Dealer Markup on Delivery?

[danzy55]

Ordered a fully loaded JLU Overland (fancy Sahara) for 52,000 euros back in September 2021. Dealer called last week to tell me there would be a 3,000 EUR markup on delivery because "the dealership has already absorbed a lot of price increases so far" but this final one is on me.

I just realised there's a clause on the contract that says any pricelist increases from the order date until the delivery are passed on the customer. Now Wranglers start at 57,500 EUR, so a 3K increase seems tame in comparison... but still, I ordered the vehicle for 52K before the price increases.

Is there any way out? Anyone else got delivery markups?

tell them to screw, when you factory order you better have your deal on paper and signed. you should never pay ADM on a factory order period. If you are shame on you do better researching your dealer next time.

Sponsored

 

[PandaHigh]

I speculate that your dealer was able to get a nice Jeep in & they decided that they didn't want to "lose" money on a vehicle they could easily sell for the markup to someone else. Is there lot relatively empty or do they seem as if they were prepared for the shortage? This is a key factor with a lot of dealers in my area. They aren't giving good deals or holding to their word because they weren't prepared for the shortage, and are playing a huge game of catch up. Let me know how everything plays out!

I wish you the best in getting a fair price on your Jeep, as you are entitled to it.

My local dealer is small, I don't think they have any Wranglers in stock save for their test drive vehicle.

I think you're right on the money with this. Back in September the salesman told me that I should move fast and put my order in before the then incoming price increases. Which I did. Never mentioned that I'd be liable to pay a markup. I assumed I locked the price at 52K, but you know what they say about assumptions...

Thanks for the wishes! I wish my dealer was a lot more like you.

You'll want to investigate what Cypriot consumer protection laws, if any, can be brought to bear here. Your mention of a signed contract being in place between you and the dealer may give the advantage to the dealer.

I'll call Consumer Protection tomorrow and see how it goes. Feels like I'll have to pay for my naivete due to the contract though.

 

[four low]

As you said you are on an Island. Something to consider, if you are having your JL serviced at this Dealer, is keeping their goodwill.
In case there is a borderline warranty call, a loaner vehicle, or some " consideration " involved, maybe regard the higher price as the " cost of doing business". That's not caving in, its just looking at the practical realities that can come up in the future.
You know the personalities involved, see what their explanations are, and you will know whether to fight, or accept it.

 

[John VonJeep]

The MSRP on my Jeep increased twice between the time I ordered it and the time I took delivery.

Gupton honored the original deal we agreed on. It was never a question.

 

[Nitehawk92]

It is not our fault that it takes 4 - 6 months to get a Jeep. Jeep should absorb the loss...

 

[gato]

OP - Just get the vehicle.

A - You don't want to piss off the ONLY dealer where you can get warranty service in the Island, by going to Stelantis, as suggested.

B - The cost increases (MSRP, transportation, etc) are all real - it is not like the dealer is making it up.

C - It is still a good buy, as Wranglers even used are going for more than MSRP.

Don't overthink it. E3000 adjustment on a E52000 Wrangler is nothing really out of line or concerning these days.

Just go for it and enjoy the Jeep.

 

[RandyMarion CDJR]

OP - Just get the vehicle.

A - You don't want to piss off the ONLY dealer where you can get warranty service in the Island, by going to Stelantis, as suggested.

B - The cost increases (MSRP, transportation, etc) are all real - it is not like the dealer is making it up.

C - It is still a good buy, as Wranglers even used are going for more than MSRP.

Don't overthink it. E3000 adjustment on a E52000 Wrangler is nothing really out of line or concerning these days.

Just go for it and enjoy the Jeep.

As unfortunate as it is, I would also recommend the same options in this case. Very well said Gato! This puts all factors into play, short & sweet. Thanks man.

 

[PandaHigh]

OP - Just get the vehicle.

A - You don't want to piss off the ONLY dealer where you can get warranty service in the Island, by going to Stelantis, as suggested.

B - The cost increases (MSRP, transportation, etc) are all real - it is not like the dealer is making it up.

C - It is still a good buy, as Wranglers even used are going for more than MSRP.

Don't overthink it. E3000 adjustment on a E52000 Wrangler is nothing really out of line or concerning these days.

Just go for it and enjoy the Jeep.

I do agree with the sentiment. However, I want to make sure the price uptick is justified, so I asked for the factory invoice as proof of the cost increase.

If I wanted to spend 55K instead of 52K I'd have ordered a Rubicon back then - not that I wanted one over the Sahara, anyhow.

Plus, we have previously purchased four new vehicles from this company, so I find the price increase quite offensive.

In any case, I'll be picking up my dream in a couple of weeks, so at least I've got that going for me.

 

[Xspurt]

Over here ordered Wranglers are going for thousands below INVOICE so on an order (again, over here), MSRP is NOT even close to a good deal.

Maybe try a shot across the bow: WITHOUT sounding argumentative or belligerent, tell them you're still interested in the Jeep but it was your understanding the price was protected for them and yourself and that you are going to check the legal channels. Make it sound like you're going after the company, not them. IF they're playing games, they may quickly backpedal. They could be telling the truth though so if you still want it and can live with the surprise additional cost, maybe don't blow up the whole deal.

 

[John VonJeep]

Over here ordered Wranglers are going for thousands below INVOICE so on an order (again, over here), MSRP is NOT even close to a good deal.

He lives on a literal island with only one dealer.

OP, I do agree that asking to see the invoice is reasonable. Good luck!

 

[JollieOllie]

If the contract you have states that the buyer pays any markups between order and delivery, and you state that the list price is now 5.5K euro more than when you ordered, and the dealer is asking for 3K, it sounds like you’re getting a 2.5K discount, not paying more than you agreed. If that rubs you the wrong way then walk away from it. You might be even more upset when you’ve got no Jeep and they sell it to the next guy for 60K euro.

It’s not ideal, but if that’s what’s in the contract then it is what it is. I don’t see how you have any recourse if you want to buy it. Did I miss something?

I agree.

Read what the OP posted:

I just realised there's a clause on the contract that says any pricelist increases from the order date until the delivery are passed on the customer.

 

[macphisto13]

You don't need any more advice but that's never stopped people on the internet from sharing their dumb assed opinions. I would specifically ask what price increases they have experienced on this? As others have said, the order should be price protected from Jeep. HOWEVER... I wonder if shipping costs are the biggest increase here. With fuel prices, shipping has gotten more expensive.

Either way, I believe if you want your Jeep, you need to play ball with them. But you can still try to negotiate with them. Ask for the evidence of the price increases they have already "absorbed" and what the price increases are that they want you to assume then try to come up with a price that it fair to both parties. Remind them that you've been a loyal customer of theirs and that you wiould like to continue in the future.

Sponsored