Facts (and Opinions) about ordering
Ordering a truck is a great thing to do. You pick exactly
what you want on the truck and you don't pay for what you don't want. FoMoCo has a pretty
smooth order process to which this section is devoted.
Before you sit down with your dealer, get informed. Know
what you want to order and about what its going to cost you. To do this, first pick
up a SuperDuty brochure from a Ford dealer. If you plan to tow a trailer or haul a camper
with the truck, then also ask the dealers helpers for a "2000 RV & Trailer
Towing Guide". Take these home to study - so youll order the right truck and
not one thats too light-duty to get your job done. (A big mistake made by many is to
believe that an F-250 with the "camper" package will handle a heavy camper. It
wont! Or that an F-250 with a trailer package will handle a big 35-foot
double-slider fifth-wheel trailer. It wont!).
For more details on gross vehicle weight rating (GVWR) and
gross combined weight rating (GCWR), click here.
Figure out what you want (and need, and can afford), then
use the internet "car" pricing services and price out the specifications for
your dream truck. Their prices may not be exact, but the total price should be within a
few hundred dollars of the actual price when you order your truck.
If your dream truck is over your budget, then you may have
to compromise on some of the specs and/or options - but decide BEFORE you go see the
dealer. There are numerous free pricing services available. Here are a few :
www.carprices.com
www.kbb.com
www.carpoint.com
And there are links to other pricing services at: www.carbuyingtips.com
Picking your dealer
Now, an important part of the process is to pick your
dealer. Its more complex than at first it seems. You want a good price, but you also
want a dealer that can deliver your new truck to you within a reasonable time of six to
eight weeks. Many dealers can do this, but many others cannot (or will not - at least they
wont at the price you want to pay)! You also want a dealer that can handle your
warranty and service requirements, so the best price on the new truck may not be the best
price in the long run.
If price is a very important factor to you in picking a
dealer, you might want to select 3 or 4 dealers based on price, then check out only those
few dealers to determine the other important factors about those dealers. One way to find
the dealer candidates with the best prices is to send out, or "broadcast", a FAX
or e-mail to several dealers. In your FAX or e-mail, include exactly the specs and options
of the truck you are planning to order. And dont ask for the price of the truck -
ask for the ampunt of the "gross over invoice".
A big problem is that for many configurations of Ford
SuperDuty pickups and trucks, demand is still higher than supply. Every dealer would love
to just tell Ford what the dealer wants, and Ford delivers. But Ford cannot deliver enough
Super Dutys to meet the current demand without building another "factory". So
Ford has to ration the hot-selling SuperDutys to its dealers. The rationing process is
called allocation.
Dealers have lots of vehicles ordered, for various types of
customers - fleets, commercial sales, special groups such as Ford employees, dealer
stocked vehicles, and special orders for you and me. To tell Ford which of all his orders
the dealer wants first, he places a priority number on the order form. So you might care
about the "priority" the dealer assigns to your order.
So, to choose your dealer, in addition to service and
warranty concerns, you need to determine how that dealer will handle your deal in several
areas.
Price
What is a "good" price for a new SuperDuty PSD?
It depends on exactly which one, but generally about $500 over invoice is considered a
good deal for a unit that you order and wait for it to come in. For some vehicles that are
in extremely short supply (Lariat LEs and CrewCab 4x4 Lariats, for example), $1,000 to
$1,500 over invoice would be a good deal. And if you find a new SuperDuty on the lot that
you can take home without waiting, consider anything under $2,000 over invoice to be a
good deal.
There are other opinions about price. We dont endorse
this guys opinions, but you might want to read what he thinks at http://www.carbuyingtips.com
Allocation
If a dealer orders more SuperDutys than the
dealerships allocation of SuperDuty trucks, then the extra orders will probably NOT
be filled. Dealers are allocated a total number of trucks they can order in each build
cycle. The number of trucks each dealer is allocated is based on their past sales
experience with selling retail F-250 thru F-550 pickups and trucks. This is called
"turn and earn". Here is a more detailed explanation of the allocation process
written by a guy with lots of experience in this business, Ford Super Duty, the
Inventory Manager at a large Ford truck dealer:
- First, lets try to understand the basics of allocation
with an oversimplified example:
- With no turn and earn and ALL regions and ALL dealers being
equal this is how allocation would work: (These numbers are for illustration only!)
- 1. There is a national pie of 10,000 trucks for 1 week.
- 2. There are 20 pieces (regions, etc,) so each piece gets
500 trucks.
- 3. There are 10 zones per region, so each zone gets 50
trucks.
- 4. There are 10 dealers per zone, so each dealer gets 5
trucks.
- 5. The 5 oldest retail orders per dealer gets scheduled for
build by the assembly plant.
