For example, a manufacturer that will remain unnamed regularly requires dealers to answer phone solicitations within two rings. How do they know that’s happening? Great question, and the answer is they‘re monitoring. Talk about invasion of privacy. Another quirk – flooring. Automakers like nice flooring and dealers might not always have the budget for nice flooring. But once you’re in bed with a dealer, demands follow.
Some have argued it is silly to blindly follow dealer whims just for a small cash grab of incentive income. But, dealers are quick to point out that not participating or following dealer whims can result in some painful repercussions. This can come in the form of reduced inventory allocation, limited access to desirable models, and perhaps the worst of all – reduced competitiveness with other dealers peddling the same brands. Multiply this phenomenon over entire states or large metropolitan areas and what you get are dealers eventually selling [...]