Sales numbers crashing?

Status
Not open for further replies.

frankencat

Guitarded
Gold Supporting Member
Messages
13,973
I put 10 gallons in my Kia the other day and it was almost $50. Discretionary funds are being redirected to support basic needs at my place. Suppliers are raising prices to counteract the effect on their end. The whole thing is just a bad situation that doesn’t seem like it’s going to change anytime soon. I am blessed to have a good gig to supplement my other businesses but it’s tough to keep it all floating. A couple of years ago my plan was to build some wealth, pay down debts, and retire to my little shop in a few years. Not sure how that plan is going to play out now but it’s adding a lot of stress for me and other folks who are in the same boat. Strap in folks, it looks like it’s going to get bumpy.
 

415Guitars

Member
Messages
271
Aramco profits were up ~80% last quarter I believe. Now, if I remember properly, profit is revenue less cost. So doesn't this mean they are increasing the prices they charge much more than their costs are increasing? And isn't it likely this shows up downstream?

And just imagine if this was amplified by oligopolistic pricing further downstream, not that this would happen of course.

We're not getting price gouged, right?
That’s the moral hazard issue isn’t it? Almost like after the looting of the treasury in 07/08, all players involved know there are no real consequences.

‘The people’ are now just suckers getting scammed left and right. And because we’re idiot ‘consumers’ there isn’t even an expectation among folks that it shouldn’t…

Sry sry

Guitars will continue to increase in price lol
 

Doug's Tubes

Platinum Supporting Member
Messages
10,871
$4 dollar gas would be dirt cheap right now. Before this the record average price in Texas was in '08 and it was 3.98. Today avg. price in DFW area is around $4.70. Yes, it is still going up, predictions put the national avg. hitting $6 in August. So no, we haven't ever seen anything like this.
The difference between 2008 and today is the supply reduction.

If only there were some other alternative energy options....
 

lostpick

Silver Supporting Member
Messages
1,656
The difference between 2008 and today is the supply reduction.

If only there were some other alternative energy options....
My worry is, and I might not live to see it, that once we turn to electric only cars, we'll be a prisoner to that industry (as we are now with everything that runs in our homes). And they'll jack up prices when baby needs a new pair of shoes.
 

guitarman3001

Member
Messages
12,152
If only there were some other alternative energy options....
Most people can't afford $50K for a Tesla. Nowadays even hybrids are ridiculously priced. The cheapest all-electric car will soon be selling for $26K for the base model. Even that is high. And it still isn't practical for many people who drive long distances.

Not to mention, now, when gas is offensively priced, is the worst time to buy an electric vehicle.
 

Doug's Tubes

Platinum Supporting Member
Messages
10,871
My worry is, and I might not live to see it, that once we turn to electric only cars, we'll be a prisoner to that industry (as we are now with everything that runs in our homes). And they'll jack up prices when baby needs a new pair of shoes.
As an interim I see some sort of "hybrid" energy systems that exist together, so no dependence on one thing.

My home A/C system is just about done, I'm going to replace it with a hybrid ducted heat pump system that will use the existing baseboard heating fuel oil burner for days the temp goes below 30 degrees for an assist. If I can save 50% of my heating oil costs it's a win.

We need to reduce fossil fuel demand.
 

Rob303

Silver Supporting Member
Messages
859
Most people can't afford $50K for a Tesla. Nowadays even hybrids are ridiculously priced. The cheapest all-electric car will soon be selling for $26K for the base model. Even that is high. And it still isn't practical for many people who drive long distances.

Not to mention, now, when gas is offensively priced, is the worst time to buy an electric vehicle.
Not to mention we’re decades away from both electric cars replacing gasoline cars and “green energy” alternatives from replacing fossil fuels.
 

Doug's Tubes

Platinum Supporting Member
Messages
10,871
Most people can't afford $50K for a Tesla. Nowadays even hybrids are ridiculously priced. The cheapest all-electric car will soon be selling for $26K for the base model. Even that is high. And it still isn't practical for many people who drive long distances.

