Why do dealers do this?

BAMX
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Fallbrook, CA, USA
10/4/2015 12:29pm
Roscoe33 wrote:
"Prices exclude dealer setup, taxes, title, freight and licensing and are subject to change" This was on the bottom of the 1 st page, why don't...
"Prices exclude dealer setup, taxes, title, freight and licensing and are subject to change"

This was on the bottom of the 1 st page, why don't people READ.
I think that the point is that the shady add on fees that are not even posted rail the price of the bike up over a grand. I am with whoever wanted Amazon to sell bikes. The dealers have become completely worthless for anything other than getting a bike that day or buying gear if you don't know your size.
bvm111
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Las Vegas, NV, USA
10/4/2015 12:36pm
Roscoe33 wrote:
"Prices exclude dealer setup, taxes, title, freight and licensing and are subject to change" This was on the bottom of the 1 st page, why don't...
"Prices exclude dealer setup, taxes, title, freight and licensing and are subject to change"

This was on the bottom of the 1 st page, why don't people READ.
BAMX wrote:
I think that the point is that the shady add on fees that are not even posted rail the price of the bike up over a...
I think that the point is that the shady add on fees that are not even posted rail the price of the bike up over a grand. I am with whoever wanted Amazon to sell bikes. The dealers have become completely worthless for anything other than getting a bike that day or buying gear if you don't know your size.
Bingo!
BAMX
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10/4/2015 12:45pm
ilovetacos wrote:
I work for a dealer and mooches like you are not welcome in our dealership. go try to grind on your grocery's, dinners out, entry fee...
I work for a dealer and mooches like you are not welcome in our dealership. go try to grind on your grocery's, dinners out, entry fee at the track , mortgage payment, doctor bill, and of course the tampons you wear
slipdog wrote:
While I don't necessarily approve of the tone of your first post, I can easily be swayed to your side with a plate full of tacos...
While I don't necessarily approve of the tone of your first post, I can easily be swayed to your side with a plate full of tacos. The pink kind are my favorite.

Mmmmmmm... I love tacos!
ilovetacos wrote:
selling motorcycles at retail is not a crime. if you cant afford to ride a new bike go buy a used one on craigslist , stop...
selling motorcycles at retail is not a crime. if you cant afford to ride a new bike go buy a used one on craigslist , stop being mooches. dealers and sales guys need to make a living also, the buyers are their worse enemies buy shopping the price to death rather than shopping for great service and a helpful dealer.

those who only buy parts and accessories online are killing the the industry and are pushing the dealer to only focus on motorcycles sales and repair. this will only lead the dealer to hold higher margins on motorcycles to survive and never stock anything with tight margins that can be purchased online.


if you want to jew down , mooch and grind the dealers it will hurt your sport in the long run
Killing the industry??? Guys like you are the joke. The reason that I buy from the net is because you guys don't stock anything. I wouldn't mind paying the extra 10-20% that you charge over Motosport if you actually had something other than a huge break room in the back. You can't even find a decent clutch or brake lever at most dealerships in my area. God forbid you actually need something like clutch plates. There is zero chance of finding those unless you go to Chaparral.
slipdog
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Nor Cal, CA, USA
10/4/2015 1:18pm
I agree with pink tacos stance that it's ok for dealers to make a profit 100%.

I just don't agree with his anti-semitic remarks... There's no need for that in a motocross forum.

The Shop

yak651
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Appleton, WI, USA
Fantasy
10/4/2015 1:33pm
kkawboy14 wrote:
Isn't all this thread is asking for is that a dealer give a buyer the real price? And yes a dealer may be contractually obligated to...
Isn't all this thread is asking for is that a dealer give a buyer the real price?

And yes a dealer may be contractually obligated to put a bike together, he is not contractually obligated to charge for that assembly of the bike.

