Smart car fans tired of waiting list turn to secondary market on eBay
Monday, May 19, 2008
Pam Allen - The Business Review - MLive
Keeler Motor Car Co. in Latham has 480 deposits from people waiting for a smart car, the French-made automobile that hit U.S. streets in mid-January.
Nationwide, about 30,000 people plunked down $99 refundable deposits for one of the tiny two-seaters, said Ken Kettenbeil, spokesman for smart USA in Detroit.
Since the smart first arrived here in mid-January, 6,100 of them have been placed with owners nationwide.
Orders through the car's manufacturer, Daimler AG's Mercedes Car Group, take between six and nine months to arrive.
"We're pretty much sold out for 2008," Kettenbeil said, pointing to gas prices and the car's "coolness factor" for the heavy demand.
Keeler placed 70 of the vehicles during that time, with 25 or 30 of them belonging to Capital Region residents.
Keeler is one of only 64 dealers nationwide that carries the smart USA brand, with the closest dealerships in Buffalo, White Plains and Connecticut.
John Sterrett, floor sales manager at Keeler's Mercedes-Benz and smart USA dealerships, said one of the biggest hurdles is that "you can't just pick one up and drive it home."
The 8-foot, 6-inch-long vehicles are a hot item on eBay, where they're selling for as much as 35 percent more than the retail price.
The Passion Cabriolet, smart's top-of-the-line version, costs $16,590. In January, a buyer on eBay paid a Los Angeles seller $22,500 for the same model.
Smart's no-frills model costs $11,590; it recently sold on eBay for $16,000.
People also are turning to eBay to transfer their deposits, but smart USA halts those attempts, Kettenbeil said.
As part of their agreement with the dealership, reservation-holders cannot sell their places. If, after a reminder from smart USA, they fail to remove their offer from the site, the car company takes their names off the waiting list.
"We want the cars to go to customers who want the vehicles," Kettenbeil said.
Keeler is not aware of instances where depositors tried to transfer their reservations or sell their cars outright on eBay, said Maria Dunning, Keeler's general manager for smart, Mercedes-Benz, BMW and Mini Cooper.
The Latham auto seller gets one or two "orphan" vehicles each month that were ordered by people who later changed their minds. One such case involved a young couple who learned the wife was pregnant.
The unclaimed cars go quickly, Dunning said.
Supporters like the car's 40-mile-per-gallon fuel economy, four- and five-star crash rating and its ability to fit in tight spots.
Critics say the three-cylinder car is noisy at fast speeds, lurches during shifting and works too hard to conserve fuel.
One popular feature is the changeable panels. For $1,100, car owners can order an extra set in one of the car's six standard colors: yellow, red, black, white silver or metallic blue.
On a recent morning, Douglas and Jackie Farmer pulled their 2007 Cadillac Escalade into Keeler's smart USA lot. Jackie was looking for a smaller car to take her from the couple's home in Schuylerville to her teaching job in Schenectady.
"Our dogs won't fit," she said. "But, I'd love it for work."
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This story posted by LeaseTrader.com, the automotive service company that lets people transfer out of their Car Leases early. If you're looking to swap a lease or transfer out of your car lease, please visit www.leasetrader.com.
This story posted by LeaseTrader.com, the automotive service company that lets people transfer out of their Car Leases early. If you're looking to swap a lease or transfer out of your car lease, please visit www.leasetrader.com