I was wondering if that would happen. My salesperson told me this might happen at his place. Thanks again for sharing your perspective.
More common then you think. I know of one dealer (now retired and sold the dealership last December) in Sacramento who did this. He was big on never over "MSRP" and didn't want to ruin his reputation...so he often sold the "limited" cars to other dealers for above MSRP (he made money) before they ever reached the lot ...his clients never saw the car on the lot with an over MSRP sticker on it because it was never there...Yeah he could have made "more" but it was a way of making extra $$ and still keeping the dealership's never over MSRP reputation.
I have heard that as well.
I heard that a rear naked choke can be very persuasive.
That's exactly what is happening. People calling 3-4 states around them giving the sense there is more demand for a 50-70k Mustang. Once the first 2-3k are gone, I'm willing to bet they will be easy to find. Even used ones bought by the guys that want it for 6 months to say they had it or the people who are in over their head financially on it.
I understand it very well, kind sir. Perhaps too well. In fact I know there are Market studies in progress now to confirm just how bad the entire process is with the dealerships.
No I'm not the market. "We" are the target demographic for said product. The Manufacturer Bean counters already suggested pricing based on speculation for what the car should sell for. They get paid a LOT of money to make these projections in order to remain profitable for their company and absorb the costs of production. We already know what the dealers are paying for the car. And we know what we should pay for the car. There's nothing to estimate the prices are there and transparent for all to see. So when you see a sticker for over....WE did not set that price. A single guy did based on his projections of how much he feels he can land a whale for. So in effect a single person is responsible for those jacked up prices... not the public because at the moment there is no line around the block to buy a car that does not exist for public consumption yet.
Yep looks that way. But those aren't sold yet. Those are ordered. Those same commitments can fall through between now and the day the car hits the ground or those same people can source the vehicle from a dealer with more realistic prices. Nothing is done yet. And when it does get finalized...who knows?... There might be one or two cars sitting on a lot because the buyers felt like they were getting screwed and balked.
REALLY? Hmmm. I don't remember when I was a salesman ever not knowing what my selling bottom price was and I always remember the frustration of playing the haggling game to allow the buyer to believe they were getting a deal by NEGOTIATING for a lower price than what was on the sticker, When I already knew what I wanted and steered the buyer into my target pricing pocket. IN REALITY The buyer sets nothing in an automotive transaction. You as the buyer are led to believe you do. So again its the OTHER guy that sets the price and knows the wiggle room and plays his hand with everything in his favor to get what he wants. To think anything otherwise is extremely naive.
The seller presents his sticker price in anticipation of a negotiation knowing what the real price is. If He gets the asking price....job done...whale landed. If he drops a bit... Job done, still sold in the pocket he anticipated. He will allow the buyer to walk before going below the NON-Transparent real selling price.
1. We know the size of the pool of buyers ahead of time the limit was set by the people we really want to buy the car from....
Its far more complicated in the automotive industry. But, I appreciate your attempt to simplify it. However, the fair price is already suggested to the whole world. It was set by those bean counters working for the Manufacturer and therefore WE already know what was determined as a fair price by the people WE really want to buy the car from. Again, I'm willing to bet that if the dealers did take a poll of what we buyers want to pay.... then they'd be very disappointed.
We already know the supply since projections are set by the Manufacturer. Demand can potentially swing either way. Remember now... its why those 2013/14 GT500's (even a BOSS302 by me) and those Z28's are still sitting on lots today and why they will have to drop to a more reasonable price if the dealers want to move them. Unless of course they outright own them....which is of course the seedy nature of some dealerships and why they are pegged with the stereotypes they have today. And why when most people are asked about buying a car the first things that pop into mind are..
