[LJames]

I changed my order from an XLT to Lariat and the dealer emailed me this Order Summary that lists both the Invoice price AND MSRP of the vehicle broken down into an itemized list of the features. For some reason the original XLT Order Summary only showed MSRP pricing. As you can see, there's not a huge markup on this truck (although I know dealers cost is less than invoice.)

Just posting in case anyone is interested in seeing this.

 

[WNYEscapee]

As I was told by my salesman, there isn't a huge markup on Mavericks. Of course, the more options you add the more of a "discount" you might see, but it's still relative to the cost of the vehicle. But hey, you know their cost on the vehicle now, if they aren't competitive on the price, you have some leverage knowing invoice.

 

[Platinum2]

As I was told by my salesman, there isn't a huge markup on Mavericks. Of course, the more options you add the more of a "discount" you might see, but it's still relative to the cost of the vehicle. But hey, you know their cost on the vehicle now, if they aren't competitive on the price, you have some leverage knowing invoice.

Invoice price is seldom the dealers actual cost. Various hold back, incentives and back end money from the manufacturer keep dealers alive. Think about it....you can't have a fancy dealership, pay all the expenses and survive when there's less than $1000 between MSRP and invoice on your vehicles.

 

[LJames]

Invoice price is seldom the dealers actual cost. Various hold back, incentives and back end money from the manufacturer keep dealers alive. Think about it....you can't have a fancy dealership, pay all the expenses and survive when there's less than $1000 between MSRP and invoice on your vehicles.

This is exactly correct. The "invoice" price is to be taken with a grain of salt. The actual cost is a few hundred to maybe a thousand or so less. It's still not a huge profit for the dealers, but they'll make that up with volume and service.

 

[Platinum2]

This is exactly correct. The "invoice" price is to be taken with a grain of salt. The actual cost is a few hundred to maybe a thousand or so less. It's still not a huge profit for the dealers, but they'll make that up with volume and service.

And their several hundred dollar "doc fee" that so many are willing to pay when they don't have to....

 

[LJames]

And their several hundred dollar "doc fee" that so many are willing to pay when they don't have to....

There's a dealership in PA offering 4% below invoice which on my Lariat equals almost $1,300.00. So that means there's at least a 4% profit built into the Maverick before invoice. No way a dealer would take a loss just to try to make up for it up in volume. I'd imagine the dealership makes 8-12% profit when they sell at MSRP which I'm not bitching about, but it's good to know what their cost is so you can make an informed decision, that's all.

 

[UberGadgetFreak]

And their several hundred dollar "doc fee" that so many are willing to pay when they don't have to....

X-plan is: Dealer Invoice - 0.4% + Administration Fee*
So dealer invoice minus 0.4% and the admin fee of $275, and doc fees capped at $100. Dealership still comes out better than losing customers to dealerships who are offering whole percentages below invoice. This is why I don't get the X-plan pushback I got, and now hearing the same from a few coworkers at other area dealerships.
Its like they don't want the business. I don't get it.

 

[Platinum2]

X-plan is: Dealer Invoice - 0.4% + Administration Fee*
So dealer invoice minus 0.4% and the admin fee of $275, and doc fees capped at $100. Dealership still comes out better than losing customers to dealerships who are offering whole percentages below invoice. This is why I don't get the X-plan pushback I got, and now hearing the same from a few coworkers at other area dealerships.
Its like they don't want the business. I don't get it.

It may have to do with hold back and manufacturer incentives. For example, manufacturer kick-back might be less on X-Plan sales vs retail sales. Many moons ago I worked at a Chevy dealership and this was the case at the time.

 

[Kemosaabe]

X-plan is: Dealer Invoice - 0.4% + Administration Fee*
So dealer invoice minus 0.4% and the admin fee of $275, and doc fees capped at $100. Dealership still comes out better than losing customers to dealerships who are offering whole percentages below invoice. This is why I don't get the X-plan pushback I got, and now hearing the same from a few coworkers at other area dealerships.
Its like they don't want the business. I don't get it.

They are willing to risk losing a smart shopper vs compromise on profit ; they probably think they can Sell entire inventory for what they want - and they could be right

 

[Darnon]

It may have to do with hold back and manufacturer incentives. For example, manufacturer kick-back might be less on X-Plan sales vs retail sales. Many moons ago I worked at a Chevy dealership and this was the case at the time.

I'm kind of curious about that myself. I got invoice price from my dealer but I'll also have X-plan through MCA by September. Since X-plan price ends up slightly over invoice and we don't have crazy doc fees here I wonder if it's worth even getting the PIN.

 

[MaverickMax]

It also depends on the volume that dealership does= dealer invoice. I worked at a reputable Buick dealership 4o plus years ago.....their invoice was at a profit that they could live with, after all their expenses. It also depends on model. Huge sellers= a lower invoice on that model. Volume helps with pricing. So everybody tell everybody to buy a Maverick!

 

[jclampitt4]

As I was told by my salesman, there isn't a huge markup on Mavericks. Of course, the more options you add the more of a "discount" you might see, but it's still relative to the cost of the vehicle. But hey, you know their cost on the vehicle now, if they aren't competitive on the price, you have some leverage knowing invoice.

Doesn't matter in the current market because they are not selling below MSRP.

 

[jclampitt4]

I'm kind of curious about that myself. I got invoice price from my dealer but I'll also have X-plan through MCA by September. Since X-plan price ends up slightly over invoice and we don't have crazy doc fees here I wonder if it's worth even getting the PIN.

X Plan beats MSRP on an order anyday.

 

[jclampitt4]

They are willing to risk losing a smart shopper vs compromise on profit ; they probably think they can Sell entire inventory for what they want - and they could be right

With inventory super low because of the microchip shortage, dealers are selling above MSRP, except on orders. If a dealer is selling a hot item below MSRP, they shouldn't be in business. Makes no sense to give cars away, when you can't reliably count on having more stuff come in to fill the lots.

 

[don.28935]

I changed my order from an XLT to Lariat and the dealer emailed me this Order Summary that lists both the Invoice price AND MSRP of the vehicle broken down into an itemized list of the features. For some reason the original XLT Order Summary only showed MSRP pricing. As you can see, there's not a huge markup on this truck (although I know dealers cost is less than invoice.)

Just posting in case anyone is interested in seeing this.
View attachment 788

There is a guy on this site that got 9% off his 41,308 sticker so the big dealers must be getting 15 % off window price to be able to give a 9% discount off a loaded Mav.
I only remember it was a western state buyer.