allocation process explained

https://www.youtube.com/watch?v=dT1BWDsf90U

other companies build the same model constantly in a batched (same color with same mods) with minor changes as they work through the build process.

Toyota mixes completely different builds for each build that runs through the process. I was kinda expecting to see only SR's or OR's hit the dealerships with single color palette... I really like the fact that they switch the build process up completely.

and then the allocation process: they look at what dealers sell the most of which trims and colors and dictate quantity and colors based on historic purchases/models sold. Prior to shipping, the dealers can do some horse trading/bartering prior to the truck getting sent out the door. So when we see "in build process" it's allocated, but the dealers can swap still. So if you "put down a reservation deposit" then that dealership likes to do the bartering with other dealerships.

So I'm thinking by casting a wider net in smartpath, I will have a better chance of catching whats coming out of the factory. I just have to go get it.

 

Or, custom order a Ford, GM, probably others, wait a month or two and you have exactly what you want.
Allocation system is not good for customers, but if you get lucky and Toyota make exactly the truck you want, sure.

 

toyota does one thing and one thing only well.... build a reliable truck.. after that, they suck at everythign

 

The allocation system is just fine during down or even markets. The build you want is out there and the dealer will usually get it. Goes to shit for the customer when it’s a wholly sellers market like the last 3 years.

I’m more irritated with cryptic uncertain ordering process. I prefer the high end bike shop model. Go to makers website, pick a specific bike being built, claim it, add/swap a limited number of options, chose a bike shop (dealer), pay deposit with the maker, get a trackable order number, then take delivery at the bike shop (dealer). You close the sale and get support at the shop (dealer), Everyone wins.

Instead we give 23 yo Jesse at Shittown Toyota a check for $500, 3 color options and hope to hear back in 6 months.

 

That "engineer in every title" guy is not worth the time. This is a better overview https://www.tundras.com/threads/toyota-allocation-ordering-transporting-system-explaination.107512/

Here is my perspective, with my own experience in automation engineering and modern 'big corporate' philosophy courtesy of Carvana:

Allocation:
The cynical truth about allocation is it gives Toyota complete data-driven control over their complex production line to maximize sales.

Scarcity:
It comes with the added bonus (to them, not us) of artificial scarcity. A configuration is "hard to find" because, if Toyota's theory is true, they produce near to optimal capacity of what configurations they think will be purchased; if the customer base expands, those desired configurations have not yet expanded from previous sales data, adding to the scarcity dilemma—they continue to benefit, because vehicles don't sit on lots when the market allows, adding to the tribal demand aura around Toyota as a brand.

Lead Gen:
There is the other added benefit (mostly to them) of putting the lead generation on dealerships (the whole deposit, waiting list, find vehicle process). Toyota can sit back and relax while dealers drive eyeballs to trims that maybe got overproduced in one region, but underproduced in another; then, they make adjustments for next year while minimizing any losses from bad data or changing markets. If a trim is highly desired, dealers are busy getting those units sold, which then feeds back into the artificial scarcity machine: do you see their recursive sales funnel at work, yet?

Why:
Fast throughput is the key to vehicle sales profit. Every day a car sits on the lot is lost money. In fact, "days on lot" is a massively important KPI for the auto industry and drives pricing, incentives, and sales tactics. There's probably something here we're missing on the industrial scale as customers. Imagine that Ford miscalculated its batch forecast, and now has to completely re-do its current production line. We, as customers, can pretend that's easy. However, with allocation and dynamic configuration, Toyota can up and produce whatever trims it wants. Per the Tundra forum post, it's all about minute process details at this industrial scale which drives optimization.

Finally:
In conclusion, allocation is a streamlined system designed to train and feed itself. You can't order a vehicle because Toyota doesn't want you to. If you really want to be cynical, it's sort of like a circus where we as customers train Toyota what to sell us, so that no car sits on the lot for too long.

 

Exactly, this system really sucks and will suck for Tacomas unless and until there is an excess inventory... which will be no time soon. I went through this early in the year looking for a Tundra, trying to find the trim, color and equipment I wanted. Finally had to settle for "close enough" and felt lucky at that. Sad. Back in the day when I got my 2009, it wasn't quite so bad when there were way more unsold Tacomas available.

 

It is really nice to order exactly what you want from say a Ford dealer if you have the patience to wait. In my case I was always able to find pretty much exactly what I wanted minus a few minor things easily added later.

 

I have heard about 3 or 8 different versions of what dealers think they know about the allocation system with most pointing fingers at HQ "blame them... blah blah" and I was grateful for a slightly more in depth description of the process since I didn't have the patience for another version of it and now understand the process I'll have to put up with to get the vehicle I want. figured i'd share what I found. I'll check that link Armedine, thanks!

 

Thanks, information is always good to have.

 

I didn’t watch the video, but another reason the allocation process sucks, is because you aren’t ordering shit. The regions buyer is. And these days, buyers order all sorts of stuff to make the region and dealers profit.

 

Toyota-Tracker is a great website for the basics... but it misses so much the dealers can see:

 

Pretty similar to other vehicle makers.

 

I spec'd a solar octane TRD OR on Toyotas website, and they passed those details on to my dealer. The dealer called me that week and told me they're getting a truck that's the same model and color I wanted, but it wouldn't have all the same specs that I chose on the configurator. They had no idea how long it would take to get the exact truck that I spec'd out. So I ended up feeding into their machine, and bought the truck they had coming, add-ons and all. It was massive impatience on my part, and I'm sure I'm not the only one who falls for it.

 

Thanks for contributing to the port parts bloating of america

 

I opened up my search to 500 miles and spec'd mine out in the search tool. found one 3 hours away that was pretty close to what I wanted and didn't have all the extra crap (roof rack) and DAMN that patience thing. I feel ya. should see it here in a few weeks and a 3 hour drive.

 

It was my pleasure.

 

Hell yeah! Be sure to do a write up here once you get it.

 

yeah he isnt even close on allocation reserve request process at the the dealer level. bet he hasnt even seen the allocation reserve request screen in dealerdaily. just re-inforces my opinion of him of not watching anything he puts out on YT and not really knowing anything about current stuff about toyota but going by what he knew way back when.

here is a screen printout of my allocation reserve request screen in dealerdaily when we bought our 23 tundra platinum.

 

There are currently two Mexican factories pumping out new Tacomas. Show a little bit of patience and soon enough the dealer lots will be overflowing with overpriced trucks. You’ll be able to show up and choose the one you want from the 50 on the lot just like the old days.

 

Port of Baltimore mighta thrown a wrench in some peoples patience.
As stated, the biggest problem in this Toyota biz plan is allowing the middle man ports to tag all these add ons for their profit line. Those port add ons are the monkey wrench in the whole thing.
And ya be patient. But who has the time or plan ahead to wait 3-6 months for a vehicle? Id say 75% if auto buyers need a vehicle now when they go to buy. Not next August. I went 4 months from looking, deposit and wait. I could do it with my situation but even that was a pain in the ass. Even incurred a parking lot accident (no fault for me) on my trade in while waiting. The oh just be patient biz plan is not very sound in an american consumer market.