Additional $1225 in fees over MSRP for new bikes? Really?

Preston412 wrote:

Thanks for calling Mr. Becker, to make sure I am quoting you a price for the right bike, you are interested in the 2021 YZ250F? Yes...

Thanks for calling Mr. Becker, to make sure I am quoting you a price for the right bike, you are interested in the 2021 YZ250F? Yes. Great, we are selling that for $8299 plus frgt, prep and registration, what is your sales tax? 6.5% Ok, that will be $10,276.19 OTD.

What is your answer to that? More than likely, is that the best you can do? Me..Come to the store and we will make sure you leave with a bike. You. I live 3 hours away. Me..(in my head) great you will pass 6 other dealers before getting to me, enjoy your shopping trip.
Now, I will handle it professionally for you. Me...I will earn your business Mr. Becker, there is a $700 rebate on this bike that we will apply to it and if I can get another couple hundred dollars off for you, will you give me a deposit to hold this bike until you get here? Also, if you are wanting to pay cash, there is some MFG financing incentives that can let you keep your money in the bank for awhile, no prepayment penalties so you can make extra payments as you please. So, think about that on your way here. Let me put you on hold and I will be right back with our best deal.

Now, the sales manager is either going to tell you that the rebate is the only incentive or here is my best deal, now go close it and get the deposit.

Sales people either can handle phone sales properly or just can't handle objections properly without you being in front of them.

Dimblewambie wrote:

I’m on the edge of my seat.. did Mr Becker join BluCru?

JBecker 72 wrote:

$100 savings? :laugh: There was a $2300 swing in price between dealers two months ago when I bought my Yamaha. Show of hands, who would be...

$100 savings? There was a $2300 swing in price between dealers two months ago when I bought my Yamaha.

Show of hands, who would be happy to pay a 25% premium over MSRP on a 250F when they didn’t have to?

Edit: and the local dealers who I went to first were the ones who refused to budge off their full retail bikes with additional markup on top of that.

LungButter wrote:

I've been around long enough and been loyal enough that I can tell you right now what dealer I'd call to get the best price on...

I've been around long enough and been loyal enough that I can tell you right now what dealer I'd call to get the best price on basically any color bike I would want.

Loyalty has earned me the privilege of not having to spend 3 days on the phone to find the best price like some of ya'll who are always chasing a deal

JBecker 72 wrote:

The small dealer I used to buy my last bike and numerous before that got gobbled up by a mega dealer just before COVID.

LungButter wrote:

If I'm a Sales Guy at a dealership my willingness to deal with someone on the phone is going to depend on the market, right now...

If I'm a Sales Guy at a dealership my willingness to deal with someone on the phone is going to depend on the market, right now anything that hits the floor is selling at top dollar....why should I deal with a bunch of strokers on the phone when someone is bound to walk through the door ready to buy?

If you wanna call around and jerk off the sales guys at 10+ dealers to get the best deal possible you might wanna wait until it's a buyers market....

OR, here's an idea...find a good dealer and stick with them instead of dealer hopping on every bike purchase just to save $100.....some of ya'll claim to have "been around forever" and don't have a good dealer or 2 to deal with? How? No loyalty and just always looking for the lowest price?

JBecker 72 wrote:

$100 savings? :laugh: There was a $2300 swing in price between dealers two months ago when I bought my Yamaha. Show of hands, who would be...

$100 savings? There was a $2300 swing in price between dealers two months ago when I bought my Yamaha.

Show of hands, who would be happy to pay a 25% premium over MSRP on a 250F when they didn’t have to?

Edit: and the local dealers who I went to first were the ones who refused to budge off their full retail bikes with additional markup on top of that.

LungButter wrote:

If I'm a Sales Guy at a dealership my willingness to deal with someone on the phone is going to depend on the market, right now...

If I'm a Sales Guy at a dealership my willingness to deal with someone on the phone is going to depend on the market, right now anything that hits the floor is selling at top dollar....why should I deal with a bunch of strokers on the phone when someone is bound to walk through the door ready to buy?

If you wanna call around and jerk off the sales guys at 10+ dealers to get the best deal possible you might wanna wait until it's a buyers market....

OR, here's an idea...find a good dealer and stick with them instead of dealer hopping on every bike purchase just to save $100.....some of ya'll claim to have "been around forever" and don't have a good dealer or 2 to deal with? How? No loyalty and just always looking for the lowest price?

JBecker 72 wrote:

$100 savings? :laugh: There was a $2300 swing in price between dealers two months ago when I bought my Yamaha. Show of hands, who would be...

$100 savings? There was a $2300 swing in price between dealers two months ago when I bought my Yamaha.

Show of hands, who would be happy to pay a 25% premium over MSRP on a 250F when they didn’t have to?

Edit: and the local dealers who I went to first were the ones who refused to budge off their full retail bikes with additional markup on top of that.

APLMAN99 wrote:

On the flip side, if the local dealer is likely to be able to sell the same bike for the $2,300 extra, why would he lower...

