Program Dealers

[arnien]

I just found out that our local Ford-Mercury dealer no longer sells new vehicles, but does sell program cars. The former GM had little interest in selling new cars, but did keep a large inventory of cars and trucks he bought at auctions.

Can a program dealer become a new car dealer? How does all this affect warranty repairs? They never did have a good CSI.

[zekensted]

I would suspect that the dealership has decided not to purchase new vehicles since new vehicle sales are so slow. Also, they may have lost floor plan.....

[arnien]

They did not lose their floor plan, but did somehow lose some Ford requirements or qualification's, and are unable to purchase new vehicles from Ford. They can still do warranty work, as long as they have a Ford Certified tech, which they do. They do have a very few new units in stock, along with a hundred or so used vehicles.

[sallen1]

That is actually not a bad situation. Can you imagine the factory refusing to stuff you with un-saleable merchandise while allowing you the benefits of having the sign on your door?

Where can I sign up?

[zekensted]

Many Ford and GM dealerships are closing in small towns across America. A program like this, would give Ford and GM an "in" using the existing dealerships that so many "experts" say that shouldn't be in business. Why not let the Ford and GM dealerships stay open, with almost no requirements but the essentials, limited access to new car inventory, maybe less efficient parts delivery systems. I am aware of several small town dealerships that had a good customer base, just too small of a customer base, that would still be open if they weren't required to buy into the same programs the larger dealerships were using. Since the little guys by name little, any "advantages" they would get on the 12 new cars a year they sell would be too little to effect the big guys.