Lots of brand new Porsches immediately available

Lots of brand new Porsches immediately available

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Discussion

Cheib

23,288 posts

176 months

Wednesday 18th October 2023
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Chemical Ali said:
The average length of time between peak interest rates and the almost inevitable recession is 11 months, according to us analysis. Given the state of the world and possible imminent rise in fuel prices that may be sooner.

It is very possible we are at the beginning of financial issues not near the end.
Given Jeremy Hunt is on record as saying a recession might be necessary to deal with inflation (which is proving robust) I think this is almost a base case scenario now.

Chemical Ali

912 posts

218 months

Wednesday 18th October 2023
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Cheib said:
Chemical Ali said:
The average length of time between peak interest rates and the almost inevitable recession is 11 months, according to us analysis. Given the state of the world and possible imminent rise in fuel prices that may be sooner.

It is very possible we are at the beginning of financial issues not near the end.
Given Jeremy Hunt is on record as saying a recession might be necessary to deal with inflation (which is proving robust) I think this is almost a base case scenario now.
Yes. So the overstocking of porscje shelves, so to speak, is indicative of both the general economy tightening its collective belt and perhaps the assumption by the brand that they have a customer base above their obvious financial reality. This second point they should have realised based on the amount of loan to value sales they make and then adjust supply accordingly.

Porsche have done a great job of stradling mass market and presitige. They are looking very much mass market at the moment.

GT4P

5,218 posts

186 months

Wednesday 18th October 2023
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Yes they are at the point like BMW/Mercedes before them back in the late 80s early 90s

911hope

2,711 posts

27 months

Wednesday 18th October 2023
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GT4P said:
Yes they are at the point like BMW/Mercedes before them back in the late 80s early 90s
What does the current stock levels amount to as a proportion of annual sales?

I did this calculation a few weeks ago and it was about 3 weeks for Taycans.



Terry Winks

1,213 posts

14 months

Wednesday 18th October 2023
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Actus Reus said:
GTSjohn said:
So, was someone saying there seem to be a lot of new Porsches available at OPCs??
Nah, don't think so mate...

Seriously I'm sitting and watching the market and watching good cars come and go in anticipation of the used market heading South soon, but perhaps the adjustment has already happened? Certainly there are nice 718 GT4s now in the high 70s/low 80s that cost their original owners 90+. Indeed it's those cars that seem to me to have taken the biggest kicking (ignoring Taycans). Will they drop further? Pretty soon 981 GT4 and 718 GT4 are going to overlap if they do.
718 GT4's were always going to take more of a kicking because they made bloody loads of them. Over 1000 in the UK I believe.

Nuttbelle

537 posts

11 months

Wednesday 18th October 2023
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As 90% of porsches are bought on the never never finance its no surprise high interest rates have halted sales and stock is piling up like no 2moz.

Porsche will have to stimulate sales which inevitably means big discounts and the knock on effect of bigger depreciation on used cars.
Porsche has never built so many cars so it's going to be carnage for the brand unless managed carefully.
Reality is there are far too many porsches built these days

rawenghey

486 posts

22 months

Wednesday 18th October 2023
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Nuttbelle said:
As 90% of porsches are bought on the never never finance its no surprise high interest rates have halted sales and stock is piling up like no 2moz.

Porsche will have to stimulate sales which inevitably means big discounts and the knock on effect of bigger depreciation on used cars.
Porsche has never built so many cars so it's going to be carnage for the brand unless managed carefully.
Reality is there are far too many porsches built these days
I'd rather discounts than finance incentives tbh. The latter just allows those same people to carry on buying them on the never never, whereas actual price reductions might allow us to pick up a bargain party

Edited by rawenghey on Wednesday 18th October 15:40

Chemical Ali

912 posts

218 months

Wednesday 18th October 2023
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For the units to keep flowing the new car needs to become a second car then third hand and so on. Most of Porsche offerings are aspirational luxury cars that are heavily financed. Interest rates are 11.4 atm, just checked. This make effective cost of ownership significantly more expensive IF current owners move on from their current car. If they stay with their 3 year pcp, which could have been below 6%, the cost does not rise, obviously.

The effect in US on the real estate of this has been a very low house sales market where people have stayed put enjoying cheap rates agreed years ago. Stock is low as a result, but new purchasers cant afford the new rates so demand is low. The market has shrunk.

If a similar effect is happening to Porsche then keep pumping new stock in will serve to collapse the price and brand but wont sell more cars unless prices drop massively. Its an affordability issue.

