Quote:
Originally Posted by KatarHol
The "HEIRARCHY" isn't options,it's V6,GT,Bullitt,Shelby.....leather seats do not make a heirarchy. People aren't stupid,it's not hard to order what you want,most people buy off the lot. Your argument is lame,you just wanted to join up with the other sheep and blast the Mustang for no reason other than it's not the car you like. Don't give me crap about "it's hard to pick options,there's too many for simple-minded buyers to choose from",that was ignorant. I'm all for any good natured Mustang vs Camaro stuff,but this was a stupid point to pick on,yeah,give the buyers what they want.....what the hell is Ford thinking?? Again,where has the Camaro been since '02,maybe GM should take some tips before they kill this one too.
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Please, don't make these assumptions. I'm not blasting the Mustang. As someone with sales experience who could be selling cars by the end of the year, I can tell you that the Mustang selling format is not as good as the Camaro one from a salesperson's point of view. When the salesperson has some power of price manipulation—to up-sell options, to encourage cheap additions—they can make better sales. A lot of buyers want to save money, but some come into a shop wanting something specific. If you want something specific, then you are not going to be affected either way. You will do your research and pick you product. Most buyers are not so thorough. Most buyers do some research but go into the business expecting some explanation and help from the salesperson. At the same time, they want to spend as little as possible. That means that the base V6 Mustang will be more appealing than a Mustang CS, but if the salesperson can sign the person up for a Mustang and add a vinyl package for less than the difference, then the salesperson is going to sell better. If you're not in sales, it's a little difficult to really explain the mindset of a salesperson. I can tell you from my experience, which includes work on commission, that more products get sold when salespeople are motivated to sell them, and the Mustang format is not all that encouraging to salespeople. It can be sold, and it has been sold well, but it could be arranged in a better way.
Furthermore, since you have such a quarrel with my hierarchy philosophy of sales, I think I should explain it again. Both the Mustang and the Camaro can be sold this way, but only the Camaro gets this treatment. This method is less confusing than any other method.
• base [insert product here]
• interior options
• exterior options
• performance options
• mid-level [insert product here]
• more interior options
• more exterior options
• same or more performance options
• fully loaded [insert product here]
• trim-specific interior options
• trim-specific exterior options
• less but better performance options
• special edition [insert product here]
• interior options
• exterior options
• few or no performance options
• separate items (through dealer or accessory company)
• interior customization options
• exterior customization options
• performance customization options
Each of these tiers has a base price. Options can be added in packages, such as LT1 or LT2 or added independently. Bundled options cost less on the whole than individual accessories, but buyers can choose different varieties for customization. Organizing it this way allows buyers to see the value of buying options in a package, but those that want some options and not the whole package can purchase them individually. By setting a base price for bundles and packages like the Mustang does, prices do not reflect a savings to the consumer, thus making them undesirable. If a customer could purchase the vinyl for the CS package for less than the CS package, they might purchase that and another option that puts them over the cost of a CS package, thus producing extra profit and reducing upkeep costs for the parts that otherwise rot in a warehouse.
This is a business plan, not a Mustang-bashing post. I'm saying that I, as a person with some notable sales experience, do not like the format of Mustang sales because it is bad for Ford and the dealership in comparison to the GM layout. They are both sellable, and I'm sure that Ford is just fine doing this layout. It puts more work on the shoulders of the buyer, which I think is unnecessary, and it makes pitching more options harder because they all have fixed base MSRPs. If there were only 2 tiers (V6 and V8) of Mustang with more options given in packages, then they would all cost less and buyers would be more likely to consider packages they would otherwise overlook. When so much weight is on the consumer, they tend to resort to the cheapest available product and shut out any additional features or options.
Don't get me wrong. I'm a Chevy guy. That doesn't mean I think GM is perfect or that they always do it right. I'm just saying that Ford, from my experience and perspective, should look to GM's example.