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Discussion Starter #1
For example, if the invoice on a car is 30k and they sell it for 28k because dodge is offering 2k on incentives/cash back/rebates does dodge pay the dealer the 2k? This is not factoring in the holdback.
 

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Discussion Starter #3
Interesting. I have 500$ coupon too. So if the dealer sells me the car for invoice, then knocks off 1000 for the holdback, he's making $2500 in the deal? Looks like there is no way I'm paying this dealer fee they are pushing on me. Thanks
 

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Interesting. I have 500$ coupon too. So if the dealer sells me the car for invoice, then knocks off 1000 for the holdback, he's making $2500 in the deal? Looks like there is no way I'm paying this dealer fee they are pushing on me. Thanks
The dealership doesn't operate for free, like it or not they are entitled to make money. What happens between the dealer and manufacturer is not something that pertains to us. The $500 coupon is factory to consumer. It cost hundreds of thousands a year to operate a dealership.
 
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Discussion Starter #5 (Edited)
The dealership doesn't operate for free, like it or not they are entitled to make money. What happens between the dealer and manufacturer is not something that pertains to us. The $500 coupon is factory to consumer. It cost hundreds of thousands a year to operate a dealership.
And I absolutely understand that and agree. IMO 2500 is extremely fair for them to make on my deal. It took a purchasing manager 5 minutes to order my car. I had to bug them for the VON a few days later. They provided me no updates. I got them all from member here. It will take an hour or two to close the deal and a person to fill out the paperwork. All and all 2500 for less than 3 hours work is fair IMO. Plus whatever else they get in bonuses and whatnot for hitting a sales quota.
 

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Where are you getting 2500 from? Invoice is what the car cost them and 500 coupon is 500 less they buy it from Chrysler for. The holdback is usually something they flat out don't share.
 

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And I absolutely understand that and agree. IMO 2500 is extremely fair for them to make on my deal. It took a purchasing manager 5 minutes to order my car. I had to bug them for the VON a few days later. They provided me no updates. I got them all from member here. It will take an hour or two to close the deal and a person to fill out the paperwork. All and all 2500 for less than 3 hours work is fair IMO. Plus whatever else they get in bonuses and whatnot for hitting a sales quota.
You forgot to factor in aggravation fee. Just to have to deal with PIA people is enough reason to justify profit. What the average person does not understand, is overhead,insurance,taxes, staffing and just the general way a business runs, the sales dept. might be making money but other dept. might be suffering because after you buy your car you never go into the dealer again unless it's for free warrantee work. You feel that you shouldn't have to pay fees to have them do stuff but you will for instance pay fuel taxes imposed by UPS to deliver something to your house which is basically their business or pay a delivery charge on top of your normal charge to bring electricity to your house. These are all things that have been brought on by yourself and everybody else that complains about this stuff day in and day out. Vote correctly and do something about it instead of blaming a company for their right to make money, Maybe you should buy a Dodge dealer and sell all of us cars at invoice and waive the fees, I wonder (actually I don't) how long you would last. At this rate it's only a matter of time before you won't have choices when it comes to buying your Challenger. It seems someone always has something to complain about the Dealer, combat is a mutual thing, it usually takes one to start it and the beautiful thing about it is if it's the dealer that started it you can always leave and go somewhere else, this isn't always the case when it's the customer that walks into the dealership ready to fight otherwise there would be a ton of people getting tossed out on their asses on a daily basic. I'd love to hear the dealers side on the people they deal with. I have had a great experience with my Dealer (Bosak Dodge) and am on my 3rd Challenger from them but then I have never expected anything in life for free. I'm a Vietnam era Marine and my son is a Sgt. in the Marines with a breast of ribbons and 2 tours in Afghanistan under his belt, we know what the word free means. Don't sweat the small stuff or it will take out the fun of owning the car.
 

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You forgot to factor in aggravation fee. Just to have to deal with PIA people is enough reason to justify profit. What the average person does not understand, is overhead,insurance,taxes, staffing and just the general way a business runs, the sales dept. might be making money but other dept. might be suffering because after you buy your car you never go into the dealer again unless it's for free warrantee work. You feel that you shouldn't have to pay fees to have them do stuff but you will for instance pay fuel taxes imposed by UPS to deliver something to your house which is basically their business or pay a delivery charge on top of your normal charge to bring electricity to your house. These are all things that have been brought on by yourself and everybody else that complains about this stuff day in and day out. Vote correctly and do something about it instead of blaming a company for their right to make money, Maybe you should buy a Dodge dealer and sell all of us cars at invoice and waive the fees, I wonder (actually I don't) how long you would last. At this rate it's only a matter of time before you won't have choices when it comes to buying your Challenger. It seems someone always has something to complain about the Dealer, combat is a mutual thing, it usually takes one to start it and the beautiful thing about it is if it's the dealer that started it you can always leave and go somewhere else, this isn't always the case when it's the customer that walks into the dealership ready to fight otherwise there would be a ton of people getting tossed out on their asses on a daily basic. I'd love to hear the dealers side on the people they deal with. I have had a great experience with my Dealer (Bosak Dodge) and am on my 3rd Challenger from them but then I have never expected anything in life for free. I'm a Vietnam era Marine and my son is a Sgt. in the Marines with a breast of ribbons and 2 tours in Afghanistan under his belt, we know what the word free means. Don't sweat the small stuff or it will take out the fun of owning the car.
THANK YOU to you and your son for your service to our country, it is appreciated.
I know that the property taxes alone at my dealership are close to $150,000 per year. My friend works for the tax assessor so she told me when i asked. They need to sell a bit to just overcome that expense and there are utilities and other stuff too. I can't imagine the insurances like workman's comp, liability,car etc. It has to be prohibitive.
 

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Discussion Starter #9
Where are you getting 2500 from? Invoice is what the car cost them and 500 coupon is 500 less they buy it from Chrysler for. The holdback is usually something they flat out don't share.
The 2500 goes back to my OP. It's the current dodge incentives and rebates. I asked if the dealer got that discount back from dodge and somebody said yes. Plus the 500 I got in the mail so that's how I came up with 2500. Or is the incentive (2k) simply subtracted from the dealer invoice from the start? I'm not trying to screw over the dealer, but if they get the 2k from dodge plus the 500 coupon I have that's a decent profit is it not?
 

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Discussion Starter #10
Wait I think I'm misunderstanding something. Say an invoice price is 34 and dealer sells it for 32 (because 2k incentives), dodge gives them the 2K but they still owe the 34k. I screwed up and was thinking they got to pocket the 2k as profit on the deal. My bad. Big difference
 

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Wait I think I'm misunderstanding something. Say an invoice price is 34 and dealer sells it for 32 (because 2k incentives), dodge gives them the 2K but they still owe the 34k. I screwed up and was thinking they got to pocket the 2k as profit on the deal. My bad. Big difference
So those numbers say they sold the car for invoice... $32k to you and the $2k back from Chrysler makes $34k. Simple enough.
 

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Wait I think I'm misunderstanding something. Say an invoice price is 34 and dealer sells it for 32 (because 2k incentives), dodge gives them the 2K but they still owe the 34k. I screwed up and was thinking they got to pocket the 2k as profit on the deal. My bad. Big difference
Correct it comes off the amount they owe to floor plan the car, they don't make extra money on the deal.
If it's manufacturer to dealer you don't pay sales tax on the incentive, if it's manufacturer to customer you do pay sales tax on the rebates.
 
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