"We don't like paying for wholesale. We're going to try to get May orders without a wholesale program," Steven Landry, executive vice president of North American sales, marketing, parts and service was quoted as saying by Autonews.
In the first quarter, Chrysler dealers who met the target received $1,000 in cash for every vehicle ordered. Those who exceeded the target received an additional $1,000 per vehicle. Of course, most of the money were translated into consumer incentives, as dealers who liked the bonus scheme say.
On the other hand, those who had trouble meeting targets complain that the bonus program was forcing them to buy vehicles they did not need to, so the stoppage of this program will not be a problem for them.
Landry "feels for those dealers", as he acknowledges that some dealers could not order more vehicles because Chrysler Financial has put limitations on the wholesale inventory financing. The vice president also added that the manufacturer will cut the number of vehicles it requires dealers to purchase in May to a target that is some 10,000 units less than Chryslers monthly sales projections.
In addition to this measure, the company will not renew the Employee Pricing Plus Plus program next month. The program, used to boost retail sales, stated that all customers will get the same price as any Chrysler employee does, plus a low-interest financing.
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