A dealer could give the whole bike assembled away for free if he wanted to.
I'm glad someone has reading ability....I wasn't try to get the bike for nothing, just was asking why not be upfront with all your fees. If you need to hide the "real" price, there may be a reason for that
yak651
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Fantasy
10/4/2015 1:35pm
yak651 wrote:
If I knew that was all it would take I would've brought more pumpkins![img]https://p.vitalmx.com/photos/forums/2015/10/03/106979/s1200_IMG_20151003_144836789.jpg[/img]
If I knew that was all it would take I would've brought more pumpkins!

HenryA wrote:
.....so what is exactly happening on your porch? Huh
I grown and sell pumpkins to help pay for my expensive hobbies
10/4/2015 1:49pm
Sad thing is that mark up on dirt bikes is usually 10% or less. The mfgs squeeze the dealers and they have to nickel and dime their customers to make any money.

That said I've got a great dealership in town that tells me that straight forward and tells me what they want to make off of a bike. They told me "pick any dirt bike in here, we'll show you the dealer invoice and what we paid for it. We want to make $500 off of it, so add $500 to our cost and that's your out the door price." With mfg rebate of $500 I took a 2015 450 in April out the door for dealer cost. That place is my first stop for anything now.

If a dealership just said 'here's what we had to pay, here's how much we need to stay in business. Take it or leave it,' I think more people would understand their reasoning.
fullysicmate
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Queensland, AU
10/4/2015 2:25pm
scott_nz wrote:
better question, why does the US not include sales tax on there prices like the rest of the world does,
Yep its a fucked set up
warrnum
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AU
10/4/2015 2:33pm
Congrats on the sweet new ride Yak, and I am happy you got a deal you were happy with. All this thread is about is a dealer not being honest with the purchase price. Going by the logic in here it is ok for a dealer to advertise a price then so well but actually this is what it will cost. Bit more than 12 months ago I went to my local yamaha dealer to get a price on a new yz250 (Australia) and was told $10800 we need to make a living. I would not want to negotiate on that price because the negotiated price would still be more than what I could buy down south with delivery and still have coin in my pocket. Yet it seems in this thread the dealer has every right to charge that price and I am obligated to purchase because they are my local.
RMT
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Chicagoland, IL, USA
10/4/2015 3:06pm
zlowery wrote:
Please spare me that bullshit. We're oversaturated by dealers. There are 30+ within an hour of me that sell the big 5. Last 3 of 5...
Please spare me that bullshit.

We're oversaturated by dealers. There are 30+ within an hour of me that sell the big 5. Last 3 of 5 new bikes i bought (2011 to now), i drove 3+ hours for because they actually wanted to deal. Let some go out of business and then the remaining ones can sell some volume at a reasonable price.

You must drive 100mph everywhere you go. I know you were just trying to make a point, but if you live in the same place your profile lists, you only have around 6 dealers within an hour that sell Yamaha.


RMT
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10/4/2015 3:20pm
Sad thing is that mark up on dirt bikes is usually 10% or less. The mfgs squeeze the dealers and they have to nickel and dime...
Sad thing is that mark up on dirt bikes is usually 10% or less. The mfgs squeeze the dealers and they have to nickel and dime their customers to make any money.

That said I've got a great dealership in town that tells me that straight forward and tells me what they want to make off of a bike. They told me "pick any dirt bike in here, we'll show you the dealer invoice and what we paid for it. We want to make $500 off of it, so add $500 to our cost and that's your out the door price." With mfg rebate of $500 I took a 2015 450 in April out the door for dealer cost. That place is my first stop for anything now.

If a dealership just said 'here's what we had to pay, here's how much we need to stay in business. Take it or leave it,' I think more people would understand their reasoning.
That would be nice, but people wouldn't believe them. People would feel that $500 is too much to make off of them and therefore the race to the bottom would ensue.

The problem with the lowball price with added charges is equally weighted on the consumer and dealer. That doesn't make it right, but hear me out. When consumers started just making a call to every dealer to get the lowest OTD price and didn't take into account what the dealer brings to the table, dealers figured out quickly that if they didn't have the lowest price, they will go out of business. That started the added charges for dealers to not lose a shot at the customer and also not lose money on the deal. That does not make it right and it can put some off, but it is what it is.