DJMC

3,438 posts

104 months

Wednesday 18th October 2023
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516 Taycans!!!

Electric is dead.

Only 9 Macans? Is that because they're flying off the shelves and are now ahead of the Cayenne as the most popular Porsche?
Why else would there be so few?

Andyoz

2,889 posts

55 months

Thursday 19th October 2023
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Loads of New cars openly advertised with Discounts now...(off the already inflated prices though)




GT4P

5,218 posts

186 months

Thursday 19th October 2023
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New ( nearly new only 44 miles) GT 4RS under list although maybe 23MY but still cheaper than a new car ordered today.
https://finder.porsche.com/gb/en-GB/details/porsch...

Seems to have all the right extras as well, how long before they are below £150k?

Edited by GT4P on Thursday 19th October 08:50

Sukh13

740 posts

186 months

Thursday 19th October 2023
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Any difference between MY23 and MY24?

GT4P

5,218 posts

186 months

Thursday 19th October 2023
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Sukh13 said:
Any difference between MY23 and MY24?
Not really

bennno

11,666 posts

270 months

Thursday 19th October 2023
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DJMC said:
516 Taycans!!!

Electric is dead.

Only 9 Macans? Is that because they're flying off the shelves and are now ahead of the Cayenne as the most popular Porsche?
Why else would there be so few?
Because they are cheaper, because the cayenne is being replaced, because they are less of a luxury purchase and more of a family car.

breadvan

2,004 posts

169 months

Thursday 19th October 2023
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GT4P said:
New ( nearly new only 44 miles) GT 4RS under list although maybe 23MY but still cheaper than a new car ordered today.
https://finder.porsche.com/gb/en-GB/details/porsch...

Seems to have all the right extras as well, how long before they are below £150k?

Edited by GT4P on Thursday 19th October 08:50
You got me excited there. It’s nearly £30k over.

Llew

249 posts

208 months

Thursday 19th October 2023
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It's certainly a weird situation... I reckon with Taycan if Porsche were able to engineer the finance to make them extremely affordable on PCP they would fly out.... Something like:

the finance calculator:
Enter details below:
1) Price: 100000
2) Deposit: 12000
3) Dealer Contribution: 6000
4) Part Exchange Value: 0
5) Amount of the loan: 82000
6) Final Payment/GMFV: 60000
7) Annual percentage interest rate: 0.1 ( couldn't put zero!)
8) Repayment period in months: 36

Monthly Total Interest
617.05 213.8

Obviously they'd be losing their shirt on the GFV, but something like this would certainly help shift them... As things currently stand only a lunatic would volunteer for a new Taycan however it's paid for!

bennno

11,666 posts

270 months

Thursday 19th October 2023
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Llew said:
It's certainly a weird situation... I reckon with Taycan if Porsche were able to engineer the finance to make them extremely affordable on PCP they would fly out.... Something like:

the finance calculator:
Enter details below:
1) Price: 100000
2) Deposit: 12000
3) Dealer Contribution: 6000
4) Part Exchange Value: 0
5) Amount of the loan: 82000
6) Final Payment/GMFV: 60000
7) Annual percentage interest rate: 0.1 ( couldn't put zero!)
8) Repayment period in months: 36

Monthly Total Interest
617.05 213.8

Obviously they'd be losing their shirt on the GFV, but something like this would certainly help shift them... As things currently stand only a lunatic would volunteer for a new Taycan however it's paid for!
So £6k off, bear cost of interest free finance, then a huge gap on the GFV

Porsche more likely to pump these out on rental

Llew

249 posts

208 months

Thursday 19th October 2023
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bennno said:
So £6k off, bear cost of interest free finance, then a huge gap on the GFV

Porsche more likely to pump these out on rental
True - I don't think they'd want to damage perceived brand value by doing something like this anyway even if they would still make incredible margin (which I suspect they would).... That said pumping them out on rental doesn't exactly align with the word "prestige" either!

moonigan

2,144 posts

242 months

Thursday 19th October 2023
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bennno said:
Because they are cheaper, because the cayenne is being replaced, because they are less of a luxury purchase and more of a family car.
At circa £60K I suspect it probably a luxury purchase for most. A typical family car is probably a Hyundai Tuscon or similar at half the price.

Joscal

2,081 posts

201 months

Thursday 19th October 2023
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One call to a leasing company and they could shift them all I’d have thought?