When will used car prices drop?

[Anonymous-poster]

julian987R said:

EvoSid said:

I went to see this car for sale privately near Perth
Very nice gent seeing it and in pretty good condition and only needed a few things to bring it up to showroom Standard
Only thing letting it down was lowish spec but that might suit some
Anyway he was wanting £64K. I believe he sold it to OPC for £63k and they have it on at £73K with probably no more than a wash
Nice profit if they get it
https://finder.porsche.com/gb/en_GB/Cayman-GT4-216...

+ the 2 year guarantee they put on it. Bit more than just a wash!

And 20% vat on the profit.

[EvoSid]

julian987R said:

+ the 2 year guarantee they put on it. Bit more than just a wash!

2 year warranty at retail is about £1200 so not huge and just a paper work exercise
What I meant was that very little physical work was carried out and yet £10K added. Shows how good the margin can possibly be for OPC

[EvoSid]

Anonymous-poster said:

And 20% vat on the profit.

And corporation tax as well.
I thought they would add about £5-6K not as much as this .
Still a good margin as I think it will sell up here in Aberdeen as dealer pretty much empty of decent stock.
I guess that is why prices not coming down so quickly just now

[jakesmith]

EvoSid said:

2 year warranty at retail is about £1200 so not huge and just a paper work exercise
What I meant was that very little physical work was carried out and yet £10K added. Shows how good the margin can possibly be for OPC

If you’re up for investing £3m on a premises, similar on stock, hiring and being responsible for / managing 20+ people across multiple disciplines, so you can make a £10k markup when you sell a car that has to pay for everything and is subject to tax, go ahead. Personally I’ll leave it to someone else.

[Porsche911R]

jakesmith said:

If you’re up for investing £3m on a premises, similar on stock, hiring and being responsible for / managing 20+ people across multiple disciplines, so you can make a £10k markup when you sell a car that has to pay for everything and is subject to tax, go ahead. Personally I’ll leave it to someone else.

yes please, Porsche sell new cars like hot cakes, an easy sell, and now servicing has gone up 100%.

SO an easy business model and very Profitable.

[MannyLon]

Porsche911R said:

yes please, Porsche sell new cars like hot cakes, an easy sell, and now servicing has gone up 100%.

SO an easy business model and very Profitable.

What do the dealers make as a % of the total cost, I wonder?
Would be interesting to know what discount staff get on new cars.

[dgswk]

MannyLon said:

Would be interesting to know what discount staff get on new cars.

Fancy a career change right now, would the drop in salary be negated by discounted purchase, finance and running costs!?! Maybe it wouldn't be a drop.

I guess if you work for an OPC, you get to take this stuff home from time to time and probably blk free too. Nice perk.

[Porsche911R]

dgswk said:

Fancy a career change right now, would the drop in salary be negated by discounted purchase, finance and running costs!?! Maybe it wouldn't be a drop.

I guess if you work for an OPC, you get to take this stuff home from time to time and probably blk free too. Nice perk.

you get to allocate your wife a GT car for a start :-)

[dgswk]

Probably even lower than my C2S resulting in further tutting and general criticism. But I could flip it on her behalf and use the proceeds to procure other more useful stuff lol!

[v8ksn]

Porsche911R said:

you get to allocate your wife a GT car for a start :-)

I wonder how much this sort of thing happened though.

I would bet quite a few family members got to experience the joy of owning a Porsche GT car.....albeit briefly.

[jakesmith]

v8ksn said:

Porsche911R said:

you get to allocate your wife a GT car for a start :-)

I wonder how much this sort of thing happened though.

I would bet quite a few family members got to experience the joy of owning a Porsche GT car.....albeit briefly.

I just missed out on a Riviera GT3 991.2 last night by a hair... very high spec low milage car. Might open an OPC to increase my chances next time as it is extremely easy.

[EvoSid]

jakesmith said:

If you’re up for investing £3m on a premises, similar on stock, hiring and being responsible for / managing 20+ people across multiple disciplines, so you can make a £10k markup when you sell a car that has to pay for everything and is subject to tax, go ahead. Personally I’ll leave it to someone else.

Yes get all that and I do not deny any business a profit as we are a small business ourselves
That was not my point as people will only buy if they thin it is a fair deal
My point was that give you an indication of what margin is available and what room you could have for negations
Plus you get the most important thing as an OPC you get to tell new customers like me " sorry we cant sell you a GT car as you have not built up enough od a relationship yet" lol And that is priceless if you ask me

[EvoSid]

Porsche911R said:

yes please, Porsche sell new cars like hot cakes, an easy sell, and now servicing has gone up 100%.

SO an easy business model and very Profitable.

Not exactly hard work as they can pick and choose who to sell to as well
But hey if you value the service you pay if you want it cheaper you buy outside simple
I understand all the overheads etc and get all that but I never thought the margin in a used car like this GT4 would be as much as £10K (less warranty and any work carried out) I always thought it was about 7.5-10% as all dealers are saying no margin in selling cars

[Cheib]

jakesmith said:

If you’re up for investing £3m on a premises, similar on stock, hiring and being responsible for / managing 20+ people across multiple disciplines, so you can make a £10k markup when you sell a car that has to pay for everything and is subject to tax, go ahead. Personally I’ll leave it to someone else.

You’ve forgotten the cost of buying the franchise and having to have someone kiss arse with every customer to make sure you get a 10 rating otherwise PCGB cut your bonus payment.

[av185]

Haha well remembered C.

I know of several ex Porsche GT customers who were precluded from the GT gravytrain simply because they failed to give their OPC a 100% rating lol.

[MannyLon]

EvoSid said:

Not exactly hard work as they can pick and choose who to sell to as well
But hey if you value the service you pay if you want it cheaper you buy outside simple
I understand all the overheads etc and get all that but I never thought the margin in a used car like this GT4 would be as much as £10K (less warranty and any work carried out) I always thought it was about 7.5-10% as all dealers are saying no margin in selling cars

I brought a 981 Spyder in July. Trade in was 67k and price on display was 72k. So 5k. But 4 new tyres, new battery, Topaz replacement ppf front bumper, GTech whole car coating including interior and warranty for 2 years. Not sure how much mark up in that?

Sure some prices may have high mark up, but worth looking closer on what the dealer has done to the car..

[jakesmith]

av185 said:

Haha well remembered C.

I know of several ex Porsche GT customers who were precluded from the GT gravytrain simply because they failed to give their OPC a 100% rating lol.

In my OPC only people giving us (Jakes of Surrey) satisfaction rating of 110% will be considered for new GT cars.
50% discount on all GT cars for Evoque convertible fans too as a special cross-brand promotion.
My OPC, my rules.

[Cheib]

PTS Weissach Pack GT3 RS for just under £200k https://www.pistonheads.com/buy/listing/10815187?c...

It’s done 8k miles (good effort!)....but I think that’s maybe indicative of where prices are going...a delivery miles non PTS car for £220k or this ? Don’t think I have seen a low mileage PTS car advertised for less than £230k previously so £30k discount for that mileage seems very good to me.

[av185]

Nice spec and good value even if it is probably the highest mileage 2019 RS in the UK.

[jakesmith]

What a car though. For me, these types of cars are so ‘in your face‘ they work better with more muted colours. That spec is something else. Nice that someone has enjoyed actually driving it too.