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It used to bother me until I started thinking... Why should the dealer not sell the car, in a free market, at the maximum it can obtain, If their objective is short-term profit maximization.
While some dealers take the long view and charge MSRP, others take a view of maximizing their profit in the short-term by selling the car at a premium. I don't fault either approach.
Agreed. Too, when a customer willingly pays over MSRP, the same customer expects a "deal" on the next one, so the dealer doesn't come out that far ahead, if at all, considering the customer satisfaction hit to the dealer on the first one.
The market will dictate what a buyer is willing to pay. Not sure why the dealers are always the punching bags?
This "market adjustment" is Porsche's problem, not the dealers. Porsche is intentionally using these GT cars as pawns and rewards gifted to dealers for taking/selling cars that aren't the easiest to move.
They limit the numbers to make these attractive to buyers, feed the hype, and have dealers even further at their mercy.
Look at some of the inventory just sitting on dealers lots. You think it's there by their choice?
Should dealers sell at MSRP only to have flippers and some guys on this forum try and profit instead? They'd be insane to do that.
The problem isn't as obvious as it seems or is it?
Curious on others opinions regarding this issue.
Two parties should be able to negotiate whatever price they want. There is room in the world for dealerships who sell at MSRP or less and those who mark up but provide access. I buy from the former, someone with greater disposable wealth may buy from the latter.
Dan (thinks its up to them to decide price and up to us to decide where to spend our money)
Location: The way to hell is paved by good intentions “Wenn ich Purist höre...entsichere ich meinen Browning” "Myths are fuel for marketing (and nowadays for flippers too,,,)" time to time is not sufficient to be a saint, you must be also an Hero
Official P dealers have 20% margin on a new car
plus who knows on related financial services and after market services
Why they want also over MSRP?
Ferrari shops are forbidden for very good reasons and
obviously not for charity...
over msrp on new car will destroy the brand (and your pocket..)
as a buyer go somewherelse or to another brand
this will stop the bad dealers behaviour
At least in the U.S., the dealer margins are closer to 10%.
But regardless, for many people (buyers and sellers alike), more money is always better. The same reason people bitch about markups is the same reason dealers ask for markups. Cuz, greed is good, as one Mr. Gecko likes to say.
As to Ferrari, the engage in more sleight-of-hand shenanigans then Porsche.
Agreed. Too, when a customer willingly pays over MSRP, the same customer expects a "deal" on the next one, so the dealer doesn't come out that far ahead, if at all, considering the customer satisfaction hit to the dealer on the first one.
doubt it, these are impulse buyers who buy the next "thing" out there, NSX, Ford 100, etc etc, what it does is burn bridges and you look for a different dealer or a different car company
The only problem with the dealers selling at MSRP, is that the flippers come in afterwards and make the money. Unfortunately, the people who lose out are the enthusiasts will plan on holding onto the car.
If the demand is there, is it better for the dealer to make the extra money or the flipper? It's one big vicious circle. Balancing out supply and demand is really the only answer.
The only problem with the dealers selling at MSRP, is that the flippers come in afterwards and make the money. Unfortunately, the people who lose out are the enthusiasts will plan on holding onto the car.
If the demand is there, is it better for the dealer to make the extra money or the flipper? It's one big vicious circle. Balancing out supply and demand is really the only answer.
One way to solve it is to auction style bidding for allocations. Cars are sold at market prices and everyone gets their fair shot.
Is the same true for paying below MSRP? Do you refuse to do so because you don't want to be accused of being a "stealer"?
I have no problem paying above MSRP and I did with my GT4. To me, stealerships are the ones withholding allocations from customers to only turn around and sell it themselves for some stupid price. I'm willing to pay a "reasonable" amount over MSRP for the car...not $100k or anything close to that though.
Is the same true for paying below MSRP? Do you refuse to do so because you don't want to be accused of being a "stealer"?
Yes that would be correct. Difference is I have no problem with someone choosing to sell over MSRP. I just choose not to purchase over MSRP. I will purchase things whether it is cars or clothes after they have been out and out of season or the next model is coming out and get a discount.
09-11-2015, 02:49 AM
