RE: 911 R supply needs to be limited: TMIW

RE: 911 R supply needs to be limited: TMIW

Thursday 17th March 2016

911 R supply needs to be limited: TMIW

Angry you can't get a 911 R? Here's why Porsche isn't losing any sleep over it



Guilty as charged, we at PH, along with the rest of the motoring media, are entirely complicit in Porsche's skillfully managed hype programme supporting the launch of the 911 R. They're not daft. Put some stripes on a 911, a howling flat-six in the back and a few lightweight bits to tempt the purists, wheel out blokes' bloke Preuninger for the adoring hacks to discuss lightweight flywheels with then sit back and see the limited production run fly off the shelves.

Job jobbed.

Also compulsory in the cycle of such things is a huge backlash of extremely angry people spurned by their Official Porsche Centre and unable to secure a car. Not having £140K to spend on a 911 I'm not sure how I'd feel about this. But those in a position to do so seem very, very cross about being refused the opportunity to hand over a six-figure sum to a Porsche dealership, as if this were some basic human right.

The gift that keeps on giving!
The gift that keeps on giving!
Flip ya for real
Allegations of dodgy deals between salesmen and the hated 'flippers' or closed-door conspiracies between OPCs and favoured customers are prevalent, likewise a sense of betrayal that ownership of previous limited edition Porsches doesn't necessarily 'entitle' you to buy the next. Basically I think this comes down to a particularly British hatred of queue jumpers, especially if they happen to be foreign (an alleged 'first dibs' offer for American 918 Spyder owners included) and/or 'new money', able to pay their way into their dealer's good books rather than graft away dutifully buying one GT3 after another. Because that'd be such an onerous process to have to go through, right?   

Nice as the 911 R sounds I like to think if I were denied the 'right' to buy one I'd be a little more gracious in defeat and enjoy pondering how or where else I might spend my £140K. As a pal did when he failed to secure a Cayman GT4 from the last round of indignant huffing about limited Porsche availability. His response was to go out and spend the money on a 997 GT3 instead, proving Preuninger right that those disillusioned with the current mainstream Porsche range are spending their money on classics from the back catalogue. If Porsche can be seen to cater to a select number of those people with a new car while underpinning values (financial and dynamic) of those older models it's simply smart brand management.

Collectors or enthusiasts in the 991 customers?
Collectors or enthusiasts in the 991 customers?
Demand less supply
But why (oh why, oh why, etc) doesn't Porsche just build as many 911 Rs as people claim to want to buy? Preuninger told us they're physically limited by the allocation of spots on a production line shared with Carreras, Targas, Turbos and Cabriolets, and there are only so many cars Zuffenhausen can build. But he admitted a car like the R also has to have an air of exclusivity about it. In order for it to work there has to be a sizeable number of people denied the ability to buy one.

In the fascinating thread that followed our Preuninger interview there were many interesting contributions. I don't agree with everything regular poster CMoose puts up but he nailed it in one particular post, basically saying if Porsche had just quietly introduced these features as options for the regular Carrera for the purists out there to spec as desired it wouldn't have sold 91 cars so-equipped, never mind 991. And Porsche will be only too aware of previous examples of manufacturers offering critically acclaimed, driver-focused and purist-friendly models to the market only to find buyers actually didn't give a flying one - reference the sluggish sales of the E46 M3 CSL and Renault failing to find customers for its full UK allocation of R26.Rs as proof. Closer to home the 964 RS languished unloved more or less ignored by the mainstream for close on two decades.

Well we have been here before...
Well we have been here before...
Know your enemy
Prime examples of all these cars are now seen as appreciating assets among collectors and enthusiasts. But only on the basis there aren't many around. Unless demand outstrips supply cars like this remain on the fringes, most OPC customers happily oblivious and speccing up their Carreras with PDK, rear wipers, sunroofs and all manner of baubles purists sneer at a few years down the line when looking for a 'pure' examples to hype as the next sure-fire investment.

For all the romanticised gushing Porsche is, in the end, a business. One whose strength permits the enthusiasts among its ranks like Preuninger licence to build a few cars that help shore up the legend and protect the brand. So long as a few of those cars make it into the hands of like-minded folk and get driven as intended it's mission accomplished. Clearly, being denied the chance to be one of them will annoy a few folk. But in the grand scheme of things worse has happened.

Enjoy pondering how far your £140K will get you in the classifieds if you need any further convincing...



 

 

[Cayman GT4/ GT3 RS image: Sim Mainey]

 

Author
Discussion

JMF894

Original Poster:

5,513 posts

156 months

Thursday 17th March 2016
quotequote all
I think Porsche have taken the mickey for a long time now, what with the price of options, limited numbers etc.

It's a well known fact the profit margins on some models are the biggest in the business.