On the flip side, if the local dealer is likely to be able to sell the same bike for the $2,300 extra, why would he lower his price by that much?

JBecker 72 wrote:

$100 savings? :laugh: There was a $2300 swing in price between dealers two months ago when I bought my Yamaha. Show of hands, who would be...

$100 savings? There was a $2300 swing in price between dealers two months ago when I bought my Yamaha.

Show of hands, who would be happy to pay a 25% premium over MSRP on a 250F when they didn’t have to?

Edit: and the local dealers who I went to first were the ones who refused to budge off their full retail bikes with additional markup on top of that.

APLMAN99 wrote:

On the flip side, if the local dealer is likely to be able to sell the same bike for the $2,300 extra, why would he lower...

On the flip side, if the local dealer is likely to be able to sell the same bike for the $2,300 extra, why would he lower his price by that much?

JBecker 72 wrote:

And we can go in circles forever asking why I would buy that bike from them when I can (and did) get the same bike cheaper...

And we can go in circles forever asking why I would buy that bike from them when I can (and did) get the same bike cheaper someplace else. It’s not like that was the last new YZ250F in stock anywhere.

APLMAN99 wrote:

There's no need to go in circles with it. You made the right choice for yourself. Most anyone would do the exact same thing in your...

There's no need to go in circles with it. You made the right choice for yourself. Most anyone would do the exact same thing in your position.

You did what was right for you, the dealership believes that they are doing the right thing for themselves. There is no problem that needs a solution, is there?

Falcon wrote:

The problem I have with dealer fees is that they are so dishonest. You are not paying "freight and setup," you are paying "dealer markup." The...

The problem I have with dealer fees is that they are so dishonest. You are not paying "freight and setup," you are paying "dealer markup."
The dealer gets a check at the end of the year for every unit sold. It is called "holdback," and it is basically a reduction in invoice cost. I don't know exactly what the dollar amount is on an MX machine, but it's a few hundy on each bike. Hmmm, the same few hundy that it costs to ship the machine to the dealer? Maybe....
So there goes the freight, for the most part.

As for "setup," they pay a low-tier mechanic $40 per flagged hour to do that job. The service department "charges" the sales department a half hour or full hour of labor to do the PDI on the unit. That's $20-$40 actual dollars going out to somebody, but $40-$80 dollars charged to the sales department. If they charged me $80 in "setup," I'd understand; they are covering their department's costs. $300/$400/$500 in "setup" is a markup, however.

Let's be honest and call it a markup. That said, every dealer has the right to markup their product how they see fit, just as AGN is free to buy at any another dealer.

davis224 wrote:

If the flat rate pay and the flat rate time was what you just wrote, I'd still be working at the dealer and rolling in piles...

If the flat rate pay and the flat rate time was what you just wrote, I'd still be working at the dealer and rolling in piles of money Scrooge McDuck style. More like $17/hr for low tier flat rate, and .3 hours for a new unit PDI.

When I first started there in 2008, I'd average about 50 PDI's a week during the summer on top of services/tires/etc.

ktmwoods wrote:

Most everything coming out of @Sandhills these days is suspect. Too bad, I really like Scotts Valley people normally.

sandhills wrote:

Grocery CPI is at 1.2%. Sure, that is technically a positive number but not a significant one. If you're trying to point to inflation you'd be...

Grocery CPI is at 1.2%. Sure, that is technically a positive number but not a significant one. If you're trying to point to inflation you'd be better of pointing at literally anything else.

https://www.bls.gov/news.release/cpi.nr0.htm

LungButter wrote:

I'm gonna go off of what I see out here in the real world. Pack of Tuna used to cost $.99 6 months ago....$1.24 yesterday. My...

I'm gonna go off of what I see out here in the real world.

Pack of Tuna used to cost $.99 6 months ago....$1.24 yesterday.

My kids eat Apple Sauce by the gallon, it's went up $1+ per jar over the last year.

Bacon....that shit has almost doubled the last 12-18 months.

If you don't think the cost of groceries is going up I'm not sure we can have an intelligent conversation about anything because you clearly aren't living in reality.

lostboy819 wrote:

When a person walks into a dealership that is money walking into a dealership and it always trumps a guy on the phone. Now if you...

When a person walks into a dealership that is money walking into a dealership and it always trumps a guy on the phone. Now if you got nothing going on then some quotes that are not set in stone can we given over the phone. Way too many variables to give a guaranteed OTD price. Now if you walk into a dealer with cash then you can deal for a good price as its a sin to let a customer with cash leave , but they aint gonna give it away either especially now when they have more buyers than they have bikes, if they let you and your cash walk then you you were not willing to pay a price that reflects the current market and they will sell it to the next guy.

davis224 wrote:

They make more money if you finance vs cash. I never understood the thinking that you can get a better deal if you pay cash, unless...

