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A Used Ferrari Store on the North Shore?

Discussion in 'New England' started by 288_GTO, Apr 13, 2004.

  1. 288_GTO

    288_GTO Guest

    Apr 7, 2004
    56
    Andover, MA
    Full Name:
    Mark
    What about a used Ferrari store on the North Shore of MA? Can it be done? Is the market here big enough for another used exotic delaer to enter the fray? I'm seriously considering an used exotic shop somewhere on the North Shore, but I need to know if I'm wasting time, and $, or if there is a real market out there that is not being served. I know there are other dealers who have Ferrari's. I extolled the virtues of Bay State Motorsports in this very space (and still do), but what about a true used Ferrari store, with some other exotics as well, but a real focus on F-cars? Is Boston Sportscar's new venture in Newbury going to last? Or are they more comitted to the repair side of the business? Is Ferrari of New england serving anyone except 15 customers in Wellsley and Weston? I'm just venting, but I'd like some feedback.
     
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  3. Doody

    Doody F1 Veteran

    Nov 16, 2001
    6,099
    MA USA
    Full Name:
    Mr. Doody
    Boston Sportscar seems to be dead serious on that new store.

    and i think you're grossly underestimating FoNE's book of business. never a smart thing to do with your competitors ;)

    doody.
     
  4. Tom S

    Tom S Formula Junior

    Jan 2, 2003
    295
    Northeast
    Full Name:
    Thomas Saupe
    I doubt very highly that Boston Sportscar would venture into that business on a whim. My guess is they're in it for the long hall.

    Plus there's lots to consider regarding capital for stock, a service wing, or at least an agreement with another facility, dealer license, etc. Also, is there enough business in the area to support another used Ferrari store? Why not test the waters brokering one car at a time?

    Just my 2 cents.
     
  5. 288_GTO

    288_GTO Guest

    Apr 7, 2004
    56
    Andover, MA
    Full Name:
    Mark
    Both you and Doody make good points. I'm not trying to underestimate FoNE's business but I don't think they have the 45-80K Ferrari buyer in mind. And that is who is here. Look, the expansion of the middle class into the "lower upper class" or "upper middle class" has created a whjole slew of people who want the Ferrari name but can't plunk down the 150+K on a auto. They buy the 97 355 and drive a explorer in the winter, not a G-Wagen Benz. These people need to be served. In terms of Boston Sportscar's venture, what are the expenditure's? Do they have a showroom? Large facility? I'm assuming they are working off repair plates....if that's not a whim.....Also, I am DEFINETLY not looking for a license to sell brand new Ferrari's.
     
  6. Doody

    Doody F1 Veteran

    Nov 16, 2001
    6,099
    MA USA
    Full Name:
    Mr. Doody
    generally i don't disagree - broadly speaking it's easier to reliably make margin on higher priced items, but the last time i was in their showroom, they had a Mondial and a 328, along with the expensive stuff.

    they've got a real showroom in Seabury. there are pics on their web site. i do not believe they are operating off repair plates. they're not that kinda shop. and you wouldn't want to mess with insurance issues like that on expensive sports cars.

    that's good, 'cuz FNA isn't looking to give you a license ;)

    i think tom's suggestion to broker some cars and test the waters makes a ton of sense.

    doody!
     
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  8. scott61

    scott61 F1 Rookie

    Feb 11, 2004
    2,565
    North of Boston
    Ferrari of New england serving anyone except 15 customers in Wellsley and Weston?
    I live on the Northshore and I bought new Maserati from them so I think they are serving a few more than you think. With the new Pike extension I can get to them quicker than I could get to Ira Porsche in Danvers.
     
  9. 288_GTO

    288_GTO Guest

    Apr 7, 2004
    56
    Andover, MA
    Full Name:
    Mark
    I don't mean to disparage any of the current store's, especially a licensed New Ferrari Dealer, I really don't. I'm just looking to understand the climate out there for a more "casual" Ferrari buying expierience. It's good to know that you feel that way about FoNE. I feel like there is a certain intimidation tied to a new Ferrari shop, and again I think the market out there is for a "lower-end" Ferrari buyer. The Fearrai buying experience is not just for the extremely wealthy anymore, I think FoNE wants to cater to the New Ferrari customer, which is fine. I'm just curious if we as the Fearrai community in New England think there is a place for a used Ferrai shop.
     
  10. 288_GTO

    288_GTO Guest

    Apr 7, 2004
    56
    Andover, MA
    Full Name:
    Mark
    Exactly the imput I'm looking for. Thanks a lot. I think your point about brokerage might be a good one. Essentially I'm young enough to take some chances, and I think that if there is some way to make $ and be involved with something I'm really passionate about, like Ferraris, I want to consider it. I'm not here trying to throw mud on anyone, I just need some input from some people who know the local scene....

    Thanks again.
     
  11. scott61

    scott61 F1 Rookie

    Feb 11, 2004
    2,565
    North of Boston
    Due to the very limited numbers of Ferrari's produced I doubt that FoN only wants to cater to new Ferrari buyers. I would think they have to sell more used than new just to stay open. Even though I only bought a Maserati I found the experience buying from them very pleasant and without all the pressure and BS that I have got with buying other cars.
     
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  13. Darin3084

    Darin3084 Rookie

    Jan 8, 2004
    33
    Boston
    Full Name:
    Darin McCay
    All right guys and gals, here's is my 2 cents, which is probably worth one cent due to devaluation.

    Boston Sportscar entered into the sales business for the long haul. I am a jovial person, but dead serious about what I do. Since some of you know my father, I could not even think about doing anything on a whim....as long as his money is involved. Just a couple of quick points to help anyone make a wise decision on entering the ferrari business. Keep in mind I am 28 years old so don't expect too much wisdom or insight from me, I still have much too learn.

    1) You are going to need a lot of money. Whatever you figuire you may need to get up and running, Triple it.
    2) The competition is tough, all of my competitors are good at what they do and well capitalized.
    3) It takes several years to build a sucessful Ferrari Repair shop or Sales operation, then you'll get the curveballs of a bad economy, new competition or continually improving competition.
    4) Good cars are hard to find, think how long you shopped for your Ferrari or Porsche...Then you have to buy it at the right price and sell it for a profit. Then you have to warranty the car and stand behind it, should you want that customer to be a repeat customer. And we all know how expensive Ferraris are to fix.
    5) Dealer plates and insurance are very expensive.
    6) And, you will need good people around you to show you the ropes and help run the business, basically good contacts...and some of those good contacts are often your competition.

    So thats just my opinion and I in no way mean it to be arrogant, just what I learned. I do like Doody's point about underestimating competition. I would agree that once you do that, they have you beat...
    Darin
     
  14. Boston 7777

    Boston 7777 Rookie

    Apr 18, 2004
    37
    Hello, Im new the the forum but I have some dealer experience. When buying Ferrari's from auctions and wholesalers..it is very difficult to find clean cars. I went the the most recent manhiem auto auction in penn and west palm beach..and the majority of 360's had frame damage.. but these cars were still going for full price...pretty crazy in my opinion. Also the majority of people buying Ferraris..especially in the northshore would feel fare more comfortable buying from an authorized ferrari dealership..I think...these people do not just buy on impulse they search and hunt. I think if one wants to get into the car business one should really investigate the quality of cars that you can get.. i would hate to sell people junk.like many used dealerships do!
     

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