employee discount ruining truck resale?

[bob1527]

not that i care cause i keep my vehicles till theyre worth about a couple hundred, but do you think that the the employee discount is going to lower the resale of our trucks? in short run and long run?

[OnBelay]

I have no doubt resale values are going to be smacked real hard; the dealers in this area are already using wholesale values instead of trade in values for anyone who wants to buy. This includes used car dealers; all the dealers have pretty much given up on using blue book value for trade in. Of course, they are still asking full retail ook value for the vehicles on their lots.

 

I got into a discussion with 5 dealer principals at a meeting last week on this topic; none of them would predict what's going to happen in the next two years, but they all agreed the consumer is going to keep paying and they have no intention of losing this kind of profit margin for long...

[Mark_in_Tulsa]

Yeah I talked to a Chevy salesman the other day, and he said that the biggest draw back of this sale is that soon afterwards Chevy won't be able to make that claim of keeping there resale value better than everyone else anymore.

[mmmikkke]

Yeah I talked to a Chevy salesman the other day, and he said that the biggest draw back of this sale is that soon afterwards Chevy won't be able to make that claim of keeping there resale value better than everyone else anymore.

 

<{POST_SNAPBACK}>

 

 

That would happen if Chrysler and Ford hadn't jumped on the bandwagon. But they have, so it'll be a wash.

[Mark_in_Tulsa]

Yeah I talked to a Chevy salesman the other day, and he said that the biggest draw back of this sale is that soon afterwards Chevy won't be able to make that claim of keeping there resale value better than everyone else anymore.

 

<{POST_SNAPBACK}>

 

 

 

 

Dodge really didn't lower their prices that much....before the sale they had huge rebates. Now they just call it employee prices instead of a rebate.

[Elwood 2000]

Guys, since the huge rebates and zero percent interest, the value of used stuff has gotten a lot cheaper! When I bought my Suburban last December, the new '05s were out, with large rebated, there was tons of new '04s out on the lots with larger rebates and the '04 that I bought with 8500 miles on the clock and in perfect condition was extremely cheap. I paid well below $30k for the same thing that new I would have paid $7k more for an '04 and $10k more for an '05. I am sorry, but for $10k in my pocket for a perfect and blemish-free vehicle, I am not to proud to sit in an 8500 mile old seat.

 

 

When the new stuff gets cheap, the used stuff gets even cheaper. The dealers are in the business of making money and no matter what the situation, they will still do it. If they take less on new stuff, they will make it up on used product. Besides, if the new stuff is cheap, they had better have a dirt cheap price on something used to be attractive to a buyer vs. new and to do that, what they give you as a trade in will be very low.

 

It is a buyers market, not a sellers!