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The amount of inaccurate information in this thread blows my mind. There are NOT 2 Invoices that dealers have for vehicles! The window sticker or "Monroney" label is posted with the Manufacturer's Suggested Retail Price (MSRP) i.e., desired selling price and is required by law to be posted. The Automobile Information Disclosure Act of 1958, commonly known as the Monroney Act or Price Sticker Act, requires the affixing of a retail price sticker to the windshield or side window of new vehicles with a gross vehicular weight rating of less than 8,500 pounds.
But that doesn't mean consumers pay that, except in rare instances for limited production or all new models (think 2007-2009 Ford Shelby GT500 Mustang with 10,000 units per year).
There is ONE invoice that lists the price paid by the dealer to the manufacturer for the vehicle. If the dealer is part of a local marketing group (written contract), the amount of advertising is itemized on the invoice, usually 1%-3% of each vehicle INVOICE as part of the cost of the vehicle.
What no one knows other than the dealer principle (owner or General Manager) is any manufacturer to dealer volume incentives paid after month end that can vary widely.
That said, I know of no other industry where consumers attempt to get a product for as close to what the business pays for it. If you owned a bar, how long would you stay in business if your customers paid you only 2-3% more than you did for the alcohol you're serving? What kind of talent would you be able to keep on staff? As a business owner, don't you think it's reasonable to expect to make something more in the 17% + return on your investment so you can pay the building lease, keep the lights on, retain quality employees, and so on?
I'm just saying I get that a vehicle purchase is a big expense. Ask yourself what is fair in terms of price you pay and the service expectations you have that go along with that! Find a dealer that has great reviews and make your vehicle purchase.
But that doesn't mean consumers pay that, except in rare instances for limited production or all new models (think 2007-2009 Ford Shelby GT500 Mustang with 10,000 units per year).
There is ONE invoice that lists the price paid by the dealer to the manufacturer for the vehicle. If the dealer is part of a local marketing group (written contract), the amount of advertising is itemized on the invoice, usually 1%-3% of each vehicle INVOICE as part of the cost of the vehicle.
What no one knows other than the dealer principle (owner or General Manager) is any manufacturer to dealer volume incentives paid after month end that can vary widely.
That said, I know of no other industry where consumers attempt to get a product for as close to what the business pays for it. If you owned a bar, how long would you stay in business if your customers paid you only 2-3% more than you did for the alcohol you're serving? What kind of talent would you be able to keep on staff? As a business owner, don't you think it's reasonable to expect to make something more in the 17% + return on your investment so you can pay the building lease, keep the lights on, retain quality employees, and so on?
I'm just saying I get that a vehicle purchase is a big expense. Ask yourself what is fair in terms of price you pay and the service expectations you have that go along with that! Find a dealer that has great reviews and make your vehicle purchase.
