RE: Ferrari Announces Free Seven-Year Service Dealer

RE: Ferrari Announces Free Seven-Year Service Dealer

Author
Discussion

pattyg

1,330 posts

227 months

Wednesday 27th April 2011
quotequote all
Indie's will suffer bigtime here.

My guess is that the free servicing will stop if you go elsewhere for any non routine work highlighted at service time.

Seems to me it will be like - but with an extra zero on the end - BMW 5 year free servicing (warranty fooked if you go elsewhere) and the crap Audi free MOT for life (catch -as long as car is serviced at Audi). Keeps the car at the dealers and big profits to be made on other items.

Edited by pattyg on Wednesday 27th April 21:29

H100S

1,436 posts

173 months

Wednesday 27th April 2011
quotequote all
It's all down to retaining business in anticipation that the customer is most likely to agree to extra work found. Danger is the vehicle health check report that will be done just gets taken away to a specialist willing to do the labour significantly cheaper even if the parts prices are the same. No doubt Ferrari will be limiting the marign the dealer is able to make just like they do on a warranty invoice. On a plus side I am sure there is a desire within Ferrari that a couple of years into the ownership experience they will sell another ferrari due to the experience rather than loose the customer to another manufacturer.

I imagine customers who are able to afford a new Ferrari though would be have a greater desire to have what they want rather than to be swayed by this offer though eg If they were tempted by a AMG SLS etc then irrespective of the service offer the prioirty is having what they want.

Clever move and motives going on here.

CampDavid

9,145 posts

198 months

Wednesday 27th April 2011
quotequote all
Having done 200+k in 7 years in his Murcilago, will Evo's Simon George being taking Ferrari up on this?

I look forward to reading about someone doing 500k in one over 7 years just for the sheer hell of it

RobertDB7V12

54 posts

164 months

Wednesday 27th April 2011
quotequote all
Routine servicing on a Ferrari...

Just picked up the Aston from an independent, also in the workshop was a Testa Rossa for a cam belt:

Belt- £21.50 + VAT
Fitting-£1,500, got to take the engine out!

Ouch!

Prince Jefri

1,971 posts

169 months

Wednesday 27th April 2011
quotequote all
RobertDB7V12 said:
Routine servicing on a Ferrari...

Just picked up the Aston from an independent, also in the workshop was a Testa Rossa for a cam belt:

Belt- £21.50 + VAT
Fitting-£1,500, got to take the engine out!

Ouch!
New Ferrari's are timing chains (I think?)

lawyerman

8 posts

209 months

Wednesday 27th April 2011
quotequote all
johnpeat said:
I think you have to assume this comes about because people AREN'T using Ferrari dealers as much as they expect to be used.

I also assume Ferrari dealers will be paid by Ferrari at a much discounted rate - meaning the real cost is relatively minimal.

Must admit, I'd noticed more and more cars being offered with 'specialist' service histories, but I assumed that was just the sort of cars I tend to look at - maybe it is a wider trend tho??

If so, it's mostly a good thing - people need to realise the ONLY reasons to use a main dealer are recalls, where the warranty came from the dealer (so you're tied-into their maintenance schedule) or on certain cars where the value plummets without a dealer history (FBSH, FASH, FMBSH!!).
I think this might be about secondhand sales. Ferrari are losing out on this Market to the specialists. This move keeps a lot more car sales within the dealership potentially

glazbagun

14,279 posts

197 months

Thursday 28th April 2011
quotequote all
Out of curiosity, how has Vauxhall's "lifetime" warranty been panning out for people?

H_Kan

4,942 posts

199 months

Thursday 28th April 2011
quotequote all
Prince Jefri said:
Ferrari use currency specialists to hedge all bets. The company who has their account is in Milan and London. This is not the reason for the hikes, it is to cover costs of this incredible "free 7 year service period".

Wake up at the back.
Wake up at the back??!?!?!

It's you who wants waking up Price Jefri. You honestly believe that a currency specialist is able to protect Ferrari from the long term movements of the currency markets.

Currency hedging may help in the short and mid term, but there is no way it would effective over the gradual weakening of Sterling over the last 4 or 5 years against the Euro. Putting it simply, Ferrari have been getting less and less in € (assuming the operating currency is euros) for their products when the customer is paying in £, thus they charge more £ to maintain the level of € they were making in profit per unit as previously.

The cost of the servicing will be minimal, but the incentive will bring in other benefits which will overall result in a positive for Ferrari, else they wouldn't do it.

Prince Jefri, if however I am completely wrong, then please explain how this currency hedging works and how they have managed to still trade on the basis of forex rates from 5 years ago?

Wayney

626 posts

206 months

Thursday 28th April 2011
quotequote all
This is that old garage trick. Free MOT for life rubbish! Yes we don't pay any fee for the MOT but the mechanic job is to be excessive anal and find every fault under the sun so you end up folk out more than you needed!!

So I expect Ferrari is going to do the same as well.

But then again the new cars cost more than its predecessors', for eg 458 is now £200k car where the F430 was £150k

bikemonster

1,188 posts

241 months

Thursday 28th April 2011
quotequote all
JuniorJet said:
+l
Plus the letter "l"?

Even more enthusiastically, +r!

dele

1,270 posts

194 months

Thursday 28th April 2011
quotequote all
phib said:
Its going to kill 430 values though !!!
I see no issue with that, if it means i can get into one after the BMW tongue out

STiG911

1,210 posts

167 months

Thursday 28th April 2011
quotequote all
Johnboy Mac said:
It would be nice to know what exactly is ment by ''The deal covers all standard maintenance items, as outlined in the service schedule'' (as of 15/3/2011)



Edited by Johnboy Mac on Wednesday 27th April 15:12
This, in most cases, would mean:
Labour
Engine Oil
Oil/Air/Particulate Filters
Spark Plugs
Brake Fluid
Transmission fluid (if inside the 7 year window)

All other items would fall under wear and tear, and be (over)chargable accordingly. Not forgetting that for these you'd probably be charged a higher than normal labour rate too, just to pour salt onto the wound...

RobertDB7V12

54 posts

164 months

Thursday 28th April 2011
quotequote all
Prince Jefri said:
RobertDB7V12 said:
Routine servicing on a Ferrari...

Just picked up the Aston from an independent, also in the workshop was a Testa Rossa for a cam belt:

Belt- £21.50 + VAT
Fitting-£1,500, got to take the engine out!

Ouch!
New Ferrari's are timing chains (I think?)
I take your point on specifics but you get my drift, routine servicing takes on a whole new dimension when it costs £1,500 to replace a £25 belt as part of the service programme!

That said I have an Aston V12, plugs and coil packs are not especially expensive but multiply the unit price by twelve and things take on a different perspective (..."and we have to remove the inlet system to reach the plugs Sir"...).

AndrewD

7,537 posts

284 months

Friday 29th April 2011
quotequote all
How thoroughly annoying. It doesn't seem to cover 599's. Just picked up a GTO. Will probably have to give it back smile