Monday, July 27, 2015

Hellcat production could not meet demand for the 2015 models of Challengers and Chargers, so the 2016 production will be doubled

Fiat Chrysler will more than double production, but about 900 consumers who ordered a 2015 Dodge Challenger or Charger SRT Hellcat and never received their 707-hp muscle car will have to get back in line, though, to the head of the line, and will only have to pay the 2015 price for the 2016 model.

The Hellcat dealers who accepted more orders than they could fill or put huge market adjustments on the cars sowed some ill will. For example, one dealer in a northeast Ohio town of 6,000 took deposits and put in orders for more than 200 Hellcats -- many more than the dealer would ever receive. (these dealerships often place orders for high demand vehicles, then flip them for profit and sell them to dealerships that buy them, who actually can sell them in larger markets)

"For the 2016 model year, we're starting fresh," Tim Kuniskis, Dodge brand head, told Automotive News. Canceling customer orders "is probably not what they want to hear, but we're going to do it so that we have a fresh, clean slate going forward with everything that we learned in 2015."

Dodge also is changing the way dealers receive Hellcat allocations and place orders, Kuniskis said.

The number of Hellcats dealers receive still will be based on the total number of Dodge vehicles they sell in a given period. But dealers will be told exactly how many Challenger and Charger Hellcats they will receive between the start of 2016 production in September and February, as well as their total potential allocation for the year. (Again, doesn't matter... dealerships will just buy from other dealerships who choose to make an instant 10 thousand dollars by selling the Hellcat to a dealership with a larger demand, and better chances of selling the car... the 1st dealership then profits nicely, and can show Dodge that they move cars quickly without huge mark up. Win-win)

And, in another big change, dealers won't be able to place orders above their allocation. (but can buy from each other) And if they don't sell the cars quickly when they receive them -- which can happen, for example, if a dealer jacks up the price with a large market adjustment -- the dealers could lose some of their future Hellcat allocation, Kuniskis said.

Dodge will start taking 2016 orders the week of Aug. 10.

http://www.autonews.com/article/20150727/OEM01/307279962?template=mobile&X-IgnoreUserAgent=1

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