Markups
Rennlist Member
Joined: Jun 2015
Posts: 8,273
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Not sure why people think markups or ADMs are outrageous or absurd.
Did people feel the same way when buyers were getting 2, or 5 or even 10 percent off MSRP?
Probably not. It’s just market forces at work.
Buyers nowadays are probably more flush with cash (or cash equivalents) given the current state of the stock market, the crypto market as well as the real estate market. Couple all of that with the low interest rate environment, a 20k markup today would be equivalent to a 2% off MSRP 5 years ago.
Did people feel the same way when buyers were getting 2, or 5 or even 10 percent off MSRP?
Probably not. It’s just market forces at work.
Buyers nowadays are probably more flush with cash (or cash equivalents) given the current state of the stock market, the crypto market as well as the real estate market. Couple all of that with the low interest rate environment, a 20k markup today would be equivalent to a 2% off MSRP 5 years ago.
It's just tacky.
When some people get discounts and others pay ADMs, it makes the latter feel that they've been hustled. Not a good feeling. That's where the conflict lies.
Rennlist Member
Joined: Oct 2015
Posts: 1,170
Likes: 733
From: PA
I am fortunate to live very close to a top notch dealership. I have had nothing but great sales and service. Sorry to hear people are having problems with their dealerships as far as ADM's. Hope it all goes back to normal soon.
Rennlist Member
Joined: Jun 2015
Posts: 8,273
Likes: 6,727
Same here. My purchases with my dealer have been very respectful and super easy. No hustling and no high pressure tactics. I think we spent all of 2 minutes discussing the price. The rest of the time is spent on the fun stuff. It's too bad Porsche can't oblige that experience at their other dealers.
Intermediate
Joined: Dec 2020
Posts: 38
Likes: 54
I sold Saturn cars from 1996-1997, at MSRP…I actually closed deals with an example of a buyer who’s friend pays full price for a dress or suit, and their friend gets a discount,,,,that’s why we sold Saturns at MSRP across the US….the US car buyer always looks for the deal….I did not mean to indicate that P dealers are unethical or misleading customers…just sayin, this product (mostly over 6 figures) deserves a higher level of professionalism, I’m surprised potential P buyers are not put off by this practice, no matter how much money they have…..and again, the after sales support has also deteriorated, waiting 2 months for an issue with a 3 month old P car is ridiculous..I also had to wait 3 hours for Porsche Roadside to get me on the road again,,,
I guess P dealers will continue with ADM’s as long as they have flush buyers willing to pay for the privilege of owning a Porsche…I‘ll move on to other marquees….
I guess P dealers will continue with ADM’s as long as they have flush buyers willing to pay for the privilege of owning a Porsche…I‘ll move on to other marquees….
Instructor
Joined: Feb 2021
Posts: 127
Likes: 35
I hate the idea of a mark-up/ADM, but it is really is just the other side of the coin from a discount off MSRP. If I could get my allocation for a build in November, I would pay the $5K - just not the $50K my stealership is asking for. First, I am just not very patient, Second, if you "get in line" and get a '23 instead of a '22, I would imagine the difference in MSRP will not be less than $5K.
Getting in line for a 23 requires you to also not die before you get your car, which tends to happen more frequently for old timers/covid-risk people
Last edited by harshalp; Oct 16, 2021 at 11:55 AM.
Nordschleife Master
Joined: Jun 2018
Posts: 5,947
Likes: 7,863
From: Ohio
I hate the idea of a mark-up/ADM, but it is really is just the other side of the coin from a discount off MSRP. If I could get my allocation for a build in November, I would pay the $5K - just not the $50K my stealership is asking for. First, I am just not very patient, Second, if you "get in line" and get a '23 instead of a '22, I would imagine the difference in MSRP will not be less than $5K.
Racer
Joined: Apr 2006
Posts: 268
Likes: 151
Let's put it this way, a G-wagon at any price is just absurd. The whole concept of a G-Wagon is absurd in and of itself.
An off-road SUV with an aerodynamic coefficient of drag that would make a brick seem slippery, equipped with three locking differentials that 99% of buyers will find suitably handy for navigating a Starbucks drive-thru or their local Bristol Farms parking lot, and one that comes with something called ECO auto stop/start that cannot be defeated on a car, ahem SUV, that weighs nearly 3 tons and gets something like a little more than 13 mpg in real world testing.
Yes, absurdity has met its match in German sheetmetal.
