Local Ford Dealer to stop selling new cars!! WTF??

**pwr4ce** · 02-12-2008, 08:40 AM

In yesterdays mail came a letter from a local ford dealer (Hills Ford) informing me that they are closing there New Car Sales department from the 13/12 indefinitely!!

So now Ill need to go elsewhere to buy my new Fords in the future, the good new is that the Ford Service Department will still be operating

Is this the sign of the times? Will there be more to follow?

Sad to see this type of thing happening

vztrt · 02-12-2008, 10:50 AM

Isn't ford shutting up shop for retooling about that time?
That would mean you can only by cars that are in stock.

DanielXR8 · 02-12-2008, 11:26 AM

Quote:

Originally Posted by pwr4ce

In yesterdays mail came a letter from a local ford dealer (Hills Ford) informing me that they are closing there New Car Sales department from the 13/12 indefinitely!!

So now Ill need to go elsewhere to buy my new Fords in the future, the good new is that the Ford Service Department will still be operating

Is this the sign of the times? Will there be more to follow?

Sad to see this type of thing happening

Not only is it a sign of the times, but I think Ford should have been looking at forcing this to happen years ago. The current franshise agreements should be torn up and new ones issued that treat vehicle service and sales as seperate functions, that are both subject to much stricter service agreements, with much higher quality processes and auditing to ensure a standard is maintained across all franshises. As a dealer principal you can have both, but if one or the other isn't viable you can surrender it and of course, if you do a lousy job of the service dept or the sales department for example, then you loose one or both.

With the internet and people prepared to travel further for a good price on a new car, as well as new car brokers and lease companies, it just makes no sense to me that every Ford dealer needs to sell new cars or alternatively have a service outlet for what they sell.

Let them specialise and be better at what they do.

Dan

DanielXR8 · 02-12-2008, 11:37 AM

Quote:

Originally Posted by vztrt

Isn't ford shutting up shop for retooling about that time?
That would mean you can only by cars that are in stock.

I'm sure Ford or any number of other dealers can have a few months worth of new, but unsold stock, dumped in your car yard, if you just ask.

Bottom line is a lot of dealers can't make a living on current sales volume and the discounting going on. The thought of a newly retooled Terri being dumped on them in a few months, when Ford wants to shift them out of their paddocks, might well cause more dealers to reconsider the merits of selling new cars in a downturned market. Better to close now and review in a couple of years. Current Terri's aren't exactly flying off the lots.

So keep the wheels of the business ticking over with service business for existing customers. If things improve enough open new sales again, if they don't then you've gone through the pain already, so just keep it permanently closed and sell the land, expand service, bring in a new franshise etc.

Makes sense really.

I would expect more will follow. Perhaps many more.

Dan

Paull · 02-12-2008, 11:42 AM

DanielXR8,
Both of what you have said above are about the smartest thing I have read about Ford Dealers in a long time. Very succint and very well put and very true too.

Laminge · 02-12-2008, 11:45 AM

What does ford have to do with it?

If the dealer cannot get floor finance then its their issue, but certainly a show of how the finance companies are doing it hard, previous thread and discussion on this already held.

2nd hand cars have a profitable life span on the car lot of what, 60 days? then the hemorrhoids set in.

EgoFG · 02-12-2008, 12:10 PM

Hills Ford - the one that had a Focus on the most prominent position in the yard for the first week of the FG release ?
I say let 'em rot.

Power Ford are lifting their game (Service) apparently, and if not Winford is only 30 min drive

**pwr4ce** · 02-12-2008, 01:15 PM

You wonder if one day you will simply buy your new car on-line from the factory and go to the dealership only for services?

sly_ba · 02-12-2008, 03:56 PM

The day westpoint ford goes under I will camp there over night to be there firtst thing in the morning when the padlock go on the gates.

that will be a glorious morning.....

Fev · 02-12-2008, 04:04 PM

Quote:

Originally Posted by EgoFG

Hills Ford - the one that had a Focus on the most prominent position in the yard for the first week of the FG release ?
I say let 'em rot.

Power Ford are lifting their game (Service) apparently, and if not Winford is only 30 min drive

I've always had good experiences with Power Ford.

EgoFG · 02-12-2008, 04:10 PM

Quote:

Originally Posted by Fev

I've always had good experiences with Power Ford.

See
http://www.fordforums.com.au/showthread.php?t=101296

Not a lot of respondees, but more than half had bad experiences (including myself)

Smoke Pursuit · 02-12-2008, 04:21 PM

another GE Finance customer no doubt... Should be some cheap Fords and Holdens after christmas, and i mean VERY CHEAP.

bangm001 · 02-12-2008, 04:23 PM

When i actually did the deal with my new F6, the guy bought it over to my house ;-) SO maybe more of this personalised thing happening to those that are really serious to buy and do a deal.

