How long before MSRP becomes a norm?
#11
They're marking them up because they can; this is pretty standard regardless of marque. It does turn away sticker-level customers but others come to replace them. This is why they can get away with it. Has nothing to do with special equipment and training.
And I don't know where the $300k number came from because that's highly exaggerated. It's more like 30 to $50k for special tech training and equipment. And somehow it evolved to "300k."
But it doesn't matter because the markups are for pure dealer profits. Legally, the dealer sets the prices not the manufacturers. If markups are set too high and nobody buys, then the dealer is forced to lower the prices. If people show up and buy at the set markups, then the markups will stay for as long as people show up to buy.
What has been developing recently is a dealer enters an alleged "written contract" with a customer for "list price," including taking a pre-order deposit, and then backs out at the last minute leaving the customer without any such deal for list price.
This is the part where the trust and honesty issue breaks down. Some people on the other forum are taking this all the way to threatening legal action against the dealer for breach of contract. But with most markups being only about 10 grand, most law suits would be nearly ineffectual and pointless once a settlement was reached. What would you be suing for? For your 10 thousand dollar deposit back? For a list-price deal? What lawyer would care about pursuing that?
Thing is there's no money in it for anyone bringing about the law suit. In fact, the customer would lose even more money and time because he'd never recoup the legal fees to just get a written agreement to have a car sold to him for list price. It's a rather empty victory for something that is not warranting such importance or action.
but this is my opinion.... do what you must to follow your own truths....
And I don't know where the $300k number came from because that's highly exaggerated. It's more like 30 to $50k for special tech training and equipment. And somehow it evolved to "300k."
But it doesn't matter because the markups are for pure dealer profits. Legally, the dealer sets the prices not the manufacturers. If markups are set too high and nobody buys, then the dealer is forced to lower the prices. If people show up and buy at the set markups, then the markups will stay for as long as people show up to buy.
What has been developing recently is a dealer enters an alleged "written contract" with a customer for "list price," including taking a pre-order deposit, and then backs out at the last minute leaving the customer without any such deal for list price.
This is the part where the trust and honesty issue breaks down. Some people on the other forum are taking this all the way to threatening legal action against the dealer for breach of contract. But with most markups being only about 10 grand, most law suits would be nearly ineffectual and pointless once a settlement was reached. What would you be suing for? For your 10 thousand dollar deposit back? For a list-price deal? What lawyer would care about pursuing that?
Thing is there's no money in it for anyone bringing about the law suit. In fact, the customer would lose even more money and time because he'd never recoup the legal fees to just get a written agreement to have a car sold to him for list price. It's a rather empty victory for something that is not warranting such importance or action.
but this is my opinion.... do what you must to follow your own truths....
#13
Im upset at having to pay a markup as well, but I understand economics, and our free market capitalist society.
I think the ones that are being the loudest, and most vocal about paying over msrp, are the ones who are barely able to afford the car, and the extra expense makes the car out of reach for them though..
Frankly, now that I have mine ordered and secured, I hope production will continue to be low, demand high, because I want my resale value to remain high, and for me to have a unique car!
Low production/High demand has worked very well for me with my 02 Nsx. After almost 3.5 years of ownership its retained about 90-92% of its value that I paid for it used.
I think the ones that are being the loudest, and most vocal about paying over msrp, are the ones who are barely able to afford the car, and the extra expense makes the car out of reach for them though..
Frankly, now that I have mine ordered and secured, I hope production will continue to be low, demand high, because I want my resale value to remain high, and for me to have a unique car!
