PCA SDR

Word from Porsche Land is not good. We're hearing from some very big and very important Porsche dealer principals that the Porsche Cayman S is as close to being dead in the water as a new car can be. "Customers come in, call it a Boxster S Coupe, see it's about ten grand more than a regular Boxster S any way you slice it, mutter something about 'why is a Coupe ten grand more than the convertible?' - and then they either start looking at the Boxster S or they walk out. Porche blew the Cayman pricing, period," was the word from one dealer we talked to who shall remain nameless.

Why are we not surprised? When it comes to the basic pricing of their cars (or the even more ridiculously priced options), there is always one overriding factor that Porsche brings to the table - and that is flat-out greed. No auto company in the world has more cojones than Porsche when it comes to overcharging their customers, and unfortunately, customers in the U.S. have born the brunt of Porsche's usurious pricing strategies over the years. But it's a different world now, and there are too many great cars out there that bump up against Porsche in terms of performance - and crush the vaunted German automaker when the question of performance-for-the-dollar is factored in. Traditional Porsche buyers are not amused by the Cayman's pricing - and more importantly, the dealers are not smiling either.

So let's review, shall we? The Cayenne is over, relegated to yesterday's news and piling up on Porsche dealer lots like so much cord wood. The brilliant Carrera GT has run its course in the market, which is not unexpected. After all, the people who could actually afford one are now moving on to what's next - and the dealers who still have one in their showrooms are left to sit there and think about the interest they're paying on them every single day. The 911 market is getting smaller with each Porsche price increase and with each hot new competitor that equals or surpasses it in all the relevant categories, and now the Cayman S, Porsche's most important launch this year, is teetering on the brink of being a non-starter.

We predict a desperate cash-to-dealers program will begin shortly to try to salvage any momentum from the Cayman's launch - good luck with that. This publication has been relentless in its skewering of the exalted Wendelin Wiedeking and his Greed Posse in Zuffenhausen and for good reason, since these guys have demonstrated about as much vision as a carnival barker - which means it only stretches as far as the next show. While ol' Wendelin keeps collecting German business "executive-of-the-year" awards and bathing in his various accolades, a storm is brewing that threatens to derail the vaunted Porsche money train once and for all. Porsche apologists will say that the numbers don't indicate any impending doomsday, but if they can look up from counting their short-term profits long enough, these brainiacs might just have a shot at steering the ship away from the iceberg in time to save it. On second thought, these guys just don't get it, so why expect lucidity and rational thought at this point?

Chris Huck wrote:FWIW - Sales of all Porsche models have been great for us at Pioneer. January 2006 stands as highest Porsche sales volume we have ever had.

Interesting to note LA dealers are moving Caymans quickly. Standing volume is very low. While we are selling them well, our Boxster sales are best in the SoCal region. Must be the beautful San Diego winter we are having!

We are even buying cars from dealers where things are slower so we have a better selection for our customers to choose from.

Chris

ajackson wrote: For the money, a Cayman S vs a new Z06 would be an interested article.