Ford implementing stricter Order Name Matching Policy on dealers

Via https://www.bronco6g.com/forum/thre...me-matching-policy-getting-more-strict.44560/

Ford Order Name-Match Policy Changes
Next month (June), Ford will increase its name-match threshold to 75%, up from the current requirement of 70%. As a result, dealers will need to ensure that more verified orders are delivered to the customers they were ordered for. With the changes, dealers will have a lot less leeway in case the names don't match up on a car.

In addition, a provision allowing 120 days from the "order receipt date" and "dealer delivery date" will be totally eliminated, forcing every violation to count against dealers. An appeals process for dealers will also take into account the sale date as opposed to the order date, affecting 2022 Fords sold on or after June 1st.

Ford's changes are likely meant to reflect the reality that more customers are placing orders rather than buying a car or truck off the lot. Given that demand has far outstripped supply, stricter name-match rules could be a good thing for consumers. Last month, the company even stopped taking 2022 F-150 Lightning orders.

If dealers violate the policy, they risk severe penalties. The biggest change is a 1-month "total allocation forfeiture." There doesn't appear to be much room for error, with a dealer's 3rd violation resulting in "expulsion" from the company's Name Match and Integrity Policy as well as other imposed limitations.

80% Ford Name-Match Policy Coming
Whether or not Ford will really become an "order-only" car brand remains an open question. However, Ford's dealer announcement also gives us a peek at its future intent, stating that it has a "plan to increase to 80% after the launch of 23MY vehicles." This would mark a major move in the direction of an order-focused brand.

As we reported recently, Ford is planning to significantly reduce the complexity of stocked vehicle configurations. This may compel more car buyers to place an order. Once implemented, this could potentially limit the ability of a consumer to buy the car they want from dealer stock, already complicated by a chip shortage.

Listen, we matched the order to the name, he/she didn’t want the $10k paint protection so we moved on to the next customer

Wish they would stop beating around the bush and just tell dealers that cars will be sold at MSRP to the order customer no ifs ands or buts….. if the customer refuses then it’s fair game

F150ROD said:

Listen, we matched the order to the name, he/she didn’t want the $10k paint protection so we moved on to the next customer

Wish they would stop beating around the bush and just tell dealers that cars will be sold at MSRP to the order customer no ifs ands or buts….. if the customer refuses then it’s fair game

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I agree.

Though, are they even able to do this with all the dealership laws in place? I think Ford - and all other manufacturers for that matter - should move more to the Tesla/Rivian delivery models. It reduces costs and overhead. The dealerships will fight this of course.

We don't need middle-man.

Roy2001 said:

We don't need middle-man.

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Years ago salesmen sold vacuum cleaners and cosmetics and plastic food containers and hair brushes door to door. Consumers needed them both as Teachers and Suppliers. And dedicated stores were harder to find.

Now, most people have access to the Internet and You Tube as Teachers, and Amazon, Tesla, and scores of Online Stores as a Supplier.

What part do Car Salesmen now play? Yes, I can see that for Used Cars because Descriptions and Details for New Cars are so much more honest online than for a Used Product.

Dealerships are still important for Certified Service and Complaints. But salesmen? Not so much, except for people too poor or unsophisticated to get connected online.

Ford has the right idea in trying to change to a hybrid model; better than the present one, and in many respects, better than the current Tesla model.

It is just that it will take some time to transition and there will be pain for both the dealers and the customers until that is done.

F150ROD said:

....
Wish they would stop beating around the bush and just tell dealers that cars will be sold at MSRP to the order customer no ifs ands or buts….. if the customer refuses then it’s fair game

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When is Ford making dealers sign onto the new EV dealer contract where they can't charge over MSRP ?

metroshot said:

When is Ford making dealers sign onto the new EV dealer contract where they can't charge over MSRP ?

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I believe it goes into effect in 2024 or 2025, with dealers choosing to sign on (or not) in 2023, but google fu is failing me and I can't find that now.

Roy2001 said:

We don't need middle-man.

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Warning: random long rant incoming to your short message.

This is a tough internal philosophical debate for me. Manufacturers of nearly every product in the world have historically been sold through some form of "middleman" retailer, where the retailer is the middle man. They handle local storage and customer service. I am talking from expensive yachts to the bar of soap you grab off the shelf at Target.

Personally, I have no use for retailers other than the for the immediate convenience of being able to grab something at a time of need. If I can save some money avoiding the layer of fees and can get a better deal directly from the manufacturer, I am going to take that route. I am not the person walking into a BestBuy to have someone explain to me how a computer works or what best fits my lifestyle. But, I fully recognize that I am not the objectively average purchaser. I am self aware enough to realize that there are plenty of people that rely on the "expertise" of people working in retail to steer the average consumer in the right direction and can explain certain things that make their lives easier. You send a brand new computer to my parents in a box and tell them to set it up and they will be lost. You show them the Lightning screen to operate the vehicle and their brain will explode without some salesman holding their hand and explaining each feature.

