your state of residence matters when purchasing?

So, I was told by a dealer that I can't go to California to buy a new Ferrari if I live in Vegas....? I have to buy from the Vegas dealer even though they don't have any Californias in stock?

This true?

 

The Regional Factory dealerships are supposed to observe each other's "turf".

So they are technically correct, on a new car you want to spec top to bottom and order under your own name.

A car with a few miles on it is another ball game, if you get my drift.

They just don't want you shopping every dealer for the same car.

Ferrari of Houston has a blue one, and a black 16M, too.

 

The dealers use this rule to their advantage. AutoGallery sold a lot of new cars with huge premiums. Buyers could not go out of state.

However now that demand is less, dealers will sell out of state.
A Dealer in the south emails me and cold called asking if I need a new car.

 

I don't see the harm in contacting the other dealer and see what could be worked out. The worst they can say is no.

To me, the restriction was on newly ordered cars, not those in stock -- albeit new in stock is pretty rare. It's a question of allocation and also trying to head off speculation (and to maximize the price it will be sold).

Honestly, if I were spending that amount of money, I'd order one new exactly as I want it and wait a few months.

 

If you have an address which is more than a certain distance from the nearest Ferrari dealer (pretty much anywhere in Montana or Wyoming, for instance), you can purchase from any Ferrari dealer. I don't know exactly what that distance is, though-- but I'm sure someone will chime in.

 

I was told by my Ferrari dealer that if you were within 100 miles of the closest dealership, you were 'required' to purchase from that dealer.

 

FNA has territories worked out with all of the 32 authorized dealers. Technically, you should buy, order and have your new Ferrari serviced at the dealer in your territory. Does not apply to pre-owned cars. But if you want a new Ferrari, consider the service after the sale and order/buy one from your geographically authorized dealer.

 

That is true for ordering a new one. I wonder about a new vehicle they have in the showroom. Certainly, pre-owned vehicles may be purchased from anybody.

 

In the event there is a new California in a showroom unsold, have your dealer GM contact the other dealer GM and together they can get on the phone with FNA and swap allocations. Your reasoning should be that the California in stock is exactly the way you would have ordered it. Hopefully it is, if not, it doesn't take that long to order if you can get in line for the allocation. Dealers just don't like giving up cars (out of territory) or allocations because FNA "may" reduce cars/allocations to them in future.

 

Personally, I don't see the harm in selling a new car sitting on the showroom floor to a customer who is from outside the territory.

As far as allocations are concerned, I think artificially making it harder for a customer to buy a car leads to the very premiums that Ferrari wants to avoid. Also letting a new car sit unsold on the floor of the dealership does no one any good. Bad for Ferrari, the dealer and the customer.

Furthermore, how does Ferrari know that it has calculated the best way to allocate the different models among it's dealership network anyway?

 

Someone must have bought the 2010 black California that was priced $222k within the last 5 or so days. Was listed last week fwiw. Ron Tonkin, fwiw, is the oldest Ferrari dealer in the country.

http://www.rtgt.com/index.cfm?fuseaction=ViewInventory.default&Car_TypeID=1&Car_ClassID=1

 

[/QUOTE]Furthermore, how does Ferrari know that it has calculated the best way to allocate the different models among it's dealership network anyway?[/QUOTE]

years and years of buying patterns, customer interaction and demographics. most car companies know exactly who their buyers are where they live.

 

Your points are valid in a market with a higher substitution effect. Walk into a John Deere dealer and ask to buy a new combine, but tell them you want it shipped across the USA for use in another state. They will refer you immediately to another dealer because of a long history of lawsuits between dealers "making deals" outside of their territory. High cost/low substitution products are usually protected in some way to protect the brand and supply chain.

Honda, Chevrolet, Ford, Buick are transportation products with high substitution effects. Someone considering an Honda Accord may likely test drive a Buick LaCrosse. That's why we see so very many car commercials during sporting events. They will try anything to "speak to you" to reduce this substitution effect. Ford trucks figured it out with the F-150 about 20 years ago.

