horror stories. Me, I just place an order trusting the system because I haven't gone through what they have. It doesn't make me a retard, I just don't have enough experience.

2) Ford, and this applies to everyone but Tesla, built a system that is honest, but dishonest at the same time. They're trying to pretend they are Tesla but the reality is that they have built a system designed quite literally to allow a dishonest dealer to screw you at the end, and benefit no matter what. In point of fact, there are penalties if the dealer undercharges on an order but no penalty for overcharging.

3) The dealer. Can we just stipulate that a) they knew what they were doing and b) are just pieces of something? Even if they're fine by the letter of the law, their intent, and practice, clearly is not from a place of high moral standing. It's like writing a contract with the devil.

4) The economy elevates all of this. It's almost a perfect storm for bad behavior but does anyone believe this dealer doesn't pull this kind of thing during good times? Even the "honest" stuff, like extended warranties, really isn't when you dig into them and understand them*.

Anyways, I'll leave this to you all. It's not like we haven't seen this before in other threads. Just thought I'd post this one because of how it all went down.

* Extended warranties are just a way to pad the profit, if they weren't, they wouldn't be selling them.

Dude, you can't say that R word. Period.

 

[yngwenli]

This blew up when it shouldn't have, but if dealers want to tack on ADM on an online order, they really should be forced to do that up front like we see in our orders (and some dealers still balk at the price listed in the order). If it's a 5k/10k or 20k markup, have at it. Don't do it after someone has already placed an order and waited 6-10 months though.

That should really change and they should be held to what is quoted on the order I feel.

The OP probably made things worst, but I do feel everyone should avoid these dealerships which do that and should share/shame the General Manager/owners of that dealership since another person will hit these issues, but be less vocal so they continue to get away with it.

I do agree that dealerships have to eat, but they just need to change the compensation model for the salespeople moving forward and I feel they will eventually do that, or the laws will change where manufacturers can sell direct. Ford is already selling the Mach-E in China direct to consumer.

 

[zvez]

Here's a video of a similar situation. Thing is , this guy had actually worked at the dealer for 19 years, and had bought a multitude of cars from them. Bronco comes in, dealer tells them $10k markup. After much back and forth the guy ends up paying $5k. over.

 

[zvez]

Even though legal, I consider it unethical to not honor that price FOR THE CUSTOMER WHO PLACED THE ORIGINAL ORDER. If the customer gives it up, I agree the dealership should be able to add whatever markup they want.

Imagine going to dinner and ordering your food. Then when it arrives the waiter tells you it costs $10 more than listed on the menu. Clearly, that would be unethical (if not illegal). I see the customer car orders as very similar.

Just my $0.02.

My thought on the dealer adding markup. WIth my dealer, and many others, when you go to order the car online and you get to the final summary page, you'll get "total msrp" and then you'll have another figure "dealer selling price". In my case, my dealer was marking up $5k at time of order. I've no problem with that, and it was something I discussed immediately with the GM and got in writing Xplan and msrp, no markup..

What I think is extremely shady tho, a customer ordering a car with no mention of markup to them and then car comes in, boom they add to the selling price by thousands.

Ulitmately the onus is on the buyer to do due dligence.

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