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đ Rolls-Royce Seller To Be Permanently Banned?
PLUS: Your thoughts on the BaT fees increase
The Daily Vroom
Good morning Vroomers,
Your comments and emails regarding the recent hike in BaT fees were greatly appreciated. We've got a jam-packed newsletter lined up for you today. I've endeavored to keep it concise, aiming for a brief read of under five minutes, though sometimes there's just so much to share.
Hemmings is one platform that's been a frequent topic here. They hosted an interesting press event yesterday to unveil their latest offerings, and you can expect more detailed coverage from me soon... Additionally, Hemmings' CEO, Jonathan Shaw, has expressed interest in an interview with The Daily Vroom. So, if you have any burning questions for him, don't hesitate to send them my way at [email protected]. This promises to be an intriguing conversation!
MARKET LEADERBOARD
đ° The figures shared below donât 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+ cars in the chart below. Which means Hagerty, Hemmings and many others did not sell 5 vehicles yesterday!
Yesterday marked a somewhat subdued Monday, with total sales reaching $4.8m across various platforms. A noteworthy observation since the year's onset is the significantly higher sell-through rate compared to last January, despite a decrease in the number of listings. This trend could be attributed to a post-New Year momentum. However, BaT, typically a frontrunner in listings, has seen a notable dip in its numbers. The underlying cause remains unclear - is it a strategic shift towards more selective listings, a decrease in the availability of cars, or perhaps another factor altogether? Conversely, Hagerty's listing numbers have plummeted. Unless they step it up, 2024 could be the year they say bye-bye to online auctions.
YESTERDAYâS TOP 5 SALES
Just click on the image, and boom, you're right at the listing.
THE âILLEGALâ ROLLS-ROYCE
In yesterday's newsletter, we delved into the topic of flipping high-demand luxury vehicles and how brands like Porsche are countering it by mandating a one-year lease for new buyers of the 911 S/T. Rolls-Royce, however, approaches this challenge distinctly. CEO Torsten MĂŒller-Ătvös, ahead of the launch of the Rolls-Royce Spectre, emphasized a stringent vetting process for potential owners, stating, "We are really sanitizing the need to prove who you are, what you want to do with the car - you need to qualify for a car, and then you might get a slot for an order." He further warned that any buyer reselling the car would face severe consequences, being permanently blacklisted from future purchases. But the question lingers, is this just tough talk, or will Rolls-Royce strictly enforce these measures?
The allure of a Rolls-Royce is undeniable, and the notion of an electric version certainly stirs curiosity. The model in question, the 2024 Rolls-Royce Spectre Launch Package, is creating quite a stir on Bring a Trailer, not just for its prestigious brand and state-of-the-art features, but also for the seller's audacious move to tack on an additional $1,995 as a document fee. This first-time seller on BaT is drawing criticism for this surprising surcharge.
While Rolls-Royce has set a precedent for dealing with flippers, the scenario on secondary platforms like BaT opens a different chapter. The seller's decision to list the Spectre might not directly flout Rolls-Royce's regulations, but it certainly tests the boundaries of the brand's control over its sales post-initial purchase. The added document fee has sparked a wave of discussions, raising eyebrows among bidders. In the echelons of luxury car purchases, an extra $1,995 might not deter an affluent buyer, yet it's the principle and lack of communication that's causing unrest. Silence, in this case, is not golden but a catalyst for speculation and unease.
Engagement and clarity could & should be the seller's best approach. Taking the stage in the comments section, addressing the concerns head-on, explaining the additional charge, or even admitting unfamiliarity with the online selling norms could turn the tide. The comment section is not just a Q&A space; it's where trust is built and deals are sealed. It's a reminder that in the digital age, transparency isn't just expected, it's demanded.
Enough of the drama, let's delve into what truly sets this Rolls-Royce apart. The 2024 Rolls-Royce Spectre Launch Package isn't just a vehicle; it's a statement of luxury, innovation, and exclusivity. As Rolls-Royce's foray into the electric vehicle market, the Spectre (great name by the way) redefines the boundaries of opulence and performance, harmoniously blending the brand's heritage with cutting-edge technology. From its sleek Tempest Grey exterior to the meticulously crafted Scivaro Grey and Charles Blue leather interior, every detail of the Spectre is a testament to Rolls-Royce's commitment to excellence and a nod to the (potential) future of luxury motoring.
