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

[GoGoGadgetMachE]

I wouldn't quite go that far. You can get some pretty nice and comparable CUVs for $30k.

$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.

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[agoldman]

I don't understand why a dealer wouln't take xplan. It's a ford plan. Does the dealer not make any money on xplan sales?

 

[KAustin]

I don't understand why a dealer wouln't take xplan. It's a ford plan. Does the dealer not make any money on xplan sales?

I'm pretty sure they are getting a flat fee on the Mach-E anyway, so why not take it?

 

[RyZt]

I'm pretty sure they are getting a flat fee on the Mach-E anyway, so why not take it?

I remember reading that the plan rules require that a dealer always take X-Plan or never. We all know that dealers may not play by the books, but in this case, it's probably in the Hawaii dealer's interest to stick to the rules.

 

[Kamuelaflyer]

I'm pretty sure they are getting a flat fee on the Mach-E anyway, so why not take it?

The current Mach-e sales system is a Frankenstein mashup of the traditional dealer sales and a manufacturer direct sales system. There's no telling just what they're making off any given MME.

Further xplan is an all or nothing system. You can't give it on an MME, which you might sell 5 of in one year and then refuse to allow it on an F-150 where you make nearly all your profit for the year.

Personally, I'd have been happier if this system bypassed the dealer altogether. I'm rather interested in seeing what the customer dashboard allows those with existing orders to do once launched in November or December.

https://evbite.com/ford-to-fully-immerse-the-mustang-mach-e-with-an-online-buying-process/

 

[Kamuelaflyer]

I remember reading that the plan rules require that a dealer always take X-Plan or never. We all know that dealers may not play by the books, but in this case, it's probably in the Hawaii dealer's interest to stick to the rules.

They're not required to participate in Xplan. I've been told there is only one dealer statewide that does take xplan. I actually can't confirm that dealer's participation though.

Hawaii is unique and that accounts for a lot of this. Costs are stunningly high. It's the only place people from the city of San Francisco go and get sticker shock when they see housing or rental prices. Buying off-island is a hassle. Buy on Oahu because the price is a bit lower? Until recently there was an interisland shipping embargo on personal car shipments. And if you can ship your car? $400 from Honolulu. Plus round trip airfare (another $300 to $500) to get the car and drop it off at Young Brothers. Buy it on the mainland? $1500 to ship on Matson or Pasha plus another $800+ airfare round trip.

All those are considerations to making an automobile purchase out here. There's no driving to the next county and dealer. Hopefully your mileage varies.

 

[timbop]

They're not required to participate in Xplan. I've been told there is only one dealer statewide that does take xplan. I actually can't confirm that dealer's participation though.

Hawaii is unique and that accounts for a lot of this. Costs are stunningly high. It's the only place people from the city of San Francisco go and get sticker shock when they see housing or rental prices. Buying off-island is a hassle. Buy on Oahu because the price is a bit lower? Until recently there was an interisland shipping embargo on personal car shipments. And if you can ship your car? $400 from Honolulu. Plus round trip airfare (another $300 to $500) to get the car and drop it off at Young Brothers. Buy it on the mainland? $1500 to ship on Matson or Pasha plus another $800+ airfare round trip.

All those are considerations to making an automobile purchase out here. There's no driving to the next county and dealer. Hopefully your mileage varies.

The term is "captive audience", and I am really surprised your dealer isn't marking the car up for the reasons you stated. That alone says something positive about them.

 

[Woeo]

tbf in the Fusion case I got the full Federal $7500 for it so that's a wash - but in the larger picture, for sure.

between this and the ID.4 we are very close to "price competitive with ICE" for the class of vehicle they are in, post-credit.

The Fusion Energi never qualified for the full $7,500 federal tax credit. More like $3,750 in 2013.

 

[Kamuelaflyer]

The term is "captive audience", and I am really surprised your dealer isn't marking the car up for the reasons you stated. That alone says something positive about them.

ADM on neighbor islands has two factors:

1. Demand. As an example, there is ADM on every Raptor, GT350, and GT500 in the state, not just those at Maui and Hawaii island dealers.
2. Convenience factor. Usually ADM is just high enough to make it more expensive to buy from a no ADM Oahu dealer (if you find one) than the "hometown" dealer.

The MME added an additional factor, the "Squeaky Wheel" factor. There was initially an ADM at every dealer. Someone complained to a senior Ford Vice President. In writing. That someone was not me btw, I actually hadn't seen the ADM prices at that point. All of us got phonecalls very quickly and emails changing the ADM to Zero ... for us. I have no idea how subsequent orders are handled.

All of which is most of the reason I'd rather have bypassed the dealer altogether for a fair, equitable, and no-nonsense price. Not everything Tesla does is wrong.

 

[bluestarct]

Rather common out here @bluestarct. I think there's only one dealer statewide that does Xplan. Hawaii has a unique set of circumstances that results in a high cost of living. While we all want a discount, very few, if any, of any manufacturer's dealers are actually "gouging." And I'd just as soon they stay in business and employ people in jobs that aren't tourism related.

If you look at the various national ads for fast food specials as an example, you'll see exclusions for the 50th state. Oh and standby space available transportation on Pasha or Matson to a Hawaii port for a car from Oakland, California? $1500. Ford charges us $1100. I'd be surprised if that was above their actual cost.

It's a fact of life out here.

But I am glad to see incentives cropping up. I hope they stay around.

I lived on St. Croix in the US Virgin Islands for five years. We had a Ford dealer and a Toyota / Jeep / Dodge dealer. We did not qualify for any rebates or incentives. So car prices were really expensive. It was often cheaper to buy in the states and ship you car down even after paying import taxes (1-6%) and shipping fees.

Also, most of the food was shipped in. So if the delivery boat didn't show up that week, the store would be out of chicken, milk and bread. There are always costs to living in paradise.

 

[GoGoGadgetMachE]

The Fusion Energi never qualified for the full $7,500 federal tax credit. More like $3,750 in 2013.

This was already covered earlier in the thread.

 

[Woeo]

I’m not the first to beat a dead horse on this forum.

Carry on.

 

[ARK]

I’m not the first to beat a dead horse on this forum.

Carry on.

That’s how horses turn into horsepower.

 

[FredT]

The dealer out here does not do X-Plan for any vehicle.

Can someone explain what is the disincentive for a dealer to do x-plan?

 

[jhalkias]

Can someone explain what is the disincentive for a dealer to do x-plan?

No ADM. Can't jack you around with paperwork fees - they are limited to I think $275 for processing fees. Dealers LOVE those fees.

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