Quote:
Originally Posted by faiz
They should give out better residuals and incentives. Last year this time it was amazing and the sales showed.
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If I was in charge residuals would be set at where we actually think they will be, raising residuals to gain sales is the same as an incentive that we just don't have to pay for now and instead when the leased car comes back, artificially making the numbers look better today. If you think the car will be worth $30k at the end of the lease and you decide to set it at $35k it's only an accounting function to make the sale today but be hit with added cost later. Then raising incentives or residuals for the point of moving more cars further reduces the true residuals and can be a difficult program to get back off of or to ever raise the lease prices.
Quote:
Originally Posted by Mywifes335
Off topic. What does the word, "dink", mean?
Long Island qualifier. Lol.
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One of my customers called me this - Dual Income No Kids - makes paying for things easier.
While not as bad as BMW overall percentages it does look like the industry/market has slowed down some. First quarter MB sales release, from them -
https://www.mbusa.com/mercedes/about...00ccec1e35____
April 01 2016
MERCEDES-BENZ USA REPORTS MARCH SALES of 28,164 UNITS
ATLANTA – Mercedes-Benz USA (MBUSA) today reported March sales of 28,164,
which closes the first-quarter at 75,769, down 3% from last year. Smart contributed 479 units, and Vans reported a best-ever March with 3,072, up 29.1% from the same time last year. MBUSA total sales were 31,715 for March.