In the States this week there are concerns that GM could go bust in the next twelve months. GM are looking at merging / a takeover of Chrysler.

US manufacturers have other problems relating to pension liabilities which makes it even tougher for them.

I can see big layoffs looming for car makers all over the world as they struggle to shift metal. A number of them have already reduced capacity and gone on to short weeks.

It's called not getting left holding the baby lads, as mentioned before there's a money supply problem so if you take a car in for say 6k and no one buys it for 6 mths it could potentially be worth £4k by then if things continue to slide the way they are right now.

I don't agree with it, but from the dealers point of view it's a self preservation thing tbh.

I can understand a dealer not wanting to take in a PX if he thinks he will have trouble selling the car, on the other hand it will limit his sales of new cars if customers cannot PX their old car. The whole problem comes back to the banks who have screwed the system and now have choked the money supply to Joe public. The dealerships are in for a rough ride and so are the manufactures, Jaguar / Land Rover are looking at 'non production' days & it was mentioned on the GP qualifiying programme that Renault have been laying off workers too.

Sadly I can tell you that it's happening in the Skoda world too. I rang a long list of dealers last week to see if any wanted to buy mine, none did. I tried two Audi garages for PX and the best they could find within the trade was between £8k and £9.5k which for a car that was one year old last weekend and has an RRP of circa 20k isn't very pleasing.

Sadly I can tell you that it's happening in the Skoda world too. I rang a long list of dealers last week to see if any wanted to buy mine, none did. I tried two Audi garages for PX and the best they could find within the trade was between £8k and £9.5k which for a car that was one year old last weekend and has an RRP of circa 20k isn't very pleasing.

Can only echo the above, have rung a Skoda dealer and an independent VAG specialist about buying my estate once it's back and fixed up... not a jot of intrest.

Looking likely (unless I manage to get a private sale on the VRS) that SWMBO will have the Audi once I get the VRS back and we'll hand her Aygo back to Toyota.

you moving over to audi then stu?

you moving over to audi then stu?

I noticed the change of avatar and sig.

So what you getting RS4

I agree with Lummox, I think a lot of dealers will go to the wall in the next year. There is a Vauxhall dealer near me have a major rebuild done and I can’t help but think they will be bust within 12 months if they aren’t lucky.

I have wondered if in a year or two however, will the demand for used motors skyrocket as people start to feel more confident in their personal finances, dealers can offer finance again and the realisation that the lack of new 58 plate cars now, will mean a shortfall of nice used cars in the near future?

Indeed, and will they also be trying to rake in some of the cash lost from the current economic climate by less good deals for us.

The Untouchables | Auto Express News | News | Auto Express

The Untouchables

Struggling new car sales have forced dealers to be very choosy over what they’ll take in part-exchange. We asked around to see which models they are turning down.

So, basically if you want to change your car you need to find a private buyer for your car, then walk into a showroom with a large wad of cash & beat a good deal out of the salesman. Otherwise you've got to wait for the world to return to normality.

you moving over to audi then stu?

Yes

I noticed the change of avatar and sig.

So what you getting RS4

Sadly no Mike, my numbers didn't come up this weekend.

So, basically if you want to change your car you need to find a private buyer for your car, then walk into a showroom with a large wad of cash & beat a good deal out of the salesman. Otherwise you've got to wait for the world to return to normality.

Thats the way it looks. And if that is actually the case, then the dealers - IMHO - wont be turning over much stock at all. Surely the majority of customers have trade in's? I guess they are just trying to weather out the poor financial "storm".

To give a real life example of the issue dealers are facing;

Used Vehicle Search - Fiat, Mazda and Suzuki in Coventry and Leamington - Coventry Motor Company

You can see on the screen it was marked up at £12800, now at £11999.

That is my wifes old car, we got £11500 for it in a trade in for a Fiat 500 in early July. I reckoned its value was falling at about £450/month back then.

Surely they are going to lose money, at the time I thought the offer was low...now I feel guilty! (well not really). Remember this is a desirable, diesel, low tax family car...plus it's mint.

Dan

Well if somone wants to come up with £11k pretty quickly then you can have yourself a very cheap 1 year old RS

Sadly no Mike, my numbers didn't come up this weekend.

Mid-week numbers instead maybe (given the specification of your S3)??

Your profit margin on all those bluetooth kits must have been quiet something

It's amazing what the sale of a Kidney can net you these days.

I had a local company supozed to be buying me a bmw but due to the fact they havn't sold any car's and had no money in there acount they couldn't and it all fell threw......they were more than happy to trade my cars in though

:confused:

I seem to remember reading somewhere that things like a £15K Mondeo costs about £6K to make. But then there are marketing costs to add to that.

Which begs the question, why are they so bland inside and out compared to competitors? Vauxhall are just the same. Plastic everywhere

cos of your 6k to "make" you have 2-3k of development costs per car, 1k marketing, 20% tax to govt, 2k warranty cost... which suddenly means that car costs 14k

To give a real life example of the issue dealers are facing;

Used Vehicle Search - Fiat, Mazda and Suzuki in Coventry and Leamington - Coventry Motor Company

You can see on the screen it was marked up at £12800, now at £11999.

That is my wifes old car, we got £11500 for it in a trade in for a Fiat 500 in early July. I reckoned its value was falling at about £450/month back then.

Surely they are going to lose money, at the time I thought the offer was low...now I feel guilty! (well not really). Remember this is a desirable, diesel, low tax family car...plus it's mint.

Dan

had a very similar thing happen with a certain landy. lovely beast, but for what we took it in for, it was spotted a month or so later on a forecourt for practically what we took it in for. now i know we sent it to auction, but for it to be up for that sort of money must have meant a massive loss at auction!

now you imagine that happening to every car you take in, month after month after month. its not a good time! :(

had a very similar thing happen with a certain landy. lovely beast, but for what we took it in for, it was spotted a month or so later on a forecourt for practically what we took it in for. now i know we sent it to auction, but for it to be up for that sort of money must have meant a massive loss at auction!

now you imagine that happening to every car you take in, month after month after month. its not a good time! :(

It did have a couple of leaking sunroofs

But was a nice Landy

Still miss it.

What the heck is going to happen next year with all these worthless cars? There must be thousands of similar Zafiras.

Same problem with our fully loaded X Trail.4 years old and I know it would either not be taken p/x or we would be offered a pound.

Decided to say stuff the government and the dealers.We will now run it into the ground over the next few years.

The car sector will be in freefall,new and used if the retrospective VED goes ahead next year.Something else for the government to add to its 'we buggered it list'.

Edited 14 October, 200817 yr by lozgti

A friend of mine was in an Audi dealer recently. Was told he could have a brand new unregistered A6 Diesel, list price £31,000 for £23,000. As in, please just take it away...

Yup my A4 2.8Q I got last month was up for £1 shy of £4K. I got it for £1900.

A friend of mine was in an Audi dealer recently. Was told he could have a brand new unregistered A6 Diesel, list price £31,000 for £23,000. As in, please just take it away...

When taking works mondy for a service yesterday, walking though sales the head guy was telling the sales guys (4) that they must shift 3 cars EACH by saturday, else one would have to be let go.....

Saw them slash £1500 on the out going Fiesta in the 5 minutes it took to drop the keys off.