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MANY UNSOLD NEW 2005's in dealer's lots in Miami

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Old 07-03-2006, 10:35 PM
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THECORVETTEMANN
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Default MANY UNSOLD NEW 2005's in dealer's lots in Miami

While I am waiting for my 2007 to be built next in a few weeks, just for the heck of it I called around local dealers to see what's on their lots.

I was astounded to learn how many unsold brand new 2005's were still around. The C6 was red hot when introduced last year and is supposed to be GM's "crown prince" - so how can there be so many deadbeat 2005's still unsold?

Plenty of coupes and convertibles with MSRP in all ranges - in all colors. Never titled cars on original MSO - not lease buybacks or order cancelations.

The odd part is that the dealers are not giving good deals on these cars either. I can buy a new 2007 for less money than these dealers want for two year old cars !!! Does not make sense.

Also, there are hundreds of unsold 2006 models too - many with old VIN numbers built back in October and November, 2005. These are 8 month old cars sitting with no buyers.

There are no sales incentives from GM for the C6, and the dealers must be choking on their floor plan interest carrying these 55-65 thousand dollar cars.

It is troubling to learn that C6's are not selling so great as reported in the published sales statistics. It concerns me that a two year old C6 has no market in an area where Corvette sales are the hottest in the country.

Any comments from any forum dealers??

Last edited by THECORVETTEMANN; 07-03-2006 at 10:38 PM.
Old 07-03-2006, 10:42 PM
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I keep seeing the same three verts in so. Florida on Ebay...the reserve is higher than I can buy an '06 for....
Old 07-03-2006, 10:44 PM
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I am puzzled too. That is NOT at all what I have seen here in palm beach county. Most dealers have little to no C6 inventory thats whay I ordered. Maybe a certain dealer got a "deal" on excess inventory? Don't knoe, but that is far from what I have seen here.
Old 07-03-2006, 10:47 PM
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Same here in TX. Serves the dealers right for being so greedy when the C6 first came out. On the other hand, it's killing trade in or resale value for those of us that would like to trade for a different Vette.
Old 07-03-2006, 10:53 PM
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It makes me wonder if the sales stats are based upon cars built, cars shipped to dealers, or cars actually sold.

IMO the market is flooded with C6's. Also, GM sold some 6000 Z06s in '06. I believe that a significant percentage of these were purchased by people who would have bought a regular C6. Hence, C6 sales are negatively impacted by Z06 sales.

Check out the TOTAL sales of C6s both regular and Z06. It's about the same as any 'normal' vette sales year in the past 10 years or so.

This indicates that perhaps there is a total available market for any flavor of C6 and all GM really accomplished with the Z06 is cutting up the pie diffenently and perhaps making a bit more per sale on each Z06 than on a C6?

Just think of buying an unsold '05 now! DBS, roof, crank pulley etc and normal depreciation. IMO a good price would be no less than $10k off msrp.

Now the 07s will be flooding the market and Z06 supply will eventually catch up with demand. Also, the roof fiasco might, IMO, result in dampening of C6 sales until it is actually remedied?

all IMO.
Old 07-03-2006, 10:55 PM
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Originally Posted by THECORVETTEMANN
It is troubling to learn that C6's are not selling so great as reported in the published sales statistics. It concerns me that a two year old C6 has no market in an area where Corvette sales are the hottest in the country.??
Says you, because you called a few dealerships.
Old 07-03-2006, 10:58 PM
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Those dealers will probably take a big loss!!
Old 07-03-2006, 11:00 PM
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OregonC6 "Now the 07s will be flooding the market and Z06 supply will eventually catch up with demand. Also, the roof fiasco might, IMO, result in dampening of C6 sales until it is actually remedied?"
It is the main reason tha I am holding off on buying a Z06. I feel that the prices will come down wit in the next year. Espcially if the Blue Devil super Vette is built.in 2008.
Old 07-03-2006, 11:02 PM
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Originally Posted by eagles6998
Those dealers will probably take a big loss!!
Their greed ........ Their problem !
Old 07-03-2006, 11:11 PM
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Car manufacturer sales are based on shipments to dealers, and not sell through. Sell through would be sales to customers from dealers.

In and around the Philadelphia area at least, there are very few '06 vettes still on lots. The only ones seem to have been delivered the last couple of weeks.

Maybe those '05s are cars that were sold distressed from hurricane affected areas in Louisiana, TX, et al! Flood victims?
Old 07-03-2006, 11:11 PM
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Originally Posted by Wayne88
Says you, because you called a few dealerships.

