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Old 10-15-2005, 03:32 PM   #1
rickfox
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2006 Model Pricing

Good Evening Again,

In other posts on this site, new unit pricing has been discussed, with many people indicating that a 25% to 30% discount from list pricing is reasonable to expect. One gentleman also emailed me a 2006 Montana list price sheet he had received earlier this year.

While at the FunTime dealership in Texas this afternoon, I was given a price sheet which was almost identical to that one I received via. email - so I believe I have a pretty good understanding of list pricing.

Here is my question. There is a line item toward the bottom of these price sheets called "Freight/Prep". Can anyone shed any light on this item? About how much should this be? (it is not filled in on either of the price sheets I have). Should it perhaps vary from one location to another? One dealer to another? Or is it just a jack factor where additional profit is to be added?
 
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Old 10-15-2005, 04:33 PM   #2
richfaa
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Freight will vary according to where you are in relation to Goshen , Ind. prep is dealer prep and is a cost the dealer assigns to a Rv for preparing the RV for delivery and also includes such cost as Advertising, Taxes, Insurance, Etc..The cost are negotiable.
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Old 10-15-2005, 05:44 PM   #3
rickfox
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Rich,

According to Streets and Trips, it is 1104 from Cleburn TX to Goshen IN.

What would be a good estimate for the freight and prep costs that should be added to the discounted MSRP cost?
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Old 10-15-2005, 06:09 PM   #4
rickfox
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Rich,

After looking around on the site some, I noticed that you mentioned getting somes quotes on the 3670 - some that were up in the 30% discount range. My problem is that the quote I received from FunTime in Cleburne TX on a 3400RL was $44,000 plus TTL on a unit with the MSRP of $57,876. If the dealer has in fact charged for freight and prep, it is bundled into the $44,000 and they are not saying what it is. I thus do not know what the estimated discount is, nor what this freight/prep charge might be.

Have you had any of these same difficulties in your pricing search?
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Old 10-16-2005, 03:30 AM   #5
mazeeff
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In 2005, the freight cost from the factory to Fun Time in cleburn was $1,064.00.
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Old 10-16-2005, 05:42 AM   #6
richfaa
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FEMA is paying 1.06 to 1.12 to haul RV's right now and we were told by a RV hauler that that is 'more than usual" so the
1.064.00 for 1104 miles sounds good. all the MSVRP's that we saw listed freight and dealer prep as a separate item.
I would ask for the dealer to break out the freight and prep..he knows what it is.. Base on what numbers we know,,Freight @ 1,100.00 Dealer prep @ 500.00 and he has included that in the MSVRP of 57, 876.00 the 44,000.00 figure is 13,876 off his MSVRP. That's about 24% off his MSVRP... The dealer knows that any educated buyer knows they can get 25% off and that's what he gave you. He is checking to see how educated you are... Depends on how bad you want that Montana.. Play the game....
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Old 10-16-2005, 08:00 AM   #7
rickfox
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Rich,

I have calculated the $57,876 based upon the pricing sheets I have collected and the options I have selected. This price does not included any freight or prep. The $44,000 is the dealer's stated final cash price. All that is added for the drive out price is TTL. I am therefore concluding that any freight or prep has been included in their $44,000 figure.

If so, substracting $1600 would yeild a discounted price of $42,400, or 26.7%. Does this make sense, and if so, does it seem reasonable to shoot for a 30% discount?
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Old 10-16-2005, 08:32 AM   #8
richfaa
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At@ 40% dealer markup the dealer has got @ 35,000.00 or so in the RV so he is still making a really good profit on the sale . I would counter with about 35% off MSVRP..see what kind of choking sounds he makes then bargain from there.You should be able to bargan another 3k or so off the 44K price..depends on what the dealer volume is. What the demand is for Montana's and how well his sales have been going..With the high cost of energy my guess is that a whole lot of folks are not buyiny hi $ Tv or RV's right so it may be a buyers market.Mobilrvn may be able to help out here as I beleive he also has some sales experience in RV's.
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Old 10-16-2005, 08:41 AM   #9
mazeeff
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Quote:
quote:Originally posted by rickfox

Rich,

I have calculated the $57,876 based upon the pricing sheets I have collected and the options I have selected. This price does not included any freight or prep. The $44,000 is the dealer's stated final cash price. All that is added for the drive out price is TTL. I am therefore concluding that any freight or prep has been included in their $44,000 figure.

If so, substracting $1600 would yeild a discounted price of $42,400, or 26.7%. Does this make sense, and if so, does it seem reasonable to shoot for a 30% discount?
Given that we are still young in the 2006 model year, 26.7% would seem like a resonable discount. I received a 26.8% discount at this same time last year on my 2005 model.
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Old 10-16-2005, 09:41 AM   #10
richfaa
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I would agree that 26.7% is not a bad discount..You could use that as your cut point but try for better...you never know till you give it a try..
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