Dealer asking for $$$ to fund Ferrari Team? | FerrariChat

Dealer asking for $$$ to fund Ferrari Team?

Discussion in 'Ferrari Discussion (not model specific)' started by js73751, Jun 16, 2007.

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  1. js73751

    js73751 Rookie

    Nov 8, 2003
    5
    As an enthusiast and long time lurker I have enjoyed this site for years. I now wonder if I could again request some advice from the members.

    I am a financial consultant (private wealth management) and I have a client/friend who is looking to purchase a 430.

    While my client has owned dozens of autos including Vipers, Vettes, Porsches, Mercedes, Jags, GT40, Bentley, Aston Martin, etc., this is his first foray into a new Ferrari.

    As part of the purchase "arrangement" he has been asked to make a "donation" to help fund the Ferrari Team. Not a depost mind you, but a donation. (Like they need the help)

    He was also informed that if he special ordered the car, he would be required by the factory to add on at least $25,000 in options. (I understand the dealer's motive)

    As his advisor (and having knowledge of how the game is played ie. MSRP ++), this is a new one on me!

    Anyone else heard of these "requirements" besides having the cash to pay for what you want?

    Thanks.
     
  2. ZINGARA 250GTL

    ZINGARA 250GTL F1 World Champ
    Owner

    Jun 21, 2002
    17,499
    PA
    Full Name:
    Ken
    Sounds like extortion to me.



     
  3. rob lay

    rob lay Administrator
    Staff Member Admin Miami 2018 Owner Social Subscribed

    Dec 1, 2000
    63,965
    Southlake, TX
    Full Name:
    Rob Lay
    I think it comes in many forms, but any way you look at it when the demand exceeds the supply so much, like it does with Ferraris, then dealers will do what they can to maximize their business from the few that do get their number called by the dealer.

    I believe in a free market system and don't believe in MSRP for Ferraris. I think Ferrari and the dealers should auction their new cars. That would eliminate all the list games.
     
  4. SrfCity

    SrfCity F1 World Champ

    That is a new and creative approach. The factory requesting $25K in options is BS, that's just the dealer trying to pull that. Just do the math and compare the numbers to the market price of a new one. If you're coming out ahead then it's worth it.
     
  5. Ricambi America

    Ricambi America F1 World Champ
    Sponsor Owner

    Actually, it isn't BS according to my information.

    When every single "new" Ferrari is basically pre-sold, the factory-installed options have become one of the measurement metrics used on dealerships by FNA. More options sold = better performance against peer dealerships. Better performance = better allocations next year.
     
  6. SrfCity

    SrfCity F1 World Champ

    OK, interesting. A little of both then :)
     
  7. tfazio

    tfazio Formula 3
    Rossa Subscribed

    Apr 20, 2004
    1,983
    Michigan
    I would guess that the Ferrari team you would be helping would be a local one not the F1 team. I remember reading a while back that an authorized dealer in Florida was asking for "sponsorship" money in the past in an effort to get you up the list quickly.

    Regarding options, I would not be suprised if in the future Ferrari is going to force buyers in the U.S. to get certain options whether they want them or not. It is already happening. All 599 GTB Fiorano's coming to the U.S. are equipped with the CCB Brakes as an example (whether you want them or not). Not the end of the world when you are spending $300k on a car. It will be more frustrating if Ferrari decides not to offer true manuals and only offers F1 style transmissions on certain cars in the future. I still think if you can get a car at MSRP you are in a great situation regardless of the options on the car. When demand so far outweighs supply Ferrari can really do what they like.
     
  8. amenasce

    amenasce Three Time F1 World Champ
    Silver Subscribed

    Oct 17, 2001
    34,432
    Full Name:
    Joe Mansion
    This makes me want to go take a dump in NJ.
     
  9. SS2012

    SS2012 Formula Junior

    Jun 4, 2006
    696
    I think if the dealership wants to charge you a 'market price adjustment' for a new Ferrari then so be it. Even Toyota dealership do this with the Prius so I suppose Ferrari dealerships can do that as well. Calling it a 'donation' for the 'Ferrari Team' is just a bunch of BS. Just be honest and say if you pay us some pocket money we'll move you up the list.