I live here in Miami and I can only report what I have found in our area. I checked elsewhere in the Southeast US, and there are many dealers sitting with unsold inventory of C6's.

It's gotta hurt resale values down the road.
Old 07-03-2006, 11:12 PM
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Just because there are cars available now doesn't mean the market's flooded with C6's. These cars are still in high demand. I believe (IMO) the problem some dealers have is they are stuck on getting a certain price for the car while other dealers will settle on making a modest profit margin. I believe these type dealers will sit on these over-priced cars until they HAVE to sell them, and by that time they will lose their azz on them because they will be close to two years old. As with ANY new model that is highly desirable, it's going to be marked up for those who want it first. Supply catches up and things 'normalize' somewhat.

Just like I keep seeing all these posts 'why is everyone selling their Z06' There's over 6,000 of them out there. I don't see thousands or even hundreds for sale!?!?! Think some people may be jumping the gun on thinking the cars are not doing so well. Look for any model car on the road that's over 6 months old and I guarantee you will find them for sale used already.
Old 07-03-2006, 11:14 PM
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Originally Posted by beden1
Maybe those '05s are cars that were sold distressed from hurricane affected areas in Louisiana, TX, et al! Flood victims?

I checked and the stickers are listing the Miami dealers names on the cars - not being traded from dealers elsewhere.

Run gmbuypower.com and you'll see hundreds of unsold C6's everywhere in Miami & Ft. Lauderdale.
Old 07-03-2006, 11:28 PM
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It shows that the law of supply and demand is alive and well. Dealers that have new 2005's are not finding buyers willing to pay the price they are asking because the buyers can get a newer car for less from someone else. These dealers ignore reality at their own peril and I have no sympathy for them. The real fool will be the person who buys a 2 year old car from them at their unrealistic price.
Old 07-03-2006, 11:29 PM
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Originally Posted by Bobby G
It shows that the law of supply and demand is alive and well. Dealers that have new 2005's are not finding buyers willing to pay the price they are asking because the buyers can get a newer car for less from someone else. These dealers ignore reality at their own peril and I have no sympathy for them. The real fool will be the person who buys a 2 year old car from them at their unrealistic price.
Old 07-03-2006, 11:39 PM
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Originally Posted by THECORVETTEMANN
I checked and the stickers are listing the Miami dealers names on the cars - not being traded from dealers elsewhere.

Run gmbuypower.com and you'll see hundreds of unsold C6's everywhere in Miami & Ft. Lauderdale.
That's a good site that I didn't know about. Thanks for the information. There are 33 - '06 ZO6s, 50 - C6 coupes, and 50 - C6 convertibles within a 275 mile radius of my location. I question these numbers a bit because of the coincidence of 50 coupes and 50 verts?

133 total vettes within a 275 mile radius is more than I would have thought at this time of year. Maybe you're onto something!
Old 07-03-2006, 11:45 PM
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Maybe if GM would have dealt with the roof problem instanly in 05 the 06 would not be so hard to sell. Everyone knows about pulley, dead battery, roof and on and on.
Don't buy now wait until the price free fall

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Old 07-03-2006, 11:47 PM
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Default Part of an article a freind sent me...GM STRUGGLES,NOT THE VETTE

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Following the passage of more strict environmental regulations in the 1970s affecting the car’s production in St. Louis, GM then transferred its Corvette facilities to a building that had been a Chrysler air conditioning unit factory in Bowling Green.

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© 2006 The ***
NOTE:Sales off 26% !!!
Old 07-03-2006, 11:50 PM
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beden1
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Originally Posted by jesse12804
NOTE:Sales off 26% !!!
That's for all GM car sales. I read somewhere that Corvette sales were actually up over '05. Still though, that doesn't count the cars sitting at the dealerships.
Old 07-03-2006, 11:53 PM
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Originally Posted by Bobby G
It shows that the law of supply and demand is alive and well. Dealers that have new 2005's are not finding buyers willing to pay the price they are asking because the buyers can get a newer car for less from someone else. These dealers ignore reality at their own peril and I have no sympathy for them. The real fool will be the person who buys a 2 year old car from them at their unrealistic price.
You are correct!! Some dealers had market adjustments on the 05's and would not negotiate.....fast forward two model years later and they are sitting on these because they didn't react....like last year to offer better pricing on their 05's when the 06's hit the lots. The same thing happened with the 04 GTO's...market adjustments etc...and there are probably 04 GTO's still untitled out there just like some 05 C6's.


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