[kystang1889]

Got this off of BON from XCR440SP:

Ford published this letter today that hints at 2007 Shelby production numbers. Please note that I've seen things like this change (look at Mach 1 production numbers for example).
_____________________________________


Darryl B. Hazel Ford Motor Company
email: XXXX@ford.com Dearborn, Michigan 48126-4207

July 19, 2005

All Ford Division Dealers
Subject: SVT Distribution Plan
The purpose of this communication is to announce the following:
· Revision to the SVT distribution policy
· Allocation plan for the Mustang Shelby Cobra GT500
As we go forward, our goal is to expand our lineup of Ford performance oriented vehicles. One such
example is the Mustang Shelby Cobra GT500 which is scheduled for production next summer. As we
expect to have a strong line-up of performance products in the future, the cadence of these products
necessitates a change to our distribution policy. Accordingly, the Mustang Shelby Cobra GT500 and all
future products engineered by SVT will be available to all dealers who complete the necessary
certification requirements. This will further strengthen the Ford brand by providing us with a greater
opportunity to drive showroom traffic by leveraging halo products in all our marketing communications.
This will also help achieve compliance with various state laws by providing all dealers who become
certified the opportunity to sell performance oriented vehicles.
Certification Requirements to Sell SVT-Engineered Products
SVT-engineered products will be available to all dealers who complete the certification requirements. A
unique certification plan will be announced for each SVT engineered product at a later date. Similar to
Escape Hybrid, certification will likely include sales consultant training, technician training and purchase
of special service tools. As in the past, this opportunity will be open to all dealers who enroll in the SVT
program and who meet SVT program requirements.
Mustang Shelby Cobra GT500 Allocation Plan
Dealers will be required to complete certification requirements to receive any type of allocation for the
Shelby Cobra GT500. In recognition of their commitment to the program, current SVT dealers and SVT
Focus dealers will receive preferential allocation for the Shelby Cobra GT500 for the first model year.
At current projections, we expect around 7,000 units to be produced for the 2007 model year. Allocation
will be as follows:
· Two incremental units for current full-line SVT dealers (605 dealers)
· One incremental unit for SVT Focus-only dealers (700 dealers)
· One unit for any dealer who completes certification requirements
· One unit for 2005 President's Award winners (343 dealers)
· Remaining production will be allocated based on a Mustang share-of-nation formula
Allocation Example:
A current full-line SVT dealer who wins the 2005 President's Award will receive four units plus any
units for Mustang share-of-nation.
Example: Full Line SVT Dealer: 2
Completed certification: 1
2005 President's Award: 1
Mustang share-of-nation: TBD
Managing Customer Expectations
We are already receiving customer inquiries about GT500 availability as well as reports of dealers
holding deposits for this car. Dealer allocation will not be announced until the first quarter of 2006.
Despite the extremely high market interest in this product, it is important to appropriately manage the
expectations of your customers according to your actual allocation.
Sincerely,
Darryl Hazel

[Mr_dcj2001]

Nice post man. I like that Ford is taking the iniative to make sure everybody has a fair shot at obtaining one of these beauties. No matter where you live, you should not be left out(provided you are willing to swallow a 5k markup atleast). Too bad they did not address the excessive markup issue in this letter.

[kystang1889]

Yea i know, i'm hoping my dealership will let me have one at MSRP doubt i'll get a discount tho lol

[Ernad]

Interesting

[BadTony]

where's the letter (that was sent out to all dealers) that actually spells out what the actual requirements are?

Will one of you dealer types scan a copy of the actual letter (minus identifying info of course)

[351CJ]

Did you bother to look at the date on that letter?
It's July 19, 2005 - old news

If you look at other threads here you will see that in the last few weeks Ford told the dealers that current production allocated to the US us 7,070 units for model year 2007.

[rpmcobra]

Just saw an interview conducted a couple days ago with Ford VP GT 500 program on stangsunleashed and he said 7500 to 10,000 depending on demand.

[shooterm1]

Originally Posted by rpmcobra

.... he said 7500 to 10,000 depending on demand.

demand doesn't exist in a vacuum ... Catch 22 = GT-500 numbers will be low because sales are low.

