...I look at the invoice cost on a truck, factor in what equipment we have installed and base my price on this, along with knowing what inventory other dealers have in stock. Obviously if no other dealer has the same truck, I can charge a little more. ...
True, having that one particular/unique model will give the Dealership some leverage, and can wait it out.
It's really tougher for Dealerships situated in areas were there are like half a dozen Dealerships of the same brand, all within less than an hour from each other.
Me, I never pay Invoice and/or over Invoice. I shoot for closer to Dealer Cost, and I get it. Also, I never pay full pop for add-on options, nor do I pay full pop for extras in F&I (warranties/maintenance deals, etc...). Btw, I NEVER buy an "Extended Warranty", and I ALWAYS hammer away at the interest rate.
I almost never go for any post-factory/Dealer installed equipment. For some Dealerships, that's were they make a big chunk of their money. It's not just about the added/inflated costs. It's also about the fact that, sometimes, some Dealerships don't use OEM/Geniune parts (which increases their profits).
...However, there are those customers who always think I'm trying to cheat them and overcharge. I guess that's to be expected in my industry. ...
Not referring to you directly, Fishstalker, but it should be expected, especially with large pickups & premium cars, imo.
Regardless, I think it has more to do with the fact that many customers have become more Internet savvy, and are more familiar with actual Dealer Cost.
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In the past, I've sold new Chevy, Honda, Toyota, Mercedes, etc, at Multi-Brand Dealerships. (
Positions: Straight Sales, Closer [
Asst. Sales Mgr.]
, and Broker.)