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I like it, though it would be nice to add "(to be continued)," for those of us who remember.
Kirstie....I'm easy to please. I totally understand the change.
Before that happens, I need a wedding ring for the fiance. Big box stores are not doing it for me. Lots of sales people, few are knowledgeable.
Mom amd Pop stores can't seem to get what I want.
Internet? Thoughts? Suggestions?
"Before that happens, I need a wedding ring for the fiance. Big box stores are not doing it for me. Lots of sales people, few are knowledgeable."
GG, when buying a wedding ring with diamonds, if you try to buy "cheap", you'll regret it for many, many years
and throughout your marriage.
1st question is your fiancée really looking forward to a stunning ring? If the answer is yes, she should be involved in choosing her own ring.
No matter what you think, she is the one who will be wearing the ring.
I suggest that you buy a high quality diamond yourself. Buy the diamond as a loose stone. Go to a Diamond specialist - preferably in New York City in the Diamond district. Fly in if you have to - the Diamond merchants there are mostly on the up and up.
Once you have the diamond you should have her pick out a setting. That would be her decision.
If you do it the right way, GG, you'll make her very, very happy.
2024 Genesis G90 Super-Charger
Internet? Thoughts? Suggestions?
GG, I am not much help with that...it's been along time since I bought a wedding ring, way before buying on the internet became popular.
When I go to a Costco store I see nice watches and jewellery that are probably at pretty good prices. I am curious about anyone's opinion....is it proper to buy a wedding ring at Costco? Is it a good way to start off on a new marriage? I am not being judgemental....it wouldn't bother me one bit getting a ring or wedding band from Costco, but, women might see things differently.
I am kind of a practical person, but I like the idea of going to a good quality jewellery store that has an excellent reputation and hopefully good prices.....maybe based on low prices and high volume. A small point and completely personal, but I like the idea of being given a lender ring that can be presented for the happy occassion...but, then brought in and the real ring can be a joint decision - though that could have a big $$$ complication. Just an idea if it suits your situation.......anyway, good luck and congratulations once again.....it is like us all welcoming a new member to our family.
2017 MB E400 , 2015 MB GLK350, 2014 MB C250
It is changing. Mexico is aligning itself with the US that a lot of holidays fall on the X day of the Y week of the Month.
Looks like 5 de Mayo is not as big of an official holiday as it used to be when I was a kid and lived in Mexico.
MSRP minus incentives? That's crazy. Only somebody who is related to them should be buying there. There's not a single Jeep model that warrants MRSP minus incentives.
Fezo, I think the soul, and some other "youth" models, actually skew heavily to older buyers not kids. I could see myself in one, or something similar, because it would have good functionality for me. And is relatively cheap, as am I.
Rings? In your case, what about a vintage jewelry store? Get something truly unique. You don't sound like traditional "cookie cutter" types. I also like the idea of passing down a family heirloom type, even if remounted.
2020 Acura RDX tech SH-AWD, 2023 Maverick hybrid Lariat luxury package.
I got one of my best deals over the phone, but did it backwards. went in and started the process, but we were a bit apart. plus I really didn't need a car. so I left. by the time I got home, they had called, after deciding that my offer might be doable. a couple quick calls, and a deal was done.
I don't think I would ever call asking for a price, expecting to get a deal done. Especially now with the internet.
Mike, how easy is it to shop a phone quote anyway? If someone walks in saying they got a phone quote of X, when you know that is nearly impossible, do you make them prove it somehow, or just take their word for it?
2020 Acura RDX tech SH-AWD, 2023 Maverick hybrid Lariat luxury package.
"Mike, how easy is it to shop a phone quote anyway? If someone walks in saying they got a phone quote of X, when you know that is nearly impossible, do you make them prove it somehow, or just take their word for it?"
When I was in management, I had access to invoices for every car on the property. I also had access to money factors for all lease terms and all models.
Whenever a customer would come in and tell me he will pay $$$ for a 39 month lease with $$$$ inceptions for a lease, and after a quick trip to the computer it appeared he was offering below invoice for the lease, I would print everything up and sit down with the customer in my office.
