Trying to understand the Game?

ynygma

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I have talked to dozens of dealers now and when I tell them I have an offer from other dealers willing to build at 6-8% below invoice, they just can't do it. For instance, if my final out the door price is to build a 2021 JLU Rubicon is 50,280 plus TT&L which in Texas ends up being a final price of 54,000 or so, but other dealers can't get close to the same deal and tell me that these dealers doing 6-8% under invoice to build, they are not telling you everything. Dealers tell me that JEEP has no incentives or dealer programs anymore so anyone offering these deals is losing 2-3k a JEEP.

So what gives? If a dealer out of Missouri for example tells me this is the final price out the door plus TTL, is it real or will something be thrown in there since per the logic of Texas dealers, they would not be making any money?





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calemasters

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Call the dealer and get a clear understanding and then get it in writing. I am sure that 6% under dealer invoice is a shorter deal than the dealer would like, but they still get an advertising allowance and holdback, floor plan and financing allowance. Also, dealer incentives come and go depending on demand. I suppose what a dealer is willing to do depends on his inventory, sales and availability.
 
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rikity

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Holdback is about 3% of invoice. Anything below that is a "loser" deal. Dealers also get paid some on quantity sold too so $3000 below invoice might be possible if they want to. It really doesnt make any sense for any dealer to sell them like that though unless the Jeep has been sitting on the lot for a year or its some kind of freak of nature thing like a 2 door soft top manual trans that nobody wants.

Maybe someone out there is buying them from a dealer like that but it would make no sense to me that a dealer would take horrible deals like that on something that sells. But the other thing you need to keep in mind, you order the jeep, wait 6 to 12 weeks for it to show up, you gave them a deposit to order and it shows up then the story changes and its now invoice or even MSRP. Maybe you have to pay for adds like window tint or nitro filled tires etc.

That said, the dealer I work for has 2 Wranglers left on the lot right now. We've been selling them at MSRP so far this year now that supply is dwindling off. We have no Ram 2500's and there are 2 Ram 3500's on our lot, one is a gas motor (not desirable). On an order we might go for an invoice deal, but it really makes no sense to get into holdback or below at all. Personally, I really dont care what we sell the new vehicles for. I make 12.5% on what we get above invoice, which it takes a lot to really make any kind of difference above a mini, so i'd rather cut to the chase and get the deal over with so i can move on, be it 6% under invoice or whatever else. Ultimately its what the management wants to do
 

jc_clark

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I have talked to dozens of dealers now and when I tell them I have an offer from other dealers willing to build at 6-8% below invoice, they just can't do it. For instance, if my final out the door price is to build a 2021 JLU Rubicon is 50,280 plus TT&L which in Texas ends up being a final price of 54,000 or so, but other dealers can't get close to the same deal and tell me that these dealers doing 6-8% under invoice to build, they are not telling you everything. Dealers tell me that JEEP has no incentives or dealer programs anymore so anyone offering these deals is losing 2-3k a JEEP.

So what gives? If a dealer out of Missouri for example tells me this is the final price out the door plus TTL, is it real or will something be thrown in there since per the logic of Texas dealers, they would not be making any money?
If you're going with the Butler Auto Group (Jim Butler CDJR), then, yes, it is real. I just did a build and picked up a JLURD about 3 weeks ago from them at around 13% below sticker price (plus TTL), which works out to just about 8% below invoice (plus TTL). No games or hidden prices. The only caveat was that I financed with one of their preferred banks for at least six months or I would lose $1,000 on the deal, but that was advertised in advance and I knew about it before I ever placed the order. They were about 1% on the APR above what my local bank offered me, which wasn't terrible.

My sticker price was ~$62,000 and my buying price was ~$54,000, which is right around 13% below sticker.
 

