Stupid Ferrari sales question for the board

i absolutely think they do that... i also have absolutely no experience with Ferrari sales of ANY kind, in ANY aspect, AT all... However, the way Ferrari is marketed, so schmucks like me can go out and buy models and hats and stickers and lap tops and mouse pads and ash trays and pens and pencils and key chains and jackets and shirts and sneakers and duffel bags and paper weights and books and magazines and - yeah, i definitely think they have contests whose end, underlying results are saturated in profit... After all, it's sales.

 

WILLIAM

ILL HAVE THAT QUESTION ANSWERED TOMORROW BY A CREDITABLE SOURCE

BRUCE

 

My sources tell me there are NO contests. Only CSI is a factor at the end of the year for the dealer. FNA is not in the business of keeping the dealers happy. It's the other way around. Dealers bow to FNA demands otherwise the dealer is apt to see his allocation mysteriously cut. FNA has the power to bleed a dealer to death and force them out of business. It has happened many times.

 

sounds like the mafia

 

I have heard similar stories, except that not all dealers have the same stoke or lack of it, i.e., some of the older dealers actually have more pull with the factory than FNA, or so it might seem.

I have also been told that the business model for a Ferrari dealership (to the extent that such a thing exists) is very different from the standard car dealer model. That is, the typical dealership business model is very low profit per car, but this profit is free money so long as the dealer never has to pay any floor plan interest. Service pays the bills, and P&A pays the dealer.

A Ferrari dealer, being a very small volume shop, operates under a much different model. Namely, every aspect of the dealership has to pull its own weight. Then when you factor racing into the equation (and not all Ferrari dealerships activitly support racing), the situation changes even further.

And DES, remember that most of the profit from the trinkets go to the factory under its licensing program.

Given all this, I would find it hard to believe that the factory, FNA, or even the dealers would even give a hoot as to who was "Dealer of the Year." Remember, you don't take percentages to the bank.

I don't have any one source for this info. This is just what I have picked up talking to folks around the country. I'd love to hear what anyone else has heard. I don't really care what a Ferrari dealer makes or doesn't make. My interest lies more in understanding how boutique retailers thrive in the age of big boxes.

DrTax

 

Remember this. If Ferrari was only about making more money, they could easily produce & sell many more cars. Ferrari is NOT Porsche. Mr. Ferrari only sold cars to support his racing habit.
I think most dealers sell Ferrari because they have a passion for Ferrari. Yes, they must make money but it is not the number one thing in their life.

 

Based on what I heard from the sales man at the dealer, they are not even commissioned. It was a bit of surprise that whatever the volume they sell don't affect their income as they are salaried.

In that essence, dealers are not competing to each other. I contacted FoHouston, but they refer me to buy from FoDallas (I think these 2 are owned by the same group or person)

Has anyone here bought F-car from outside F dealer of your state? I wonder is this possible, especially for a new car.

I wish Audiguy will see this site. He can give you an answer!