Dealer markups

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Dealer markups

Postby thornz » Sat Jul 02, 2011 9:27 pm

What sort of markups are most dealers operating around these days? In the market for cars around the 15k mark at present. The last time I bought off a dealer you could really bargain them hard, I remember getting 1500 off a 9k car ten years ago. Are those days long gone? Without really trying to play hardball yet, nOne really seem keen to budge on price so far.

Am I being unrealistic in hoping to find a car round the 17k mark and driveway with it for 15k? Has the power of being a cash buyer dissapeared these days?
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Postby darkwolf » Sat Jul 02, 2011 9:45 pm

Depends on the yard/car/person. I talked the dealer down from 17,990 to 12,990 on my 540i. This was 2.5 years ago though.
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Postby Tagged » Sat Jul 02, 2011 10:57 pm

I don't know about the markup but I think getting 10% off whatever price the car is going for should be reasonable. But yes it depends on individual car yards of course.
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Postby rollaholic » Sun Jul 03, 2011 12:35 am

considered importing one yourself?
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Postby d1 mule » Sun Jul 03, 2011 4:52 am

i know for a fact that blackwells holden in chch where running a 2.5k markup on brand new VE commodores from their cost when VEs were new, so not alot
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Postby TRD Man » Sun Jul 03, 2011 11:39 am

Most dealers will probably have a margin of around 3K in a car of that value, some of which will be buffer against losses on trade-ins. So to expect a reduction of 2K is a bit of an ask.
A lot will depend on how long the dealer has owned the car you're interested in and their level of motivation to discount.
On a yard with attractive stock and reasonably fast turnover I wouldn't you'd stand much chance.
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Postby Leon » Sun Jul 03, 2011 11:43 am

Too many variables.

Piece of string answer really :D
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Postby Al » Sun Jul 03, 2011 1:16 pm

First question to ask is whether the car is fairly priced in the market. Check out similar cars at other yards.

If you had seen the Target show on buying a used car, that was a total joke, they ended up getting $5k off an overpriced car so thought they had a bargain where the dealer with the car with the realistic price at the beginning misses the sale.
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Postby tsoob » Sun Jul 03, 2011 1:43 pm

rollaholic wrote:considered importing one yourself?



This
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Postby AE82 FXGT » Sun Jul 03, 2011 7:34 pm

I work at a dealer and when we get cars off other dealers at wholesale, they will drop around $4k off a car around $27k, and they would only make a small amount off that I imagine.
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Postby thornz » Sun Jul 03, 2011 11:39 pm

tsoob wrote:
rollaholic wrote:considered importing one yourself?



This


What sort of savings would you be looking at over buying from a dealer?
Or even would you get more for your money than buying privately?

Lets say a 3.0R Legacy wagon 2004 onwards, full leather etc, what sort of money would get one landed, and on the road here?

What are the good sites to look at?
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Postby Emperor » Mon Jul 04, 2011 8:36 am

facebook.com/zeroclearanceswag
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Postby rollaholic » Mon Jul 04, 2011 8:57 am

thornz wrote:
tsoob wrote:
rollaholic wrote:considered importing one yourself?



This


What sort of savings would you be looking at over buying from a dealer?
Or even would you get more for your money than buying privately?

Lets say a 3.0R Legacy wagon 2004 onwards, full leather etc, what sort of money would get one landed, and on the road here?

What are the good sites to look at?


the only way i would do it myself, to be honest, would be if i had someone great on the ground J side.

we do a bit of compliance at work and one regular who brings in a few cars as a bit of a side project gets some great deals. but he is very choosy and has an agent he works well with in japan - the guy knows what kind of cars our customer likes etc.

that being said, theres alot of cool shit in japan - so if you were in the mood for a wee holiday... :)
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Postby tsoob » Mon Jul 04, 2011 10:49 am

ewan at hayatonka is pretty reliable
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Postby Looonie » Tue Jul 05, 2011 8:33 am

Unfortunately as the industry has been pretty quiet of late, there isn't much margin in most cars being sold by dealers.

The other things to factor in is payment method as often people seriously over-value their trade, so if they expect to get more for their trade, there is no room to reduce the price of the vehicle. Whether they payment is cash or finance often has an impact too, and usually not in the way you would expect.

As much as any dealership/yard wants to make a sale, if they're straight up and honest about how they do their business then they should tell you flat out if they can't do what you're asking.

We have a couple of 3.0 legacy wagons available, flick me an email if you want and I can send you through a couple of examples for you to consider.

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Postby fuel » Tue Jul 05, 2011 10:03 am

Dave the one Paul has in Rodney is nice, a 2005 with 88,000kms for about $17k (I know this one has a really small margin in it). Unfortunately it doesn't have leather.
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Postby Looonie » Tue Jul 05, 2011 3:15 pm

Heh, ironically enough Phil thats the one I emailed Paul (thornz) about...

Theres also a couple available through Motor1 which I thought might suit him.
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