Article: Jeep's Deep Problem (too much inventory; people don’t want to buy Jeeps)

[Mgdstar]

This is why the Fed is raising interest rates so fast to put the brakes on price increases. Means unless you absolutely need something stop buying for a while and prices will stabilize or drop some.

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[jman]

Tesla lowered prices significantly. Ford is making a good effort. Ford also released a statement saying that quality control will become far more serious for them. Warranty costs were way over expectations.

I hope this type of thinking spreads through the industry. I’d hate to see the quality of the mid 70s to early 80s return. The US auto industry still hasn’t recovered from that. If it wasn’t for trucks and SUVs, the US auto industry would have been forced to take on Japan seriously.

Jeep doesn't have nearly the same issues Ford is having now. Their CEO is still in complete denial that there are any problems. Go look at the left over Fords on most lots and then look at Jeeps. They have plenty of unsold Jeeps but it's nothing like Fords. Jeeps quality control is light years ahead of Fords also. (That's saying something). I wouldn't be singing any Ford praises.

 

[The Last Cowboy]

Jeep doesn't have nearly the same issues Ford is having now. Their CEO is still in complete denial that there are any problems. Go look at the left over Fords on most lots and then look at Jeeps. They have plenty of unsold Jeeps but it's nothing like Fords. Jeeps quality control is light years ahead of Fords also. (That's saying something). I wouldn't be singing any Ford praises.

Ford has been a smoldering dumpster since 2015 and is about to catch fire. It started when Mulally left and has really picked up since covid. The CEOs there really have no power since Bill Ford is still the chairman of the board and behind the scenes shot caller. From all accounts he is more concerned about acceptance by other billionaires than the practical day to day health of his company.

Ford seems to have been shaken awake by the laundry list of issues with their full size trucks, which have pushed customers to other brands, mainly Ram. We're talking about long time, loyal customers who bled Ford blue. They may never be regained.

I still have an F150 in my barn. It's a 2015 and has been excellent. Developed and designed under Mulally's tenure. My Dad sold Ford trucks for decades. We've had many, many Ford trucks in our family. My last experience with a new Ford was a 2020 Navigator that was nothing but trouble. The GM/Ford 10 speed is a disaster in my opinion. Designed in collaboration, otherwise by committee, of which nothing good comes. And Ford's overall QC has become terrible,the leather wore badly, electronics were glitchy, paint was easily chipped, trim was poorly attached, etc, etc. It was replaced with a Jeep Wagoneer, which has been excellent so far for the year we've had it.

Ford should be thankful that GM builds an even worse truck. My last 7 of my last 9 trucks have been Fords, going back to 1997. The f150 has years of life left in it, so we'll see where the market is in 5 years. If it was wrecked or stolen today, a 5.7 Ram with the excellent ZF based 8 speed auto would be what I would replace it with. And I don't say that lightly.

Ford's recent announcement to take QC more seriously and to reduce complexity better be more than a press release to build confidence. They need to show strong, meaningful results, or they will become the Next Nissan, desperately playing catch up after waiting too long to address their problems.

 

[Chris2183]

I'll admit to being surprised when my selling dealer declined to perform a fluid exchange service for my JLU's 850RE. I had figured that they'd view the prescriptive labor process as an easy profit center.

Nope. They clung to the "lifetime fluid" claim pretty vigorously. Fair enough. I've since determined that DIYing the job is worth our time.

For a long time I just kind of accepted that dealer service departments sucked in general so I just put up with Jeep's lackluster service department. It wasn't until I got a Mini and had it serviced that I realized just how bad my local Jeep's service departments really were.

Mini and Harley Davidson really embrace the lifestyle and people who buy their products. They provide an experience when you step into their showroom or service department that at least gives the appearance that you're a valued customer.

Jeep on the other hand knows you're just gonna by another Wrangler in the future anyway, so they don't care about providing a positive service experience.

 

[Dusty Dude]

runningonemptyy said:
i recently unloaded my JL and won’t be ever buying another new jeep again due to the absolute nightmare that JL was and FCA doing everything possible to get out of making it right.

I have never had to fight any dealership for repairs as much as I had to fight Jeep.

I’m in the same boat with Mercedes since moving to Colorado. I have owned 6 Mercedes over time, and still have two of them. The newer one is being replaced with the Rubicon. The dealers here are a nightmare, they can’t fix a simple item, and break other stuff while trying to fix the original problem. Then they want to pile on extra work that doesn’t need to be done.

