Dealer selling new Shelby's at $5K over invoice!!!

[rcn4him]

Dealer selling new Shelby's at $5K over Sticker!!!

Stopped at a few SVT dealers in the Metro Milwaukee area, two will put your name on a pre-order list and one, claiming to be the largest SVT dealer in the state, has 4 people that put 1K down and signed contracts for the car at $5k over Sticker which they said to be around 40 -45K. They claim they will gaurantee a car?? I would love to have one gauranteed but at 5K over invoice?

BTW, This is a reputable dealer and I bought a few new trucks for my business from the same salesman who has been thier for about 5 years.

What do you think?

 

[ExCon]

So thats $50,000.00 for a Mustang? That will be the day!! Total insanity!

 

[EarlB]

It's all supply and demand. Think how lucky someone that would have reserved a Ford GT for $5k over MSRP ($140k) a year before release would have been once they hit the dealer lots and began selling for bids at $230k...

I would not count on the Shelby's selling for anywhere near $5k markup once they hit the dealers lots. There aren't going to be enough of them to go around for all that want one.

Earl

 

[degins]

It's all supply and demand. Think how lucky someone that would have reserved a Ford GT for $5k over MSRP ($140k) a year before release would have been once they hit the dealer lots and began selling for bids at $230k...

I would not count on the Shelby's selling for anywhere near $5k markup once they hit the dealers lots. There aren't going to be enough of them to go around for all that want one.

Earl

Respectfully, I'm not so sure. The GT500 is not going to be a flagship lost leading exotic. I think Ford has image in mind in marketing the Ford GT. The GT500, on the otherhand, will be built on the line just like the V6s and Ford will undoubtably build as many as we are willing to buy.

IMHO by the time it comes out gasoline will be $4.00/gallon (like everywhere else in the developed world) and the market will be limited.

 

[SVTdriver]

Stopped at a few SVT dealers in the Metro Milwaukee area, two will put your name on a pre-order list and one, claiming to be the largest SVT dealer in the state, has 4 people that put 1K down and signed contracts for the car at $5k over invoice which they said to be around 40 -45K. They claim they will gaurantee a car?? I would love to have one gauranteed but at 5K over invoice?

BTW, This is a reputable dealer and I bought a few new trucks for my business from the same salesman who has been thier for about 5 years.

What do you think?

I'm thinking you mean $5k over MSRP. Since $5k over invoice is not all that much of a markup.

 

[EarlB]

As I understand it, production is capped next year on the Shelby at 7500 units. As long as the demand is not significantly more than that - it would stay around MSRP.

I for one can't get it as I A) allready have a GT and B) wouldn't pay 40-50k for a 'stang.

But there are plenty that could.

Ford produced in excess of 60,000 GT's this year alone (35% of a production figure of 180,000). Thats alot of GT's and alot of Mustangs.

That 7500 Shelby figure seems low to me when you judge it next to the fact that an honest to goodness muscle car Shelby Cobra Mustang hasn't been made in 30 years. And that this thing will eat up and spit out just about anything on the road.

Earl

 

[rcn4him]

I'm thinking you mean $5k over MSRP. Since $5k over invoice is not all that much of a markup.

Correct (MY BAD)

 

[srichard]

I think the GT500 will be a great investment especially if they only produce 7500 a year for two or three years. Can you say hello Barret Jackson in 15 to 20 years.

 

[graphicguy]

I think the GT500 will be a great investment especially if they only produce 7500 a year for two or three years. Can you say hello Barret Jackson in 15 to 20 years.

There will be no cap on production of the Shelby. Ford has said they'll make as many as people want. Now, you have to temper that comment with the fact that Ford can't make as many Mustang GTs as people want, but the fact remains, there is no 7,500 unit cap on the upcoming Shelby.

Regarding the $5K over MSRP.....personally, I'd be buying a 'vette for $45K-$50K if the Shelby is being sold at anywhere near that price.

 

[EarlB]

Do you have any public or media statement to that effect?

Everything I have read has said production will only be 7500 units for the first several years.

That ain't alot of cars. Which is the point.

You think Ford who learned that if you produced a few amount of cars with the GT and sold them for near 100% dealer markup is going to crank out something just simply to meet demand and receive a lower profit?

Also there are the federal EPA regulations. You can be damn sure that Ford would sell more GT's than 35% of the total Mustang production (look at all the V6's sitting on any lot you go to and the lack of GT's) if they go over that amount they get into problems with the federal emissions guidelines and low emissions compliance.

I wouldn't hold my breath for Ford to drastically ramp up production of the Shelby. One of the determining factors in peoples purchase is that it is a limited production car. And they are going to be more than happy to pay for it.

Earl

 

[GottaBeRed]

I wouldn't bet that production would even rise to the 7500 unit production level for the Shelby 500GT.

First, Ford has stated that GT production will be roughly 30% of total Mustang production - anybody seen a glut of GTs on Dealer lots lately ?

For that matter does anybody remember seeing any Mystic Cobras or an over abundance of '95 or 2K Cobra Rs decorating showroom floors, heck I can barely remember seeing the Bullitt available from a Dealer.