Hunter · 02-12-2008, 04:31 PM

Quote:

Originally Posted by pwr4ce

You wonder if one day you will simply buy your new car on-line from the factory and go to the dealership only for services?

Nope, this will never happen because the salesmen WANT to sell cars to you in person - if you're online you can buy things without some pushy asshat trying to coerce you into buying something you don't really want.

Same reason why Harvey Norman does not and has not had much of an online presence for ages. They used to have a very good online section for their video games but nope, they want you to come in so their salesman can upsell you.

Technologically speaking buying on the internet IS a better way but companies won't be able to upsell you so easily that way.

mr smith · 02-12-2008, 04:52 PM

Quote:

Originally Posted by sly_ba

The day westpoint ford goes under I will camp there over night to be there firtst thing in the morning when the padlock go on the gates.

that will be a glorious morning.....

I'll join ya.

vztrt · 02-12-2008, 05:53 PM

Quote:

Originally Posted by sly_ba

The day westpoint ford goes under I will camp there over night to be there firtst thing in the morning when the padlock go on the gates.

that will be a glorious morning.....

lol, I was there today having a look. They wern't the best in sales but not as big a bunch of rude knobs as courtney & patterson.
Went next door to the mazda dealership and the salesmen was much better, and very keen to work hard for the sale (in term of go from Hoppers to Lilydale).

DanielXR8 · 02-12-2008, 06:47 PM

Quote:

Originally Posted by Hunter

Nope, this will never happen because the salesmen WANT to sell cars to you in person - if you're online you can buy things without some pushy asshat trying to coerce you into buying something you don't really want.

Same reason why Harvey Norman does not and has not had much of an online presence for ages. They used to have a very good online section for their video games but nope, they want you to come in so their salesman can upsell you.

Technologically speaking buying on the internet IS a better way but companies won't be able to upsell you so easily that way.

I understand exactly where you are coming from, but you would have to think this current crisis for Ford and Holden could change things, if the right person comes along.

Imagine a Bondy style character (dodgy enough for car sales) and says he wants to sell cars online and then truck them around Australia. He says he will buy several hundred or possibly several thousand cars a month from them.

Given the market would Ford or Holden decline?

I think it might just be a case of the right cashed up people talking to the car companies and it might happen very quickly, given the market now.

Dan

**pwr4ce** · 02-12-2008, 08:38 PM

Quote:

Originally Posted by DanielXR8

I understand exactly where you are coming from, but you would have to think this current crisis for Ford and Holden could change things, if the right person comes along.

Imagine a Bondy style character (dodgy enough for car sales) and says he wants to sell cars online and then truck them around Australia. He says he will buy several hundred or possibly several thousand cars a month from them.

Given the market would Ford or Holden decline?

I think it might just be a case of the right cashed up people talking to the car companies and it might happen very quickly, given the market now.

Dan

I think there are many a buyer out there who know exactly what they want and find walking into a dealership an unpleasant and slippery experience.

If you were able to buy just what you wanted at the right prices - why wouldnt you do it?

I know its a different market, but look at what Dell did to revolutionise buying a computer.

I wouldnt have a hesitation buying a new car on-line.

**pwr4ce** · 02-12-2008, 08:41 PM

Quote:

Originally Posted by Fev

I've always had good experiences with Power Ford.

Ive also had many dealings with Power Ford.
Good bunch of blokes and servicing has always been reasonable (better than Thomos anyday)

Romulus · 02-12-2008, 08:45 PM

Quote:

Originally Posted by bfiipursuit

another GE Finance customer no doubt... Should be some cheap Fords and Holdens after christmas, and i mean VERY CHEAP.

I really have to go new car shopping with you Brent, you seem to know where to sniff out the good deals. I spoke to my salesman today when I dropped the ute off for warranty work and he said there's no way they'll sell cars at the prices you've mentioned in other posts.

Smoke Pursuit · 02-12-2008, 09:12 PM

Quote:

Originally Posted by TVS Super Pursuit

I really have to go new car shopping with you Brent, you seem to know where to sniff out the good deals. I spoke to my salesman today when I dropped the ute off for warranty work and he said there's no way they'll sell cars at the prices you've mentioned in other posts.

Its easy, look for old build stock that has been sitting in the corner for more then 3 months, if its got number plates on it then even better...

Times are tough, just tougher at Ford then Holden atm, least holden can discount their 2 year old model, hard to discount a brand new one hot off the line.

GUTLES · 02-12-2008, 10:30 PM

I was told today GE isn't giving out any new credit to new business's.

You've just gotta drive past car yards & look in, there's no one looking at cars. I've already seen a few yards close up.

sly_ba · 03-12-2008, 11:55 AM

Quote:

Originally Posted by mr smith

I'll join ya.

You, me and many many others.......