Internet retailers have skewed their relative value to the average consumer in many ways lately. Retail websites (I am glaring at you, Amazon) ship the item directly to you, without really any added service. Where you used to have to return an item to a retailer for return replacement, now you get a shipping label and send it back yourself. And, many distributors sell their products on their own website directly, cutting out the retailer. You don't need to go to a shoe store to buy your Nikes, you can head to Nike.com and dropship it.

Taking a step back, we have to decide whether the dealership model is still needed for the average (albeit aging) consumer. Compounding the difficulty in answering that issue is the current supply and demand constraints which drastically affect how we view dealers. Dealerships often had a valuable service of not only being available to repair vehicles but to store them on the lot to provide availability to shop the vehicle. With no availability, inventory shortage, and less maintenance for electric vehicles generally, the dealership's value seems diminished, right now. Many people still need to feel a car, test drive a car, and receive explanations about the car from their salesperson. You couldn't test drive most vehicles if you wanted to. The dealership is merely like selecting "in store pickup" on an online order. If you told me I would have to pay 10% markup on an item if I picked it up, but could save 10% by having it shipped to my door, it is an easy decision. And, dealerships are slow to get official information when instant education and information is provided on dedicated websites and forums like this one. When inventory gets back to normal, are the dealerships going to provide value again.

And, as we have seen with Tesla, servicing vehicles without a dealership model is also a frustrating process. They have tried to resort to mobile repair services and a lack of replacement parts available locally, delaying the experience for customers.

Somewhere there is a compromise. Of course, we cannot overlook the fact that there are so many small business owners that have invested tons of money on infrastructure and property and improvements all under the promise that the manufacturer wasn't going to jump right over them to sell directly. What happens to them?

I get it. The dealership model is inconvenient at best for the stereotypical first adopter types like us. But, I will take all of the other added benefits of this infrastructure and logistics and trade it for the silly formality of driving to my local dealer to pick up my Lightning.

Wow, that was a long-winded word vomit. Sorry to fill your screen with my internet diary rant on dealerships.

A big draw of the Lightning is getting back into a manufacturer with certified repair shops all over the place. Part of the reason I bought multiple Audis is because the dealer near me provided great service and their shop was excellent. There was never a time I was charged above MSRP either.

I am all for cutting out the middle man markup, but I don't want to see less service centers around. I'm currently in a six week waiting hold to get my Tesla into the nearest shop over an hour away, since I have a squeak/whistle noise. I have to take a day off of work in order to get to the appointment too, no weekend availability and not close enough to drop off during my lunch hour. Be careful what you ask for. I cancelled my Rivian reservation for a reason, no dealer network was a real concern for me.

FinsNBolts said:

Warning: random long rant incoming to your short message.

This is a tough internal philosophical debate for me. Manufacturers of nearly every product in the world have historically been sold through some form of "middleman" retailer, where the retailer is the middle man. They handle local storage and customer service. I am talking from expensive yachts to the bar of soap you grab off the shelf at Target.
....

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We still need dealers, but they should be acting as service/deliver center. For ordering, we can completely do it online. That's it.

They should NOT block from internet selling. They have NO right to block direct sale.

That thumbnail graphic is

Roy2001 said:

We still need dealers, but they should be acting as service/deliver center. For ordering, we can completely do it online. That's it.

They should NOT block from internet selling. They have NO right to block direct sale.

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I think the core issue is that there are laws preventing car manufacturers from owning dealerships. The idea behind this is that third-party-dealerships increase competition and thus provide better service and prices.

Its total BS of course.

With the way that the auto industry has been changing, and especially with direct-to-consumer sales, these laws are just government mandated middle men. The laws are out of date.

Mr. Flibble said:

I think the core issue is that there are laws preventing car manufacturers from owning dealerships. The idea behind this is that third-party-dealerships increase competition and thus provide better service and prices.

Its total BS of course.

With the way that the auto industry has been changing, and especially with direct-to-consumer sales, these laws are just government mandated middle men. The laws are out of date.

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Definitely! Manufacturers don’t need to own dealerships. They just hire dealers to deliver the trucks.

Unfortunately in this country money has more power than we could imagine.

FordLightningMan said:

A big draw of the Lightning is getting back into a manufacturer with certified repair shops all over the place. Part of the reason I bought multiple Audis is because the dealer near me provided great service and their shop was excellent. There was never a time I was charged above MSRP either.

I am all for cutting out the middle man markup, but I don't want to see less service centers around. I'm currently in a six week waiting hold to get my Tesla into the nearest shop over an hour away, since I have a squeak/whistle noise. I have to take a day off of work in order to get to the appointment too, no weekend availability and not close enough to drop off during my lunch hour. Be careful what you ask for. I cancelled my Rivian reservation for a reason, no dealer network was a real concern for me.

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This is something that has been ticking in the back of my mind. Rivian just had a recall for improper calibrations of seat sensors...what does it take to get this serviced? Will they come out to the truck or does the truck need to go back to IL?

While I know I would never buy a Rivian (hate the face, too small of a truck for Texas) there are other new manufacturers trying to release a new full-size truck. If I bought an Atlis and it got recalled, does it go back to Arizona? Does a Lordstown have to go back to Michigan? What about a replacement vehicle while waiting for warranty repair?

They should deliver some lightnings to give this a good try out. ( :