Pool100 1st Gear March 12, 2007 Share March 12, 2007 Is there some kind of conspiracy theory behind the recent COE crash to $5200? Of course we can all say it's all linked to $$$ but it just doesn't make sense to me. For that round of bid, there were 2823 bids for 2670 COEs. That means, there were 153 bidders who were not willing to bid more than $5200. (a bit silly considering the average range has been 10-12K over the past year). And what got me thinking was why some dealers didn't put in bids for their customers, even though COE was so freaking low. i.e, they could have secured COEs at $5201, $5300 or $5XXX had they placed the bid in. Why wait? Were they hoping that COE would even DROP FURTHER? highly unlikely based on historical trends. i.e COE normally rebounded right after a drop.. as proven this time round too. Looking at historic figures, there were months were fewer or similar amount of bids were placed, but COE remained at 10-12K.. i.e Feb round 1 - 3005 bids, 11.8K. Oct 2006 round 2 - 2761 bids, 12k. Was it a bid to raise a car buying frenzy? probably. But doesn't make sense too since if the COE drops, they have to lower car prices too. But then they have to secure future COEs at higher rates using lowered car prices. Poor business decision IMO. And by the way, for the 153 bidders who failed to get their COEs during the $5200 crash, they must be kicking themselves because it's almost impossible for COE to drop below that level in the near future. that means they'll have to fork out more in future rounds to secure COEs for their customers. Another poor business decision again IMO. So what's the deal? ↡ Advertisement Link to post Share on other sites More sharing options...
Wt_know Supersonic March 12, 2007 Share March 12, 2007 it's normal for someone who 'dream' that they can strike by putting very low COE even $1 Link to post Share on other sites More sharing options...
Pool100 1st Gear March 13, 2007 Author Share March 13, 2007 But what's the deal with dealers not putting in bids for their customers even though COE was so low? I have a couple of friends who didn't get their COEs even though loans have been approved. Link to post Share on other sites More sharing options...
Paddie 3rd Gear March 13, 2007 Share March 13, 2007 Don't forget that every COE bid carries an immediate deposit of $10,000. Some dealers might just not have budgeted to place more than X bids during that bidding exercise, and by the time they realised it was going to crash (only 10-15 minutes before closing) it might have been too late. Link to post Share on other sites More sharing options...
Fongs Neutral Newbie March 13, 2007 Share March 13, 2007 For those who didnt get COE despite the drastic drop to 5.2k, my guess is, dealer maybe unwilling to rebate any difference in COE prices to buyer. eg. if COE rebate is capped at $6k, dealer will need to rebate $6k - $5.2k = $800 Dealer maybe playing a mind game with the buyer. Now tat COE prices hv gone back up, they may request for topup to get immediate (CAT E). Who doesnt want to earn more?? IMO, the last round of COE crash is a FAT bonus to the dealers, not the buyers. Imagine u get back $800 as rebate, your car paper value already lost few k. Link to post Share on other sites More sharing options...
Wt_know Supersonic March 13, 2007 Share March 13, 2007 (edited) high or low COE the one who benefited it is the CAR DEALER .... PERIOD ! as car buyers ... we are living at the mercy of the dealer .... COE low ... they said COE will rebound ... so cannot lower the price too much COE sideline .... car price remain or GOES UP COE goes up ... they up the price super fast Edited March 13, 2007 by Wt_know Link to post Share on other sites More sharing options...
Altivo 3rd Gear March 13, 2007 Share March 13, 2007 cos it's the bidders and not the car buyers who are bidding for the COEs mah.... Link to post Share on other sites More sharing options...
Zniper 2nd Gear March 13, 2007 Share March 13, 2007 TS, i can only tell u tat even if those 153 ppl gotten their COE at such low price and gotten some rebates from the car dealers due to tis, they will not gain anyting at the long run... i.e a person got a car at $43k wif coe @ $5200 and i got a vios at $46 wif coe @ $12602(current price.. tis is the fact as i got mine) calculate the diff and which 1 is more worth it... tink maybe the dealer rebates u $3-5k but there is still difference in the amount of paper value and stuffs... Link to post Share on other sites More sharing options...
Pool100 1st Gear March 13, 2007 Author Share March 13, 2007 All I know is that if the dealer gets the COE at low price, both dealer and customer will be happy. win-win situation. Dealers gets a bigger cut from his profit margin, customer gets a rebate. whether the customer is truly happy from such a deal is another matter altogether. Link to post Share on other sites More sharing options...
Zniper 2nd Gear March 13, 2007 Share March 13, 2007 haha, of cos wat u say is a win-win situation... but the fact is we as consumer of cos wants the best for us... so my situation is wat i like... Link to post Share on other sites More sharing options...
Ivan78 Neutral Newbie March 13, 2007 Share March 13, 2007 I guess you are thinking too much.... For that round itself, most dealers did not realise that the date was brought forward because of CNY, and most car dealers/agents could not deliver the car in time even if they bid for this round COE... so it was more of a case that dealers who got their COE then got a lucky bid... ↡ Advertisement Link to post Share on other sites More sharing options...
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In NowRelated Discussions
Related Discussions
Basic Theory and Final Theory plus Road Traffic Act should be pinned to threads like reckless driver.
Basic Theory and Final Theory plus Road Traffic Act should be pinned to threads like reckless driver.
Thread to Show Crowd Situation at Car Show Room
Thread to Show Crowd Situation at Car Show Room
Any tips on passing driving basic theory nowadays
Any tips on passing driving basic theory nowadays
Mermaid Conspiracy
Mermaid Conspiracy
Where website can i apply basic theory test online?
Where website can i apply basic theory test online?
The Big Bike Conspiracy?
The Big Bike Conspiracy?
Conspiracy theory: Underaged sex and SMRT COI
Conspiracy theory: Underaged sex and SMRT COI
Basic Theory for Class 3
Basic Theory for Class 3