The car selling adventures of Yankee

VolunteerHillbilly

Spike Drinks, Not Trees
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@YankeeVol I was walking the lot at a dealership in Franklin while having some service done and I saw a couple of window stickers that showed an add-on called "supply price adjustment" (or something like that) equal to about 10 percent of the price of the vehicle. Is this a normal thing now? Have you heard any higher ups discuss whether or not they think this will create happy, return customers once supply levels stabilize? I'm not in the market for a vehicle right now, just curious.
 

YankeeVol

This is the way
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@YankeeVol I was walking the lot at a dealership in Franklin while having some service done and I saw a couple of window stickers that showed an add-on called "supply price adjustment" (or something like that) equal to about 10 percent of the price of the vehicle. Is this a normal thing now? Have you heard any higher ups discuss whether or not they think this will create happy, return customers once supply levels stabilize? I'm not in the market for a vehicle right now, just curious.
Unfortunately it is pretty common currently. There are still some that aren’t (my dealership for example). We still honor supplier and employee discounts as well (almost no one is doing that).

Those places don’t care about return customers. They just care about money and taking advantage of the situation (even though GM and Ford have said not to do it).
 

tn4elvis

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Several of the manufacturers and lenders are pushing back against the add on market adjustment. I have been advising dealers against it (in most cases) as well. It is still pretty widespread, but starting to fade.
When dealers are offering to buy new inventory from other dealers and paying over MSRP for it the market is still very hot.
 
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txbo

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@YankeeVol I was walking the lot at a dealership in Franklin while having some service done and I saw a couple of window stickers that showed an add-on called "supply price adjustment" (or something like that) equal to about 10 percent of the price of the vehicle. Is this a normal thing now? Have you heard any higher ups discuss whether or not they think this will create happy, return customers once supply levels stabilize? I'm not in the market for a vehicle right now, just curious.
When this environment started, I wouldn't allow any of my people to sell anything over MSRP. In a very short time I discovered there were several people buying my hot product and immediately selling it to Carmax or other stores for more than they paid for it. I had to raise my prices to avoid it.
 

txbo

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Several of the manufacturers and lenders are pushing back against the add on market adjustment. I have been advising dealers against it (in most cases) as well. It is still pretty widespread, but starting to fade.
I've seen some market adjustments that are just stupid but the market price is still above MSRP.
 

txbo

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Unfortunately it is pretty common currently. There are still some that aren’t (my dealership for example). We still honor supplier and employee discounts as well (almost no one is doing that).

Those places don’t care about return customers. They just care about money and taking advantage of the situation (even though GM and Ford have said not to do it).
Ford and GM are fine with dealers losing money when they produce too many vehicles. They need to shut up and produce vehicles. Many stores that were built to their planning volume can't break even with the inventory they are receiving without selling over MSRP.
 

zhangliao04

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@YankeeVol I was walking the lot at a dealership in Franklin while having some service done and I saw a couple of window stickers that showed an add-on called "supply price adjustment" (or something like that) equal to about 10 percent of the price of the vehicle. Is this a normal thing now? Have you heard any higher ups discuss whether or not they think this will create happy, return customers once supply levels stabilize? I'm not in the market for a vehicle right now, just curious.
Unfortunately it is pretty common currently. There are still some that aren’t (my dealership for example). We still honor supplier and employee discounts as well (almost no one is doing that).

Those places don’t care about return customers. They just care about money and taking advantage of the situation (even though GM and Ford have said not to do it).
Toyota of Knoxville is +$5000 for all non-hybrid cars. For all hybrids and Tundra’s they are +$7500. The dude at Toyota Knoxville tried telling me it’s coming down from Toyota themselves. Will never go there for anything again.

Around Knoxville I only know of Fox Toyota that is charging only MSRP. Toyota of Cleveland is also charging only MSRP.

Any other dealerships around the area charging only MSRP?
 

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