I would lay everything out for him and would usually ask if he felt I should make $400 on the deal. If he said yes, I would give him lease payments for varying terms, $$$ out of pocket, etcetera. I would tell him he could choose whichever lease plan he wanted - all netted me $400. If he told me he got a deal for $1000 less, I merely told him if he can't get the car at the price he was quoted at the other dealer to please come back and give me a chance. Invariably, the customer would be back within hours, if not the next day.
It made no sense to make them prove it because you end up in an adversarial position with the customer. Putting the customer at ease was more important.
They call those outrageous prices "low-balling". That's giving a customer a price that no one can match and that you couldn't possibly sell the car for. I never low-balled a customer. I have him a realistic price which I would stand by.
Hope that answered your questions.
2024 Genesis G90 Super-Charger
well, that was kinda my point. You (i think) told people to go shop, and if they got a better price, come back. But, sounds like you really weren't interested in beating a deal if it was below what you were willing to do? Unless of course I am just misinterpreting your position!
2020 Acura RDX tech SH-AWD, 2023 Maverick hybrid Lariat luxury package.
"well, that was kinda my point. You (i think) told people to go shop, and if they got a better price, come back. But, sounds like you really weren't interested in beating a deal if it was below what you were willing to do? Unless of course I am just misinterpreting your position!"
That is correct. Often I was not interested in beating a deal if it was a "loser". Why sell a car at a loss? The only time I would sell a car at or below invoice was at the end of the month. My owner wanted to be the #1 selling dealer in the country and if that took selling a few cars at a loss, so be it!
Only on the last day of the month would I take any deal. We were #1 in new car sales for Infiniti and when I worked at Lexus, they too were #1 in new car sales. Both dealerships still are #1 for their brands.
2024 Genesis G90 Super-Charger
Back to my best friend and his Jeep. He found out that the reason he got such an astonishingly low price on his Wrangler is because they've had it on their lot since December. So he goes to pick it up and notices a big door ding right on the driver's door and a 3" gash right in front of the drivers side fender flare. He points it out to the sales guy who immediately goes and gets his manager. The manager (& salesman) were truly sympathetic and honestly apologizing. The manager says to him, normally I'd make a note of it & give you an "I OWE YOU" to come back and have the paintless dent guy take out the ding and order you a new Fender Flare & have it painted & installed. Since you drove over an hour to come to us from CT (dealer is on Long Island), I'm just going to ask you to pick out another car from stock that will make you happy. So they had an identical Jeep there with an MSRP of about $600 more due to the fact it was a more recent production date. The dealership ate the extra $600, no questions asked. They just needed time to prep the car. All in all, he got the best price & amazing service. He said the dealer couldn't have been nicer or more genuine.
I drove up to see him tonight. He lives about 20 minutes north of me. I've never driven a Wrangler before and was impressed by how solid and sturdy it felt. I liked it;)
2001 Prelude Type SH, 2022 Highlander XLE AWD, 2025 Camry SE AWD
Hi - New here, and very glad to have found this place. Hoping to get some basic advice; please speak slowly because I have very little experience with buying from dealerships (only once, and my son-in-law was with me). I've done what feels like a decent amount of research but still have no clue re the bargaining process. I'm looking at Nissan Jukes and will be paying cash with no trade-in. Is there a formula like _ _ % less than the _ _ price where I should begin? And then where (and how far) do I go from there? Also, the selection is quite limited in my area and I will be shopping 75-100 miles from where I live so it's not like I can devote frequent and unlimited time to the effort. Whether I buy this year or next what I'm considering is one year behind the current model year. I don't have a husband/SO and the son-in-law is out of the picture now so I will be doing it by myself this time and (rightly or wrongly) I'm feeling intimidated about what lies ahead. Any advice and/or suggestions will be greatly appreciated!
"I'm looking at Nissan Jukes and will be paying cash with no trade-in. Is there a formula like _ _ % less than the _ _ price where I should begin?"
Edmunds.com is where you should begin. Go to NEW CARS, select Nissan, then select Juke and then select the model (there are several) you think will fit your needs. Click on that model and add whatever options you think you would want. Edmunds will give you the invoice of the car you built.
Next, click on rebates and incentives to find out if there are any available manufacturer incentives. If so, subtract that amount from the invoice.
