Toyota Allocation System

[Nuke]

Can anybody explain the Toyota allocation system? We just ordered a LC, and we are told, although obviously we cannot factory order, there is a "preference" system. So, will Toyota attempt to match our trim/colors/options from all that is available from our distributor/port? Of course some options, such as front paint protection, are port installed. How does it work?

 

[Fort7365]

Your dealer will get randomly assigned allocations. If the dealer gets one that matches closely to your preferences, they'll offer it to you. At that point you can opt to take the allocation, or wait for one closer to your preferences.

The dealer has absolutely no say how any of the allocations get built or optioned. Other than maybe choosing to take some of the port options off.

 

[Nuke]

Thank you Fort7365. This does not sound very encouraging, especially since our dealer is ultra-small.

 

[Lineman]

BMW offers autos built to your preference. I asked at the dealership about Toyota, no bueno.
You get what you get. Maybe your delaer might be willing to trade with another dealer for something closer to what you want?

 

[Nuke]

Yes, we once ordered a BMW. They went above and beyond, providing detailed information from build in Germany to delivery. Sadly, as much as I Iove Toyotas, their arrogance is difficult to accept.

 

[MarcMarc]

If your Toyota dealer is good (and wants to help), they can work with their Toyota rep to trade their allocation for another allocation. This needs to be done straightaway (as soon as they get their Toyota model allocations...dealers get allocations twice a month). That way shipping/logistics can be changed around (before the vehicle arrives at port). My dealer has done that for me multiple times with Toyota models (including with my new incoming Land Cruiser grade). Another option is for dealers to try to dealer trade (trade with another dealer) but there's little incentive to do that with "hot" new vehicles like the Land Cruiser (as dealers will sell whatever they get to someone...at least for now).

 

[MarcMarc]

Yes, we once ordered a BMW. They went above and beyond, providing detailed information from build in Germany to delivery. Sadly, as much as I Iove Toyotas, their arrogance is difficult to accept.

I too would love to be able to order a new Toyota but look at it from Toyota's perspective. They can do a ton of research and decide well ahead of time exactly what they are going to build for the year—and then order/pre-order the parts for those builds from their suppliers. They just build what they want (what they think is best, based upon research) and then send them to the dealers. I don't like it but it's not arrogance. A recent study showed that Toyota gets top marks from their suppliers (rated number 1 as far as supplier relations). And their sales numbers and quality numbers are very high. So, they must be doing something right.

 

[Nuke]

Thank you MarcMarc, this is encouraging. As a small dealer, they are very customer-centric and hopefully will pull some strings..

 

[MarcMarc]

Thank you MarcMarc, this is encouraging. As a small dealer, they are very customer-centric and hopefully will pull some strings..

My pleasure. Just make sure they know that they need to jump right on it (as soon as they get the allocation).

 

[Nuke]

I too would love to be able to order a new Toyota but look at it from Toyota's perspective. They can do a ton of research and decide well ahead of time exactly what they are going to build for the year—and then order/pre-order the parts for those builds from their suppliers. They just build what they want (what they think is best, based upon research) and then send them to the dealers. I don't like it but it's not arrogance. A recent study showed that Toyota gets top marks from their suppliers (rated number 1 as far as supplier relations). And their sales numbers and quality numbers are very high. So, they must be doing something right.

OK, #1 in regard to supplier relations, but from a customer perspective it leaves their business model something to be desired.

 

[TheBat]

 

[Esquire]

Always go to a dealer that requires a deposit. Imaginary waitlists which include everyone in town who would "love to own a Landcruiser someday" are not valid allocation waitlists.

Just like buying a Rolex Submariner. There are millions of people on the "waitlist" who would "love to own a Rolex someday," however, have no feasible intention.

 

[MarcMarc]

OK, #1 in regard to supplier relations, but from a customer perspective it leaves their business model something to be desired.

It sure puts a lot of the responsibility on the dealers...to get the customer the Toyota spec that they want. And that for sure can be frustrating. Again, I'd love to be able to order a new Toyota. I just understand why Toyota does what they do. The key is working with a good dealer and making sure they understand that if they take care of you then you'll keep coming back (and send people their way). But that's not easy with most dealers.

 

[Jayp42]

I run a Toyota dealership.....picture it this way....Toyota Motor Corp builds 50,000 cars. They in turn sell those cars to distribution points around the country (Southeast Toyota, Gulf States, TMNA etc. etc.). Let's say Gulf States for earns 20% of those cars based on national market share (10,000 units), those are allocated to individual Dealerships base on historical sales performance on each individual model that the dealer has sold over a set timeframe. The Land Cruiser has been allocated base on historical sales of the 4runner and Tacoma since it's a new Model. At the dealership level we can "preference" for more specific vehicles i.e. color/factory installed options/trim level. If all else fails there is A LOT of dealer inventory trading that happens behind the scenes to get our customers the exact car they are looking for. Hope this helps.

 

[Nuke]

Always go to a dealer that requires a deposit. Imaginary waitlists which include everyone in town who would "love to own a Landcruiser someday" are not valid allocation waitlists.

Just like buying a Rolex Submariner. There are millions of people on the "waitlist" who would "love to own a Rolex someday," however, have no feasible intention.

Yes, have placed a deposit with the dealer, and am in the queue. When the dealer allocation list was recently posted on the Internet, there was a "Presold" earmark on some vehicles. So, I just presumed at the port a specific vehicle could be assigned to a dealer.

 

[Nuke]

I run a Toyota dealership.....picture it this way....Toyota Motor Corp builds 50,000 cars. They in turn sell those cars to distribution points around the country (Southeast Toyota, Gulf States, TMNA etc. etc.). Let's say Gulf States for earns 20% of those cars based on national market share (10,000 units), those are allocated to individual Dealerships base on historical sales performance on each individual model that the dealer has sold over a set timeframe. The Land Cruiser has been allocated base on historical sales of the 4runner and Tacoma since it's a new Model. At the dealership level we can "preference" for more specific vehicles i.e. color/factory installed options/trim level. If all else fails there is A LOT of dealer inventory trading that happens behind the scenes to get our customers the exact car they are looking for. Hope this helps.

VERY encouraging Jayp42! Thank you SO much!

 

[ggreenoe]

I run a Toyota dealership.....picture it this way....Toyota Motor Corp builds 50,000 cars. They in turn sell those cars to distribution points around the country (Southeast Toyota, Gulf States, TMNA etc. etc.). Let's say Gulf States for earns 20% of those cars based on national market share (10,000 units), those are allocated to individual Dealerships base on historical sales performance on each individual model that the dealer has sold over a set timeframe. The Land Cruiser has been allocated base on historical sales of the 4runner and Tacoma since it's a new Model. At the dealership level we can "preference" for more specific vehicles i.e. color/factory installed options/trim level. If all else fails there is A LOT of dealer inventory trading that happens behind the scenes to get our customers the exact car they are looking for. Hope this helps.

That's excellent insight! Thanks a ton for sharing it. Hopefully that will put some minds at ease.

I got my '15 TRD Pro 4Runner from Hendrick Toyota Concord in a dealer trade; they had a TRD Pro Tundra coming that another dealer wanted and the deal worked out really well.