Update on Mach-E launch progress from engineering friends in Mexico

Kamuelaflyer

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No ADM. Can't jack you around with paperwork fees - they are limited to I think $275 for processing fees. Dealers LOVE those fees.
This. With ADM in the example I listed ($1000) and the average holdback of 3% on a $50,000 msrp vehicle, you're looking at $2500 potential profit instead of $1500. It also gives the dealer ammunition in price negotiations as you're starting at a higher initial price, say $51,000 instead of $50,000.

xplan reduces a dealer to an order taker, nothing more. Will there still be a profit? Yes, but not like before. And dealers do have costs: employee compensation, rent, utilities, parts inventory, car inventory etc. It adds up in a hurry and in some places it reaches absurd levels.

And then there's the MME. I've been told (but haven't verified) that there's no holdback on that car. Makes it even more complicated.

I blame the pandemic. :p
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Kamuelaflyer

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No holdback is a sign that demand is through the roof.
No doubt. Look at the orders so far with the EU and GT's yet to come.

I'm happy with the price of the MME. I'm pleased I don't have to go off-island to get it or worse to the mainland. I'm pleased the price was sweetened by Ford. I wish it had been done differently with a real manufacturer's direct system, but it's not a bad system the way it is, just a bit odd. :)
 

RonTCat

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No doubt. Look at the orders so far with the EU and GT's yet to come.

I'm happy with the price of the MME. I'm pleased I don't have to go off-island to get it or worse to the mainland. I'm pleased the price was sweetened by Ford. I wish it had been done differently with a real manufacturer's direct system, but it's not a bad system the way it is, just a bit odd. :)
Yeah, I think some dealers see the new system as a threat, and will fight it to the end.

The smart dealers know the light at the end of the tunnel is a train, and will get onboard. They'll work to find new paths to profit. Some will just do what they can to make the direct system look bad, in hopes that it will make people will think the status quo is best, and get run over by the train.
 


Kamuelaflyer

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come on guys, please keep this topic on track about factory news only.

make a new topic for USA tax things and discuss there please.
Follow @trutolife27, @ChasingCoral along with whichever other people with apparent insider information you wish to follow or the myriad of other Ford employees here (there are a bunch btw) and you'll always know when these folks post something. Even when it's a cat picture.

Click on their name then follow.
 
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trutolife27

trutolife27

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On the Xplan pricing dealers make a little money.
One the A plan price though they don't make a single dime. Ford will pay them the difference lost that is below the invoice.

Where your car dealerships make their money is trade-ins. Always better to try to sell yourself then trade it into a dealer on a new car.

 

Kamuelaflyer

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Yeah, I think some dealers see the new system as a threat, and will fight it to the end.

The smart dealers know the light at the end of the tunnel is a train, and will get onboard. They'll work to find new paths to profit. Some will just do what they can to make the direct system look bad, in hopes that it will make people will think the status quo is best, and get run over by the train.
That's actually a very good analysis imo Ron. Change is coming. It's just getting started, but it is inevitable.
 

dbsb3233

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$42,895 (assuming no Ford discounts or incentives of any sort) - $7,500 federal (if they get the full $7,500 in their circumstances) is $35,395. It's probably reasonable to call me out and say that's not very close. But, it's not that far either.
Fair enough. I agree the gap is certainly narrowing. It's hard to make a solid apples-to-apples comparison between something like a MME or ID.4 that start around $42K, and a DR-V, RAV-4, Escape, etc. A base FWD CR-V can actually be had for about $26k, but it probably needs some options added to equate it closer to a base MME (which is why I said around $30k). But then again, MME buyers are likely adding some options too, so it's hard to equate.

The other factor is incentives and deals that regular cars can often get while the MME and ID.4 likely can't. A base level FWD Escape can actually be had for about $21k right now counting incentives.
 
 




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