An off-road SUV with an aerodynamic coefficient of drag that would make a brick seem slippery, equipped with three locking differentials that 99% of buyers will find suitably handy for navigating a Starbucks drive-thru or their local Bristol Farms parking lot, and one that comes with something called ECO auto stop/start that cannot be defeated on a car, ahem SUV, that weighs nearly 3 tons and gets something like a little more than 13 mpg in real world testing.
Yes, absurdity has met its match in German sheetmetal.
Rennlist Member
Joined: Mar 2016
Posts: 161
Likes: 132
Let's put it this way, a G-wagon at any price is just absurd. The whole concept of a G-Wagon is absurd in and of itself.
An off-road SUV with an aerodynamic coefficient of drag that would make a brick seem slippery, equipped with three locking differentials that 99% of buyers will find suitably handy for navigating a Starbucks drive-thru or their local Bristol Farms parking lot, and one that comes with something called ECO auto stop/start that cannot be defeated on a car, ahem SUV, that weighs nearly 3 tons and gets something like a little more than 13 mpg in real world testing.
Yes, absurdity has met its match in German sheetmetal.
An off-road SUV with an aerodynamic coefficient of drag that would make a brick seem slippery, equipped with three locking differentials that 99% of buyers will find suitably handy for navigating a Starbucks drive-thru or their local Bristol Farms parking lot, and one that comes with something called ECO auto stop/start that cannot be defeated on a car, ahem SUV, that weighs nearly 3 tons and gets something like a little more than 13 mpg in real world testing.
Yes, absurdity has met its match in German sheetmetal.
Three Wheelin'
Joined: Feb 2016
Posts: 1,567
Likes: 1,017
Let's put it this way, a G-wagon at any price is just absurd. The whole concept of a G-Wagon is absurd in and of itself.
An off-road SUV with an aerodynamic coefficient of drag that would make a brick seem slippery, equipped with three locking differentials that 99% of buyers will find suitably handy for navigating a Starbucks drive-thru or their local Bristol Farms parking lot, and one that comes with something called ECO auto stop/start that cannot be defeated on a car, ahem SUV, that weighs nearly 3 tons and gets something like a little more than 13 mpg in real world testing.
Yes, absurdity has met its match in German sheetmetal.
An off-road SUV with an aerodynamic coefficient of drag that would make a brick seem slippery, equipped with three locking differentials that 99% of buyers will find suitably handy for navigating a Starbucks drive-thru or their local Bristol Farms parking lot, and one that comes with something called ECO auto stop/start that cannot be defeated on a car, ahem SUV, that weighs nearly 3 tons and gets something like a little more than 13 mpg in real world testing.
Yes, absurdity has met its match in German sheetmetal.
Drifting
Joined: Jun 2021
Posts: 2,076
Likes: 1,760
From: Westchester NY
Rennlist Member
Joined: Oct 2004
Posts: 1,873
Likes: 1,244
From: Lakewood Ranch, FL
No G wagons for 2022. Majority of Mercedes V8s are cut. So makes sense that for those that want one of the last ones, there will be ADM. Plenty of multi-millionaires and billionaires driving G wagons who won’t care about the ADM.
There will be 911s in 2022 so the ADM will be less, but as long as there is a supply shortage and people are willing to pay over to get one sooner instead of waiting 2-3 years, ADMs will stick around.
I’d pay $5k. Maybe even $10k. But if I was told my 911 C2S cab would be $20k+ over like others are seeing, I would’ve waited.
There will be 911s in 2022 so the ADM will be less, but as long as there is a supply shortage and people are willing to pay over to get one sooner instead of waiting 2-3 years, ADMs will stick around.
I’d pay $5k. Maybe even $10k. But if I was told my 911 C2S cab would be $20k+ over like others are seeing, I would’ve waited.
Last edited by Master Deep; Oct 16, 2021 at 05:52 PM.
Instructor
Joined: Feb 2021
Posts: 127
Likes: 35
Its wild to me that people can get such good mpg, I heard one guy say he gets close to 30 on long drives.... I usually get somewhere between 10-18mpg
Went to a dealership today, they had no 992s to sell and the guy said its a 2 year wait for a new car with them. Getting kinda crazy not sure if others are seeing the same
Went to a dealership today, they had no 992s to sell and the guy said its a 2 year wait for a new car with them. Getting kinda crazy not sure if others are seeing the same
Last edited by harshalp; Oct 16, 2021 at 09:45 PM.
Rennlist Member
Joined: Jul 2017
Posts: 594
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From: CC Philly