===================================

by keeping the numbers low to start, Ford has allowed their dealer network to stifle demand by overcharging their customers!

by keeping the numbers low Ford assures that there will be very few of these cars on the lot for the impulse buyer who just stumbles upon them.

so basically Ford has just decided that the numbers will remain low for themselves ...

[351CJ]

Originally Posted by rpmcobra

Just saw an interview conducted a couple days ago with Ford VP GT 500 program on stangsunleashed and he said 7500 to 10,000 depending on demand.

7,070 is the # allocated to the US.
7,500 is the total # including Canada and anywhere else they will be exported to.

The 10,000 # is what the GT-500 program manager is asking for, but that # has not been approved.

[rconaway]

This is why American manufacturers are getting their asses handed to them by foreign companies. I can't remember ever hearing that Lotus or Porsche are limiting production of their more mass produced cars. I don't put a GT500 in the category of a $250.000 car so Ford, pull your head out of your derriere. We buy Mustangs because they are affordable. We buy Mustangs because it's a great car for the money. It isn't a $65,000 car no matter what you think. Build as many as we can buy, get them out there. The more cars you build, the more inexpensive it gets, the more aftermarket parts, the more cars we buy, etc... I can't believe you are so stupid that you can't see that this is a 30K car production run. Go ahead and let your dealers screw the people most supportive of the product and see how many come back. If I see a GT at MSRP, I'll buy one. If Pontiac comes out with the Trans Am that's even close to the deisgn in Hot Rod before that happens, I'm gone. Start firing people and fix your damn company. Especially some of the morons making production design limits on the GT500. I wonder if these are the same idiots who limited production on the GT?

Since I'm on a rant, I'm going to keep going. Ford, have you ever heard of the concept of the upsell? I go to a rental counter and rent a mid-size car. The first thing out of the mouth of the counter person is "for $5 more per day, we can put you in a full size." It's a beautiful thing. Put GT500's on every dang dealership floor in the country. If I'm paying $30K for a GT and you give me a ride in a GT500, and the dealer tells me for $150 more per month, I can get monster horsepower, I'm jamming. On a lease, it's even less. Why can't your focus groups or marketing people think of stuff like this. Your company sucks from a sales standpoint right now. I'm giving you marketing 101 concepts without screwing the customer. I deal with so many large companies where middle management and corporate leaders no longer have a clue on how to build the right products for customers that it makes me puke. That's why my company is experiencing monster sales gains. I take products from other manufacturers and develop what the customer actually wants without screwing them. You figure out how to build the right product, get so much positive press that Paris Hilton is jealous, then limit production to some ungodly low number. You apply 50 year old marketing techniques that only work with extremely expensive cars that only 100 people in the world can afford. God, you people are stupid.

[pspc271]

you said it man!!!

[roboto1720]

I know how he feels. I just quit smoking and every thing pisses me off!

[rconaway]

Now that I've calmed down, I believe I can give the mini-class of marketing 101 to the dorks in the Mustang department that don't have a clue. Before we start though, let's get one thing straight. The GT500 is nothing more than a Mustang GT with a Lightning engine, 6-speed tranny, and better brakes. I'm obviously over-simplyfing it but I believe my point has been made. I can almost build it in my garage for almost the same price with a GT as a starting point. It's a Mustang, not the Hope Diamond. Who cares if it's a limited production. It's not going into my retirement portfolio. It's a toy I want to play with.

Now, back to marketing. When you sold out of cars with deposits, why didn't one of you geniuses at Ford come up with the brilliant idea, he we are in business to make a profit. This car is profitable and we can sell more of them. Ipso facto, if we build more of these cars, we can make more money. In addition, then our loyal die-hard customers won't hate us and if they become popular, we can add more $40K Mustangs next year. The worse that happens is that we have too much inventory, we discount the car a couple thousand dollars and dump the inventory. Then next year, we up it 50 horsepower and sell another 30,000. Duh!!

When you fire the marketing department because your sales dropped and all your loyal customers have left because you let the dealers screw them and you are outsourcing your marketing, call me. I'm available but I don't work for idiots as your marketing people are turning out to be. Hope you haven't sold out to Renault or gone out of business yet because you don't make enough cars that people want but instead build cars nobody wants. Many run on sentences but I'm on a roll.

