📊 2022 Bronco Allocations Formula Per Dealer

[Pl8to]

This response makes no sense.
Reservation holders selected their preferred dealers based on factors outside the the ones you outlined. We have no idea what 3 years sales volume looks like in 2020 for MY22, and did not pick the dealership based on those numbers. Your logic falls short on equating reservation numbers with allocation numbers too. This vehicle model has not been sold for 25 years and there was no market data available to predict the reservation response. It was not until AFTER the reservations were flowing in that the larger dealers might be cut off from sales. Once X-plan was off the table, the allocation model for MY21 was revealed and the truth was out. Reservations DO NOT matter for anyone at a small dealer. MY21 deliveries was hard enough, but MY22 will be almost impossible for most reservation holders at small dealers. The result will be MY22 dealer stock vehicles being produced WAY before reservation holders based solely on dealer volume and allocations.

Furthermore, if the dealership had less to sell less, the it's also true that if a dealer had more it sold more. However, this has/had/having nothing to do with the Bronco. Your assumption on allocations = reservations did not hold true for MY21, and it will not hold true for MY22. There were way more reservations than allocations for every dealer (I haven't heard otherwise), but the reservation distribution did not follow traditional allocations for sales volume (based on the dealerships I've communicated with over the past year). I get that there was a cutoff, but the math for the MY22 cutoff will be more severe for smaller dealers than the initial math in regards to the Bronco reservation holders vs allocations.

The stated allocation formula does not penalize small dealerships unless you are assuming that all small dealerships somehow have more Bronco reservations per revenue dollar than the big dealers. Most likely the reservation to revenue ratio is pretty much the same across the board. Yes there are outliers as there always are when you average, but that just means that some small dealers will get penalized while some small dealers will actually benefit from this.

Also this vehicle has not been sold for years, but every dealer knows if they historically sell more off road vehicles in that area. There is a ton of market data to predict this, just because this exact vehicle hasn't been out does not mean that they don't know Jeep sales in the area or truck and SUV sales in the area.

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[1975U15]

Everyone's favorite dealer is the "most honest and transparent". Like I stated they seem like a nice dealer, but if you think that Granger is telling every single thing they know or every plan they have then you should probably rethink that. There marketing strategy has been to target this forum and probably other forums that some of the enthusiasts hide out on.

There is absolutely no way that they did not think that there would be risk in them taking on massive quantities of orders. They knew that going in big dealers have and always will have more allocations. And guess what, if they keep these sales up, they will have more allocations in coming year as they are now one of those "big dealers".

In terms of mark-ups and stolen reservations, do you have any data on if that is happening more at big dealers than small dealers? There are scummy little dealers and scummy big dealers. When shopping around some of the small dealers I talked to were asshats and some of the big dealers were asshats.

I think my dealer is great, but since it is in a town of about maybe 4000 they will get less vehicles. But are they getting less cars allocated per customers, probably not.

You're being fairly presumptuous about what Granger knew. As if they could've predicted this shit show. They developed a business strategy based on a formula Ford conjured up to appease large dealers and it worked largely based on the order conversion component. Now that's essentially meaningless.

Ford is moving the goal posts....again.

 

[Lab00Rat]

...
Also this vehicle has not been sold for years, but every dealer knows if they historically sell more off road vehicles in that area. There is a ton of market data to predict this, just because this exact vehicle hasn't been out does not mean that they don't know Jeep sales in the area or truck and SUV sales in the area.

Please point to the math where regional/local market off-road vehicle sales factors into the MY22 allocation.

You seem to be combining the MY21 allocation model with MY22. This is not what is happening. MY22 allocation, as it stands, is partially relative to volume calculations BEFORE the Bronco was released. Many small dealerships saw a real bump in their reservation/sales potential for the Bronco through the reservation system. That math has been eliminated - period. The MY22 allocations favors large volume dealers that had sales of stock vehicles BEFORE the Bronco hit the market and reservations were made at a higher take rate with non-asshat dealers. This model seeks to reverse that trend.

 

[Pl8to]

In the scheme of things, even though they have a higher than normal amount of orders, it only represents less than 1% of total orders. That's why Ford takes care of the big dealers. The big dealers will continue to make big money for Ford while the small dealer will go back to selling 5 vehicles a week after the Bronco hysteria goes away.

This is a great point that isn't brought up in here very often, Bronco is a big money maker but in the grand scheme of things there are a lot of other vehicles that they are trying to sell besides this. It feels like everyone on here seems to think that Ford is only making the Bronco and nothing else. If this were true, then yes they should do things differently. But that's not how it works.

 

[Pl8to]

Please point to the math where regional/local market off-road vehicle sales factors into the MY22 allocation.

You seem to be combining the MY21 allocation model with MY22. This is not what is happening. MY22 allocation, as it stands, is partially relative to volume calculations BEFORE the Bronco was released. Many small dealerships saw a real bump in their reservation/sales potential for the Bronco through the reservation system. That math has been eliminated - period. The MY22 allocations favors large volume dealers that had sales of stock vehicles BEFORE the Bronco hit the market and reservations were made at a higher take rate with non-asshat dealers. This model seeks to reverse that trend.

That statement was just responding to your statement of how there was no way anyone knew what these numbers would look like.

This allocation formula is only based 50% on sales. The other 50 is split between 2021 allocations which helps the bronco heavy dealers and Bronco Sport sales. Even though the Sport is a crossover, it is most likely selling higher in areas that will also sell Broncos. So the formula is literally based 50% on factors that favor places that sell a higher percentage of broncos.

