Order from cheapest dealer & drop ship to local dealer for FREE courtesy delivery
#1
Melting Slicks
Thread Starter
Order from cheapest dealer & drop ship to local dealer for FREE courtesy delivery
An old college friend works for one of the vendors that develops marketing and training materials for the various GM brands. He just got assigned to Buick and Chevrolet. He mentioned that his department just produced, on behalf of Chevrolet marketing, a guide describing a revamped "courtesy delivery" program that will start in June 2018. This allows a customer to factory order a vehicle from any dealer and have it drop-shipped [aka "courtesy delivered"] to any other dealer of the same make for no extra charge. This is a boon for the volume Corvette dealers who generally undersell most Chevy locations. A buyer can order their car from one of the giants offering the lowest price and their local dealer, as part of their "franchise" agreement, is obligated to receive the car, perform PDI and deliver to the purchaser for no additional charge. And they are obligated to fill the tank, per GM's PDI guidelines. The selling dealer merely specifies on the factory order the dealer code for the store who is to make delivery and includes order code AF for ARRIVAL FINAL delivery. Factory will build vehicle and drop-ship to any Chevy dealer specified on the order.
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#2
That's the way it should be. I hope this comes to fruition.
#4
Pro
Not sure I like the idea. If dealers are forced into it, how well will they treat the car upon receipt? I would also expect the price to go up some on the cars as the dealers would need to be compensated by GM. They are not going to be doing this for free. Right now prices are relatively reasonable for courtesy delivery, but if corporate gets involved, that could go out the window.
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Maxie2U (04-01-2018)
#5
One can never be 100% right but I would be very skeptical that your friend is right. I really can't see GM trying to draw a line in the sand for something that will not sell more cars. GM cannot make unilateral decisions as to what is in the franchise agreement. GM would also have severe restrictions as to how they could enforce such an idea. There are 50 state laws governing every GM dealer and every state is different.
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#6
April fools???
Last edited by VroomAB; 04-01-2018 at 09:23 AM.
#7
Melting Slicks
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Not sure I like the idea. If dealers are forced into it, how well will they treat the car upon receipt? I would also expect the price to go up some on the cars as the dealers would need to be compensated by GM. They are not going to be doing this for free. Right now prices are relatively reasonable for courtesy delivery, but if corporate gets involved, that could go out the window.
I'm curious how this change would compare to how courtesy deliveries are currently called out in the current "franchise agreements" because we all know from the multitude of posts on the forum that many dealers inflate their courtesy delivery prices and/or outright refuse to do them at all.
That's the more likely explanation.
#8
I'm curious how this change would compare to how courtesy deliveries are currently called out in the current "franchise agreements" because we all know from the multitude of posts on the forum that many dealers inflate their courtesy delivery prices and/or outright refuse to do them at all.
That's the more likely explanation.
#9
Le Mans Master
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I don't see any dealer in California, Las Vegas, Florida, Hawaii letting local residents order or buy cars from the big east dealers and they have to take courtesy delivery? GM can't force them to do this? Their argument will be I sell the car at this price and I don't want or need to compete against dealers not in my market area.
#10
Le Mans Master
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St. Jude Donor '15-'16,'18
This must be an April Fools joke. If true, it will **** off a lot of dealers who are selling Corvettes for full MSRP or more. The only plus might be picking up some additional service work.
#11
Yes, I'm skeptical that this is enforceable through the franchise agreement as well, and simply wished it could be. Perhaps, GM will make this an "emphasis item" in communications w/ dealers, but I doubt they can force them to accept courtesy deliveries. Perhaps if they provided more incentives to do so, it might make it easier for customers to find a dealer who will do a courtesy deliver.
#12
Racer
Originally Posted by Bob Paris
An old college friend works for one of the vendors that develops marketing and training materials for the various GM brands. He just got assigned to Buick and Chevrolet. He mentioned that his department just produced, on behalf of Chevrolet marketing, a guide describing a revamped "courtesy delivery" program that will start in June 2018. This allows a customer to factory order a vehicle from any dealer and have it drop-shipped [aka "courtesy delivered"] to any other dealer of the same make for no extra charge. This is a boon for the volume Corvette dealers who generally undersell most Chevy locations. A buyer can order their car from one of the giants offering the lowest price and their local dealer, as part of their "franchise" agreement, is obligated to receive the car, perform PDI and deliver to the purchaser for no additional charge. And they are obligated to fill the tank, per GM's PDI guidelines. The selling dealer merely specifies on the factory order the dealer code for the store who is to make delivery and includes order code AF for ARRIVAL FINAL delivery. Factory will build vehicle and drop-ship to any Chevy dealer specified on the order.
