WBAC - Not buying cars now.
Discussion
Deep Thought said:
I dont think i am - particularly given the government is now stepping in to pay wages.
Granted a tiny minority may be forced to take their price, but how much bad PR will they get to do so?
It’s not “We Force You to Sell Us Your Car”, it’s We Buy Any Car”Granted a tiny minority may be forced to take their price, but how much bad PR will they get to do so?
If somebody chooses to get an offer and then accept it, why should there be a problem?
cuprabob said:
InitialDave said:
XIII said:
InitialDave said:
hyphen said:
demand for car is going to be lowe
People are getting robbed?
Jimmy Recard said:
Deep Thought said:
I dont think i am - particularly given the government is now stepping in to pay wages.
Granted a tiny minority may be forced to take their price, but how much bad PR will they get to do so?
It’s not “We Force You to Sell Us Your Car”, it’s We Buy Any Car”Granted a tiny minority may be forced to take their price, but how much bad PR will they get to do so?
If somebody chooses to get an offer and then accept it, why should there be a problem?
However from a PR perspective it "could" be interpreted as exploiting the situation. That might stick in peoples minds.
Has anyone seen any drastic reductions in retail cars on forecourts yet?
My guess is that dealers will just sit on their stock for a couple of months without reductions in the hope business returns to normal.
If it drags on over 2 months I guess some will have to cash out and sell off their stock.
I wonder how CAP and glasses guide are going to value stuff at the moment?
Are the auctions going to close?
Are people going to get so desperate that they'll accept the lowball offers from WBAC?
Let's just hope this shutdown gets a grip on it in a few weeks.
Very worrying times for all.
My guess is that dealers will just sit on their stock for a couple of months without reductions in the hope business returns to normal.
If it drags on over 2 months I guess some will have to cash out and sell off their stock.
I wonder how CAP and glasses guide are going to value stuff at the moment?
Are the auctions going to close?
Are people going to get so desperate that they'll accept the lowball offers from WBAC?
Let's just hope this shutdown gets a grip on it in a few weeks.
Very worrying times for all.
Trevor555 said:
Has anyone seen any drastic reductions in retail cars on forecourts yet?
My guess is that dealers will just sit on their stock for a couple of months without reductions in the hope business returns to normal.
If it drags on over 2 months I guess some will have to cash out and sell off their stock.
I wonder how CAP and glasses guide are going to value stuff at the moment?
Are the auctions going to close?
Are people going to get so desperate that they'll accept the lowball offers from WBAC?
Let's just hope this shutdown gets a grip on it in a few weeks.
Very worrying times for all.
Apparently CAP and Glass's were up fractionally in Jan / Feb, but they are bound to tank for March.My guess is that dealers will just sit on their stock for a couple of months without reductions in the hope business returns to normal.
If it drags on over 2 months I guess some will have to cash out and sell off their stock.
I wonder how CAP and glasses guide are going to value stuff at the moment?
Are the auctions going to close?
Are people going to get so desperate that they'll accept the lowball offers from WBAC?
Let's just hope this shutdown gets a grip on it in a few weeks.
Very worrying times for all.
Agreed RE: car dealers. They wont feel an urge to firesale just yet. A lot of them track prices online so we might see some variance because of that. I think price drops on stock will be negotiated on individual cars in stock rather than a sudden £3K drop on sticker prices across the forecourt.
Deep Thought said:
Trevor555 said:
Has anyone seen any drastic reductions in retail cars on forecourts yet?
My guess is that dealers will just sit on their stock for a couple of months without reductions in the hope business returns to normal.
If it drags on over 2 months I guess some will have to cash out and sell off their stock.
I wonder how CAP and glasses guide are going to value stuff at the moment?
Are the auctions going to close?
Are people going to get so desperate that they'll accept the lowball offers from WBAC?
Let's just hope this shutdown gets a grip on it in a few weeks.
Very worrying times for all.
Apparently CAP and Glass's were up fractionally in Jan / Feb, but they are bound to tank for March.My guess is that dealers will just sit on their stock for a couple of months without reductions in the hope business returns to normal.
If it drags on over 2 months I guess some will have to cash out and sell off their stock.
I wonder how CAP and glasses guide are going to value stuff at the moment?