Next, add $300 to that price (invoice less incentives + $300). Call the closest Nissan dealership and find out if they have the exact car you want with the exact options. If they do or can get you one, tell them the price you will pay + tax and title and tags (plates). Tell them it's an all cash deal.
If they say yes, drive the 70 miles and get your car. If they say no, call another dealership until you find one that will sell you the Juke at your price.
I hope this helped you.
By the way, try to be flexible on exterior color and interior color as this will make getting the deal you want easier.
2024 Genesis G90 Super-Charger
"Back to my best friend and his Jeep. He found out that the reason he got such an astonishingly low price on his Wrangler is because they've had it on their lot since December."
Sounds like the kind of dealership I'd want to deal with - honest and trustworthy - who are accommodating and people friendly.
2024 Genesis G90 Super-Charger
Good ending to the story...I am impressed, you don't hear about service like that too often these days.
2017 MB E400 , 2015 MB GLK350, 2014 MB C250
Can't add anything to what "abacomike" stated. Good advice there. Only thing I'll add is if you get to teh dealership and they decide the offer you made on the phone has somehow changed on their end.....walk away.
Good luck. We love helping people buy cars. Let us know how the process goes.
NYC....good deal on your friend's Jeep. Some day I'll actually drive one that's of a recent vintage.
Finngirl, welcome to the club here. Just follow Mike's advice to get the best price on a Juke. Here is the link if you need it:
Edmunds New Car Pricing.
Just use the slide down to put in the make (Nissan), Model (Juke) and Year - you can choose a new 2013 or 2014.
Dealers will come up showing what the List price is (MSRP) and it will show various dealers and what they would charge you.
I got these prices on a 2013 that I didn't add any options;
$19,099*
Dealer
Invoice
$19,161*
Edmunds
True Market Value®
Calculate Monthly Payments
$19,800
Sticker Price
(MSRP)
So, a fair price would be $19,161 in this case. Discount about $600. Somebody should fill you in about extras, taxes of course, license and Documentation fees. You can click on a dealer that will honor the price shown.
Hope that helps and if you need more information just ask.
2017 MB E400 , 2015 MB GLK350, 2014 MB C250
I like that one - it uses the word "car" so it helps with search engine (Google) stuff, and buying and selling incorporates both sides of the deal. @snakeweasel had some good candidates too.
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2015 Kia Soul, 2021 Subaru Forester (kirstie_h), 2024 GMC Sierra 1500 (mr. kirstie_h)
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MODERATOR /ADMINISTRATOR
Find me at kirstie_h@edmunds.com - or send a private message by clicking on my name.
2015 Kia Soul, 2021 Subaru Forester (kirstie_h), 2024 GMC Sierra 1500 (mr. kirstie_h)
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Welcome to the forum, finngirl13. I noticed you're from Logan. USU grad here and I love the Logan area.
You've already received great advice from others, and I would just add to theirs by reminding you that ultimately you're in control of these negotiations. While supply in Logan might be limited, nearby Davis County and Salt Lake County have plenty of dealerships from which to choose. If you're feeling uncomfortable with any deal, you have the right and ability to walk away, whether that's in-person, on the phone, or over the Internet. Using a service like Costco might be helpful, too, if the negotiations are intimidating, and at the very least give you a reference point for pricing.
Yes, I'm still here. I've been doing a lot of volunteer work at our local Food Bank and other stuff lately so I haven't had much time to post.
Any time I find myself missing the car business, all I have to do is go to the Prices Paid Forums and after five minutes of reading the "mooch" postings, I smile and feel lucky I was able to escape.
I just got a letter from the President and CEO of the BMW dealership where I bought the 535.
Due to the recent rise in the value of used cars they are going to give me.....an additional $1500 of the cost of a new 5 Series. This once-in-a-lifetime opportunity is available only for a limited time. To take advantage of our exclusive Loyalty Reward simply present the attached card (lloks like a credit card) to a BMW Sales Consultant as soon as possible. We will be following up with you in the near future, but, if you wish to move ahead now, please contact your preferred BMW retailer to set up a meeting.
