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Why do ADs start selling their demo cars?


Columbian78
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Just wondering. Is it because:

 

1. The new versions of that car model is coming soon?

 

2. They don't keep demo cars beyond certain mileage of test driving as they become "old cars". What would this mileage be? This question also got me thinking. Do they break in the new car before it goes on demo duties? We know usually the first 1000km of new cars is on mineral EO and not performing as normal.

 

3. They are replenishing with new cars for those particular models? This is related to when ADs sell the whole range of demo cars.

 

 

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Supersonic
(edited)

It is comon to find ADs selling their test drive and showroom cars after certain period. It is not consider a new practise in the industry. Usually ADs will give $2-5k discount when they sell off those cars.

Edited by 13177
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It is comon to find ADs selling their test drive and showroom cars after certain period. It is not consider a new practise in the industry. Usually ADs will give $2-5k discount when they sell off those cars.

 

 

you go see skoda.........many models have one pc per color...............if the color you want happen to be in the showroom.............that is the car you get..............no showroom car discount............. [laugh] [laugh] [laugh]

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there seems to be a fair bit of demo cars / test drive being sold at a 3 to 5 k discount unregistered.

 

Gone are the days where Demo cars were only sold to rental companys.

 

I suppose IF I were to get a demo car , minimum it would need to be at least 30 K for big brand contis looking at the  video

 

https://www.youtube.com/watch?v=oklqJnm7_TY

 

 

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there seems to be a fair bit of demo cars / test drive being sold at a 3 to 5 k discount unregistered.

 

Gone are the days where Demo cars were only sold to rental companys.

 

I suppose IF I were to get a demo car , minimum it would need to be at least 30 K for big brand contis looking at the video

 

https://www.youtube.com/watch?v=oklqJnm7_TY

No AD will sell u a demo car at $30k off cos that's a big chunk of their margin and some don't even earn that much. From what I know Jap bnb cars likely only few k off whilst for the premium brands, u might get more than $10k off but likely after it chalks up some mileage.

 

I won't get it but there is a good response from what I know at PML for their Mgmt cars so I suppose is to each his own?

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Demo cars are those in the showroom. They are different from cars for test drive. I would think demo cars are better than the latter as they are not driven.

 

What are management cars? Are the the same as event cars? I know some event cars lack the full features as they are just to drive some VIPs around during a specific event.

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Supercharged

Demo cars are those in the showroom.What are management cars? Are the the same as event cars? I know some event cars lack the full features as they are just to drive some VIPs around during a specific event.

 

Demo == Test Drive

 

Display is those on display in showroom

 

Mgmt cars is those given to dealership mgmt to use as perk of job

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Just wondering. Is it because:

 

1. The new versions of that car model is coming soon?

 

2. They don't keep demo cars beyond certain mileage of test driving as they become "old cars". What would this mileage be? This question also got me thinking. Do they break in the new car before it goes on demo duties? We know usually the first 1000km of new cars is on mineral EO and not performing as normal.

 

3. They are replenishing with new cars for those particular models? This is related to when ADs sell the whole range of demo cars.

 

IMHO

 

ADs need to keep some cars for demo, but you won't want to keep them there for too long, such that they show wear and tear - eg the HRV in the Leng Kee showroom has a torn leather gear shift - not very nice looking.

 

So you sell it, and keep them fresh. 

 

Break in? Nah, I doubt it..

 

The other reason I suspect, is so that they can run promotions.

 

See those ads, which say "FROM 100k"?

Then you read the fine print, and it's a demo car. The new car may cost a lot more, but that 100k tagline brings in a lot of readers and hopefully some buyers.

 

As for management units, well, again, eventually the dealers need to put cars on the road, and it's a win win. Offer some units for your staff to drive a bit or offer them at events, then sell them cheaper, get publicity and put cars on the road, and meet the annual quota.

Good for them, good for buyers who don't mind a slightly used car either. 

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My Mini was 6mth old test drive car with 3k km when I bought it.

 

I got 30k off.

 

Has been driving since Jan 14 w/o issue.

Yeah. That's what I thot. The factory would have being given one off prices for demo n training, product awareness and marketing campaign that is written off.
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How often does AD change their test drive cars and sell them off? Noticed they seems to change their test drive cars quite fast, cause as you can see the different colour of the car used?!

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I am the threadstarter but I forgot why I started this thread?

 

Anyway, I suddenly thought of asking about those test drive cars that don't have std number plate and need to put the temporary trade plates. Are they registered and with coe? Or they are allowed for test drive purposes, AD just need to pay factory for them (omv) and if end of the day nobody wants they can just scrap it or export.

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I am the threadstarter but I forgot why I started this thread?

 

Anyway, I suddenly thought of asking about those test drive cars that don't have std number plate and need to put the temporary trade plates. Are they registered and with coe? Or they are allowed for test drive purposes, AD just need to pay factory for them (omv) and if end of the day nobody wants they can just scrap it or export.

You mean AD might scrap and export those test drive cars if nobody buy?

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IMHO

 

ADs need to keep some cars for demo, but you won't want to keep them there for too long, such that they show wear and tear - eg the HRV in the Leng Kee showroom has a torn leather gear shift - not very nice looking.

 

So you sell it, and keep them fresh. 

 

Break in? Nah, I doubt it..

 

The other reason I suspect, is so that they can run promotions.

 

See those ads, which say "FROM 100k"?

Then you read the fine print, and it's a demo car. The new car may cost a lot more, but that 100k tagline brings in a lot of readers and hopefully some buyers.

 

As for management units, well, again, eventually the dealers need to put cars on the road, and it's a win win. Offer some units for your staff to drive a bit or offer them at events, then sell them cheaper, get publicity and put cars on the road, and meet the annual quota.

Good for them, good for buyers who don't mind a slightly used car either. 

 

 

Cars all break in by car jockeys when they offload from ships. 

 

I used to live in West Coast area and lots of times, I would see the cars being driven by the car jockeys from the ports to wherever.  If you've every seen the way the car jockeys drive those brand new cars, you won't ever be wondering about whether there is a proper "break in" for new cars.

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I think the test drive car have not paid any duty/OMV/GST for approved merchant lor.

 

LTA give them up to 6 months of grace period to register ba ......  The penalty of these car become phantom car also very high lor.

 

Get your SE to confirm.

 

 

 

As for seller selling these demo car ....... Mazda EVERY WEEK sell demo car lor ......  I think it is a gimmick lor...

 

 

 

I am the threadstarter but I forgot why I started this thread?

 

Anyway, I suddenly thought of asking about those test drive cars that don't have std number plate and need to put the temporary trade plates. Are they registered and with coe? Or they are allowed for test drive purposes, AD just need to pay factory for them (omv) and if end of the day nobody wants they can just scrap it or export.

 

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My understanding is that generally, the period is usually 6 months before they sell. Some might be sooner.

Edited by Benarsenal
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Cars all break in by car jockeys when they offload from ships. 

 

I used to live in West Coast area and lots of times, I would see the cars being driven by the car jockeys from the ports to wherever.  If you've every seen the way the car jockeys drive those brand new cars, you won't ever be wondering about whether there is a proper "break in" for new cars.

These days, I think they use car trailers to bring the car from the ship to wherever. I don't think they get car jockeys to do this anymore cos it's labour intensive and there could be mishaps along the way, not to mention these car jockeys whack the car.

 

Think there is still someone who will drive the car onto the trailers and downloading from it but that would be minimal I guess and in a tight environment so I guess more controlled?

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