My experience with the CDJR dealer here was just the opposite on my 2010 Dodge Challenger. So rather than fight the Mercedes dealer, I switched to a better dealer.

 

[AlgUSF]

Seems to me that there is a larger issue in dealer greed during a time when units sold could have see a much higher benchmark. Markup has been laughable in recent years. We walked off of a local lot (literally) laughing after finding out that they wanted $50k for a $30k Kia Sorrento when my wife was looking for a 3rd row SUV. We ended up in a Subaru Ascent, which only had a $1,500 "delivery fee".

LOL! You know it is an irrational market when people are bidding up Hyundais and Kias. I bought my JLU in March 2021 and it was quite an atypical market out there. Dealerships were holding firm on MSRP and all the fees.

 

[bthomp]

Quite the thread, and alot of strong emotions and negativity. I'll put myself in the camp of I love my jeep, I've been infuriated by some of the problems I've had over the years, but in the end I absolutely love the lifestyle vehicle that a Jeep is. It is a tonka truck for grownups, my kids and I love the flexibility. Do they charge too much? Yep. Do they break to often? Yep. Is there a fundamental "Jeep Problem"? I'm going with no. There absolutely is a corporate greed problem, in addition to a political incompetence and corruption problem, inflation problem, and a variety of other problems. There is also an automotive industry problem that goes well beyond Jeep - and I see it when I look online for new cars, in the US; (Cars.com basic search)

• New Wrangler (ICE): 13,882
• New Wrangler (4xe): 8,220
• New Tacoma: 8,271
• New Bronco: 15,381

There is alot of inventory, much of it perhaps is already sold, but figure that would apply relatively equally across the board. Jeep is trying to fight a battle on two fronts, one as the market leader in it's traditional lane, and trying to grab market share in the hybrid space as well, and they're betting big. Is this a smart strategy? That's a topic for another thread.

Ultimately, if you're looking for good gas mileage, most reliable, or for that matter the safest automobile (as rated by the NTHSB), then the answer is really simple - you should not have bought a Jeep.

If you wanted something that is a ton of fun, in town as well as out in the middle of nowhere. That you can get to some incredibly beautiful remote places, while putting a big smile on your and your kids faces with the doors and top off - and have a grown @ss adult tonka toy in the process - then buying a Jeep was absolutely the right move.

I wish there didn't need to be a decision between "fun" and "reliability" and "gas mileage", but you know what - that's fine - give me my Jeep! Happy Memorial Day all

 

[Dusty Dude]

I wish there didn't need to be a decision between "fun" and "reliability" and "gas mileage", but you know what - that's fine - give me my Jeep! Happy Memorial Day all

Great post! You remind me of a “How Do You Want It?” triangle chart that had “fast”, “cheap”, and “quality” on each of the corners. As you move from the center of the triangle towards one of the options, the you move farther from the other two. A constant battle of balancing and nearly impossible to get all three…

 

[FTW1996]

Too much so called "social justice" is intertwined into everything we watch and read. People being third party offended, in other words offended for someone else, seems to be the norm these days. I would gues that after nearly 50 years of Jeep using the Cherokee name, the Cherokee Nation would have somethting to say about it, if they found it offensive. They have the wealth and the power to pursue it if they wanted to.

Cherokee Nation's Chief Says 'It's Time' Jeep Stops Using Name (caranddriver.com)

Quote from the article at the link:

"For the first time, the Cherokee Nation is asking Jeep to change the name of its Cherokee and Grand Cherokee vehicles.

“I’m sure this comes from a place that is well-intended, but it does not honor us by having our name plastered on the side of a car," Chuck Hoskin, Jr., principal chief of the Cherokee Nation, told Car and Driver..."

 

[Pinky Tuscadero]

Amazing post...
It started with a fake news story which cherry picked from other fake news stories... I'm saying fake as there are no actual facts given, just numbers unreflected by what Jeep supposedly had in the past but aren't shown. Clearly just a "Look At Me !" piece.
Then we get to our forum and our own opinions which, although several have zero facts to support any weighted argument on any of the random topics that somehow emerged from this "Thing" - I'll admit it was an interesting mix of thoughts and a good reminder for all of us not to take anything at face value but to check our facts or become poisoned with nonsense and bar talk.
I like it - please keep these types of posts alive

 

[runningonemptyy]

You do you!

i am, and trust me that headache of a vehicle being gone has done wonders for my stress levels.