Just me, but in my opinion it sounds a bit pathetic. Also, I hate fancy talking execs...loyalty rewards, limited time offer, once in a lifetime, preferred BMW dealer...blah blah blah.......useless offer that is almost laughable.
2017 MB E400 , 2015 MB GLK350, 2014 MB C250
"Salesmen and Buyers Compare Notes" I like it, Richard! Forget that I called you a skinflint in a previous post....
gg - doesn't matter if the ring is from the diamond district or Costco. What matters is that it's what she wants and that you'll be happy seeing it on her finger.
Someone mentioned vintage which really appeals to me. I think I've already told this story, likely more than once, but here goes.
In October of last year my daughter's then (toxic) boyfriend stole my wife's engagement ring, which had also been my mother's engagement ring (which she gave to me just for that purpose!). We can't prove it, it never turned up in any store or pawnshop - 67 years and it's gone. Two Saturdays ago we were in Glenside, PA for a concert that the previous Wednesday we had no idea we were going to. My brother had front row seats with his girlfriend and the persons who were supposed to be in the other two seats backed out so we bought them. We'd been to Glenside once before so we decide to do dinner there. Then my wife suggests going a little earlier because it's a nice day and a cute little town. We see an estate jewelery place (Bailey, Banks and Bob's - no lie) I convince her to go inand take a look. We poke a little and the woman working there points out where the rings are. To the casual observer you would not know the difference. It was even very close to my wife's size - close enough that she's wearing it right now. Nice 40s vintage and says everything that the old one did. It was a tremendous weight off our shoulders.
I told her to think of it as her transplant. I've got Carl's marrow making blood in my body; she has an unknown donor's reminder of what we had.
I put it in the same category of the one that we call our youngest daughter but we really don't know which one of our 12 year olds is older. She's adopted. Do you think in my mind she is anything other than my own flesh and blood, even though I'm mostly Italian, my wife is even more mostly Irish and Claire is 100% Chinese. Great kid. Got an award for three straight marking periods of straight As. Had an eye test yesterday. They stopped at the 20/20 line and she says she read the next three lines below it. She could probably read the "Acme Eye Chart Co." at the bottom.
Anyway, remember the ring is just a symbol. The love is what matters. Anything that makes you both look at and realize the reality of teh love is the right thing, whether it came from Tiffany's or a claw machine.
Well, actually, it is LAUGHABLE! The owner of the last dealership I worked for as a manager used to send out these mailings and other similar mailings all the time. After awhile, they become "numbing" to the customers.
As you know, the reason you didn't buy from them the last time was because of their under-valuing of your trade. But we just posted about that recently. You know how to deal with them now - certainly not with a letter "supposedly" from the CEO of the dealership. Believe me, the CEO of the dealership did not write that letter - his marketing consultant did!
2024 Genesis G90 Super-Charger
I got a call from a fellow with a heavy accent the other day, he said he wanted to clean my ducts. So, i said great, I have 12 "ducks" in my yard and they are very dirty, they could use a good bath. He said, "No no your air ducts". So, I said, yest these ducts are very dirty, especially their feet and they are making a mess in my house. When can you get over here? He, said, no, we clean air ducts D-U-C-T-S. So, I said well mine need a really good cleaning, please come over now, these ducks are making a mess of my house.
He finally hung up!
Poor Finngirl...if she reads this she is going to wonder what is going on around here.
2017 MB E400 , 2015 MB GLK350, 2014 MB C250
Driver, I am constantly getting these letters from dealers where I ever bought. Got one last week telling me they have high demand for 2000 Accords. Oh, I'm sure. Maybe for $10K I'd let it go...... After all, it only has 316K on it...