Let's hope that the seller, who's been quiet for 4 days, takes note and decides to engage in the comments soon. Fingers crossed!
Do you agree with Rolls-Royce's policy of permanently banning individuals who resell the Spectre within the first 12 months? |
Daily Auction Spotlight
Thanks for your great feedback on this new section we introduced yesterday.
In this section, we'll bring you a handpicked selection of cars from not one, not two, but five different auction websites, catering to a variety of tastes and price points. Whether you're in the market for a rare gem, a modern marvel, or just love to keep a pulse on the market, we've got you covered. Click on the car name under the picture to take you directly to the auction.
2023 Aston Martin DBS: Twin-Turbo V12, Carbon-Ceramic, Fully Loaded
1972 GMC Jimmy 4Ă4: Modified, LSX V8, Off-Road Ready
1948 Ford 8N Tractor: Iconic, Collector-Grade, Vintage Workhorse
1971 Mercedes-Benz 600 Pullman: Rare Luxury, Meticulously Restored
1991 Mercedes-Benz 300GE: Rugged Elegance, Anthracite Grey, Off-Road Ready
Your Feedback
In yesterday's edition, we posed the question:
"How do you perceive BaT's decision to raise the buyer's fee cap to $7,500?"
A significant 76% of you responded, recognizing it as 'An essential move for the expansion and improvement of the platform's services, with a clear understanding of the business justification behind it.'
We appreciate your insights! Unfortunately, due to the overwhelming number of responses, we couldn't showcase every comment, but please know I love reading all your comments and they are all highly valued!
For those interested in understanding the real impact of these figures on the bottom line, stay tunedâI'll be sharing those details shortly.
I am dealer and i am happy to pay the extra fee due to growth, after paying 10 percent at auctions. this is nothing.
This is a significant shift for the upper end of the market. 50% increase in the cap is not nothing, but for cars that sell in this bracket, it is not going to keep people from listing on the leading platform. It will likely indicate a similar shift on other platforms and/or an opportunity for other platforms to try to be more competitive in the segment of the market that draws the most eyeballs and highest profile listings.
Less Buyer's fee is always preferred.... but the new fee is completely reasonable (especially calculating Barrett-Jackson fees at Scottsdale this past weekend!)
Gives an opportunity to the competition!!
$2500 doesnât seem like much when selling a big ticket item. But we lose sight of the fact that it represents a 50% increase. So their overall revenue should increase around 50% accordingly. That is a big increase for BaT indeed. And Hearst. (I remember when our state increased sales tax by $.01 from 4% to 5%. Many years ago. A friend who worked for the state sales tax division said it will easily pass, it only a penny. But a 25% overall increase in revenue to the state. Huge.
If anything, I'd think that they could go higher - if it wouldn't have been perceived as a blatant money grab, because they set the lower standard. I'm sure a lot of thought went into that new cap.
In yesterday's other poll, we asked âWhat are your thoughts on Porsche's latest approach to combat flipping by introducing a compulsory 12-month lease for the 911 S/T.â
The responses were quite divided, with a narrow majority of 57% endorsing the strategy as a 'Smart Move â a tactical method to regulate the market and uphold brand prestige'.
We've received a variety of comments on this topic. Here are a few of your insights.
Itâs their product. Who could argue with how they sell it? They didnât even have to build it in the first place, except maybe one to put in the museum. IMO, itâs a case of the privileged few just getting over it and pressing on
Ford tried to not allow this with fines, didn't work. Why do they care about the secondary market? They are not in charge. Keep out.
The bigger issue with these special cars is the ADM (additional dealer mark-up) being charged. I see this as a bigger issue than flipping and to my mind, this is Porscheâs way of dealing with out of control dealers. For what itâs worth Iâm from Toronto (although I live in San Diego) and itâs illegal for dealers to charge ADM in Ontario.
If this were an auction platform for houses it would be understandable. Substantial profits in flipping houses. But a car? Is it worth a couple of thousands than originally paid? It's like spinning ones wheels, pun intended. Smart move.....Hopefully Porsche will make it a reality.
Vroomy Reads
No need to go scouring the internet for the latest cars news. đđ Here at the Daily Vroom, we've done all the hard work for you.
Sit back, relax, and enjoy the most captivating reads in the automotive world. đHappy reading! đ°
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