COE Bidding – 2nd Round of June 2016

[D3badge]

Buy car also must look at OMV and CEVS rebate .... Like Vezel got CEVS 10k and this already free profit for PI and Harrier got 5k CEVS .

If you guys expect PI to make very thin margin than it is no brainer why there are so many PI bad experiences cases! while not happy AD margin to high. 

[Fitforfun]

Just to share, i got my car from PI immediately after rules relaxed.

 

Price 102k.

 

Omv 20k.

Taxes & others 26k.

Coe 55k

Total cost 101k.

 

Not including comm on insurance, loan and resale of old car, I'd say their profit margin is thin.

 

 

 

If you guys expect PI to make very thin margin than it is no brainer why there are so many PI bad experiences cases! while not happy AD margin to high.

[Wester86]

Anyone reporting the crowd situation in the showroom this weekend?

[Aitam_Kia]

Crowd no crowd... price still the same... yawn...

[Char]

Just to share, i got my car from PI immediately after rules relaxed.

 

Price 102k.

 

Omv 20k.

Taxes & others 26k.

Coe 55k

Total cost 101k.

 

Not including comm on insurance, loan and resale of old car, I'd say their profit margin is thin.

 

 

 

 

What car ? If Vezel did you minus 10k CEVS rebate which went to PI bank account ? Edited June 26, 2016 by Char

[Char]

If you guys expect PI to make very thin margin than it is no brainer why there are so many PI bad experiences cases! while not happy AD margin to high.

No brainer to think PI earn peanut as many buyer don't know they earn from CEVS as most PI model qualify. Total car cost = OMV , first 20k OMV at 100% next 20k OMV at 140% , tax 20% OMV + 7% GST + roadtax .

Let's say Vezel OMV 20K = 20k + 20k + 4K + $280 GST - CEVS 10k + COE . Total cost price estimated $90k exclude others like LTA and storage cost and selling more than $100k plus profit from loan 3k and easily profit 10% .

Selling price attractive and scrap value unattractive as the higher CEVS will translates into Low paft .

Edited June 26, 2016 by Char

[D3badge]

No brainer to think PI earn peanut as many buyer don't know they earn from CEVS as most PI model qualify. Total car cost = OMV , first 20k OMV at 100% next 20k OMV at 140% , tax 20% OMV + 7% GST + roadtax .

Let's say Vezel OMV 20K = 20k + 20k + 4K + $280 GST - CEVS 10k + COE . Total cost price estimated $90k exclude others like LTA and storage cost and selling more than $100k plus profit from loan 3k and easily profit 10% .

 10% profit margin is very thin to sustain business and their volume is not very high compare to AD. AD margin percentage is higher volume much higher!

 

thus 10% profit doesnt mean can cover overhead comfortablely thus equal to business substainability in the long run that why you tend to see more new car bad buying experience from PI rather than AD.

 

It is abt since you are already prepare to spend SGD$100k or more easily on a new car, do you want to add mental stress to yourself dunno whether the experience will be good or not, or go AD spend slighltly more with a piece of mind.

 

BTW my this time round new car shopping experience, AD seem to be able to chop many thousands of retail price, end up prices are very vlose to AD. So I find spending the few thousands is better than a stress mind since you are already spending hundreds of thousands depend on the car u buy

[Char]

10% profit margin is very thin to sustain business and their volume is not very high compare to AD. AD margin percentage is higher volume much higher!

 

thus 10% profit doesnt mean can cover overhead comfortablely thus equal to business substainability in the long run that why you tend to see more new car bad buying experience from PI rather than AD.

 

It is abt since you are already prepare to spend SGD$100k or more easily on a new car, do you want to add mental stress to yourself dunno whether the experience will be good or not, or go AD spend slighltly more with a piece of mind.