I for one would take my (admittedly hypothetical) money elsewhere.

shantybeater

1,194 posts

170 months

Thursday 17th March 2016
quotequote all
Great article and well summed up. Another point - exclusivity is part of the reason people are queuing up for the 911R. I for one love driving a car you don't see everyday, whether it be my 996T or my little 4 grand Lupo GTi. The experience of ownership would not feel as special in my opinion.

cognac1979

106 posts

102 months

Thursday 17th March 2016
quotequote all
Fair enough if that's Porsches business strategy but why do the motoring press feel obliged to prop up their marketing strategy by continuing to feature such cars for a long period of time after the launch and well after the point that all these cars are sold out?

I don't think cars such as the Cayman GT4 and 911R should be included in group tests as these cars are not available to buy, it doesn't matter how good they are.

Muzzer79

10,065 posts

188 months

Thursday 17th March 2016
quotequote all
JMF894 said:
I think Porsche have taken the mickey for a long time now, what with the price of options, limited numbers etc.

It's a well known fact the profit margins on some models are the biggest in the business.

I for one would take my (admittedly hypothetical) money elsewhere.
It's becoming an increasingly common business model that to make something premium, you build less of it and make it limited supply.

With limited numbers comes exclusivity and £££ in years to come - look at GT3 4.0's and several other examples.

Ferrari do the same thing, as do several other manufacturers. As long as there is demand, they won't give a stuff where your (hypothetical) money goes.

It's not taking the mickey - it's good business sense.

Ursicles

1,070 posts

243 months

Thursday 17th March 2016
quotequote all
That would be an interesting proposal ... exclude the limited edition cars from group tests as they arent avaliable to actually purchase.

Would prob kill demand for the cars a bit if we didnt know how good they were.

FYI, ill be reviewing unicorn steak in my next blog, trust me its amazing .... you would have loved to try it ... but all finished. But trust me, unicorn steak is the best.

But you will never know.

Sway

26,337 posts

195 months

Thursday 17th March 2016
quotequote all
"Prime examples of all these cars are now seen as appreciating assets among collectors and enthusiasts. But only on the basis there aren't many around."

True, however look at consistent demand for mk1 & 2 mx5s. Produced in huge numbers, not something anyone gets particularly excited about - yet admired/loved/appreciated by a huge number of people - people who can afford them second hand.

In the previous thread, it was stated the margin on the R will be significantly less than a Turbo S with choice options. Mental. Significant increase in parts count, expensive stiff like variable vane turbos, pdk box - yet cheaper to produce than an R. Purely due to volume.

So the summary of this article is - "people only buy what they're told is desirable, evidenced by a waiting list."

Joy.

Meridius

1,608 posts

153 months

Thursday 17th March 2016
quotequote all
I dont see what anyones problem is. It is a limited edition model. It is going to be limited.

mrclav

1,306 posts

224 months

Thursday 17th March 2016
quotequote all
Muzzer79 said:
It's becoming an increasingly common business model that to make something premium, you build less of it and make it limited supply.

With limited numbers comes exclusivity and £££ in years to come - look at GT3 4.0's and several other examples.

Ferrari do the same thing, as do several other manufacturers. As long as there is demand, they won't give a stuff where your (hypothetical) money goes.

It's not taking the mickey - it's good business sense.
^^^This.

big_rob_sydney

3,406 posts

195 months

Thursday 17th March 2016
quotequote all
Exclusivity? Pfft. Remind me again, how many 911's have they made year on year?

Ohh, this one has a new whatsit! Lets tick another niche. Meanwhile, they've just churned out another few thousand.

Really, in the whole scheme of things, its just another 911.

anonymous-user

55 months

Thursday 17th March 2016
quotequote all
Exactly. It seems to be the case that Porsche fully understand just how much they can take the piss out of 'enthusiasts' when they have their business propped up by diesels and SUV's. Put a strip on it, label it, charge more for less. They will sell every single one and create obscene prices the less of them they manufacture.

suffolk009

5,441 posts

166 months

Thursday 17th March 2016
quotequote all
Most sportscar manufacturers do this entirely false exclusivity to some degree. But Porsche really do seem to be taking the piss. It's a big part of the reason why I now really don't want to own one.

FWIW I've driven several 911s over the years. Including a 964RS, I went along having decided to buy that car over the phone. Had cleared funds, insurance sorted and everything. I walked away from it at £19k. Didn't like at that price - certainly wouldn't have one at it's current price (not that I could afford it now!).

Driver Rider

604 posts

198 months

Thursday 17th March 2016
quotequote all
This use to annoy me, now I couldn't care less.