Ferrari has the luxury of low market substitution and network control that we must live with..…if you want a Ferrari.

This is partly opinion and partly work related experience so I'm open to the idea that I am partly incorrect

 

Ferrari tracks which dealer sold the car, and where the car is serviced. They can tell if a dealer is selling a lot of cars outside of their territory, and they can reduce allocations to that dealer. After all, if the dealer is selling cars outside their territory, isn't that an indication that they were allocated too many cars to begin with?

 

I work for the Ferrari Dealer in North Carolina and the 100 mile radius is correct. If you live within 100 miles of a Ferrari dealer, that's your dealer. If they don't have a car that you want and another dealer does, have the Ferrari Manager of "your dealer" call the other dealer and try to get their car... This can usually be done pretty easy. Most dealers will work together to keep from "stepping on each others toes..."
If you live outside the 100 mile radius, you can buy from any dealer. No matter where you live, it just makes a lot of sense to buy from your local dealer so that you can get a relationship going with them. If you have bought multiple cars from the same dealer, you should have a much better "working relationship" with them. It's funny how mad some people get that the same guys keep getting the newest and first new Ferraris that come out but those guys have been "loyal" to the dealership and the dealership is going to take care of them! Loyalty goes a long way and it works both ways...

 

+1

 

Your idea of swapping seems like a good solution especially if the other dealer has another car on the showroom floor too.

 

The main reason I wanted to buy from a California dealer is because of the California Lemon Law protection. After going through a nightmare with my 09 SL63, I discovered that although I lived in Vegas, since I purchased the car in California, I was still protected. Without that, the manufacturer would have easily screwed me over. The California lemon law is far better to consumers than the Nevada one. Case in point; Even after multiple transmission replacements (3), clutch packs (2), and clutch adaption attempts (5) over a six month period (car was in shop 6 days after I bought it and garaged most of the year because it was unsafe to drive: lurching into gear, stalling in traffic, shuddering on downshifts, etc.. ), the only way I could get them to take the car back was forcing them via California's Lemon law. They were waiting for a 4th transmission failure I think and they wouldn't budge when threatened under Nevada's lemon law. This car, being my 4th AMG vehicle purchased in 5 years as well, didn't make a difference to them either. The salient difference between the two states is that in California you are allowed 2 fixes to a major component where as in Nevada it's four times for the same thing and /or 30 days in the shop. Further the consumer in California has the option to accept a new vehicle or monetary compensation where as in Nevada the manufacturer holds the option. So, when the unexpected happens (and it did), and the Manufacturer doesn't t stand behind it's top of the line product like it is supposed to (it didn't) a little law on your side can be beneficial toward helping you resolve an unpleasant situation. By the way, this is the main reason why I'm not going to purchase the SLS.

 

The people who make the transmission i believe are called x-trac. They are out of Indianapolis. They are supplying the trans for the 458 as well as the SLS

 

Very sad tale you have related there about the SL63 experience.
When the journalists drove the new SLS on the track in California they also experienced some transmission issues. However the MB staff said that would all be fixed by the time the SLS was sold to the public. It seems the computer technology used for the test drives was one generation behind what would be in the cars when they were introduced to the public. MB warranty costs must be astronomical!
CH

 

Get a CA address or better yet one in the sticks somewhere. The dealer will probably go for it if they're able to CYA. or CTA(their @ss)

 

If you do you will be liable for a lot higher taxes, registration costs over Nevada. I have property in both states.

 

My F430 actually costed a little more in registration fees in Nevada over CA. I found that a bit disappointing. But, hey... we get no state income tax in Nevada so I can't complain too much.

 

I've heard Oregon is the answer!

 

CA increased their registration fees last year, I have 2 vehicles registered in NV and they are much cheaper than in CA..sales tax may be a wash depending on where you are in CA...