advertising and other fees
03-02-2004, 06:11 AM
#5
Donating Maxima.org Member
Join Date: Apr 2003
Posts: 184
03-02-2004, 11:49 PM
#6
Senior Member
Join Date: Jun 2003
Location: a meadow south of Atlanta
Posts: 8,143
Most car buying services consider these charges to be a 'pack' (unwarranted fees to increase the profit a little bit). They strongly advise against paying them.
Dealers are all different. Some will drop the add-ons if asked; others are stubborn. A lot depends on how close they are to other dealers and how important it is for them to make the sale.
Sometimes, they verbally 'drop the add-ons' but then simply won't come down as much in the price they ask for the car, resulting in their clearing the same profit either way.
My dealer's 'add-ons' are well over $1,100 (seriously). I always set the price I will pay for the car (showing deviation from invoice, and noting holdback, etc), and then counter their add-ons in my detailed written offer by adding $25 for the removal of the protective plastic sheets and styrofoam bumber shields and cleaning the car, inside and out, $25 for checking out the car, making certain tire prerssure, alignment, fluid levels, etc, are correct, $25 for the window serial etching (all windows), and $25 for the locking lug nuts and key (plus installation). I do NOT pay for 'treating' the upholstery, waxing the car, 'treatment' of the exterior finish, advertising (Nissan actually pays the dealer a set amount for advertising for each vehicle) etc, etc. Total I will pay on 'packs': $100.
I feel that is a more-than-fair compromise that shows the dealer I am aware there is work required on their part to make the car ready, yet avoids paying the ridiculous price they try to charge for these services.
But there are buyers who will pay a higher price for a car to a dealer who will drop the 'packs', but make the same profit by not going as low with his price on the car. As with everything in life, this can be a big juggling act for both the buyer and the seller.
Dealers are all different. Some will drop the add-ons if asked; others are stubborn. A lot depends on how close they are to other dealers and how important it is for them to make the sale.
Sometimes, they verbally 'drop the add-ons' but then simply won't come down as much in the price they ask for the car, resulting in their clearing the same profit either way.
My dealer's 'add-ons' are well over $1,100 (seriously). I always set the price I will pay for the car (showing deviation from invoice, and noting holdback, etc), and then counter their add-ons in my detailed written offer by adding $25 for the removal of the protective plastic sheets and styrofoam bumber shields and cleaning the car, inside and out, $25 for checking out the car, making certain tire prerssure, alignment, fluid levels, etc, are correct, $25 for the window serial etching (all windows), and $25 for the locking lug nuts and key (plus installation). I do NOT pay for 'treating' the upholstery, waxing the car, 'treatment' of the exterior finish, advertising (Nissan actually pays the dealer a set amount for advertising for each vehicle) etc, etc. Total I will pay on 'packs': $100.
I feel that is a more-than-fair compromise that shows the dealer I am aware there is work required on their part to make the car ready, yet avoids paying the ridiculous price they try to charge for these services.
But there are buyers who will pay a higher price for a car to a dealer who will drop the 'packs', but make the same profit by not going as low with his price on the car. As with everything in life, this can be a big juggling act for both the buyer and the seller.
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