#13
Let me tell you why it won't work. In 2017, GM sold slightly over three million cars in the U.S. Less than 1% of those were Corvettes. There are three thousand Chevy dealers in the U.S. and to be in the top fifty Corvette dealers, you only had to sell 54 cars.
The other 2950 dealers were comprised of all different sized dealers but often they sold more than 3,000 cars without selling 50 Corvettes. Do you really think GM is stupid enough to **** off a dealer in Arizona selling 3,000 new cars a year because some local thought he was the smartest guy in the world and wants to order on-line and force the local dealer to accommodate him? I don't think so!
The other 2950 dealers were comprised of all different sized dealers but often they sold more than 3,000 cars without selling 50 Corvettes. Do you really think GM is stupid enough to **** off a dealer in Arizona selling 3,000 new cars a year because some local thought he was the smartest guy in the world and wants to order on-line and force the local dealer to accommodate him? I don't think so!
#14
Race Director
NEVER HAPPEN.. gotta love April 1st!
#15
Melting Slicks
Thread Starter
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G8R-Vette (04-01-2018)
#17
Team Owner
Back in 1970, GM did have a program where you could buy a car that another dealer had in stock, and it would be delivered from the one dealer that had the car to another dealer at no charge. I don't know if there was any mileage restrictions between dealers though.
The large Chevy dealer in North Little Rock, AR had the car I wanted in his showroom but would not come off MSRP. I went to the small Chevy dealer in Searcy, Arkansas and he got the car from the dealer in North Little Rock, and sold it to me for 10% under MSRP. The dealer in North Little Rock HAD to give the dealer in Searcy the car(for money of course). He could not refuse as GM wouldn't let him.
I have no idea how long that program lasted.
The large Chevy dealer in North Little Rock, AR had the car I wanted in his showroom but would not come off MSRP. I went to the small Chevy dealer in Searcy, Arkansas and he got the car from the dealer in North Little Rock, and sold it to me for 10% under MSRP. The dealer in North Little Rock HAD to give the dealer in Searcy the car(for money of course). He could not refuse as GM wouldn't let him.
I have no idea how long that program lasted.
Last edited by JoesC5; 04-01-2018 at 03:12 PM.
#18
JoeC5,
I don't know that an independent Chevrolet dealer must sell his new Chevs. to any other Chev. dealer, on demand. It used to be done a lot back in the '60s & '70s, but the relinquishing dealer probably did for a few bucks. Not forced into it.
I don't know that an independent Chevrolet dealer must sell his new Chevs. to any other Chev. dealer, on demand. It used to be done a lot back in the '60s & '70s, but the relinquishing dealer probably did for a few bucks. Not forced into it.
#19
E-Ray, 3LZ, ZER, LIFT
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Have to believe that is more like it! The dealers would have that in court before the ink was dry! Those old Franchise agreements are tough and are litigated by State. GM could not even do the logical thing with Olds, cut the number of dealers. Had to eliminate the brand!
Last edited by JerryU; 04-01-2018 at 03:44 PM.
#20
Back in 1970, GM did have a program where you could buy a car that another dealer had in stock, and it would be delivered from the one dealer that had the car to another dealer at no charge. I don't know if there was any mileage restrictions between dealers though.
The large Chevy dealer in North Little Rock, AR had the car I wanted in his showroom but would not come off MSRP. I went to the small Chevy dealer in Searcy, Arkansas and he got the car from the dealer in North Little Rock, and sold it to me for 10% under MSRP. The dealer in North Little Rock HAD to give the dealer in Searcy the car(for money of course). He could not refuse as GM wouldn't let him.
I have no idea how long that program lasted.
The large Chevy dealer in North Little Rock, AR had the car I wanted in his showroom but would not come off MSRP. I went to the small Chevy dealer in Searcy, Arkansas and he got the car from the dealer in North Little Rock, and sold it to me for 10% under MSRP. The dealer in North Little Rock HAD to give the dealer in Searcy the car(for money of course). He could not refuse as GM wouldn't let him.
I have no idea how long that program lasted.