3400 post script

[richfaa]

You did some pretty good research and came up with some pretty good conclusions. Remember the dealer can get "Incentives" from the manufacturer and therefore pay less for the unit. 28/30% off unit with a MSVRP of 60K is doable and the dealer will make a fair profit. If the dealer can't do that because he has high overhead or can not get " incentives" move on to the next dealer. We did 31.2 off a MSVRP of a bit over 58K..The dealer was happy and we were happy. If you are willing to take your time and shop around you will get your price.

Rich& Helen N.Ridgeville,Ohio.

F-350SD, Lariat, V-10,4:30 Diff, tow command Long bed, Crew Cab Dually, 06 3400RL
Mor-Ryde Pin Box

[sreigle]

We probably incorrectly used the term markup in our discussions. I think what we meant was 40% of the msrp is profit if one pays msrp and there are no other costs to the dealer. That would put markup well above 40% when using the term correctly. If we had used the term 'markup' correctly then a dealer would still make a profit after giving 30% discount, assuming no significant other costs. In your scenario, then, the dealer paid 36k for the 60k rig. It's just easier to refer to that 24k as "markup" rather than trying to explain how to figure it. That works until someone comes along who understands these terms intimately. Sorry for the confusion.

See another Montana or Mountaineer on the road? Flash lights twice, it might be one of us!
Steve Reigle (pronounced Regal)
Fulltiming since 3/21/03
'03 3295RK
'05 Ford F250 SD Lariat CC SB 6.0L PSD/TS FX4 4x4

Our RV Travels (now Firefox-compatible)

[MAMalody]

Actually, it depends on whether you are figuring markup at cost or retail, and then you want to make sure they aren't talking about markon. But, in spiteof all the semantics, I don't worry about what the dealer makes...I just worry about can I afford it, am I getting a good value for my dollar, does the dealer stand behind the sale. I will never know the dealers real markup (however you want to compute it), his volume discount (if any), his financing issues, his salesman commission, and the list goes on. Playing one dealer against another works good, making any deal prior to any trade-in talk works good, paying cash works good, inventory or to order depends on the dealers position. But most of your power lies in the fact that the door works both ways. If, for whatever reasons, you don't like the deal...walk...that will always get his attention.

Mike

F350 7.3L LB
2003 3575RL