 

[Chris2183]

I’m in the same boat with Mercedes since moving to Colorado. I have owned 6 Mercedes over time, and still have two of them. The newer one is being replaced with the Rubicon. The dealers here are a nightmare, they can’t fix a simple item, and break other stuff while trying to fix the original problem. Then they want to pile on extra work that doesn’t need to be done.

My experience with the CDJR dealer here was just the opposite on my 2010 Dodge Challenger. So rather than fight the Mercedes dealer, I switched to a better dealer.

I guess I need to take my next Jeep for for service in Colorado then.

Seriously I'm glad you found a good CDJR dealer.

 

[The Last Cowboy]

Amazing post...
It started with a fake news story which cherry picked from other fake news stories... I'm saying fake as there are no actual facts given, just numbers unreflected by what Jeep supposedly had in the past but aren't shown. Clearly just a "Look At Me !" piece.
Then we get to our forum and our own opinions which, although several have zero facts to support any weighted argument on any of the random topics that somehow emerged from this "Thing" - I'll admit it was an interesting mix of thoughts and a good reminder for all of us not to take anything at face value but to check our facts or become poisoned with nonsense and bar talk.
I like it - please keep these types of posts alive

Precisely why I linked to it to start this thread. I wanted to see what kind of discussion this would start. I’m surprised at the number of comments and the opinions, and facts presented.

So, let’s focus on opinions. That is what drives most peoples purchasing decisions. They develop an opinion based on their personal experiences, the experiences of others around them and the information they seek. I would say opinions are as important as facts. Especially when asking someone to give you money for their product. Politicians figured this out long ago, drive public opinion to get a desired outcome.

Facts are important in a different way. Many people who decide based on opinion and emotion, care little about facts. Those who are fact based are the ones who are there to say I told you so. It seems that facts only really matter to most or seem to come to light after the disaster has occurred.

By the way, the above is just my opinion

 

[Old Jeeper]

You cannot sustain a business with that mindset.

The US and Canada are mature markets; two-thirds of new-vehicle buyers come from an existing vehicle.

In a mature market, customer retention needs to be a key element of the overall brand strategy. Only through customer retention can an automaker maintain sales through thick and thin. Besides, your most loyal customers are also your most profitable.

Jeep has been especially bad in treating its most loyal customers. Wrangler used to have one of the highest retention rates in the industry. But in its zeal to attract more affluent buyers, Jeep has turned its nose on those who sustained the brand through think and thin.

I don't know the breakdown, but my guess would be that Jeep's Q1 20% decline in sales comes primarily from loyal customers who have had enough.

I am getting closer and closer to reaching that point myself.

At one time repeat buyers were found in Jeep SWB and Corvettes and Caddies and Mustangs. All have had their ups and downs with different model years and design and performance.

As I have many time, the last REAL Jeep was a TJ, which accounts for TJ Rubicons selling for more than they cost back in the day.

I tried to buy a 2004 TJR with under 5k miles a little over 1 year ago for $43,000. The dealer had so many calls on it, he changed the Ad. First $43k cash gets it on 5 April at 5 pm.

I called the dealer and said I was on the way but I was in Naples FL and would not be there by 5 pm (Miami). I said I have the cash to do the deal. l was on the way when the dealer called and a guy flew in from Ohio and bought it. I looked for almost 1 year for a super clean UNMOLESTED TJR and prices were in the high $20s +++ SO I ordered a 2023 JLR and now have a 2024 JLR-X on order. Given my druthers I would opt for a TJR any day!

Also there are so many versions of JL that its overwhelming: What Jeep, what engine, what options. Took me 2 days and a LOT of fone calls to my dealers to sort my order...did not want a repeat of my 2023 order with options I did not get and options I did not want.

 

[Oncorhynchus]

Tesla lowered prices significantly. Ford is making a good effort. Ford also released a statement saying that quality control will become far more serious for them. Warranty costs were way over expectations.

I hope this type of thinking spreads through the industry. I’d hate to see the quality of the mid 70s to early 80s return. The US auto industry still hasn’t recovered from that. If it wasn’t for trucks and SUVs, the US auto industry would have been forced to take on Japan seriously.

Ford’s motto used to be “Quality is Job 1” remember those days?

Skimping on quality always comes back to bite you in the tookus. Some CEOs figure they can juice the sales for a while and just let the next guy (or gal as seems to be the practice of some companies to finally place a female CEO in place right when the things are about to go south) deal with the fallout.

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