Low production/High demand has worked very well for me with my 02 Nsx. After almost 3.5 years of ownership its retained about 90-92% of its value that I paid for it used.
thats cool Ali, i didn't know that it was possible to get one through carmax. i would imagine that it's hard to get a spot
as an aside, i don't see why people are mad about markups, that's how the free market works. if people will buy it for whatever price, then that's at least it's value to them
sure, it shuts some people out, but there are people shut out of markets for certain things all the time. the economy works because there is a shortage of desirable and excludable goods
as an aside, i don't see why people are mad about markups, that's how the free market works. if people will buy it for whatever price, then that's at least it's value to them
sure, it shuts some people out, but there are people shut out of markets for certain things all the time. the economy works because there is a shortage of desirable and excludable goods
#15
as an aside, i don't see why people are mad about markups, that's how the free market works. if people will buy it for whatever price, then that's at least it's value to them
sure, it shuts some people out, but there are people shut out of markets for certain things all the time. the economy works because there is a shortage of desirable and excludable goods
If you don't want to pay it, then don't. It's very simple.
If enough people decide this way, prices will fall. If enough people willingly go in there and put the money down, then the markups will stay.
No brainer.
If you don't want to pay a markup, simply refuse to give anyone your business.
#17
The caveat is evidently some dealers --not all or even most-- are saying one thing while then doing another when it comes time to do the actual "deal."
Apparently, these "in writing" pre-arrangements are not really worth the paper they're written on.
So really it comes down to good faith and the word of the person(s) whom you have made the deal with. Some are legit and honest, some back-pedal and then make up the rules as they go along.
Thing is you can find a legit deal. It's happening every day. It's the few that spoil it for the many, however. Don't let the bad news of a few paint the whole sky bad. It isn't that way.
Due diligence and communication with people will get a car to your door. It takes a willingness to make this car-buying pursuit a project of focus, with good use of people skills.
If you get the runaround, then just walk away. There are hundreds of Nissan dealerships and the country is large. Have at it...
#18
I have cash in hand for the first GT-R allocation that I can find at MSRP. I am not financing and I am not playing the mark-up games...
I am also prepared to never have the opportunity to own one. Only time will tell... I have one more option, as I live in Japan right now. I could buy one and get it shipped back to the U.S. However, I really do not want to go that route or the not ever owning one route either.
But I refuse to pay a mark-up. It doesn't mean that I cannot afford to pay, just that I am unwilling to.
Cheers,
-Nate
I am also prepared to never have the opportunity to own one. Only time will tell... I have one more option, as I live in Japan right now. I could buy one and get it shipped back to the U.S. However, I really do not want to go that route or the not ever owning one route either.
But I refuse to pay a mark-up. It doesn't mean that I cannot afford to pay, just that I am unwilling to.
Cheers,
-Nate
#19
I have cash in hand for the first GT-R allocation that I can find at MSRP. I am not financing and I am not playing the mark-up games...
I am also prepared to never have the opportunity to own one. Only time will tell... I have one more option, as I live in Japan right now. I could buy one and get it shipped back to the U.S. However, I really do not want to go that route or the not ever owning one route either.
But I refuse to pay a mark-up. It doesn't mean that I cannot afford to pay, just that I am unwilling to.
Cheers,
-Nate
I am also prepared to never have the opportunity to own one. Only time will tell... I have one more option, as I live in Japan right now. I could buy one and get it shipped back to the U.S. However, I really do not want to go that route or the not ever owning one route either.
But I refuse to pay a mark-up. It doesn't mean that I cannot afford to pay, just that I am unwilling to.
Cheers,
-Nate
Let your fingers do the walking. Use the internet Yellow Pages. One day I did for test purposes and found Nissan dealerships nationwide. Be prepared to travel.
#20
That's good. You don't have to pay any markups. There are MSRP deals being made weekly. You have to hunt them down, though. It may not fall in your lap.
Let your fingers do the walking. Use the Internet Yellow Pages. One day I did for test purposes and found Nissan dealerships nationwide. Be prepared to travel.
Let your fingers do the walking. Use the Internet Yellow Pages. One day I did for test purposes and found Nissan dealerships nationwide. Be prepared to travel.
Thanks bro,
Unfortunately and possibly fortunately I am overseas for at least 3-6 more months and possibly 3 more years depending on the next job contract opportunity for me here in Japan.
Unfortunately because I cannot hunt for MSRP in the states right now..
Fortunately because prices may drop to MSRP by the time I get back stateside.
-Nate
Last edited by GTRNate; 03-10-2008 at 10:04 PM.