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Jan 21, 2022
9:00:25am
Tokolosh Truly Addicted User
For those who wonder what is next, there are already dealers out there that behave like a fulfillment/service center...
rather than like the typical dealer. In the Jeep world two examples are Gupton Motors in Tennessee and Motor Inn in Iowa. Both are in smaller towns or suburbs and don't keep a ton of inventory. From what I understand when they do have inventory on the lot it is from a customer order that fell through so it gets parked on the lot. Most of their business is build-to-order, with a deposit taken and an agreed upon out the door price when that order is taken.

Pricing is generally 3-5% below Invoice (not MSRP, Invoice). On a $50k MSRP vehicle that can be several thousand less that you'll pay. These dealers work lean, tend to only do orders and the financing, but still make money. They also operate service centers which is a great profit center for dealers.

It would be great if most vehicle sales moved to online, direct with the OE. Pick a car, select your options, maybe even pre-arrange financing, then select your nearest service center for pickup. Make dealerships more like fulfillment and service centers.
Tokolosh
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Tokolosh
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Jun 9, 2004
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Apr 29, 2024
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