So to say that Ford will produce Shelby GTs to meet demand is an overestimation in my opinion. I wouldn't even put it past Ford to limit the color volumes produced of any single specific color - - say 1,500 total max units produced similar to that special edition '93 white on white thing that Ford had going.

 

[graphicguy]

I wouldn't bet that production would even rise to the 7500 unit production level for the Shelby 500GT.

First, Ford has stated that GT production will be roughly 30% of total Mustang production - anybody seen a glut of GTs on Dealer lots lately ?

For that matter does anybody remember seeing any Mystic Cobras or an over abundance of '95 or 2K Cobra Rs decorating showroom floors, heck I can barely remember seeing the Bullitt available from a Dealer.

So to say that Ford will produce Shelby GTs to meet demand is an overestimation in my opinion. I wouldn't even put it past Ford to limit the color volumes produced of any single specific color - - say 1,500 total max units produced similar to that special edition '93 white on white thing that Ford had going.

Production was stated in one of the trade annoucements from someone in the SVT team. They said they'd build as many as people would buy.

I'll have to dig through all the PR, but it's there.

 

[degins]

Of course Ford will limit production of the GT500. They will limit it to the number they can sell! They are in the business of maximizing their profit, not creating opportunities for dealers to demand additional profit over MSRP. The 7500 figure that has been quoted here is probably the antiscipated production. Remember, we are speaking about a $45,000 Mustang. Are any modern (post 73) special edition Mustangs commanding significant investment returns? I doubt it. IMHO the Shelby mystique will not be reproduced.

 

[SVTdriver]

For that matter does anybody remember seeing any Mystic Cobras or an over abundance of '95 or 2K Cobra Rs decorating showroom floors.

Actually I have seen a glut of mystic Cobra's. One of the dealers up here had 3 on the lot. And another dealer had 2 on the lot. Most other dealers had only 1. But that seemed like a lot of mystichrome at the time. Now as far as Cobra R's noone saw those on lots. But you are talking less than 1000 Of all years combined. And I believe you had to have a competition license to buy the 93 and 95 models. And as far as 03/04 Cobra's . It wasn't until just very recently that the last of those disappeared off dealer lots.

 

[SVTdriver]

You think Ford who learned that if you produced a few amount of cars with the GT and sold them for near 100% dealer markup is going to crank out something just simply to meet demand and receive a lower profit?

Earl

You might want to read how cars are sold. The dealers are not owned by Ford. And they make no additional mark-up when a dealer asks for more than MSRP.

 

[stanmckinney]

The 2003 and 2004 Mach 1s were supposed to be limited in production too. Ford produced more than it said it would. At the end, new Mach 1s could be bought for invoice or less. I bought a new 2003 for $24,000 including taxes. I was asked, a year earlier, $34,000 plus tax. The car stickered for $29,000. After almost a year on the lot, the dealer was willing to take much less. Many paid way over sticker at first and then Ford produced more and the price dropped. Ford will build as many as it can sell. Who wouldn't? Ford is in business to make a profit after all.

 

[EarlB]

SVT you are right and so am I. I meant the DEALER (used the word Ford - hell Honda or Chevy wouldn't have been appropriate, they are FORD dealers afterall) as is the case with the Ford GT. They will sell these Shelby's for whatever the market can bear.

It is simple. If the demand is great and people are wanting to pay $10k or more over MSRP to get the Shelby - then that will be the price to pay. Simple supply and demand.

Meaning no offense to anyone. This ain't no mach1 or any other mustang that has ever seen the light of day for more than 30 years. It is a genuine Carol Shelby associated Shelby Cobra GT500 mustang with an engine more powerfull than any production engine ever put in a mustang. Ontop of all of that, it has appeal and retro characteristics with the original GT500 - cars that cost twice what this one will but won't come with a 100,000 mile bumper to bumper extended warranty and hassle free (well I use that sorta loosely as my GT is there all the damn time!) maintenance and repairs. Not only that, but the car will eat up and spit out opponents that cost 3-4 times its MSRP.

For those that hope to get it at MSRP I hope you do, I really do. But just don't be surprised if you can't find a dealer that will do it if the supply and demand is such that they can ask and receive a premium (remember some of these same dealers do it NOW on regular Mustang GTs).

Earl

You might want to read how cars are sold. The dealers are not owned by Ford. And they make no additional mark-up when a dealer asks for more than MSRP.

 

[SVTdriver]

SVT you are right and so am I. I meant the DEALER (used the word Ford - hell Honda or Chevy wouldn't have been appropriate, they are FORD dealers afterall) as is the case with the Ford GT. They will sell these Shelby's for whatever the market can bear.

It is simple. If the demand is great and people are wanting to pay $10k or more over MSRP to get the Shelby - then that will be the price to pay. Simple supply and demand.

Earl

Yet you are comparing the Ford GT which is making about 1000 a year. And has some serious racecar roots (Arguably more than the mustang). With a car that if you agree with the minimum #'s. Is going to be about 7500 per year. And while yes it will likely be hard to get one in the first year. As the years go by you will be able to get them for less than MSRP. Just like the 03 Cobra's. Yes there were a few people who were willing to pay the premium. But by the end. You could get deals on the even more limited Mystichrome versions.