How often do Ferrari dealerships change hands? | Page 2 | FerrariChat

How often do Ferrari dealerships change hands?

Discussion in 'Ferrari Discussion (not model specific)' started by 96redLT4, Jan 18, 2021.

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  1. Hocakes

    Hocakes Formula Junior

    Apr 24, 2010
    451
    FL
    That's not a money issue, that's a matter of already having one in his area. No point spending millions to cannibalize an existing dealership. I am sure if the demographics of an underserved/unserved area supported it, it might be possible.
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  2. spirot

    spirot F1 World Champ

    Dec 12, 2005
    14,501
    Atlanta
    Full Name:
    Tom Spiro
    They get allotted x number of cars and models ....demos are usually well specked out. And regulars are given an allotment if they want it and they can spec it to their desire... as long as Ferrari agrees... moat dealers will suggest appropriate options for re sale later. The worst is when you have someone spec a car that is just really over the top or not have all the right options... unless you are known to the factory and keep cars usually you end up with a standard list of options. If your are Clapton or of that level you can get what you want... the provenance overcomes any peculiar choices... purple with red calipers and pink carbon etc...


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  3. 96redLT4

    96redLT4 Formula Junior

    Feb 20, 2009
    507
    California
    Full Name:
    Jim
    Appreciate the thoughts guys. It sounds like some of you are really 'in the know'
     
  4. 96redLT4

    96redLT4 Formula Junior

    Feb 20, 2009
    507
    California
    Full Name:
    Jim
    The other thing I wondered about was that the dealership that was sold, in this case F of SV to Indigo group out of Houston, was, I thought, part of the Scuderia Corsa racing team. Does the race team go along with the sale?
     
  5. spirot

    spirot F1 World Champ

    Dec 12, 2005
    14,501
    Atlanta
    Full Name:
    Tom Spiro
    That would depend on the sale agreement. usually, the racing teams are separate from the dealership perse - usually for legal indemnity and liability. most racing teams are money losers - or break even. there may be some tax breaks but usually not. I know a lot of current dealerships have Challenge teams and those can be money makers as the drivers are paying for the service.... most contract out to other Racing Services to run the team. I think Risi does his own in house? but not sure anymore. Unless you are talking about a major IMSA + team prepare to lose money. Ferrari F-1 is a net money maker but mostly from sponsorship, and from Merchandise and hospitality. I know the thought is that Spa Subsidizes the F-1 team but it is a stand alone profit center... and does well. between payments from FIA, Marlboro, and other sponsors as well as swag sales it can turn close to a 1.2 Billion US. at $5-10K per day hospitality and given they have 200 per day or more... its a nice revenue stream.
     
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  6. 96redLT4

    96redLT4 Formula Junior

    Feb 20, 2009
    507
    California
    Full Name:
    Jim
    Besides the change in ownership at F of Silicon Valley I just received a 'welcome' letter from the new owners of F dealerships in WA, San Diego, Newport Beach and Rancho Mirage, a guy named Chris Berlin and his partner Ron Burkle who I think is a private equity billionaire. Hopefully with the deep pockets the business will not be allowed to founder!
     
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  7. rossodino

    rossodino Formula Junior

    Dec 16, 2007
    447
    corona del mar, ca.
    Full Name:
    bruce sansone
    I believe they also own O'Gara as well ,so they are in the car business on the West side. Ron Burkle is indeed a billionaire and car enthusiast.
     
  8. SAFE4NOW

    SAFE4NOW F1 Veteran
    Sponsor Owner

    Aug 25, 2004
    5,378
    Dallas Texas
    Full Name:
    If you know you know
    It seems that there will be 4 new points in 2020/2021:

    Minneapolis, MN
    St Louis, MO
    Nashville, TN
    Naples, FL

    With 2 Satellites locations opening:

    Charlotte, NC
    Seattle, WA

    3 Service only points:

    Seattle, WA
    Buffalo,NY
    and one in I believe Argentina
     
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  9. Texas Forever

    Texas Forever Seven Time F1 World Champ
    Rossa Subscribed

    Apr 28, 2003
    75,396
    Texas!
    How will existing dealers get enough cars to sell? Ferrari is going to half to ramp up production. If so, I wish they would contract out the build to Toyota.


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  10. tomc

    tomc Two Time F1 World Champ

    Apr 13, 2014
    25,865
    DFW, Texas
    Full Name:
    Tom C
    FUV is on the way. Presumably, this means ramped up production?
    T
     
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  11. Texas Forever

    Texas Forever Seven Time F1 World Champ
    Rossa Subscribed

    Apr 28, 2003
    75,396
    Texas!
    I hope so. The Cayenne saved Porsche. I know you guys hate SUVs, but for a DD, they’re hard to beat.


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  12. tomc

    tomc Two Time F1 World Champ

    Apr 13, 2014
    25,865
    DFW, Texas
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    Tom C
    Agreed. Love our Cayenne, and I don't think it somehow diminishes my 911...T
     
  13. vandevanterSH

    vandevanterSH Formula 3
    Silver Subscribed

    Jan 27, 2005
    1,788
    AR
    Full Name:
    Stephen Van Devanter
    Love our Cayenne
    ****
    Have two, both Ss. Good solid transportation....FWIW, the wife shopped on line for hers...2 years old, 14,000 miles, like new condition and $25k less than sticker. Certified with added two years and up to 100k miles warranty.
     
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  14. PA Wolfpacker

    PA Wolfpacker Formula Junior

    Aug 19, 2007
    653
    Naples, FL
    Full Name:
    Neil
    Rumor here in Naples is the new dealership required a $30M “franchise fee”. If true I don’t see how it will ever pay off.
     
  15. ScottS

    ScottS F1 Rookie
    Owner Rossa Subscribed

    Mar 2, 2004
    2,900
    Winter Park
    Full Name:
    Scott S
    Have you ever been to Naples?

    Will be very profitable as outlined by @safefornow.

    The owners of the Miami/Ft Lauderdale and Tampa franchises cannot be happy

    I myself am overjoyed that Ferrari is expanding. When we lived in St Louis the lawsuit between the authorized service and FNA meant when my cars needed service FNA paid for my cars to go to Chicago for warranty and routine service.
    A robust and growing dealer network is key for any manufacturer and part of increasing volume and public reporting for the markets.


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  16. CPBTX

    CPBTX Rookie

    Mar 8, 2019
    35
    Texas
    Full Name:
    CPB

    This is what I hear from my sales friends at the San Antonio dealership. They say their inventory is so low. Very few new cars come through and they are starving for anything used.
     
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  17. PA Wolfpacker

    PA Wolfpacker Formula Junior

    Aug 19, 2007
    653
    Naples, FL
    Full Name:
    Neil
    I live in Naples and there is a very strong Ferrari Club here (note Cars on 5th each year) but to cover $30M plus the infrastructure is a big nut regardless. A lot of our residents ship their cars down for the season so this might be a dealership that makes their money through the service department.
     
  18. SAFE4NOW

    SAFE4NOW F1 Veteran
    Sponsor Owner

    Aug 25, 2004
    5,378
    Dallas Texas
    Full Name:
    If you know you know
    I have not heard of the fee you quoted above, it makes for good conversation though.

    How much is a Ferrari franchise worth? What access does one get for said fee?

    S
     
  19. Reacherman1022

    Reacherman1022 Karting

    Dec 13, 2016
    89
    Montana
    Full Name:
    Jack Reacher
    Burble I think owns Pittsburg Penguins


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