    Think about it though - if you preordered a brand new Ferrari and the dealership makes you wait an additional 6 months because someone else decided to pay up the extra $$$$ - that's not right.
     
  10. Waldoonay

    Waldoonay Formula Junior

    Mar 5, 2007
    630
    Ottawa/Abu Dhabi
    Full Name:
    Walid Z
    Ask them about a tax write off for your donation and see what they say :D
     
  11. 410SA

    410SA F1 Veteran

    Nov 2, 2003
    8,511
    West Coast
    Full Name:
    A
    Wanting a Ferrari is one thing. Submitting to exortion or blackmail is another thing entirely. Integrity must mean something and this dealer clearly has no integrity. If he was selling shares in his race team, then it would be a considered investment, but a "donation" is pure blackmail.
    I believe that this dealer must be named on this forum and his tactics must be brought into the harsh glare of daylight.
    Who is this criminal?
     
  12. shill288

    shill288 Formula Junior

    Feb 24, 2005
    900
    West Coast
    Full Name:
    Steve Hill
    Luigi Chinetti did this all the time. How do you think NART was funded?

    I guess someone just took a page out of his playbook.

    I know of Dealers in CA that will require cash in an envelope if you hope to get a car. A couple of enterprising sales guys even got some insider trading tips as a payout. None of this is any big secret. It's been going on for years.

    Steve
     
  13. willrace

    willrace Three Time F1 World Champ
    Owner Rossa Subscribed

    Oct 21, 2006
    34,933
    North Tay-has
    Full Name:
    Kurt
    I'm afraid that the "Integrity & Ethics" ship sailed a couple of years ago. I think it even had big turbines and Arneson drives distance itself quickly.

    I like the Tax Donation idea......and would add that I expected to see my name prominantly displayed on the cars like any other Sponsor - and where, exactly, it would be displayed. If they're gonna play it as such, play it back the same way.

    OOoooo, wait, is the the S.S. Integrity & Ethics cruiser I see in the distance?? It IS!!!! Ooooops, they just scuttled it.
     
  14. lusso64

    lusso64 Formula 3

    Apr 12, 2004
    1,535
    Simi Valley
    Full Name:
    David
    I'd suggest your client just go in and fill out an application to be on the waiting list or whatever paperwork he/she may need to do, and in the occupation section, just write "IRS Regional Director". Problem solved I suspect.....
     
  15. bwassam

    bwassam Formula Junior

    Jan 3, 2005
    635
    North Bend, Oregon
    Full Name:
    Robert Wassam
    I know that this is not a cultured answer, but I like the broken arms and legs treatment. This should be done for telling lies to a client. There's nothing like pain to generate honesty. I hate liars in business. That includes all the corporations that put stuff in their products that cause harm to the rest of us. That's the same thing as lying. Mis-representing is the same as lying too.

    Bob Wassam
     
  16. js73751

    js73751 Rookie

    Nov 8, 2003
    5
    I just wanted to say thanks for your responses. After a few "discussions" with the dealer, my client will be purchasing his new car with out having to make a donation to anyone. We both understand supply and demand as well as Capitalism, but the donation to the Ferrari Team approach was a bit much and really struck a nerve.
    js
     
  17. Rachel

    Rachel Karting

    Jun 21, 2006
    111
    Pacific Palisades, C
    Bravo to yourself and your client for not succumbing to their "donation".
     
  18. DGS

    DGS Seven Time F1 World Champ
    Rossa Subscribed

    May 27, 2003
    71,839
    MidTN
    Full Name:
    DGS
    I'd look for another dealer. If he tries to pull that stunt when selling the car, look out for the $50,000 "dumsucker" valve replacement it needs at the first minor service.

    Dishonest = not honest. You only get one chance to make a first impression, and that dealership blew theirs.
     
  19. js73751

    js73751 Rookie

    Nov 8, 2003
    5
    We did, and are dealing with someone who realizes that we understand the
    marketplace and the supply/demand pricing issue, and did not try to BS us with some "racing team" ploy.

    Thanks again.
    js
     

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