 

[sjp]

The only thing worse than Ford f*cking over its customers is Ford dealers patronizing those customers with half-fast explanations of how Ford did the right thing and we're all just too stupid to understand. You want to know why people hate dealing with car dealerships? Look in the mirror.

 

[Bronco wannabe]

As you obviously recall, Ford made that fact very clear.

I really don't recall. I wasn't on the forum for 2-3 months. It could have been then. What happened?

 

[North7]

Step right up, take a spin at Bronco Bingo, winner winner, chicken dinner...

 

[Gloff]

Do you just disregard what the complaining on this thread is about? I reserved in February but know that there are others who reserved before me with that same build that are still waiting. Explain why we should wait longer than the person who didn't put an order directly through the dealer should get one so quickly?? I get it you favor an Allocation system. We, the customers were offered a Reservation system. To keep customers happy and to money exchanging hands Ford should be sending built orders to the customers that reserved them in an order that matches reservation timeline. I get it if Ford wants to produce Big Bends for 3 days to maintain efficiency as long as they are building them in reservation timeline. Same goes for any trim level. Why use a reservation system to determine demand and geographics to then throw it out the window? What happens when those dealers are sitting on Broncos that they have to sell under MSRP because the market is tapped out already? I know seems impossible in this Market but it will happen and I would bet this year because Ford has a demographic for this vehicle that they are pushing to the wayside. As a business would you rather sell to the customer at 2% off MSRP - MSRP as soon as the vehicle hits your lot or under MSRP 5 months from the time it hits your lot?

I've already explained this: it would be inefficient to build them strictly in order of timestamp, that's before the supply chain issues, MIC issues, etc... Order timing is more than just timestamp, it always has been. Where your dealer is located is also a part of the puzzle. You reserved in February, there are likely orders at your dealer before yours that are similar builds, they would get built before yours. There are dozens of suppliers involved in production of this vehicle, every one of them has their own manufacturing challenges. You're making it sound like Ford is intentionally singling you out.

The market is far from tapped out, just ask Jeep.

I recall it mentioned on 6G and other sites. For example, this site (link below) mentioned: "More than 125,000 of the 190,000-plus Bronco two-door and four-door reservations in the United States and Canada have now been converted into orders according to Ford ...".

That was several months ago, so depending on additional reservations and converted orders, the numbers could have changed. If you have inside knowledge on solid Ford numbers, let us know the legit conversion rate as of now. It would be interesting to know the reservation vs order vs customer pickup stats.

https://www.torquenews.com/9539/mor...ave-been-converted-orders-70-percent-new-ford

That 40k number is all reservations that didn't follow through, not early res holders.

We had a 70% overall conversion. We have a 10% cancellation among 1/2 day reservations holders. Early res holders were most likely to convert based on my store's data.

 

[mpeugeot]

The bottom line with regards to the whole dealer allocation vs reservation system is the lack of transparency of the whole system is unfair to the person making the reservation. People who didn't know (or for that matter still don't know) that the allocation system takes priority over the reservation are being mislead into thinking that Ford is going to produce these vehicles for customers based on when they reserved/ordered their Bronco. In reality, the dealer they selected had more to do with when they get their Bronco more than any other single factor other than constraints.

This is really unfair to the consumer that had no idea that the dealer selection was such a critical component in the actual build date. I didn't express interest in a Bronco until Jan 2021, and then my order wasn't placed until 4 May 2021. Yet, I got a VIN on 24 May 2021, assigned to a build week in July, bumped to early August and built August 5th. That wasn't fair to anyone and only happened because my order went through MAS which allegedly had 20 Broncos allocated, one of which was allocated to me via a lottery!!!

That is completely unfair to THOUSANDS of early reservation holders who were waiting the very night the site went live. I wouldn't blame any of those reservation holders to be pissed that I had a Bronco built before they even had a chance at a VIN number. It's just plain wrong and a f'd up system. If the high volume dealers had a high volume number of reservation holders, I could see where allocations really wouldn't matter; but that's not the case, the high volume dealers are in favor of this system to prevent competition.

 

[Ripcurl]

Guessing many of us are gonna be hoping for price protection to extend another 2-3 years

 

[AZ_Liberty]

If the high volume dealers had a high volume number of reservation holders, I could see where allocations really wouldn't matter; but that's not the case, the high volume dealers are in favor of this system to prevent competition.

While I am certain there are outliers, every one of the Ford dealers here in town has approximately 3.5 times the orders as allocations.

The small dealer at the edge of town has 50 allocations on about 180 orders, My dealer has 120 allocations on around 430 orders. I think the large volume dealer has around 500-600 allocations on around 2000 orders.

 

[Toastedtostito]

Ford's customers are the dealers, through their franchise agreements. We buyers are the dealers customers, and Ford does not forget that.

Yeah yeah yeah, I get it. Don't be a Ford motor company, and just let me have what I want (to bitch)

 

[Charles Miller]

Bottom line, if Ford doesn't make my Bronco before the end of next year, I'm buying a 2023 Toyota 4runner Pro. Waiting for over a year is nuts, just saying.

 

[Lab00Rat]

Bottom line, if Ford doesn't make my Bronco before the end of next year, I'm buying a 2023 Toyota 4runner Pro. Waiting for over a year is nuts, just saying.

I must be nuts because it's been more than a year already...

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