Warkman
Member Since: 05 Mar 2011
Location: United Kingdom
Posts: 53
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dealers are all franchises, they have to pay for the corporate logo and setup, ta make the LR dealerships all look the same, they have to pay for all their staff and overheads, Any new equipment such as new testing equipment they have to finanace they have to even buy the brochures, none of this is supplied by Land Rover.
When they get cars allocated, they have a 60 day free period then regardless whether they have sold the new car or not, Land Rover debits them for the car.
All second hand stock has to be bought maybe months before resale.
They do get some bonuses based upon their sales per month, and on accessories but if you think they are making £5,000 "profit" on each car sale, you are sadly mistaken.
For many, the operating profit was made by servicing, now that has been reduced, then so has their profit margins.
Now they try to make more money on warranty costs, but LR have a team looking at each warranty claim and the costs are tied down by SRO (Service Repair Operation times) which are always less than the dealer wishes to claim.
Sure, when a new car comes out (such as the evoque) they will not discount whatsoever, but like airlines charging more in school holidays, this short term profit has to cover the whole year.
Many dealers have gone bust, as operating margins are too tight to continue these days.
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19th Mar 2011 10:33 am |
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athelstan
Member Since: 03 Nov 2009
Location: Reality
Posts: 2658
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They do indeed dunroof, they do indeed.
I've decided that I will never visit the LRJ dealership that supplied her Ladyship's FL2 again - i.e. I will not put funds into that business for anything - service, parts, accessories or new car sales.
I need a new family car - my present pride n joys are great fun for me n her but since the arrival of our daughter (and if our head count increases in late '11 or early'12) then the present jalopies just won't do. One's a 2 seater and the other a 2+2. My ideas were along the lines of new XJR and a D4 (but awaiting LJR improvement on warranties etc to match the competition before placing orders) - will the FL2 supplying outfit get them - NO.
Went to recent Geneva show - I even thought that with her Ladyship's approval I'd PX her FL2 and get her an Evoke. So those 3 would be inline for an ≈ GBP£180k contract. The dealer's loss not mine - all because they do not appear to know how to service let alone fix faults on her FL2.
However I am looking forward to one last summer fling with the Brit jalopies. The bikes will stay despite what she say's.
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19th Mar 2011 7:08 pm |
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dunroof
Member Since: 24 Nov 2010
Location: <> Yes, still being stalked by another member!
Posts: 1785
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Quite right Athelstan.
I got a flyer in the post today from Vauxhall. 10k off list, lifetime warranty AND free servicing. Okay, there is a world of a difference between Vauxhall and Land Rover, but think about it a mo, just now we are paying RRP for the vehicles and told by dealers what a favour they are doing us as they are in short supply, I wonder why! then we all fret when our Land Rovers get to 3 years old and then we buy expensives warranties at 660 quid a year, not that they are worth the paper they are writen on , but a true bargain by all accounts, well the dealers anyway. Add to that 300 quid plus for servicing a year cos we are all crapping ourselves that if we dont use a francised dealers things will go t*t* up. It just goes on and on. Dealer loyalty, brand loyalty, give us a break, it's all one way! ![Rolling with laughter Rolling with laughter](images/smiles/icon_rolling.gif)
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19th Mar 2011 10:17 pm |
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athelstan
Member Since: 03 Nov 2009
Location: Reality
Posts: 2658
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Absolutely Right
So I'll wait to see when LRJ have to move i.e. improve their warranty etc in line with what the Germans & Volvo are now offering in this market here. As usual LR and J are always catching up!
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19th Mar 2011 11:11 pm |
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dunroof
Member Since: 24 Nov 2010
Location: <> Yes, still being stalked by another member!
Posts: 1785
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Penny pinching lot of gits!
No doubt we are still paying for Victoria Beckhams pouting, non speaking endorsement of the Evoke or whatever it's called.
I think LR know they will have to improve both reliability and their warranties and dare I say, give us value for money, but are merely putting it off. They will be the last to offer it, of that I have no doubt.
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20th Mar 2011 9:54 am |
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Mark12
Member Since: 17 Jan 2011
Location: Lancashire
Posts: 62
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dunroof wrote:Quite right Athelstan.