AmarilloJLU

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You will have no luck with any Jeep dealers in Dallas or OKC. I called a lot of them. I ended up using Mac Haik Jeep in Georgetown. My deal involved using their financing, I joined Access Fund for $50 do get the affiliate discount (must be a member for at least 30 days to qualify for discount), I emailed them the offer I got from Koons and Criswell. They were able to get me close to the other dealerships and it was close to me so I placed my order with them. I am working with KC. He has been awesome and straightforward with things. Let him know Jon from Amarillo sent you over. PM me if you are wanting to know what my final numbers were. Good luck
 

jc_clark

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If you're going with the Butler Auto Group (Jim Butler CDJR), then, yes, it is real. I just did a build and picked up a JLURD about 3 weeks ago from them at around 13% below sticker price (plus TTL), which works out to just about 8% below invoice (plus TTL). No games or hidden prices. The only caveat was that I financed with one of their preferred banks for at least six months or I would lose $1,000 on the deal, but that was advertised in advance and I knew about it before I ever placed the order. They were about 1% on the APR above what my local bank offered me, which wasn't terrible.

My sticker price was ~$62,000 and my buying price was ~$54,000, which is right around 13% below sticker.
They even picked me up from the local airport, along with another guy from Louisiana who was buying a Ram 3500 on the same day, and they were able to beat any of the deals he found for the Ram Trucks, as well.
 

west tex

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There are 3 Jeep dealers in my area. Took my build sheet to all 3 and they wouldn't budge. They sell fast and are always in demand, so ordering a custom build just isn't a concern for them. So, I bought from the dealer I'd had good service from in the past.
 

jc_clark

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All said, though, if you are talking to Jim Butler CDJR in Missouri, they were one of the three best prices I was able to find anywhere in the continental United States (and they had the lowest document fees of the ones i found at $199 total doc fees). If you aren't talking to them, @MinerSteve was the sales associate there and can give you more information - I'd recommend hitting him up.
 
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I think a got a pretty good deal without a lot of hassle. I just bought in Katy last month. I always negotiate drive out price. Invoice doesn't mean much to me. It was sticker at 61,700 (including dealer add ons). I drove out at 53K (including a 3K trade) and got the following:
21 black JLU Rubicon 2.0L
Leather
Cold Weather Group
LED Lighting
8.4 Inch Alpine Premium Auto
Dual-Top with body colored hard top and flares
Safety Group
Steel Bumpers
All Weather Floor Mats
8 Speed Auto
Proximity Entry
Hardtop Headliner
(pretty much everything but Safety 2 group and towing package)
Dealer add ons included tint, wheel locks and a vehicle tracking system.
 
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ynygma

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Was this at Mac-Haik dealership?

Also, that 53k include TT&L?

yeah, I looked at a similar deal but I have to have Advanced Safety Group.
 

SleepEatJeepRepeat

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The key is finding the fleet manager at the right dealership who is doing the tread lightly discount and is using it to get the volume bonus. Right now Tuttle click near me is doing it.. if I talked to regular internet guy or a guy on the lot best I could hope for is 1% below invoice.. but rob the fleet manager there who is on the forum does 4% below invoice.. which is really good for California..
 

rikity

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Right now is the worst time to buy ever, inventories are depleting so badly we just had a meeting yesterday that they are going to start at $10,000 over MSRP on F250's. Funny thing is we dont have any. We also dont have any Jeep Wranglers.

So if you have to have something in the next 9 months, you really need to just buy it right now. You will see all of this come apart in 6 months. The bluebook on my 2018 is going up $1000 a month right now, that never happens on used vehicles... going up in value. But the reason why is there is going to be a major vehicle shortage across the board. Soon you wont even be able to buy for MSRP
 
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ynygma

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Right now is the worst time to buy ever, inventories are depleting so badly we just had a meeting yesterday that they are going to start at $10,000 over MSRP on F250's. Funny thing is we dont have any. We also dont have any Jeep Wranglers.

So if you have to have something in the next 9 months, you really need to just buy it right now. You will see all of this come apart in 6 months. The bluebook on my 2018 is going up $1000 a month right now, that never happens on used vehicles... going up in value. But the reason why is there is going to be a major vehicle shortage across the board. Soon you wont even be able to buy for MSRP
Yeah I went ahead and ordered 8 days ago.
 

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