SERIOUS TROUBLE at HONDA | They Have NO CARS

all right Dad we are here at the Honda dealership and they have let's like let's not bury the lead they have what was it eight new cars eight or nine new cars and three of them have sold stickers yes so if ever you would expect to see a an additional deal or markup it would be here where they have no inventory okay but uh they don't have addendum stickers when you check out a car on their website they then list things that they've added to the cars but they they don't seem to have addendum stickers on the car so which to be clear the things they add let me pull it up here the things they add it's like fourteen hundred dollars in dealer installed equipment and then they try and upsell you a 1200 or 1100 service and protection plan so you know it's not good but like they have at least they give you something for the money what is Honda doing um look at this like all of these cars are used and there's not even that many of them yeah there's many many use but but in comparison to only have eight or nine brand new cars on your lot as a Honda dealer I mean I remember back in the day I I can tell you that this store back in the day back in 1977-78 it was the most unusual dealership in the world because it combined three brands in one building Oldsmobile BMW and Honda okay now the BMW store moved up the road uh obviously Oldsmobile moved to the graveyard and Honda is left and they have no inventory they have even less inventory than the Toyota dealership yes yeah like when we went to the Toyota dealership they had more cars than this yes yeah this is this is really kind of sad that when you have eight or nine new cars um you've got you essentially you have nothing these these people are in the used car business it's just I mean we walked by the showroom there's not a new car in the showroom they just have no inventory no new inventory I heard a rumor there could be some specials what do you hear 25 off car Edge coach and car Edge data between now and July 7th and 150 off your extended warranty all coupon codes automatically applied at checkout we are here to help you gotta be kidding me all right pop so I pulled up the market then because this is just this is wild so let's look at this together so we've got I just I searched for new Honda Accords yes in this area where we are in New Jersey many of them have that in transit patch okay so that's skewing the data let me go to one of them here nine days on the market but it's in transit that means they don't even have it yeah and we're showing on our website a 35 day supply which is really low yes we're here there's less than a 35 day supply well here there's less there's they had one they had one Accord and it was a hybrid and so the reason our data is getting messed up is because they're listing them before they even have them yes but again no addendum sticker they are again up charging about twenty five hundred dollars this is on Honda man Honda needs to be able to produce more cars um well they're trying to uh this is not on I mean I remember back in the in the late 70s and 80s um the Honda was getting over sticker then charging additional uh Market adjustments and additional dealer markup back then I was running a Nissan store we we didn't have we didn't have the nerve to do that um Honda dealers have always been able to get away with it and now um if ever there was a case for a a dealership to charge a market adjustment this would be it when you have no cars all right now I pulled up that a CRV on our website 66 days on Market which I think is BS because I scroll down there's an 18 days Supply in this area of CRVs 124 for sale 312 sold in the last 45 days I've been helping one of our community members pops try and purchase a CRV this is one of the best quotes we could get our hands on wow okay MSRP plus 1700 and stuff eighteen hundred dollars and stuff yeah the Honda's forcing the hand of their dealers oh yes and and a huge huge difference from uh when we were just recently at the Kia dealership yeah at the Kia dealership they legitimately had no uh no empty spaces yeah there were cars everywhere they had inventory um and they had huge addendum labels at at the Honda dealership just down the road they have no inventory and they have no addendum labels until you get to their website and then they break it to you gently what's included in the price of the of the vehicle what do you think this does long term what do you think this does people's brand loyalty yeah yeah because we've seen Toyota sales for example we've got a video on the channel we went out to the local Toyota dealership they had more inventory than this Honda dealer does but not by much yeah and when we were at that Toyota dealership the whole point we were making is well their their annual sales are falling down year over year their growth is getting stymied and they're losing market share to other competitors you come here to the Honda lot again I'm helping a Community member that's down in Georgia and you know she's probably going to pay five percent over MSRP with all the add-ons and everything and that's the best deal she can get if you can find one at MSRP obviously that's a great deal phenomenal deal but doesn't that just kill the loyalty to the brain oh absolutely and I told her many times look at the Mazda CX-5 or the cx50 because it's at or below significantly below MSRP yeah but yeah it's gonna Crush brand model T absolutely it does um and and if you can't provide the product to your loyal customers um when it's when they're ready to get a car well then they move on to a different brand and that brand will do everything in their power once they made that Conquest sale to keep that customer as their loyal customer moving forward you know what's going through my head dad Subaru Subaru is like a sneaky brand to watch out for they've always operated with low inventory but their Market adjustments are non-existent right now you can get Subarus below MSRP I was helping a woman with a Subaru Legacy she got almost 10 off of MSRP on okay so Subaru I think is a brand to watch out for they're going to be selling more and more cars and I've been talking to some of those some Subaru dealers in our community business is kind of slow for them inventory is building up a little bit I think you're about to watch Honda Toyota Kia they're going to lose market share to Nissan Subaru well we show you that but but not not to be a contrarian but Hyundai and key is sales um and market share have gone up even as they charge uh ridiculous dealer dealer markups on their vehicles so that's a scary thought and that's something that should resonate with everyone there are Brands out there that you do not have to pay markups on and there are brands that even if they're asking for markups you need to negotiate them we should not be watching the average transaction price and the sales rate of Kias for example or Hyundai's go up significantly while there's markups Galore that is a bad mix and that that introduces and reinforces the idea to the manufacturer oh we can keep doing this or maybe we get rid of Market adjustments but we just keep raising the MSRP that's all a bad mix for us absolutely it is all right gang let us know what dealership you want us to check out it's pretty sparse out here this is the this is the lowest inventory we've seen yet this is pretty pretty wild stuff absolutely your local Honda dealership now a used car dealer gotta make money somehow

Channel: CarEdge

Views: 117,284

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Id: cly-qV-JbU0

Length: 7min 38sec (458 seconds)

Published: Mon Jul 03 2023