Quote:
Originally Posted by AKittrell
I have two M5's in mind that I want to work a deal on one or the other BUT these dealers seem to be in love with their metal and rubber, not discounting aggressively. I've purchased BMWs, Benz, Rover during better economic times and received significantly more aggressive deals.
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Just thought I'd offer my two cents on this. For starters I am in the Motorcycle business not the car business. This is what we are facing with this crazy Covid-19 thing going on right now. Product availability.
Honda has informed us that all of their US plants are shut down right now. This means that they are not building any bikes in the US right now. All Honda ATV's and side-by-side off road vehicles are built here in the states with a few of their two wheel product also. Many of the engines, transmissions etc for these units are shiped in from overseas, most of those plants also closed and not producing product. Thus Honda (just my example) is suggesting to us that once these crazy days finally end, be it June, July or whenever, You dealers have what you have and you will not get replacement product for 90 plus days, so watch your inventory closely. They are telling us that it is also model year changeover time so factor that in too. Same time for BMW I think. Now of course the bike business is not hit as hard as the auto business is (we have a auto store also) but maybe, and I'm just spitballing here, BMW has warned their dealers of the same thing. IE: You may run low or out of product to sell later this year because we are not building nothing right now. Most folks think that when all of this chaos ends, pent up demand for things like cars, bikes, boats, houses etc is going to be strong immediately from all of us sitting at home on the couch looking at all the cool shit on the internet that we want to buy once we get back to work making money again. I know our store will run out of product by summers end, So believe it or not, I just ordered a lot of product so that our store does not. So I can see some of the car manufactures running low or out come July, August, September etc with all of their plants on idle right now. Also our car store just told me Friday that their manufacture (not Honda) put everything on free flooring for the next 90 days to help with this downturn. Thus meaning current inventory sits on the lot for free for a while. Possibly BMW is helping their dealers this way also.
This may be why, especially in the case of limited cars, M5, M8GC, X5M, X6M that your not seeing any killer 25% off sales or zero percent financing for 84 months. BMW knows that their buyer is not the same as a Dodge buyer. Again this is just my opinion, I'm no expert.