Dealer Markups

[Macaroon]

Hey guys, I ordered my EB Lariat on October 15 and am super excited. Having never bought a new vehicle before, and certainly not a factory order one, I was wondering how dealer markups/pricing works.

In the dealership, I configured my build exactly how I wanted it, they showed me the MSRP and ran calculations for mo thly payments etc. I then confirmed the build with the ordering department, and I got a confirmation from Ford shortly after.

When my Maverick arrives (I'm hoping for a mid-January delivery, but ¯\_(ツ)_/¯ who knows), can I expect to pay the MSRP or can the dealer add on a markup? My understanding is if it's a dealer order they'll add markups, but if it's a factory order from a customer (me) then the price Ford sets is the price.

Is that right?

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[Oggy]

I'm not certain that's true looking at what's going on with the bronco...

I do know I was concerned and asked my dealer to confirm no ADM, while I didn't get a set no, to I did get an answer that meets the reasonable person test...

Just ask your dealer to confirm in an email and you should have enough ammo, just in case.

 

[TSAINTS1115]

I wouldn't put anything past a dealership. I also ordered a Maverick at msrp. A few days later someone from the dealership mentioned that all new cars have a interior/exterior/brake pkg added on for $1299.
I went and bought a maverick off the lot at another dealer and then drove it to the first one to cancel the order.

You need to get a sales agreement with the delivered price in writing signed by you and the sales mgr. Then you will have a legal binding document. Anything else isn't worth the paper it's printed on.

 

[TSAINTS1115]

I'm not certain that's true looking at what's going on with the bronco...

I do know I was concerned and asked my dealer to confirm no ADM, while I didn't get a set no, to I did get an answer that meets the reasonable person test...

Just ask your dealer to confirm in an email and you should have enough ammo, just in case.

That wouldn't be ammo in a BB gun. Anything verbal or written thats not in a signed contract by both parties is non binding.

 

[TSAINTS1115]

https://www.law.cornell.edu/wex/four_corners_of_an_instrument

 

[marpolsdofer]

I wouldn't put anything past a dealership. I also ordered a Maverick at msrp. A few days later someone from the dealership mentioned that all new cars have a interior/exterior/brake pkg added on for $1299.
I went and bought a maverick off the lot at another dealer and then drove it to the first one to cancel the order.

You need to get a sales agreement with the delivered price in writing signed by you and the sales mgr. Then you will have a legal binding document. Anything else isn't worth the paper it's printed on.

When I ordered mine on Monday there was a added accessories (insider out side protection) for like $2200 or $2700. Dealer told me they won't seel without. He then said all the dealers in the area are making up without even giving anything. Later that day called around few dealers was doing this as well but the last one I got ahold of was not. When to the dealer told them I canning the order and they said ok. Started driving to the new dealer and I got called back and they said ok we will take it off. I stuck with the dealer as I did not want to drive around and make it more of a hassle for a vehicle that is about to be sold out. I got the MGR to sign then price agreement today.

 

[onetequilatwo]

Ordered my Lariat hybrid on Wednesday. Expect to pay the list prices and they told me the same as when I did on the Ford site. However Ford only gave me 4 dealers and the one that I wanted was not on the list so drove to the dealer. $31,900 with Hot red pepper paint, Lariat Luxury package and 360 pilot. My wife replaced her 2019 Rav4 car matts so will try those first. Hoping for a March delivery as they said 8-12 weeks and then 90 days. But think it will be past January, which is my preference as like to spare it from the winter salt.

 

[huunvubu]

Hey guys, I ordered my EB Lariat on October 15 and am super excited. Having never bought a new vehicle before, and certainly not a factory order one, I was wondering how dealer markups/pricing works.

In the dealership, I configured my build exactly how I wanted it, they showed me the MSRP and ran calculations for mo thly payments etc. I then confirmed the build with the ordering department, and I got a confirmation from Ford shortly after.

When my Maverick arrives (I'm hoping for a mid-January delivery, but ¯\_(ツ)_/¯ who knows), can I expect to pay the MSRP or can the dealer add on a markup? My understanding is if it's a dealer order they'll add markups, but if it's a factory order from a customer (me) then the price Ford sets is the price.

Is that right?

Ford is not selling the Maverick to you it is selling it to the dealership.

So the dealership can and some have added ADM markups of $5000 or more to customer ordered Mavericks when delivery happens.

To protect yourself you need a signed "Buyer's Order" from the dealership that has all prices listed MSRP, any fees TT&L, etc with an OTD final price that is signed by you and the General/Sales Manager. That is a binding agreement that both you and the dealership have so when your Maverick gets delivered you won't get stuck with additional costs at delivery time.

 

[armerdcatfish]

My dealer is marking up stock units 2k, msrp on order. They gave me the whole dance with extended warranty and what not, but no other markups. The dealer two towns over is adding 6-8k on every unit, preorder or not.

 

[BMCGC]

I have been wondering what dealers are going to do as more hybrids and electrics get on the road and Ford reduces dealer inventory and transitions to a build on demand system.

The real money is in the service department and most dealerships have a huge overhead.

My 2020 F150 had 10k oil changes, my wife's Accord has an annual oil change interval unless the maintenance due now flashes.

New vehicles require less maintenance, dealers are going to make up that lost revenue somewhere.

 

[DryHeat]

I was wondering how dealer markups/pricing works.

I see that you just recently joined this forum. You are correct to be concerned about this issue.

There are several threads on this issue already with a lot of useful information.

Just search on "markup" or "MSRP" or "Buyer's Order" and you'll find some of them. Probably most of your questions will be answered there.

Here's one to get you started: https://www.mavericktruckclub.com/forum/threads/price-gouging-dealership.4083/

 

[Oggy]

That wouldn't be ammo in a BB gun. Anything verbal or written thats not in a signed contract by both parties is non binding.

Perhaps in a court of law, however many of these matters are now handled in the court of public opinion, long before they ever get the chance to be seen in front of a judge.

 

[Macaroon]

Ford is not selling the Maverick to you it is selling it to the dealership.

That right there helps me understand everyone else's responses in the thread. Damn, it sucks that we can prevent grocery stores and drug stores from.price gauging when supplies get scarce but dealerships have free reign.

I figure I have 3 months to decide just how badly I want to upgrade to a new vehicle. My 2016 Fusion is hopefully not going anywhere or biting the dust any time soon, and if the markups are too steep or I get cold feet, reading everyone's posts on this site makes me feel confident they'll have no problem selling the truck, or even refunding the deposit.

But 3 months is a long time...who knows...

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