I got one of those "high demand for 2010 Malibu's" mailers that was offering $2k over black book trade at the dealer in town where I bought mine. I figure they would classify my car as "poor" condition and knock down the trade in value by $2k to start with. It got me thinking, if I owned a dealership, and it was outside the month where the special offer stood, I could snap up a 2010 Malibu LT with 40k miles on it with a few scratches for $8k. A far cry from the 2003 Accord my friend offered to sell me with 70k miles on it for $14,000. It also gives me hope that I can find a 40k mile used car out there for $10-11k
I last swam in Lake Superior in last week of July, 2005. One time was in Marquette, on UP where the ice was still 2 feet thick in late April this year. I stayed in for ten or 20 minutes. It was sunny and about 85 that day, and the water had layers that temps seemed to be in the 50's.
finngirl got me thinking about "good deals". I really think there are 2 basic levels. People that are "experts" (or think they are) that are willing to research like crazy, and negotiate like a rug merchant wherever those markets are. In theory, they will get every ounce of meat off the bone.
but, many people are not suited for that. Not car people, not aggressive negotiators, etc. I suspect this is the vast majority of buyers. The rest being complete dopes that have no clue, and get fleeced.
so, the middle ground really just need a basic way to get a solid deal. Might not be absolutely bottom dollar, but a reasonable price without getting ripped off. Mike's approach is just fine. Certainly other ways to do it to get to the same basic point. But really pretty simple. Basic research to understand what fair market value is, and be ready to walk if the dealer starts running a shell game on you. Then go enjoy your car.
2020 Acura RDX tech SH-AWD, 2023 Maverick hybrid Lariat luxury package.
As I've said, I love my TJ, and I could live with a properly equipped 2014 Sahara(2 door, please). I just balk at the price...
Mine: 1995 318ti Club Sport-2020 C43-1996 Speed Triple Challenge Cup Replica
Wife's: 2021 Sahara 4xe
Son's: 2018 330i xDrive
Fezo, My internet died in the middle of responding to you last night. It's a Kia Sportage.
I went over to that Chevron station this morning on our way back from shopping at Walmart. He was selling PUG for $3.99.9 a gallon - the lowest I've seen in more than 6 weeks. I asked the owner how he can sell PUG for 20 cents a gallon less than anyone else since the station only has 6 pumps. He said that he sells more gas at his small station than the big stations do so he gets a discount from the supplier for achieving his quotas.
Costco is also $3.99.9, but everyone else is $4.19.9. He is a community station off the beaten path, so to speak.
2024 Genesis G90 Super-Charger
Just remember the dealer never loses. Even if you were able to purchase the car at invoice the dealer simply made a little less profit but did not lose money on the sale. The holdback on each sale is about 2% - 3% of invoice or MRSP. On a $30,000 purchase that is $600 to $900 pure profit. On top of that the dealer gets a quarterly incentive from the manufacturer (that is sacrosanct, nobody knows how much) as well as quantity discounts.
So what is a good price? $500 below invoice is a good place to start.
"Just remember the dealer never loses. Even if you were able to purchase the car at invoice the simply made a little profit but did not lose money on the sale. The holdback on each sale is about 2% - 3% of invoice or MRSP. On a $30,000 purchase that is $600 to $900 pure profit. On top of that the dealer gets a quarterly incentive from the manufacturer (that is sacrosanct, nobody knows how much) as well as quantity discounts.
So what is a good price? $500 below invoice is a good place to start."
My response to your post in no way is intended to start a disagreement with you, bwia. But if we constantly attack car dealers for trying to make a profit, we are barking up the wrong tree.
Do you expect to pay invoice or cost for a new house? Of course not! Do you expect to pay invoice on an appliance at Sears, Costco, Brandsmart, BestBuy, etc? Of course not. We expect to get a fair or good price, but we do expect them to make a profit so they can pay their employees, pay their bills, and make a return on their investment for their stockholders.
Then why are we so against car dealers making a profit. Why shouldn't a dealership make $500+ on the sale of an automobile? My dealership still makes money on every car I buy - just not $4000 - but certainly $500.
What we should be against is car dealers making outrageous profits. That is why we have Edmunds, Cars.com, TruCar.com. But to constantly tear down dealerships for making anything on their investment is unfair.
Do you know how much it costs to sell a new car? The salesman is paid a commission; the office staff and support staff must be paid; real estate taxes have to be paid to the county; electric bills have to be paid; interest on the dealers new and used car inventory must be paid; interest on the mortgage must be paid; insurance premiums must be paid for theft and other losses; cleaning crews must be paid for keeping the facilities clean; etc.