 

BTW my this time round new car shopping experience, AD seem to be able to chop many thousands of retail price, end up prices are very vlose to AD. So I find spending the few thousands is better than a stress mind since you are already spending hundreds of thousands depend on the car u buy

Some model only PI carry and got no choice have to buy from them . Agreed with want to save few K to buy from PI is not worth it where AD also carry the similar model . That why we can see sudden so many new PI open for business just to ride through these peak quota and they will never intend to remain business for Long , if you must buy PI model only way to look for those established Long enough in market for the peace of mind .

[Blackyv]

10% profit margin is very thin to sustain business and their volume is not very high compare to AD. AD margin percentage is higher volume much higher!

 

thus 10% profit doesnt mean can cover overhead comfortablely thus equal to business substainability in the long run that why you tend to see more new car bad buying experience from PI rather than AD.

 

It is abt since you are already prepare to spend SGD$100k or more easily on a new car, do you want to add mental stress to yourself dunno whether the experience will be good or not, or go AD spend slighltly more with a piece of mind.

 

BTW my this time round new car shopping experience, AD seem to be able to chop many thousands of retail price, end up prices are very vlose to AD. So I find spending the few thousands is better than a stress mind since you are already spending hundreds of thousands depend on the car u buy

Yalor... Ad make only 16k from my mz6 deal... With such a high overhead and expensive showroom to maintain, I'm not complaining ....

 

One colleague bought a harrier from pi, profit is ~25k... Guess to buy model not available from ad, have too pay more premium...

[Ct3833]

10% profit margin is very thin to sustain business and their volume is not very high compare to AD. AD margin percentage is higher volume much higher!

 

thus 10% profit doesnt mean can cover overhead comfortablely thus equal to business substainability in the long run that why you tend to see more new car bad buying experience from PI rather than AD.

 

It is abt since you are already prepare to spend SGD$100k or more easily on a new car, do you want to add mental stress to yourself dunno whether the experience will be good or not, or go AD spend slighltly more with a piece of mind.

 

BTW my this time round new car shopping experience, AD seem to be able to chop many thousands of retail price, end up prices are very vlose to AD. So I find spending the few thousands is better than a stress mind since you are already spending hundreds of thousands depend on the car u buy

10% profit is based on total sales price include coe , exicse tax, ARF whih are only payable upon registration. the actual cost of a car to a dealr is only the omv plus some other musc cost, which is a lot less than the total.sales price. So the 10% margin statement is a understatement to dealer margin.

[Fitforfun]

What car ? If Vezel did you minus 10k CEVS rebate which went to PI bank account ?

Vezel.

 

You're right.

 

That'll lessen the impact of the increase in COE to the PIs.

Edited June 26, 2016 by Fitforfun

[redstuff]

Just came across this article. Sharing it for everyone's info, pls. Thanks.

 

Is this the new normal for COEs?

[Ara]

Just to share, i got my car from PI immediately after rules relaxed.

 

Price 102k.

 

Omv 20k.

Taxes & others 26k.

Coe 55k

Total cost 101k.

 

Not including comm on insurance, loan and resale of old car, I'd say their profit margin is thin.

 

 

 

 

So how much you paid for the car?

[merc280v6]

So how much you paid for the car?

He said $102K mah!

So PI margin is only $1K?

[Char]

He said $102K mah!

So PI margin is only $1K?

Never mentioned CEVS rebate 10k so PI margin 11k

[Friendstar]

He said $102K mah!

So PI margin is only $1K?

I wouldn't want to buy from a PI with razor thin margin.

 

If they fold, I also jialat. Right?

[Ct3833]

Were showrooms still as crowded as before over the weekend

[Spurman]

Never mentioned CEVS rebate 10k so PI margin 11k

Prob out of the 11k.

 

1 or 2k is comms to salesman.

1 to 2k for local leathers. Fittings. Radios. Etc misc. Rims etc.

 

And some cost to keep stock.

Some cost to buy. Import taxes. Parking. Loans. Storages. Etc.

 

Fair enough. Dealers also earn some extras from loans n insurancr tie ups

Were showrooms still as crowded as before over the weekend

Not as crowded as in april n may time