Not to mention, now, when gas is offensively priced, is the worst time to buy an electric vehicle.
I purchased my 2020 Highlander Hybrid in June 2020 when local gas prices were $1.95 a gallon. I even received a significant discount below MSRP, the dealer tells me I might have been the last deal they ever discounted.
 

shred-NOT

Member
Messages
36
Wait....

After what was apparently 2 of the biggest sales years on record due to lockdown/stimulus purchasing etc. etc,..... we are mid way thru the 1st year after that craziness with manufacturing still down across all sectors, (..lets roll comprehensive Covid Lockdowns across entire regions FFS China..and by all means don't avail your selves of Intl. vaccines that actually work..so the cycle repeats....)

GLOBAL inflation affecting EVERY COUNTRY ON THE PLANET rampant AF, and a war in europe contributing to supply chain, fuel, food etc concerns globally...

..& the industry is actually wondering why sales are off?



Forest, meet trees....
 

shred-NOT

Member
Messages
36
$4 dollar gas would be dirt cheap right now. Before this the record average price in Texas was in '08 and it was 3.98. Today avg. price in DFW area is around $4.70. Yes, it is still going up, predictions put the national avg. hitting $6 in August. So no, we haven't ever seen anything like this.

lol we are seeing $7.50/g here in so cal. Hasn't broken $8/g yet in yr average LA suburb, but i'm sure in the pricey parts of town its over $8/g cause those folks can afford it, the local stations know... & never miss a chance to gouge..

It costs $150 + - to fill up yr average Ford F150 work truck..... with the lowest octane available.
 

Husky

Member
Messages
13,153
Most people can't afford $50K for a Tesla. Nowadays even hybrids are ridiculously priced. The cheapest all-electric car will soon be selling for $26K for the base model. Even that is high. And it still isn't practical for many people who drive long distances.

Not to mention, now, when gas is offensively priced, is the worst time to buy an electric vehicle.
Dont have to get a Tesla, there are a lot of EV options now. $31K will get you 260 miles range in a Bolt. I drove one for 3 years and not one issue. With a Tesla I drive to Vegas (5 hours) often and don’t have any issues with finding a charge, my friend went from CA to Utah with 0 issues finding charging and actually camped in his.
 
Last edited:

Husky

Member
Messages
13,153
Check out the associated story and video - doesn't sound like fun:

The issue is no infrastructure except for Tesla. Tesla it is not an issue at all. That video after watching the whole thing told me exactly what I knew. Tesla the charging stations are shown in your trip on the GPS and you can track your energy usage down to the mile to see if you need to adjust or lay off the pedal. In my Chevy Bolt I did get a few times where I had range anxiety but no more than gas. The bottom line though is that Tesla has their **** together with the charging stations. Buy a 2016 Tesla S and you have free super charging as well. One of the guys interviewed I think had a leaf he bought used for 4K and never had an issue and now has 100K miles on it.
 
Last edited:
Messages
158
Check out the associated story and video - doesn't sound like fun:

I never road trip anyway, but I get how that matters to some. Chargers are catching up very quickly. This won't be an issue for long.

I drive so little any more (working from home) that my car isn't worth replacing in the next few years. When I do replace it down the line, it'll be with an electric.
 

YYZ

Silver Supporting Member
Messages
3,130
as a former gearhead, I can attest.. used to be all ya needed was a good set of tools and a few low tech analysis tools... now that won't even get ua to the spark plugs..
Yeah but with the new exhaust Impulse Responses (IRs) they have, I can get my Corolla purring like a Porsche. :red
 

Alan Dunn

Member
Messages
1,944
The pound is currently gaining strength as interest rates in the UK go up, which paradoxically results in UK consumers having less available income to spend, which is bad for businesses, which contributes to the downturn, which leads to interest rates going up...

A "strong" pound isn't always a good thing. So many interwoven factors it's hard to tell what is good or bad.

Marshall Lerner conditions. Currency devaluation will only lead to an improvement in the balance of payments if the sum of demand elasticity for imports and exports is greater unity.

Note: like any economic concept innovation in finance markets can pretty much kill its validity overnight.

Loanable finds theory is pretty much useless to explain interest rates or borrowing these days being the best example.
 
Status
Not open for further replies.




Trending Topics

Top Bottom