If you want the car go online look for specialists and end of the day you'll get the car but pay a premium for it. People will counter my argument saying we shouldn't have to buy over list but these guys are there to make money end of the day dealers, manufacturers, specalists, specualtors and yes even the "purists" to a lesser degree. If they weren't we wouldn't get 10 year lightweight three series cars with no miles on them!

If you buy multiple cars from the dealer I'm sure you'll get first dibs. However I am sure the cost to change will tot up.

My local specialist dealer has every car I could ever dream to own pass through it's forecourts. JZM have every porsche going pass through it's doors, romans seem to be able to secure any car you want if you've got the cash.

Also sorry but this is such a bubble we live in things won't be like this forever soon enough common sense will prevail and people will get bored of this hype. Prices of "collectable" cars will reflect this and we start to see these cars spanked on tracks and driven hard. Not stored away.

All I need in the meantime is figure a way to make more money and earn more money and then I can get any car I fancy! There are worse problems in life to worry about.

EricE

1,945 posts

130 months

Thursday 17th March 2016
quotequote all
I think they're right to exploit the current economic climate for all they can. Sooner or later it will all come crashing down and they'll be happy they did.

toppstuff

13,698 posts

248 months

Thursday 17th March 2016
quotequote all
Dan - this is apologists nonsense.

If Porsche were serious about providing for the needs of enthusiasts with a special car, they would have a better grip on their distribution.

Let me put it another way, if 911R cars remain very, very hard to buy because all the people who bought one are keeping it and enjoying it, then you will be proved right.

On the the other hand, every 911R that pops up at an OPC over the next few months at 2x the ticket price and barely any miles on it, will be absolute proof that the OPC are a dodgy bunch of sharks and Porsche does not care about its customers.

I guess we will soon find out.

For what it is worth, knowing my local OPC, I strongly suspect that where the few 911R they have got coming are concerned, a few of the "owners" ( if you can call them that ) are already making a deal with the OPC to send the car back to the showroom a few weeks after purchase with an optimistic price tag and a deal with the OPC to share the profit.

I like the car. I don't doubt the engineering or the thinking back at Porsche in Germany. Its the OPC network that is hard to trust. After all, they have form in this respect..

El Guapo

2,787 posts

191 months

Thursday 17th March 2016
quotequote all
Muzzer79 said:
It's not taking the mickey - it's good business sense.
Until the prospective customer, who has been unable to get hold of a GT3RS/GT4/911R, gives up and buys a different brand.

Ozzie Osmond

21,189 posts

247 months

Thursday 17th March 2016
quotequote all
I never understand why so many people are willing to pay over the top for these cars. I certainly wouldn't - and I drive a Porsche!

There's some great value at the lower end of the Porsche sports car ranges. If I was looking to spend really serious money on a car I'd shop elsewhere.

kevbernard

62 posts

201 months

Thursday 17th March 2016
quotequote all
What does TMIW mean?

Dan Trent

1,866 posts

169 months

Thursday 17th March 2016
quotequote all
toppstuff said:
Dan - this is apologists nonsense.

If Porsche were serious about providing for the needs of enthusiasts with a special car, they would have a better grip on their distribution.
How to police though? Enter into a contract to do a minimum mileage per year and guarantee you'll do a track day per month and spend at least one weekend a year with it parked in the Nurburgring car park with dead flies over the front and empty cans of Red Bull in the footwell? A test session at the Porsche centre Silverstone to prove you can heel'n'toe?

Interestingly with the GT4 the pal I mentioned in the story eventually got one from his OPC to the spec he wanted. And another owner I know on Twitter reported being at a track day at Oulton the other day and seeing nine other GT4s in attendance.

I accept at this price point and with a declared limited run (Porsche never said it was going to restrict GT4) the situation may well be different with the R and the scenario you paint may well play out. At manufacturer level what's Porsche to do? If it dictated who the cars were sold to it'd be accused of control freakery, if it leaves it to the OPCs they'll follow human nature and cash in best they can.

As per the story though, at a business level the R has achieved all that is required of it. The squabbling over who actually ends up owning them isn't something Porsche is going to be troubled by.

Dan

Edited by Dan Trent on Thursday 17th March 14:18

Theophany

1,069 posts

131 months

Thursday 17th March 2016
quotequote all
big_rob_sydney said:
Exclusivity? Pfft. Remind me again, how many 911's have they made year on year?

Ohh, this one has a new whatsit! Lets tick another niche. Meanwhile, they've just churned out another few thousand.

Really, in the whole scheme of things, its just another 911.
Sums it up for me!

Dan Trent

1,866 posts

169 months

Thursday 17th March 2016
quotequote all
kevbernard said:
What does TMIW mean?
Tell Me I'm Wrong! We're restricted on how many characters we can fit into the headline box in our backroom upload system.

Cheers,

Dan