Carbon Fiber and Cash: Alfa Romeo GTV's Record Sale

PLUS: Your feedback on Hemmings...

The Daily Vroom

Hey Vroomers!

Lets dive straight into today’s edition…

See you tomorrow,

Sam

MARKET LEADERBOARD

💰 The figures shared below don’t count any other sales such as car seats, memorabilia etc… All online auction sites are analyzed to put this leaderboard together.

I only include websites that have sold 5+ vehicles in the chart below.

Let's talk about the market's impressive comeback yesterday!

Remember our chat about the market's ups and downs in yesterday’s edition? Well, today just showcased its resilience in spades. We're looking at a substantial jump to over $7.5 million in sales. That's no small feat in this ever-changing landscape.

Breaking it down, the average sale price cruised in at a healthy $47k, sitting comfortably above the norm. It's like the market decided to dress up a bit today, but didn't go full black-tie.

We saw a notable uptick in $60k-$100k vehicles crossing the block. It seems the mid-range classics were feeling particularly spry today, showing up in force and finding new homes.

What can we take from this? Well, if there's one constant in this market, it's change. One day it's playing coy, the next it's out there setting records. That's what keeps us all on our toes, right?

You won’t be too surprised that the 911 was the top selling model yesterday. In fact all of these five models are regularly fighting it out in the top 5 positions.

YESTERDAY’S TOP 5 SALES

Lots of great sales yesterday, especially the Ferrari’s & that awesome GT2 RS. However it’s the Alfa that stands out to me. How many Alfa’s have we seen in the top 5 sales, not many!

So what do we have here? An Alfa Romeo GTV 2000 that's more carbon fiber than classic metal just schooled us all in the art of the deal.

This isn't your nonna's Alfa, folks. We're talking a 1973 GTV that's been stripped down, shipped to Italy, and rebirthed with a carbon fiber exoskeleton that'd make Tony Stark jealous.

Now, here's where it gets juicy. The auction hammer falls at $152k, and we're all thinking "Reserve Not Met, show's over." But hold onto your cannolis! The buyer must've had some serious post-auction regrets, because they came back with a jaw-dropping $220k offer. That's a $68k jump for those keeping score at home.

Talk about a win-win-win situation. The buyer gets a one-of-a-kind Italian stallion, the seller's probably doing donuts in their driveway, and the auction platform? They're laughing all the way to the bank, proving they can make magic happen even after the virtual gavel drops.

This isn't just a sale, it's a masterclass in what happens when you mix classic design, modern engineering, and a hefty dose of "I gotta have it" fever.

Want to dive deeper into any of these listings? Just click on the car to take you directly to the listing. Trust me, some of these are worth a closer look.

2022 Ferrari SF90 Stradale Assetto Fiorano $560,000

2019 Porsche 911 GT2 RS $460,000

2009 Ferrari F430 $430,000

2020 Ferrari 812 Superfast $304,400

1973 Alfa Romeo GTV 2000 $220,000

Deal of the Day

In a surprising turn of events, a 2022 Ferrari SF90 Stradale Assetto Fiorano has just changed hands for a mere $560,000, marking a significant drop from its previous sale price and leaving car enthusiasts buzzing about the unexpected bargain.

The Price Rollercoaster

This particular Ferrari has had quite the journey in terms of pricing:

  • Original MSRP: $825,000 (incl. lots of $$$ options)

  • September 2022: Sold for $765,000

  • July 2024: Sold for $560,000

That's a whopping $205,000 decrease from the previous sale price, for just an additional 2,100 miles on the odometer. It's not often you see a Ferrari depreciate by over $97 per mile driven!

A Buyer's Market?

One commenter summed up the sentiment perfectly: "I'm glad I CANCELED my order with Ferrari 4 months ago on my new 2024 SF90 Spider. It's cheaper to buy these cars here on BAT than at Ferrari." Indeed, the high bidder must have been pinching themselves when their bid was actually accepted.

Factors at Play

The unexpectedly low sale price can be attributed to a few key factors:

  1. Lack of Visibility: With only 19,000 views compared to the original listing's 40,000, it's clear that not enough of the right buyers were aware of this auction. This reduced visibility likely played a significant role in the lower final price.

  2. Depreciation of Options: While the car had numerous options that significantly increased its original MSRP, these extras often don't retain their value in the secondary market. Buyers may not be willing to pay a premium for factory-installed options that could be added aftermarket or aren't essential to the car's performance.

  3. Market Dynamics: We all know the luxury car market can be unpredictable. Without multiple bidders driving up the price, the final sale amount can fall well below expectations. And often the sellers are not wired in to the latest values. Clearly this seller was.

Lessons Learned

This sale serves as a reminder that there are always deals to be had in the collector car market, even at the highest end. It also underscores the importance of timing and visibility in achieving optimal sale prices.

For potential buyers, keeping an eye out for these unexpected bargains could lead to significant savings. For sellers, ensuring maximum exposure and engaging with potential buyers can make a substantial difference in the final sale price.

In the end, this sale represents an impressive deal for the buyer who managed to snag a nearly new Ferrari SF90 Stradale at a considerable discount. It also demonstrates the seller's willingness to let the car go at market price, whatever that may be on the day.

Hemmings Feedback

In yesterday's edition, we covered the current situation with Hemmings and asked you, "Why do you think Hemmings isn't listing/selling more cars in their online auctions?" The majority of you voted that is what a mixture of lack of focus, audience prefers classified listings and UX is poor.

Here's a selection of your comments:

Auctions overall - both live and online - are a “chicken-and-egg” business. It is a careful balance of management of seller expectations, performance, trust…and the quality and mix of cars is paramount. I believe at the core Hemmings suffers from not only a lack of focus but most importantly the inability to manage consignors effectively. It’s better to turn a consignor away than accept a car which is sale-proof. It’s best to tell a consignor his expectations are unrealistic and risk losing him than impacting company performance.

I wonder if Hemmings has fallen into trap of "let's add online auctions, it will be easy given our core business of XYZ decades". Online auction platforms seem to work when there is either a tight focus and niche-- i.e., SOMO and the high end of the market-- or there is enough volume and audience depth that it self propels-- i.e. BaT. Without the clear strategy or the flocking audience, the listing pages quickly start to feel like a dumping ground. And then, how do you market a hodge podge of inventory? It's a doom spiral. If you want to be in the online game, you need to really DO it. Hire into it, resource it, treat it like a business unto itself. It's a logical fallacy to think it will develop and be successful on the coattails of a heritage (print) brand exclusively....

I have worked for both Hs. Hemmings and Hagerty. Both companies have terrible management and don’t listen to the few enthusiasts who they employ. These companies see dollar signs in a business they should easily exploit. Unfortunately, they never devote enough resources to any one thing. Hemmings has lost 35% of its ad pages and Hagerty has bought and fire sales several businesses that don’t get promoted properly- Concours, DriveShare.

The likes of Bring a trailer, sell mainly late model near new cars, so of course they have more listings and sales, Hemmings is mainly classics, which is what most people who view it are interested in. Not everyone is interested in the late, model over valued Porsche Ponzi scheme.

I've purchased multiple cars from BaT and their overall presentation and engagement of sellers and support staff are leap years ahead of Hemmings. I wanted to bid on a 1969 Super Bee offered on Hemmings, but the seller wouldn't engage, which happens on BaT sometimes too. However, after the auction I sent an email to the Hemming's support staff with some observations about the differences between the two sites, crickets - no reply from Hemmings.

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