Are the auctions going to close?
Are people going to get so desperate that they'll accept the lowball offers from WBAC?
Let's just hope this shutdown gets a grip on it in a few weeks.
Very worrying times for all.
Agreed RE: car dealers. They wont feel an urge to firesale just yet. A lot of them track prices online so we might see some variance because of that. I think price drops on stock will be negotiated on individual cars in stock rather than a sudden £3K drop on sticker prices across the forecourt.
On one hand I kinda agree with Trevor555 that dealers might just sit on stock and pray for the best, but might come to firesale prices in May time.
On the other hand - with nearly all of European auto production shut down, how do you guys think that factors into values for stock automobiles? Surely the dealerships see that better than we do.
vulcanX said:
When do you believe would be a good time to hit a dealership to negotiate discounts for stock cars? Any tips?
On one hand I kinda agree with Trevor555 that dealers might just sit on stock and pray for the best, but might come to firesale prices in May time.
On the other hand - with nearly all of European auto production shut down, how do you guys think that factors into values for stock automobiles? Surely the dealerships see that better than we do.
Is the car you are interested in on Autotrader?On one hand I kinda agree with Trevor555 that dealers might just sit on stock and pray for the best, but might come to firesale prices in May time.
On the other hand - with nearly all of European auto production shut down, how do you guys think that factors into values for stock automobiles? Surely the dealerships see that better than we do.
You can read the date the ad was put up from the URL. That will give you an indication of how long its been in stock.
Many dealers operate a 90 day stocking cycle so dont consider blowing cars out until after that time has passed.
vulcanX said:
When do you believe would be a good time to hit a dealership to negotiate discounts for stock cars? Any tips?
On one hand I kinda agree with Trevor555 that dealers might just sit on stock and pray for the best, but might come to firesale prices in May time.
On the other hand - with nearly all of European auto production shut down, how do you guys think that factors into values for stock automobiles? Surely the dealerships see that better than we do.
I'm talking to three of my dealer friends at the moment. I retired from the game a few years back.On one hand I kinda agree with Trevor555 that dealers might just sit on stock and pray for the best, but might come to firesale prices in May time.
On the other hand - with nearly all of European auto production shut down, how do you guys think that factors into values for stock automobiles? Surely the dealerships see that better than we do.
None of them know.
They'll be able to weather the storm for a couple of months, loss of sales, salaries to pay etc..
There is talk of Government help, but in these early stages not sure how much.
But yes, I think May time will see some drastic action from dealers who are not cash rich and depend on financing/stocking loans etc..
jonah35 said:
They won’t drop for quite some time
It will take at least 2 months for the masses to figure out what’s going on and then they will plummet
once their cash flow dries up and they cant make payroll they will start dumping stock, especially if they can restock for 50% of what they paid for the current inventory, they will take the hit and look to recoup it on the cheaper stock It will take at least 2 months for the masses to figure out what’s going on and then they will plummet
its probably not helped they have just had 2/3 terrible years either
Just been quoted 50% of what i sold my A45 for 6 months ago
my gawd i moved car at the perfect time
Edited by Dave Hedgehog on Saturday 21st March 15:35
av185 said:
Hitch said:
General demand on BCA must be through the floor
Not really.Strong bids yesterday at BCA just behind Cap clean.
Trevor555 said:
Are the auctions going to close?
Prices should be lower from next week, physical bidding from the "Hall" ceases, and the doors will be shut with sales continuing online only. This means all auctions become trade-only for account holders who meet the eligibility for BCA Live Online. They've confirmed to me on Friday that they will not be relaxing eligibility for online bidding access, so although I've bought a few cars from them in the last few months and seriously bid on several others just losing out to "the Net" bidders, from next Thurs I am unable to participate. I think (Less Bidders + Less Demand) x (More Caution + More Uncertainty) = Lower Prices at auction
With less volume, dealers will try hard to maintain margin.
jonah35 said:
They won’t drop for quite some time
It will take at least 2 months for the masses to figure out what’s going on and then they will plummet
I guess there's no point in the forecourts selling now at a loss. May as well keep it and not get any income.It will take at least 2 months for the masses to figure out what’s going on and then they will plummet
Could try a punt at well below sticker price, but I think they'd prefer to move it around within the trade rather than take on the additional risk of a retail buyer at less money than they paid trade a few weeks ago.
