Outdated allocation to blame for preselling

TO THE EDITOR:

Regarding “GM bars dealers from reporting sales before delivery” (autonews.com, July 1): One of the main reasons this practice happens at a dealership level is that General Motors’ forecasting and allocation system is a 1980s antiquated “12-month rearview mirror system.” Their turn-and-earn system is heavily weighted towards larger dealership groups that are geographically close to the plants.

They no longer preference bona fide sold orders, so dealers are trying to shorten the ridiculous lead times for repeat “true blue” customers that GM is kicking to the curb. These repeat sold-order customers are the industry’s most cherished customers, and GM is abusing them.

Ford and Ram are preferencing sold orders and getting units out to their brand-loyal customers.

STEWART KREUN, Edgerton, Minn. The writer is a dealer principal.