[drmustang]

The market for the Terminators collapsed abruptly with mid 30's pricing. These GT500s are mid 40's. How many people are going to cough up 45 grand for a Mustang? This market is in for a huge reversal in the not so distant future. Paying even a small markup at this time would be very foolish.

[shooterm1]

Originally Posted by rconaway

When you sold out of cars with deposits, why didn't one of you geniuses at Ford come up with the brilliant idea, he we are in business to make a profit. This car is profitable and we can sell more of them. Ipso facto, if we build more of these cars, we can make more money. . .

Love it when you talk that way ......

///

but seriously, we've all been through this here - over and over again.

For whatever reason, Ford has caved into to pressures from their Accountants and their Dealers to strictly limit total production. From that point on, the cold and uncaring forces of Supply and Demand (coupled with common greed) have taken control of the pricing structure.


It didn't have to be this way,,, but now - it is what it is ......

A bad deal for Ford and its most loyal customers

[drmustang]

At this time next year Fords retailers will be having a tough time getting $45,000 for a Mustang. 10,000 GT500s/ year will be more than enough at those prices. Understand that the price will do the limiting for reasonable buyers after the initial anxious enthusiasts have have been raped by the dealers.

The guy who just bent over on one of these cars is not going to want to hear this but it allways works this way. Anyone who has followed this stuff for any lenght of time is well aware of this fact.

[paknght]

Rconaway for president---better than we've had. You guys are out of touch though, you guys have way too much common sense, something many people don't have

[rconaway]

Originally Posted by drmustang

At this time next year Fords retailers will be having a tough time getting $45,000 for a Mustang. 10,000 GT500s/ year will be more than enough at those prices. Understand that the price will do the limiting for reasonable buyers after the initial anxious enthusiasts have have been raped by the dealers.

The guy who just bent over on one of these cars is not going to want to hear this but it allways works this way. Anyone who has followed this stuff for any lenght of time is well aware of this fact.

The problem is that the limited production run with excessive price gouging suppressed demand and created anger against the product instead of enthusiasm. If the first car that comes into the dealership has some stupid markup, that's fine. It's a new model. That's to be expected. If I have to wait a couple extra months for the pricing stupidity to die down, that's fine. But if it's a choice between paying the markup and not getting my car that I've been waiting for, that's wrong. Ford should send a letter to everyone that had a deposit for retail pricing with an apology and a guarantee that they will honor their original deal. Anything less than that is Ford simply saying, we piss on our loyal customers because we don't care about repeat long term clients, only the almighty dollar in the short term. I'm waiting for the day a resume crosses my desk with Ford marketing experience as a reference. First I'm going to laugh them in the face. Then I'm going to bitch slap them for ruining a 100 year old company that I supported. I want to see American car companies make good products and compete. However, they are self-destructing because of idiots like the Ford marketing people. These are the same jackasses that tried to position the 96 Mustang with the 4.6l no horsepower engine against BMW. Build a few more Pintos guys. At least I knew how to get rid of may car. Back it into a brick wall.

[LuS1fer]

The better brakes are only required to counter the weight. they are probably no better in practice than a stock lighter GT. Here's an idea - put them on the GT.

[Marine One]

Originally Posted by rconaway

The problem is that the limited production run with excessive price gouging suppressed demand and created anger against the product instead of enthusiasm. If the first car that comes into the dealership has some stupid markup, that's fine. It's a new model. That's to be expected. If I have to wait a couple extra months for the pricing stupidity to die down, that's fine. But if it's a choice between paying the markup and not getting my car that I've been waiting for, that's wrong. Ford should send a letter to everyone that had a deposit for retail pricing with an apology and a guarantee that they will honor their original deal. Anything less than that is Ford simply saying, we piss on our loyal customers because we don't care about repeat long term clients, only the almighty dollar in the short term. I'm waiting for the day a resume crosses my desk with Ford marketing experience as a reference. First I'm going to laugh them in the face. Then I'm going to bitch slap them for ruining a 100 year old company that I supported. I w