A car dealership has the same right to make a profit on every sale they make just like Loews, Toy R Us, Red Lobster, Home Depot, Office Depot, McDonalds, Chevron gasoline stations (and others), Macy's, Bloomingdales, Norwegian Cruise Lines, Jet Blue, Greyhound, etc.!
We just want to pay a fair price for our new car - and that's only right.
Thanks for reading my response, bwia - I respect your opinions - but we also need to be fair as well.
2024 Genesis G90 Super-Charger
>
Good point and I agree 100%. I expect the dealer is going to make a profit, I just don't want the dealer to make an excessive profit on me.
Give me your take on this then Mike. I read once a BMW dealer makes 8% profit (assume gross profit) per vehicle. So, when I bought the 535 and dealer A said they don't discount their cars, and, I went to Dealer B, who gave me 4% off on whatever car I chose, it sounded reasonable to me. Just to confuse matters, when he could only give me $20K on my wife's trade-in, and I wanted $24K, they upped it to 4.5% discount for the new one (he could control the price of the new car a bit, but not the trade-in he said).
So, my question is, how good is working backwards, and does 8% gross profit sound about right. I realize some cars, like that Juke had a discount of about 3%, so the 8% rule might be easier to use than a complex method of calculating the price by some other formula.
I'd like to buy a car leaving the dealer 1% or 2%, but I have been in business and know the dealer has to make a fair profit or he won't be in business for long.
The question is...would the 8% rule be a pretty good rule to follow?
2017 MB E400 , 2015 MB GLK350, 2014 MB C250
"The question is...would the 8% rule be a pretty good rule to follow?"
8% profit margin is about what most manufacturers provide dealerships of imported vehicles. GM, FORD and CHRYSLER are a bit less. But remember, that is gross profit. Dealers still have about 2% holdback profit on each car sold which they receive from the manufacturer on each car sold.
Then, there are published and unpublished manufacturer to customer and dealership incentives. A good rule of thumb here in the USA is 1-1/2% of the 8% markup as a profit for the dealership. So if invoice on a 535ix is $60,000, 1.5% profit would be $900 over net invoice. Anything better than that is pure gravy to you.
In Canada , it is my understanding that pricing is not as flexible. I can only speak for dealers in Florida and major metropolitan areas. Dealers in small towns usually don't discount as much because they don't sell lots of cars.
So 1.5% over invoice is a fair deal on most cars.
2024 Genesis G90 Super-Charger
Explorer - you fooled me on the small part. Sportages have grown considerably. My youngest brother had one of the early ones from when nobody really wanted Kias and he put a ton of miles on it with little trouble - and my brother drives in dog miles.
Dave -$14k for an 11year old car? You sure this is a friend? I assume you told him to go jump in Lake Superior as soon as he can find a liquid spot.
Mike- Costco gas is great - top tier and everything but at the same price I'd take Chevron every time. They just don't sell it in the northeast as far as I can tell.
"Mike- Costco gas is great - top tier and everything but at the same price I'd take Chevron every time. They just don't sell it in the northeast as far as I can tell."
Fezo, in the Northeast, isn't it sold as Amoco? I thought Chevron was Amoco in the Northeast and midwest, but I could be wrong.
Mobil is Exxon down here in Florida - isn't it?
And yes, Costco is tier 1 now. But I don't get cash back on Costco because they are not considered gas stations. So my AMEX card doesn't give me back anything but I get 2% back at all gas stations. So, if I can buy Shell or Chevron for 8 cents a gallon more. It's the same price as Costco because of my rebates.
I have recently purchased Costco for my car and the gas is fine . It's just out if the way to go to my local Costco.
2024 Genesis G90 Super-Charger
mike, I think the key difference with car dealers vs. HD, etc. is people expect to pay the price at the store, but the expectation at the car dealer is you have to haggle each deal separately. Of course you can ask for a discount or make an offer at best buy, but I just don't think the mentality is the same.
2020 Acura RDX tech SH-AWD, 2023 Maverick hybrid Lariat luxury package.
Exxon and Mobil co-exist up north here. The companies merged, and some stations closed or switched (I think it may vary by area which one was kept) but you see both stores.