They make more money if you finance vs cash. I never understood the thinking that you can get a better deal if you pay cash, unless private party selling maybe.

profeshenal125 wrote:

Less headaches for the dealer, paying with cash. A guy stops making payments, turns into a big hassle trying to get the bike back.

Falcon wrote:

The problem I have with dealer fees is that they are so dishonest. You are not paying "freight and setup," you are paying "dealer markup." The...

The problem I have with dealer fees is that they are so dishonest. You are not paying "freight and setup," you are paying "dealer markup."
The dealer gets a check at the end of the year for every unit sold. It is called "holdback," and it is basically a reduction in invoice cost. I don't know exactly what the dollar amount is on an MX machine, but it's a few hundy on each bike. Hmmm, the same few hundy that it costs to ship the machine to the dealer? Maybe....
So there goes the freight, for the most part.

As for "setup," they pay a low-tier mechanic $40 per flagged hour to do that job. The service department "charges" the sales department a half hour or full hour of labor to do the PDI on the unit. That's $20-$40 actual dollars going out to somebody, but $40-$80 dollars charged to the sales department. If they charged me $80 in "setup," I'd understand; they are covering their department's costs. $300/$400/$500 in "setup" is a markup, however.

Let's be honest and call it a markup. That said, every dealer has the right to markup their product how they see fit, just as AGN is free to buy at any another dealer.

Moto Nomad wrote:

I argued freight and set-up with customers so many times that hearing the words makes me tense up. Our dealership inflated the freight price a little...

I argued freight and set-up with customers so many times that hearing the words makes me tense up. Our dealership inflated the freight price a little bit.
Most salesmen I worked with didn't even want to deal with dirt bike customers, especially racers that all think they should be "sponsored." Margins were low on dirt bikes and the customers generally a PITA compared with the Yuppie guy coming in and ready to buy a cruiser and $2k in accessories to look cool to his buddies, and who actually needs your know-how and expertise to choose the right bike and gear.
'Course this was in an urban area- rural dealers are much more dirt-oriented for obvious reasons.

yz133rider wrote:

In every email I say, I’m paying cash I’m a pa resident what is the out the door price.... it is pretty cut and dry....

yz133rider wrote:

In every email I say, I’m paying cash I’m a pa resident what is the out the door price.... it is pretty cut and dry....

captmoto wrote:

No retail vehicle seller gives a shit about cash. They can make something back on financing. If you tell them you are financing and pull the...

No retail vehicle seller gives a shit about cash. They can make something back on financing. If you tell them you are financing and pull the switcheroo at the end of the deal, you should get your price. If you just finance it and pay off when you get your first payment notice it's the same deal. They get their price and the finance company kicks rocks.

yz133rider wrote:

I don’t say I’m paying cash as if it gives me leverage. I just list enough info so they can give me an actual out the...

I don’t say I’m paying cash as if it gives me leverage. I just list enough info so they can give me an actual out the door price. If their price is acceptable to me, then I found my bike. If not the search continues.

Falcon wrote:

This. Also, here in CA, there is a legal limit to the DOC fee. (It was $45 the last time I knew for sure. Probably not...

This.

Also, here in CA, there is a legal limit to the DOC fee. (It was $45 the last time I knew for sure. Probably not much more than that now.) I don't know about NC, but I'd bet they also have a limit.


The truth of the matter is that these businesses are independently owned. They can charge whatever they want and get away with it. At this point in time, they could charge a $2,500 "Fuck you, it's the last one I have" fee and probably get away with it. (They do that on larger streetbikes all the time and call it ADM, or "Additional Dealer Markup.")

Moto Nomad wrote:

I argued freight and set-up with customers so many times that hearing the words makes me tense up. Our dealership inflated the freight price a little...

I argued freight and set-up with customers so many times that hearing the words makes me tense up. Our dealership inflated the freight price a little bit.
Most salesmen I worked with didn't even want to deal with dirt bike customers, especially racers that all think they should be "sponsored." Margins were low on dirt bikes and the customers generally a PITA compared with the Yuppie guy coming in and ready to buy a cruiser and $2k in accessories to look cool to his buddies, and who actually needs your know-how and expertise to choose the right bike and gear.
'Course this was in an urban area- rural dealers are much more dirt-oriented for obvious reasons.

lostboy819 wrote:

You are 100% correct that MX bike customers are the worst ones by far, they seem to think because they race that they are doing the...

You are 100% correct that MX bike customers are the worst ones by far, they seem to think because they race that they are doing the dealer a service by buying a bike from them because they will "advertise" for the dealer etc . They all want a big discount and then try on your in-stock helmets and gear and then order them online and then bring it in to the shop and want to exchange for a different size or color etc.

GD350 wrote:

I bought a 21 350sxf in late November, it was MSRP of 9999 plus 400 freight and 80$ admin. Came to 11700 after tax and title...

I bought a 21 350sxf in late November, it was MSRP of 9999 plus 400 freight and 80$ admin. Came to 11700 after tax and title fees. I drove 6 hours 1 way a few states away. Might be better to go somewhere else