I got a flyer in the post today from Vauxhall. 10k off list, lifetime warranty AND free servicing. Okay, there is a world of a difference between Vauxhall and Land Rover, but think about it a mo, just now we are paying RRP for the vehicles and told by dealers what a favour they are doing us as they are in short supply, I wonder why! then we all fret when our Land Rovers get to 3 years old and then we buy expensives warranties at 660 quid a year, not that they are worth the paper they are writen on , but a true bargain by all accounts, well the dealers anyway. Add to that 300 quid plus for servicing a year cos we are all crapping ourselves that if we dont use a francised dealers things will go t*t* up. It just goes on and on. Dealer loyalty, brand loyalty, give us a break, it's all one way! ![Rolling with laughter Rolling with laughter](images/smiles/icon_rolling.gif)
If you feel so strongly about it then the simple answer is don't buy LR products, as long as people are prepared to pay full RRP, excessive costs for servicing or put up with poor warranty cover then LR will continue to trade like it does.
Personally, having purchased new cars from Audi, Mercedes, BMW and now LR in the last 10 year, LR seem to be no worse than others and actually better in some respects. With regards to having to pay RRP for vehicles, I ordered my TD4 HSE in January when there was a shortage of new and used vehicles am I still managed to get a good discount on the cost of the car so it is worth not taking the first offer that the dealers give you.
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20th Mar 2011 10:01 am |
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dunroof
Member Since: 24 Nov 2010
Location: <> Yes, still being stalked by another member!
Posts: 1785
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Freedom of speech, freedom of choice.
Like very many on here, I'd actually suggest the majority, we like the vehicles, faults and all, but don't like the service we get from the dealers or LR itself. It's an old sore. I dont know that we can now say LR is no better or worse than other dealers, as I said look at Vauxhall. They arn't the only ones offering this sort of service/discount/value.
I didn't take the first deal I was offered on a car. In early 2009, I went nationwide for a LR and went for a price match. Took the plunge when I got an 8k discount - wasn't a FL.
In percentage terms, what discount did you get?
The best I heard was in May 2009, when LR sales hit the rocks, 18k OTR for a new FL2 with metallic paint and roof bars! Those days are long over mores the pity, but it just shows you.
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20th Mar 2011 10:22 am |
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Warkman
Member Since: 05 Mar 2011
Location: United Kingdom
Posts: 53
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dunroof wrote:Quite right Athelstan.
I got a flyer in the post today from Vauxhall. 10k off list, lifetime warranty AND free servicing. Okay, there is a world of a difference between Vauxhall and Land Rover, but think about it a mo, just now we are paying RRP for the vehicles and told by dealers what a favour they are doing us as they are in short supply, I wonder why! then we all fret when our Land Rovers get to 3 years old and then we buy expensives warranties at 660 quid a year, not that they are worth the paper they are writen on , but a true bargain by all accounts, well the dealers anyway. Add to that 300 quid plus for servicing a year cos we are all crapping ourselves that if we dont use a francised dealers things will go t*t* up. It just goes on and on. Dealer loyalty, brand loyalty, give us a break, it's all one way! ![Rolling with laughter Rolling with laughter](images/smiles/icon_rolling.gif)
Vauxhall warranty
"lifetime" warranty is only for the first owner (so if you buy a car registered by the dealer that is not any more a lifetime warranty, up to 100,000 miles, so even if you are a first time buyer and hold onto the car for ever, once you reach 100,000 miles then the warranty is gone, plus look at what this "lifetime warranty" covers.
If you do a normal 24,000 miles a year then that lifetime ends up being just over four years
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21st Mar 2011 7:38 pm |
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dunroof
Member Since: 24 Nov 2010
Location: <> Yes, still being stalked by another member!
Posts: 1785
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Warkman, so much pent up agression! What have Athelstan and I done to upset you, it does seem you want to make an example of us?
Of course the lifetime warranty comes with caveats and is it unreasonable to say it's only applicable to the first owner? Your example of a pre registered car is a bad one cos the flyer I've got specifically mentions them and says they are still up for it. Maybe it's a special offer, dunno.
Up to 100k miles is a reasonable milage to cover. One of my cars only does 3k a year, thats very light, but then your example of 24k is very heavy. Typical about 10/12k probably, so it's still 10 years worth of warranty, 30 for one of mine.
Had a look at what they cover and it's comprehensive. Maybe there would be problems, but no more so than LR, thats for sure.
All in all, it was just an example to highlight the lousy LR warranty, I think you'd be in a minority of one on here to say it couldn't be improved on and if they did what Vauxhall did, we'd all be delighted, although I accept you might not be for what ever reason. ![Rolling Eyes Rolling Eyes](images/smiles/icon_rolleyes.gif)
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21st Mar 2011 11:27 pm |
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