Hey Sara,
We stopped ordering inventory because we assumed the manufacturer would offer better discounts or programs if we waited. Now inventory feels tight, programs keep changing, and everyone is frustrated. Are we doing this wrong, or is this just how the game is played now?
This is a great question. And you are not alone.
Right now, a lot of dealers and manufacturers are staring each other down across the table, both waiting for the other side to blink.
Dealers are saying, “If I wait long enough, they will sweeten the deal.”
Manufacturers are saying, “If they really need inventory, they will order.”
That is not a strategy. That is playing chicken. And eventually, somebody gets hit.
Let’s Talk About the Dealer Side First
From a dealer’s perspective, the behavior makes sense.
Inventory has been expensive. Floorplan costs hurt. Cash feels tighter. Nobody wants to be the one holding the bag when programs change six weeks later.
So dealers pause. They delay. They wait for the next incentive, the next discount, the next extended term.
The problem is this.
When you stop ordering based on what you hope the manufacturer will do instead of what your customers need, you lose control of your business.
You start reacting instead of planning.
And the longer you wait, the harder it is to catch up when demand shows up again.
Now, the Manufacturer Side, Which Dealers Rarely See
Manufacturers are not sitting around trying to make life harder for dealers.
They are forecasting production months in advance. They are managing plants, suppliers, labor, logistics, and capital. When orders slow down, it does not just affect one quarter. It ripples through the entire system.
From their perspective, delayed ordering looks like uncertainty.
Uncertainty leads to tighter programs, not looser ones.
When manufacturers cannot rely on consistent ordering patterns, they protect themselves. That often means shorter programs, more reactive incentives, and less flexibility, not more.
Both sides are trying to reduce risk. Both sides end up increasing it.
Where Playing Chicken Breaks Down
The biggest problem with inventory chicken is that it breaks trust.
Dealers feel like manufacturers are manipulating programs.
Manufacturers feel like dealers are gaming the system.
Meanwhile, customers are still walking in expecting product availability, selection, and confidence.
And when inventory is thin or inconsistent, the customer experience takes the hit, not the spreadsheet.
What This Looks Like When It Works Better
The dealers who navigate this well do a few things differently.
They order based on a clear inventory plan, not just incentives.
They know their turn rates and aging and stick to them.
They communicate proactively with their manufacturer instead of waiting.
They treat programs as bonuses rather than the foundation of their strategy.
On the manufacturer side, the strongest partners are the ones who share the why behind programs, set clearer expectations, and reward consistency over timing games.
The healthiest relationships are not transactional. They are predictable.
The Hard Truth Nobody Likes
If you only order when incentives are perfect, you train the manufacturer to expect that behavior.
If manufacturers only reward last-minute behavior, they train dealers to wait.
Neither side wins long-term.
Inventory strategy has to be rooted in customer demand, cash flow discipline, and trust, not brinkmanship.
So, What Should You Actually Do?
Start with honest conversations.
Dealers need to be clear about what they need to stock profitably and consistently.
Manufacturers need to be clear about what consistency unlocks and what it does not.
Then build inventory plans that survive program changes instead of depending on them.
If your inventory strategy only works when incentives are perfect, it is not a strategy. It is a gamble.
Final Thought
Everyone feels stuck. Everyone feels burned. Everyone is waiting.
The dealers and manufacturers who come out stronger are the ones who stop playing chicken and start playing the long game together.
Busy negotiations are normal. Silent standoffs are expensive.
Have a question you want answered in Ask Sara Hey?
Send it my way. I will tell you the truth, nicely.
Cheering for you,
Sara
P.S. – Manufacturers, don’t forget we offer on-demand Field Sales Training. It’s designed to help your field team move beyond transactional program talk and into strategic conversations dealers actually trust. We cover inventory planning, consistency, dealer realities, and long-term partnership thinking.
If you want better ordering behavior, stronger dealer relationships, and fewer standoffs, it starts with what your field team says and how they say it.