- NOW, throw in that the dealer has 2 identical units
scheduled. One was ordered in August and another in October, both are priority 10. There
is a commodity control of 20% on the something these trucks have in common (4x4 SRW for
example). In this instance ONLY 1 truck will be scheduled, that being the OLDEST unit, the
one ordered in August.
- Now, back to real numbers:
There are approximatley 15 regions plus various cats and dogs, (fleet, bailment pools that
build bodies, and other intersted parties). Each one of these have a percentage of the
total production based on a turn and earn policy. Within each region, each dealer then
get's a percentage of the region's pie - also based on turn and earn. This is the
allocation for the build cycle, normally 4 weeks. The allocation is earned on each line,
SuperDutys, F-150s, Expeditions, etc. There is NO breakdown as to body / trim / engine,
etc. Generally, allocation is determined based on the history of vehicles sold over about
a 3 year period with the last year weighing more heavily. Therefore, a "small"
dealer in the Texas farm and ranch country that has "always" sold lots of F-250s
and F-350s might have a higher allocation of SuperDutys than a "big" back-east
city dealer that sold very few heavy duty pickups before the SuperDuty became so popular
with the surburbanites and the RV set.
Within the dealers allocation we can order units as retail, stock, lease renewal,
small commercial, fleet, and a few other catagories. GENERALLY, the oldest retail orders
are given the highest priority by the dealer. In this context small commercial and retail
commercial lease (RCL) renewal are considered as retail. The dealer will then prioritize
the stock units to be ordered behind these "sold" units.
- Orders for vehicles under the plans that are for Ford
employees and families, the A, X, and Z plans, fall into the other cats and dogs catagory,
IF THE DEALER ORDERS THEM AS SUCH!, otherwise they would be retail. If ordered with the
proper codes, these orders do not reflect on the dealer's allocation
In a perfect world if a dealer has an allocation for 10 units, his 10 oldest retail orders
will be "pulled" for build, with any additional allocation going to stock units.
In REAL LIFE within the allocation system we have commodity restraints which impact on the
units that get built. If a Dealer or region has a restriction of 20% SRW 4x4's and ALL of
the dealer's retail orders are SRW 4x4's only 20% of them will be built. So if the dealer
has an allocation for 10 trucks, that means that dealer will probably only have 2 of their
sold units scheduled. If the region does the "preview" on Wednesday night they
may see that dealer "A" has additional 4X4's to schedule and Dealer
"B" has none, they will then give dealer "A" Dealer "B"'s
20% of 4x4's and give dealer "B" dealer "A"'s percentage of something
else.
Believe it or not, it may be a Rube Goldburg system but in general it REALLY does work!
-Ford Super Duty
Lets talk a little more about the commodity
restraints mentioned by Ford Super Duty.
SuperDutys are assembled from various components and parts,
called commodities. For example, a CrewCab body is one commodity, a 4x4 drivetrain is
another commodity, and a PowerStroke diesel engine is another commodity. The planners at
Ford try to guess how many of each commodity will be needed in the next few weeks or
months, and order those commodities from their suppliers. But sometimes they miss their
guess, and several commodities will be in short supply while there is an excess of others.
The region advises dealers as to which components are in
limited supply and how the available components will be allocated. For example, the region
might tell dealers that only ten percent of their allocated orders can be CrewCabs this
cycle. And that only ten percent of their allocated orders can be 4x4s this cycle. And
that V8 5.4L engines cannot be ordered for the next 3 months. So under this example, if
you wanted a CrewCab 4x4 with a 5.4L engine, your truck will not be scheduled for build
for several months.
And if that dealer has an allocation of 10 SuperDutys this
month, only one of those 10 can be a CrewCab 4x4. If the dealer orders more than one
CrewCab 4x4, the others will probably NOT be scheduled for build until a later ordering
cycle.
Priority
When your truck is ordered, the ordering dealer will assign
a priority code to the order. The lower the number, the higher the priority (Priority 10
gets built before 11...). The dealer can set the priority number at any level they wish to
choose but 10 is the highest priority they can assign. The dealer uses the priority system
to advise the factory in which order the dealer wants his trucks scheduled for build. You
cannot compare the priority assigned by one dealer to the priority assigned by another
dealer - without knowing all the priorities assigned by both dealers. In other words, a
priority 20 assigned by one dealer is not necesarily better than a priority 40 assigned by
another dealer.
Ford Super Duty said:
- The priority the dealer assigns is for that dealership only
- based on the dreaded commodity restraints. This is how a priority 15 could pull (be
scheduled for build by the assembly plant) before a priority10 at the same dealer. By the
same token even though Ford makes every effort to pull retail orders first, if I have no
retail 4x4's (yeah, right!) but have stock 4x4's in the order bank my stock unit COULD be
pulled before another dealer gets a retail unit pulled. OR before one of my retail's get
pulled if the retail vehicle includes a non-available commodity.
Thats about it. You may want to go on to the next section
after you place that order.