2020 Acura RDX tech SH-AWD, 2023 Maverick hybrid Lariat luxury package.
Mike, no one says the dealer is not supposed to make a fair profit. The profit motive is fundamental to our economic system. The point I was trying to make (obviously I did not make it well) is that dealers constantly bemoan the fact that they make little to no money when they sell a car at $500 over invoice, for example.
I wish I knew where that "invoice" price comes from? It certainly is not the true amount the dealer pays to the manufacturer. Dealerships certainly are not transparent when it comes to invoice cost. With the introduction of the marketing concept of MSRP the auto industry had to come up with a floor value (*invoice) so their profit never falls below a certain level. In the process they have confused us with the illusory invoice versus MRSP marketing ploy. How clever.
The auto industry brought this pricing model on themselves. No other industry publishes its invoice cost but the auto industry continues do it. Why? Because it obfuscates the deal, making the buyer focus on the wrong metric. In the end, until one knows the true invoice cost he does not know how good a deal he got.
As to covering overhead costs, that is built into the price of the product by some mark-up percentage. That percentage must be large enough to cover "all" costs and to provide for a profit for the dealer and his investor group.
Please don't stone me. I am just trying to make a point on the auto industry pricing model.
"Please don't stone me. I am just trying to make a point on the auto industry pricing model."
I would only stone you if you committed adultery, bwia!
I understand your point, and it is well taken. I think we over-react to dealer profits because of how cars were sold in the 50's, 60's, 70's, 80's and. 90's. Profits were exorbitant and the difference between invoice and sticker was 20% those years.
I remember my first Mercedes back in 1987 - I paid dealer cost for a 300SDL. MSRP was $50,000 - I paid $40,000. The GM of the dealership had two kids on my school where I was the principal. But that kind of markup just doesn't exist any more.
Thanks for further explaining you points.
2024 Genesis G90 Super-Charger
invoice though is not some magic number.
2020 Acura RDX tech SH-AWD, 2023 Maverick hybrid Lariat luxury package.
Mike, Cincinnati Costco is about 50 cents/gal less than you right now.
Here's a little app I have on my phone I use pretty regularly....
www.gasbuddy.com
"Mike, Cincinnati Costco is about 50 cents/gal less than you right now.
Here's a little app I have on my phone I use pretty regularly....
www.gasbuddy.com"
Thanks, GG, I already have the app and that's how I originally found that out of the way Chevron Station. I even used it to update the pricing - when I saw it at $3.99.9, I jumped at the pump.
Thanks - a great app - I use it all the time.
2024 Genesis G90 Super-Charger
So 1.5% over invoice is a fair deal on most cars.
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Excellent analysis...I just learned a lot.
(You are right, Canada is a bit different, not as much competition to go to, and business isn't as aggressive or cut throat if you prefer)
2017 MB E400 , 2015 MB GLK350, 2014 MB C250
"You are right, Canada is a bit different, not as much competition to go to, and business isn't as aggressive or cut throat if you prefer)"
The same is true in small towns and cities in the USA - especially in the South, Midwest and Southwest. Dealers can be 100 miles apart for the same make. Try to find a Mercedes dealership in New Mexico, Idaho, Montana, Arkansas, etc. - very few and far between. Here I have Palm Beach, Delray Beach, Ft. Lauderdale, Coconut Creek, Pompano Beach, Pembroke Pines, Miami, Coral Gables, North Miami, all within a 50 mile radius of where I live.
2024 Genesis G90 Super-Charger
Amoco is (was bought by) BP, not Chevron. Chevron owns Texaco. So we have
Those were product of consolidation in late 90s, which were brutal time for oil companies. It is hard to imagine today, but those guys then were going nearly out of business. Those oil company mergers were not of love. Those were shotgun events - consolidate, or die. So they did. Nobody was crying for them then, so they don't cry for consumer today, when they take our money.
Funny, how things turn. Nobody would even mention that late 90s period, when gas was less than dollar and falling. It wouldn't fit a narrative of perfect evil oil companies and gas "always going up". I sometimes read those rants and think how selective memory can be. I have no sympathy for those oil guys myself, but everybody who rant against those perfect villains picking our pockets (they currently do) should remember those times, when they couldn't make a dime. I know several people who remember countless project cancellations due to lack of funding on those oil projects.
2018 430i Gran Coupe