Now, since we all know this happens, you just need to ask the correct questions when making an inquiry on pricing. Ask for the price and all dealer charges. Dont ask OTD as they dont really like quoting taxes, but they all know the fees they try to add. If they wont answer, assume they will be charged, but also know, you don't have to pay them. Its all a negotiation so if its a crazy low price and they try to add $1200 in fees, maybe agree to pay $400 in fees and you still get a smoking deal. Negotiate and sales guys will appreciate you and know what they are up against for the next purchase. Plus its fun and just another challenge and thing to be good at. When your good at it, your not shitty, short tempered and huffy with them but instead shrewd, informed and strong willed. Wait them out. Wear them down. I swear its fun and don't look at it as a hassle.

peelout
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Ogden, UT, USA
10/5/2015 12:28pm
yak651 wrote:
If I knew that was all it would take I would've brought more pumpkins![img]https://p.vitalmx.com/photos/forums/2015/10/03/106979/s1200_IMG_20151003_144836789.jpg[/img]
If I knew that was all it would take I would've brought more pumpkins!

HenryA wrote:
.....so what is exactly happening on your porch? Huh
someone's a Gourder
Falcon
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Menifee, CA, USA
10/5/2015 1:24pm
Dealers feel like they have to start very, very high so they can negotiate back down to a price that is reasonable for a motorcycle. The problem is that if any of them are all 100% honest up front, they'll get undersold 9 times out of ten by a shady dealer who advertises lower and then charges all the fees later.

Kudos to you guys who won't buy from a dealer like that, but the sad truth is that many people do.

Also, remember that dealers do not actually make tons and tons of money on a motorcycle. On your typical 450 MX bike, there's probably $1200-$1400 in profit built in at retail. Maybe $1600. A dealer ought to make a grand or so in profit, shouldn't he? Take a few hundy off, pay the tax and be happy. I usually aim at MSRP out the door. That's a good deal, considering the dealer had to pay the very real costs of transporting the bike, assembling it, paying tax and license, and paying a commission to the sales guy. It's actually a pretty skinny profit for the dealer when you look at it that way.
Motodork
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Carlsbad, CA, USA
10/5/2015 2:14pm Edited Date/Time 10/5/2015 2:16pm
Falcon wrote:
Dealers feel like they have to start very, very high so they can negotiate back down to a price that is reasonable for a motorcycle. The...
Dealers feel like they have to start very, very high so they can negotiate back down to a price that is reasonable for a motorcycle. The problem is that if any of them are all 100% honest up front, they'll get undersold 9 times out of ten by a shady dealer who advertises lower and then charges all the fees later.

Kudos to you guys who won't buy from a dealer like that, but the sad truth is that many people do.

Also, remember that dealers do not actually make tons and tons of money on a motorcycle. On your typical 450 MX bike, there's probably $1200-$1400 in profit built in at retail. Maybe $1600. A dealer ought to make a grand or so in profit, shouldn't he? Take a few hundy off, pay the tax and be happy. I usually aim at MSRP out the door. That's a good deal, considering the dealer had to pay the very real costs of transporting the bike, assembling it, paying tax and license, and paying a commission to the sales guy. It's actually a pretty skinny profit for the dealer when you look at it that way.
I am not sure were you got your numbers but most MX bikes have about $600 to $800 in profit from invoice to retail. A honda Grom only has about $150 in mark up from invoice and don't even get me started on a PW50 or CRF50. MSRP out the door would mean the dealer didn't really make anything.
40Plus_922mx
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High Desert, CA, USA
10/5/2015 2:39pm
bob567 wrote:
I pray for the day I can order a new bike shipped to my door from Amazon. The internet has kicked the local dealers ass in...
I pray for the day I can order a new bike shipped to my door from Amazon. The internet has kicked the local dealers ass in parts availability, response time, and price for the past 10 years. Been in 1 dealer in the last 10 years and left wanting to kill myself.
Shhhh! You'll give KTM ideas!
LoL.

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