can you help me understand dealer discounted prices ?

[tim mcleod]

Hello,
have been pricing 2018 Expedition, will be deciding on unit this week.
I've been checking with dealers locally and getting ( in writing ) out the door pricing over the internet.
the majority of dealers are setting their price at msrp-ford incentives.
a minority of dealers are quoting a price 4-5K below msrp before incentives.
these quotes are not with employee pricing, etc.
can anyone help me understand how this minority of dealers can offer the discounted prices ?
is there this much room built into the dealer cost ?
thanks for your feedback.
tim

 

[marcel]

yes there is! plus they also get incentives from ford for selling cars, plus holdbacks...

don’t ever accept msrp! I’d deal on 10% off msrp + ford incentives

dealers wanting msrp on a 2018 at this point are insane!

look at nada.com you will see invoice price on the car, never pay more than that, but 2019 are gonna be showing up soon so you should get even better price!

 

[1955moose]

September/October are your best months for price deals. Dealers have got to move remaining 18 models. You won't have the selection of say 6months ago, and building your own is out. But price wise, now is the best time of year to bargain. Don't be afraid to shop all the dealers/internet, so on. Also, get your price in writing, dealer sheet, business card, something. Deal with that same salesman/woman when you go back. It's a big game. Their all on commission, and trying to make top $, but it's your job to see they don't.

Sent from my N9131 using Tapatalk

 

[marcel]

another strategy you gotta use is don’t ever say how much you are willing to pay, instead tell the sales person they gotta do better, and that you are not willing to pay their asking price.

just don’t be a dick, but show you are a well informed buyer and will not accept them profiting more than fair! dealers have a big margin and will like to say they never sold for such a great deal!

 

[Adieu]

The issue is that leftovers are about to become "1 year old trucks" for dealers, and already are year-old trucks for resale purposes once you drive it off the lot

Some dealers acknowledge this and adjust pricing, others try to hold out for a customer who doesnt know/care

 

[proeasy]

I do not worry so much about the sales price of a new car, as stated above the dealer invoice before holdback and rebates is a good starting point, above that not much need for discussion

For me the negotiation is trade in value first, dealers do not like this approach. For me the cost of the new car is relatively constant, as I get A plan from Ford or GM Supplier discount.

Case in point cross shopped Denali XL vs Expy Max in March. Both the GM and Ford stores were equally insulting on my trade in (07 Denali XL with 90k miles) Ford and GM Stores were in the range of $11.5 to perhaps $12.5. Sold it in one week on Autotrader for $19k. I will take an approx. 50% + gain for minimal leg work any day

Got the Expy Max Plat on A plan.

 

[marcel]

I usually negotiate price before I let them know I have a trade in, I try as much as possible to avoid disclosing how I’m going to pay for the car...

 

[jeff kushner]

Purchasing is like anything else....you need to know more than the sales team does....and that isn't going to happen BUT educating yourself can happen. Remember that everyone wants to be respected so treat the sales guy the same way you like to be treated. He WILL work for you to his sales manager if you play it right.

I paid UNDER 55K OTD (incl over 3K in taxes)on a factory list price of 66k or 68K(I really don't remember) a new '17 4wd Lmt. a year before the '18s came out.

Keep any trade or deposit completely out of the discussion unless or until you reach agreement on price because neither of those things matters to the price of the new truck.

You can always work out a acceptable price for a trade later.....and yes, don't be a dick. I watched Kerry buy a Rogue a couple years ago using honey and she got an excellent deal but I'm not so lovable so I have to use math instead of smiles.

Good luck and congrats to anyone dropping this kind of $$ on a vehicle.

jeff

 

[rinconmike]

I am looking to trade in my 2014 Limited with 43,000 miles for a 2018 Platinum. without the trade in, I am looking at an MSRP of 78,925 and have the dealer at $70,875 with discounts and rebates. I went to several dealers and also did the True Value buying and that is my best price so far. I am debating on waiting for the 2019, but from what I read, looking at December before the 2019 show up. They are also offering $25K on the trade in. Negotiated that after.

This a good deal?

 

[Trainmaster]

Spending $70,000 to avoid putting $150 brakes on your car? Give me $70K and I'll get you $250/weekly income for life. Then you can buy brakes. Anyway:

If you're interested in how car dealers negotiate with suckers buying them google "Foursquare deal cars" and read about the general strategy most dealers use to confuse and confound buyers.

The system includes confounding buyers with trade-in, monthly payment, down payment and purchase price, playing the "ask my manager" card, etc.

There's only one thing that matters here, and that is the price you are paying.

Here's a lesson in the system aimed at salesmen: https://axleaddict.com/auto-sales/How-To-Use-The-Four-Square-System-To-Sell-Cars