As for me, I'm in no mood to buy anything right now. Only if my current car(s) fail completely, beyond repair.
Another G Wagen
WBAC £27845 on with main dealer at £55560
https://shop.mercedes-benz.co.uk/vehicle-detail/g-...
WBAC £27845 on with main dealer at £55560
https://shop.mercedes-benz.co.uk/vehicle-detail/g-...
Trevor555 said:
Has anyone seen any drastic reductions in retail cars on forecourts yet?
My guess is that dealers will just sit on their stock for a couple of months without reductions in the hope business returns to normal.
.............
In the case of used cars, the finance Cos will be shy of unrealistic GFVs, plus financing anything that could be in negative equity day 1.My guess is that dealers will just sit on their stock for a couple of months without reductions in the hope business returns to normal.
.............
So either realistic retail prices or large deposits.
55palfers said:
Another G Wagen
WBAC £27845 on with main dealer at £55560
https://shop.mercedes-benz.co.uk/vehicle-detail/g-...
Means absolutely nothing.WBAC £27845 on with main dealer at £55560
https://shop.mercedes-benz.co.uk/vehicle-detail/g-...
Both BCA and Manheim are moving online only.
They'll struggle to get bids on the cheaper stuff with the current standard of their condition and mechanical reports which in many cases are either non-existent or useless.
Both are sitting on very large numbers of cars. BCA obviously have thousands of WBAC cars stacked up all over the place they now own and both have systems where they have advanced money as pre-sales to various dealer groups.
On top of that both have extensive stocking finance arms where they will find dealers who are closed or have no customers will quickly run out of cashflow and will not be able to make their margin payments.
They'll struggle to get bids on the cheaper stuff with the current standard of their condition and mechanical reports which in many cases are either non-existent or useless.
Both are sitting on very large numbers of cars. BCA obviously have thousands of WBAC cars stacked up all over the place they now own and both have systems where they have advanced money as pre-sales to various dealer groups.
On top of that both have extensive stocking finance arms where they will find dealers who are closed or have no customers will quickly run out of cashflow and will not be able to make their margin payments.
If dealer cars are on stocking finance agreements are the cars security for that, or is it the business in general?
And does the stock value get depreciated by the finance co' - i.e. are they re-evaluating the security v outstanding loan as time goes on?
Just wondering whether the financing dictates whether dealers will sit tight or have no option but to offload.
And does the stock value get depreciated by the finance co' - i.e. are they re-evaluating the security v outstanding loan as time goes on?
Just wondering whether the financing dictates whether dealers will sit tight or have no option but to offload.
Just been offered more for my part ex than the WBAC price a month ago! Not yet tried for movement on the sale price so it could be meaningless. But, I'm not desperate to change, so will see what they say. If the cost to change is a decent bit better than it would have been six months ago, then I'll probably go for it. When I next go to sell the market will have normalised and I'll be a bit better off. That's fine.
PorkInsider said:
If dealer cars are on stocking finance agreements are the cars security for that, or is it the business in general?
And does the stock value get depreciated by the finance co' - i.e. are they re-evaluating the security v outstanding loan as time goes on?
Just wondering whether the financing dictates whether dealers will sit tight or have no option but to offload.
Usually secured against cars but the BCA style ones they pay off 10% of the value of each car per month or so.And does the stock value get depreciated by the finance co' - i.e. are they re-evaluating the security v outstanding loan as time goes on?
Just wondering whether the financing dictates whether dealers will sit tight or have no option but to offload.
Problem for the likes of BCA is they probably can't dispose of the cars at their "book" value at the moment and if they kill all their dealers they won't have anyone to buy their cars at the end of all of this.
I think there is a very big "head in sand" approach by some of the majors as to where this might be heading. The car market here relies on cash and turnover and once one bit falls out the whole house of cards falls down.
Having said that new cars sales will collapse so no part exchanges and no cars being made. So, if/when this ends there will probably be a huge shortage and prices will rocket. If you're brave and can afford to sit on stock for 6-9 months it is probably a great time to buy,
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