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      09-26-2022, 03:33 PM   #10
Equilibrandt
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Pure greed, I'd assume.

- Probably put up record profits if you look at the data on a per-car basis. ADM markup on nearly every car, new or used, //M or base model X3. And 99% of consumers are willing to pay ADM; don't misconstrue the sentiment here on an enthusiast forum as public opinion - the buyers here are the 1%.
- Significantly fewer cars on the lot gives the illusion of exclusivity and forces most buyers into a 'better buy now, before it's gone' mindset
- Significantly fewer cars on the lot mean less cars to maintain, service, wash, and detail, cutting down on daily labor
- Significantly fewer cars on the lot mean that customers take cars that ARE on the lot as-is, and often won't try to Goldilocks around looking for the perfect exterior color + interior color + packages. They'll just take what they can get, which benefits both the manufacturer and the dealers.

I don't see how it'll ever go back to normal when they're making insane profit on every sale they make, regardless of which model they sell. That's one reason why I'm such a large advocate for the supposed 'hybrid-online' sale model where I can order direct.

It's paramount to remember that most dealerships probably make the vast majority of their profit in the Parts/Service/Warranty/Maintenance Department, not New and Used Car Sales Department. If people are snapping up cars quickly and still bringing them back for oil changes and brake jobs (which are the cash cows for service centers), why would you stock a full lot and take the risk of a bunch of random models sitting around for months?
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Last edited by Equilibrandt; 09-26-2022 at 03:40 PM..
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